Foothill Ranch-based Wet Seal Inc. is making marketing tweaks to its stores as part of its long-running turnaround.
The teen clothing retailer is updating fixtures and displays at its top-selling stores, said Eric Beder, analyst at Brean Murray Carret & Co., in a recent report.
In one case, Wet Seal is adding a three-sided accessories rack that can hold more items, according to Beder.
After a slump that started in 2003, Wet Seal has spurred sales by switching to lower-priced, highly fashionable clothes.
Last year management was “confident” their strategy would revive Wet Seal, according to Beder. But “they did not expect the raging success,” he said.
“As such, there were numerous periods of chasing product, especially denim for back-to-school, and store inefficiencies in 2005, which were met by adding headcount,” Beder said.
The chase continues. Last week Wet Seal said May same-store sales are set to come in lower, in part because of a lack of shirts and dresses.
“Although we identified the trends related to fashion tops and dresses, we did not have sufficient inventory of the fashion merchandise to meet the demand,” Chief Executive Joel Waller said. “We expect to be fully stocked sometime in middle or late June.”
So far this year, the company, which runs the Wet Seal and Arden B. chains, added more registers and hired a chief merchandise officer for Wet Seal, Dyan Jozwick, after a long search.
Jozwick joined the company from Robinsons-May, where she was senior vice president and general merchandise manager.
Wet Seal executives said they plan to open about 25 stores this year and another 60 to 80 shops in 2007, Beder said.
The company already has signed 10 to 15 deals for 2006, including reopening several stores that were closed during the turnaround, Beder said.
Wet Seal said it expects to eventually have 600 to 700 Wet Seal stores and about 250 Arden B. shops. It now has about 309 Wet Seals and 92 Arden B.’s, Beder said.
Y & R; Wins Baby TV Work
Irvine’s Young & Rubicam Brands nabbed its third win in 90 days.
The shop beat out several undisclosed agencies to be named agency of record for BabyFirstTV, a new TV channel from News Corp.’s Regency Entertainment unit.
Mediaedge:Cia, a Y & R; unit that handles media communications planning, also was hired by BabyFirstTV.
Y & R; plans to target new mothers for BabyFirstTV, a cable and satellite channel focused on kids that are 6 months to 3 years old.
The channel has drawn criticism from pediatricians and others who say kids that young shouldn’t be watching TV.
The OC shop’s work is set to include advertising, direct marketing and media communications planning.
The win is the third under Y & R;’s new Irvine chief, Rick Eiserman, who started earlier this year.
Recently, Y & R; also picked up Portland, Ore.-based Knowledge Learning Corp.
In February, the shop won work for the Los Angeles Dodgers.
Street Work
Last week I wrote about the Orange County Register’s marketing campaign, “Talk About It.”
Santa Ana-based DGWB Advertising & Communications, which launched the work, recently gave me more details.
The shop tapped Costa Mesa-based IPW Experience to organize street teams of five to 10 people who will pound the pavement for the next eight weeks with signs that have questions, including: “What’s the real price of gasoline? Talk about it.”
The teams are set to carry mobile booths, where people can chat about issues and videotape their comments. Those sound bites are set to be broadcast on video screens in busy areas.
The street teams are slated to hang out on freeway overpasses in Mission Viejo, Seal Beach and Yorba Linda, and at intersections in Huntington Beach, Irvine and Costa Mesa. Plus, they’ll be at South Coast Plaza, the Circle in Orange and at Bella Terra mall in Huntington Beach.
The Register isn’t looking to gain readers with the campaign but rather build loyalty with current ones, DGWB’s Sara Dresser said.
In other news, DGWB recently came out with marketing work for the Children’s Hospital of Orange County.
The TV campaign chronicles the stories of various CHOC patients who appear in print ads. Two 30-second commercials focus on patients Sarah Grant and Derek Young.
Actor Greg Kinnear narrates their stories in spots airing on ESPN, TNT, CNN and others in July.
B-Ball Name Game
Newport Beach-based Estey-Hoover Advertising and Public Relations is promoting the Los Angeles Clippers’ new farm team in Anaheim.
The shop recently created a marketing campaign for the franchise, which is having a “name the team” contest. The team is part of the NBA Development League, which is for up-and-coming players and pros recovering from injuries.
The team is set to play 25 homes games at Anaheim Convention Center’s Arena. The season starts in November.
