Wal-Mart said yesterday that it would introduce a newly created clothing brand to a select number of stores, part of the retailer’s ongoing effort to inject more fashion into its apparel offerings.
The new line, created in-house by a team of Wal-Mart’s own designers and called Metro 7, is meant to appeal to women ages 25 to 45 with clothes that are more stylish than the company’s traditional offerings, including silk camisoles, velvet pants and beaded tunics. The clothes initially will be available in 500 Wal-Mart stores, mainly in urban areas.
Wal-Mart has been stepping up its effort to rebrand its apparel offerings, after sales of its flagship in-house brand, called George, have fallen flat. The retailer has opened a trend office in New York, taken out large advertising spreads in fashion magazines like Vogue, and hosted a runway show last month during New York’s Fashion Week.
“We want to encourage Wal-Mart customers who don’t usually come to us for apparel to cross the aisle and see what we have to offer,” said Claire Watts, Wal-Mart’s executive vice president of apparel and home, in a statement.
Despite those efforts, some analysts remain skeptical of Wal-Mart’s strategy of developing apparel brands in-house, rather than acquiring the rights to designer labels, a strategy that has worked well for Target, which sells clothes by Isaac Mizrahi and other nationally known brands.
“Developing a brand in-house is going to be a challenge for them, because people don’t think of Wal-Mart for fashion,” said Craig Johnson, president of Customer Growth Partners, a consulting firm.