David Reiss: staying in control
Article Date: Sep 13 2006
in association with Ernst & Young:
In the notoriously fickle world of fashion it’s rare to find a name that has persisted over the decades without either collapsing under the weight of its own ambitions or lapsing into corporate uniform. And it’s rarer to find one that is still controlled by the same restless entrepreneurial spirit that founded it.
Reiss, the idiosyncratic British fashion label founded by David Reiss in the era of Swinging London, is an exception to the rule. Well known as a label among fashion-conscious Brits, Reiss has now embarked on an international expansion programme that’s set to establish his name as a global brand.
Reiss’s interest in fashion developed young – his father ran a small ‘gentleman’s outfitters’ in Bishopsgate – and he started out as an agent for wholesalers, selling to retailers. ‘I managed to do pretty well, but I thought “this is just making money for other people”.’
In a bold move, he decided to set up a shirt manufacturing business with a partner. In the early ‘70s era of flower power and enormous collars there was a ready market for the bold fabrics and designs Reiss was producing. ‘My partner went up to Yorkshire to run the factory while I did the selling and the design,’ he says. ‘In no time at all we were employing 100 people.’
Although Reiss is now primarily a retailer, he attributes much of his success to these early experiences, which exposed him to all areas of the fashion industry supply chain. But as a manufacturer, the 1970 dock strike taught him an early lesson in the importance of being in control of his supply chain: ‘At one point we were selling all of our collection as soon as we got it; then all of a sudden there was a dock strike. We had nothing to produce. You can suddenly find there are factors out of your control,’ he says.
Reiss had also inherited his father’s Bishopsgate shop, and he used this foothold in the retail market to launch an early experiment in what would now be called vertical integration. ‘I got together with the landlord to buy the shop next door and turn a small traditional menswear shop into a modern concept, a contemporary fashion store,’ he says. ‘We became one of the first UK retailers to start importing fashion goods from Italy and France.’
The contrast between his powerlessness as a manufacturer in the face of the dock strike, and the control he could have as a retailer, was a turning point for Reiss. ‘Getting involved in manufacturing has held me in good stead, with an insight into that side of the fence,’ he says. ‘But in retail, you’re in control. If people don’t come through the door then you can do something about it.’
As the retail business took off Reiss decided to withdraw from direct manufacturing and use third parties to ‘cut, make and trim’ products to his design and from his choice of fabric. The template for Reiss was more or less complete.
‘“We were very design-led, very focused. I was very decisive in what I wanted to do,’ he says. ‘I believe you have to have to have a vision, you have to have a purpose. Other entrepreneurial people I’ve met all have that desire, that determination – it’s like they’re on a mission.’
The Reiss shops prospered through the 1970s, finally opening a flagship store on a prestigious site on the King’s Road. ‘The King’s Road store took off from day one, offering luxury clothes at affordable prices. We had a unique look because we manufactured some of our own goods and we were also bringing in the hot fashion labels from abroad.’
