After Europe and the U.S., 'Kaiser Karl' eyes Asia

After Europe and the U.S., 'Kaiser Karl' eyes Asia

By Dini S. Djalal

JAKARTA (JP): The 1997 Haute Couture shows in Paris ended last
week with the world's fashion capital buzzing about the
rejuvenation of their biggest fashion houses.

Fashion pundits are rolling out the red carpet for media
darlings John Galliano and Alexander McQueen, the new designers
at Christian Dior and Givenchy, respectively. But the excitement
of feeding off the British youthquake -- both Galliano and
McQueen are young Londoners -- is not universal. Some Parisians
-- like Jean-Paul Gaultier, the passed-over contender for Dior --
are scoffing at the foreign conquest of le patrimoine culturel.

Yet ensconced in an opulent 18th-century palais while still
overseeing three major fashion houses is the undeniable monarch
of fashion's fickle hierarchy: the German-born Karl Lagerfeld.

Lagerfeld has his fingerprints all over the French fashion map
and few complain of his non-Franco origins. Designer for Chloe
since 1964, Lagerfeld became artistic director at Chanel in 1983.
Within a few years, Lagerfeld fast-forwarded the Chanel image
from that of staid moneyed matron to funky street-wise
mademoiselle, reinstating Chanel's fashion preeminence. In 1984,
he established his own avant-garde label, called Karl Lagerfeld.

The man with the fan -- Lagerfeld rarely poses for cameras
without his trademark dark glasses, ponytail, and fan -- was
destined to succeed. The son of a dairy magnate, Lagerfeld grew
up accompanying his mother to the couturiers. The family moved to
Paris when he was 14, and, at age 16, Lagerfeld won first prize
at an International Wool Secretariat design contest. He was then
hired as an assistant at Pierre Balmain, where he worked for
three years. Afterwards, he became chief designer at Jean Patou.
At Chloe, he made his name, and the line, famous.

Reputation

Now Lagerfeld is known as "Kaiser Karl" and his reputation is
unmatched. Other couture salons are heading towards closure, but
Lagerfeld, at Chanel couture, still sells dresses at US$175,000
each. The Karl Lagerfeld line is not a household name like
Chanel, but it too is a substantial business. The line is part of
the Vendome Group, whose collection of 10 luxury goods
manufacturers, including Cartier and Chloe, reported earnings for
1993 exceeding $1.6 billion.

Having conquered Europe and the United States, Lagerfeld is
setting his bespectacled eyes on Asia. This week, Christina
Zeller, director of Karl Lagerfeld Accessories, was in Jakarta to
promote the Karl Lagerfeld boutique at Plaza Senayan. "Mr.
Lagerfeld hates flying," answered the former model when asked the
whereabouts of her high-profile boss.

Jakarta's Karl Lagerfeld boutique is only one of three in
Asia, the others being in Bangkok and Tokyo. It's a curious
choice. Karl Lagerfeld boutiques have yet to open in either New
York, Milan, Hong Kong, or Singapore.

"I know it wasn't a strategic decision to open a boutique in
Jakarta before New York or Milan, but the opportunity was there
and we have a good partner (PT Yasalancar Mandiri)," Zeller
answered with a laugh. Zeller explains that in the United States,
the Karl Lagerfeld line already has "great visibility" in quality
department stores such as Neiman Marcus, so boutiques are not yet
necessary. As for Singapore, Zeller says that it is currently
"overstocked" and that they are waiting for the market to clear.

Zeller makes clear, however, that all retailer eyes remain on
Asia. "Some brands are living 80 percent off the Asian market. If
you go to Prada in Milan, most of the people queuing are
Japanese," said Zeller. Southeast Asia offers the most promise,
she adds. "There is no real middle class yet, but it's important
to already be here when the middle class grows," she said.

Indonesia's elite are already snatching up the bags, if not
the outlandish ready-to-wear. "Our accessories sales are quite
good. The clothes are not our bread-and-butter you know. In Asia,
it only counts for 20 percent of the sales," said Zeller.

It's little wonder why. Lagerfeld's 1996 Autumn/Winter
collection, with its maxi coats and skinny knits, continued his
reverence for very tall and very thin women. His 1997
Spring/Summer collection -- a parade of sheer body-skimming
knitwear over flesh-colored leotards -- again showed that less is
more, or rather, less is just less. During a presentation of the
collections at the Fashion Cafe, local press complained that the
clothes were unrealistic for short Indonesian women.

Zeller counters that the company is aware of the designs'
limitations, but that risks are part and parcel of the business.
"Mr. Lagerfeld is honest with himself. We're not expecting huge
volumes," said Zeller. Zeller says the company realizes the fine
line between esthetic integrity and commercial appeal, but argues
the extremism is in sync with their marketing strategy.

"If you want to capture a larger market, yes you have to make
concessions. But you have to start with a strong image," she
said.

It's this strong image, and the publicity it attracts, that
ensures success for cheaper second lines. With a German
manufacturer, Lagerfeld produced KL by Lagerfeld, a bridge line
which has gone bust except in Japan, where it is now made there
for an exclusively Japanese market. Lagerfeld is now negotiating
for a new bridge collection. "The main-line market is getting
smaller and smaller. Even the wealthy are not spending so much
money now on ready-to-wear," Zeller explained. "The future is in
casuals, in bridge lines, in jeans," said Zeller.

The king of couture doing denim? It's not such a stretch for a
man who put rollerblades on the Chanel catwalks and dressed
socialites in thousand-dollar lycra and khakis. "With Mr.
Lagerfeld, there's always something new. He can design 30 dresses
in 10 minutes!," said Zeller. Zeller says that a bridge line
would nurture Lagerfeld's creative juices rather than stifle
them. "With a less expensive bridge line, he can explore the
possibilities of design, because he won't have to do much
marketing for them," she said.

And Zeller has no reservations in admitting that the fashion
industry, however glamorous, is still a business. "No one is
working for glory anymore," she said. Zeller confirmed that the
man who once said "Don't ever do business with your own money" is
as astute in business as he is in art. "Yes, he's a businessman.
He likes money," she said.

How long Lagerfeld will reign at the top is subject to debate.
His peers, noticeably Yves Saint Laurent, have lost the limelight
to younger contenders. Lagerfeld is now 58 years old.

"Of course he's very concerned with his age," Zeller admitted.
"But he's certainly not old in the mind. He still has a good 10
years in the business".

More pressing to Zeller is not Lagerfeld's condition but the
general state of French fashion. Zeller described France's
fashion industry as part of the cultural patrimony, and that the
partnerships with big business, such as the Vendome Group or the
Louis Vuitton Moet Henessy (LVMH) Group, are beneficial in
"perpetuating the value of the country". But Zeller admits that
the industry is not sure of its direction, which Zeller claims
should not be couture but commercialism.

"Everybody in Paris is thinking about the future. Succession
is a big problem for some of the fashion houses," said Zeller.
Zeller -- obviously a sharp businesswoman and perhaps echoing her
peers' sentiments of the Dior and Givenchy shake-up, although
contradicting the key to Lagerfeld's success as an image
invigorator -- said: "Sometimes it's better to leave things
beautiful as they were. It's better to start with a new name,
because the market is different".