Sequoia Paris, an upscale French handbag maker, has opened its first U.S office and showroom in Newport Beach.
The Paris-based company, which has about $30 million in annual sales, is stepping up its U.S. expansion.
Sequoia already has a few U.S. accounts. Its handbags, purses, belts and wallets are sold in department stores such as Macy’s and Lord & Taylor and Belk, a North Carolina-based chain.
The U.S. headquarters expects to do about $1 million in sales in 2009. It’s aiming to put Sequoia bags in chains such as Nordstrom, as well as boutiques, such as Kitson in Los Angeles and Fred Segal stores.
Handbag sales in the U.S. are estimated to be about $7 billion a year, according to Accessories Magazine, though the economy has dampened sales. Handbags are the top selling category of accessories, which include shoes and belts.
Handbags Losing Ground
But some analysts say that handbag sales may have peaked and that purses now are rivaled by other accessories, such as shoes.
John Voisinet, vice president of operations, said a slow economy is a great time for a brand to break into the market.
“There are two times to enter a market: When it’s hot and when it’s stagnant,” he said.
During tougher times, store buyers are getting rid of the products that aren’t selling well and looking for new and interesting designs, he said. That’s when an upstart brand can make headway with a buyer, he said.
Sequoia makes high-quality bags that are more moderately priced than say Prada or Louis Vuitton at $125 to $600. Sequoia is marketed to women who want the quality but aren’t inclined to pay a premium for name-brand prestige, Voisinet said.
The average Se-quoia bag goes for about $250, Voisinet said.
Sequoia offers a range of prices by changing the fabrics. More pricey bags are made of leather or patent leather, while the less expensive bags, of the same design, are made of fabrics or vinyl leather.
A patent vinyl bag would sell for $125, while the same bag in patent leather would sell for $400, Voisinet said.
The highest priced bag is about $600.
Sequoia’s bags have an understated classic look, using a simple ring as its calling card. Sequoia wants customers to identify the bags by the ring, like they identify shoes by the Nike swoosh, Voisinet said.
The ring is part of every bag, appearing on the handles or the buckles, as part of the fabric or on zipper pulls.
The company makes its bags in Asia and Morocco. U.S. bags are shipped from its Riverside warehouse.
Voisinet, who heads up the Newport Beach office, specializes in developing brands and helping companies expand internationally. Some of his past clients include Scottsdale-based Fender Musical Instruments Corp., Alpinestars Spa,an Italian company that sells apparel, shoes and other accessories for the car and motorcycle racing industries,and Irvine’s Ocean Pacific Apparel Corp.
Executive Suite
Sequoia’s chief executive, Denis Capron, is the face of the company. Pierre Hardy is the art director. Hardy is well-known in the fashion industry as the designer for Hermes International, based in Paris, and Balenciaga SA’s shoes. A Balen-ciaga boutique just opened at South Coast Plaza.
Capron has an Orange County connection,his wife’s family is from Laguna Beach. He is based in France but spends much of his time pitching the brand around the world.
Daniel Sisso, chairman and founder of Sequoia, hired Capron in 2004 to revive the once stagnant brand. In the past three years, sales have increased 60%, Voisinet said.
This is Voisinet’s second time working with Capron. In 2000, Voisinet helped Capron sell his watch company Opex to Timex Corp., based in Middlebury, Conn.
Around the world, Sequoia sells in 600 department stores, retailers and its own boutiques. It’s set to open a store in Milan and Madrid. It also has boutiques in Asia. Once the brand is established in the U.S., it could open boutiques here, Voisinet said.
