Coach is now planning to provide its iconic handbags at lower prices. Coach also will slow the pace of its share-repurchase program. Recession where effecting all section of the society, fashion market and top handbag industries like Coach are also into clutches. The company reported that bag sales fell 6% across all channels in North America.
Coach is reducing prices 10% to 15% for handbags and small leather goods that it is stocking on shelves, said Chief Executive Lew Frankfort in a call with analysts after the retailer posted a 14% drop in fiscal second-quarter net income amid weak sales and margins.
Coach will now make more affordable purses by reducing its making cost but not at the stake of the quality.