Coach debuts on Amazon platform

Coach's owner group Tapestry Inc. is making several strategic moves to increase its revenue. After the acquisition of Capri Holdings for $8.5 billion, the giant that previously ran names such as Versace, Jimmy Choo and Michael Kors, the flagship Coach brand landed on Amazon last Friday. The debut of a luxury goods brand on the world's most popular online retail platform represents a big gamble for the company, judging mainly by the absence of all the other major names in the industry. On the one hand, Amazon has now established itself among American consumers as a favourite shopping destination; on the other hand, the presence of a brand like Coach on the resale site could damage the reputation of the brand, and of the group as a whole. 

In the past years, other brands that decided to land on the platform founded by the billionaire Bezos were Levi Strauss & Co., Gap, and as of last June also Victoria's Secret & Co. The latter and Gap reported declining sales in the first and second quarters of 2023, while this summer Levi Strauss lost 5.70% of its stock market value. Despite the negative figures of 'sister' companies that have started selling their products on Amazon, the latest acquisition of Capri Holdings and its recent debut on Amazon may actually allow Tapestry to become the new largest fashion company in the US, surpassing VF Corp and Ralph Lauren.

Regarding the acquisition of Capri Holdings, Tapestry CEO Joanne Crevoiserat told WWD that the group's latest executive decisions represent a distinctive change of direction. «We've actually completely transformed our business», Joanne Crevoiserat had declared, informing the publication of how, thanks to the acquisition of Capri Holdings, and thus of Versace and Michael Kors, the American group has been able to invest in «iconic luxury brands», grabbing a new slice of consumers. The launch of Coach on Amazon could deepen this by spreading Tapestry's presence even further, although it is difficult for a brand like Coach to play with the high-low without lately ruining the relationship with luxury consumers. To celebrate Coach's arrival on the platform, Amazon unveiled an interactive shopping experience that uses augmented reality to display products in 3D.