Scotch & Soda gets the chance to write a new chapter. It was announced on Monday that the US management company Bluestar Alliance was to launch the brand It’s not yet clear what the plans are for Scotch & Soda under new ownership, but a look at Bluestar Alliance’s strategy sheds some light on possible options.
- Bluestar Alliance was founded in 2006 by Joseph Gabbay and Ralph Gindi.
- The head office is in New York.
- With Scotch & Soda, the company’s portfolio now has 13 brands.
- The company currently owns 300 licenses and 100 stores worldwide.
Bluestar Alliance describes itself as a management company that operates and markets private label products “between luxury and mass market”, according to the website of the new owner of Scotch & Soda. The company’s basis is the “management, rehabilitation, acquisition and upgrading of a brand “. Bluestar owns not only a dozen brands, but also hundreds of licenses. The brands from its own portfolio are also further distributed via licenses in different parts of the world. It is a possible indication that Scotch & Soda also in relation to the Licensing could operate under the wing of Bluestar Alliance.
Bluestar Alliance: The new owner of Scotch & Soda
In its 17-year history, the Bluestar Alliance has made a total of 28 acquisitions, according to the company. Not all of these companies are still in the brand’s portfolio. Currently only Hurley, Bebe, Justice, Brookstone, Tahari, Kensie, Limited Too, Tahari ASL, Catherine Malandrino, Nanette Lepore, English Laundry and Kensie Girl remain in the portfolio. The average dwell time of brands in Bluestar’s portfolio varies. For example, the brands Chereskin, Sharper Image and Michael Bastian were sold after just three years. The brands Liz Lange and Completely Me stayed in the portfolio a little longer at around five years. The Larry Levine brand was only sold again after seven years.
Looking at the brands at the time they were resold by Bluestar Alliance, it is noticeable that these brands have expanded in one or more respects. Larry Levine, for example, is known for its outerwear, but has introduced a shapewear line under the name Bluestar. The Completely Me brand, which specializes in maternity wear, has expanded into a regular ready-to-wear line. For the Michael Bastian brand from the American designer of the same name, the partnership with Bluestar even meant expanding the sales channels and launching it in several medium-sized department stores.
The management company underscores this strategy on its website. “The company’s investment mandate is to identify and acquire consumer goods brands where it can leverage and expand brand equity in current categories to a broader audience.” However, the company emphasizes that the brand heritage of any company it acquires is In addition to expanding into new categories, the company is also focusing on expanding sales, such as with Michael Bastian.
When brands exit Bluestar Alliance’s portfolio, the US company says it has “achieved its goals with the brands” and is therefore looking to sell them. So it remains to be seen how long Scotch & Soda will remain in Bluestar’s ownership.
Bluestar Alliance has told FashionUnited that it will be announcing more about the company’s strategy for Scotch & Soda in the coming weeks. Always up to date with fashion news? Click here to subscribe to the German newsletter
This translated post previously appeared on FashionUnited.nl.