Parents buy cashmere for infants and toddlers

[Martrae]

Sunday August 13, 11:32 AM EDT
By Chelsea Emery

NEW YORK (Reuters) - Three-year-old Chloe Colligan picks out her camp clothes at discount retailer Target, but for other occasions, she wears the cashmere, velvet, silk and woven cotton fashions of luxury children's clothing maker Baby CZ.

Her mother, 37-year-old Cleveland entrepreneur Victoria Colligan, isn't alone in her choice of expensive fabrics and styling for infants and toddlers. As couples wait longer to have children and raise smaller families on higher salaries, they are spending more on their kids. A lot more.

"I don't have the time to search for discounts and bargains," said Colligan, a founder of Ladies Who Launch, an organization that provides resources for women business owners.

"I don't have time to search for that one cute thing in a really ugly store. And you know you're getting quality when you go to these higher-end places."

As parents grow busier, older and wealthier, companies are jumping into the fancy baby clothes market.

Media conglomerate Walt Disney Co. (DIS) is teaming up with a clothing manufacturer to introduce luxury baby merchandise featuring its famous cartoon characters. Meanwhile, children's clothing chain Gymboree Corp. (GYMB) is expanding its high-end offerings for infants, a population known more for spitting up than for fancy dress balls.

The market for expensive baby fashions and accessories is booming, according to Michael Silverstein, vice president of Boston Consulting Group. He estimates the high-end baby market at $45 billion, growing at a 10 percent annual rate over the last decade.

Over the past 30 years, the average family size has dropped to about 3.2 people, from 3.6 people, while inflation-adjusted family incomes have risen 50 percent, according to Boston Consulting's analysis of U.S. census data. And the number of first-time mothers age 40 and older has tripled in the decade that ended in 1997, according to the National Center for Health Statistics.

All these dynamics are helping offset a financial crunch caused by rising interest rates and fears about job security as well as the higher energy prices.

"We see a growing population and that bodes well for infant apparel," said Matt Nitowski, a director for global franchise management at Disney's consumer products unit. He added that he saw no direct risks to the luxury segment's growth.

DISNEY, GYMBOREE

Disney, known for its movies and theme parks, has contracted with premium infant clothing maker Icky Baby to make $90 cashmere rompers that are being pitched to high-end department stores like Saks Inc.

Nordstrom Inc. (JWN) and Bloomingdale's (FD) have already agreed to carry part of Icky Baby's Disney line, which includes items like $50 baby towels and $45 side-snap organic cotton T-shirts.

"People are spending more and they want their kids to look good," said Kate Somerset, president of Icky Products. "We play into that trend."

Disney spent two years developing the products featuring Bambi, Pinocchio and Mickey Mouse, among other characters, and hopes to parlay their global recognition into strong sales. Winnie the Pooh, which isn't being used in the high-end lines, already generates more than $6 billion in global annual retail sales for the company.

Meanwhile, Gymboree is almost tripling the number of its Janie and Jack stores, which carry $38 hand-embroidered cardigans and $48 cowboy boots for ages 1 through 5.

"The sales are fantastic," Chief Executive Matthew McCauley said of the Janie and Jack stores.

Besides the higher incomes of many U.S. residents, tabloids touting the fashions of celebrities' babies have contributed to demand for the highest-quality infant apparel.

"People have to have the latest style and the greatest outfit," said McCauley, whose company also owns the mid-priced Gymboree clothing stores and the Gymboree Music & Play programs.

He would not provide sales figures, but said there are enough U.S. families making more than $100,000 annually to support 15 new Janie and Jack stores a year until they reach 200 from the current base of 70.

But what happens when an 18-month-old spits up on his or her cashmere sweater?

"It's a little bit of a misconception that something is uncleanable or unwearable if something happens to it," said Colligan, who also has a 2-year-old daughter named Somerset. "I can find a way to clean anything."





Some people are complete wastes of oxygen and shouldn't breed.

[Narrock]

Some people are complete wastes of oxygen and shouldn't breed.

Truer words were never spoken.

[Darcler]

My daughter shit on a lot of onsies and there was no way in hell I could get all the stain out.
I would be pissed to high hell if I spent $45 on a onsie just for her to go and shit or puke (though easier to clean) on it. Thank God for $5 3 packs at Walmart.

Oh, btw, I think anything with a Disney character is cheap and therefore wont buy it. Cashmere or not, as long as Mickey or Winnie the Pooh's head is on it, it's cheapened.

[Tikker]

my little guy is outfitted almost exclusively at walmart, jeje

for like $30 or so you can get a complete wardrobe for a kid


that being said, I really don't have an issue with people buying nice stuf for their kids

some of it is extravagance, but if you've got the money, go for it

[Jay]

Personally I don't kids need nice shit till they're into their last years of Jr. High or are in high school.

[araby]

My son gets really nice shoes but the rest of his clothes are bargains, like me. but no skimping on the shoes.

[Guntaag Gorefeast]

Oh, btw, I think anything with a Disney character is cheap and therefore wont buy it. Cashmere or not, as long as Mickey or Winnie the Pooh's head is on it, it's cheapened.

I can understand the general disney bashing, but this bashing Pooh bear has got to stop


p.s. i believe in child licenses

[Diekan]

dude

did you just say bashing Pooh bear is bad?

[Jimmy Durante]

Really, it has little to do with wanting to spoil your children and stems from a desire to "one up" other parents.

"People are spending more and they want their kids to look good," said Kate Somerset, president of Icky Products. "We play into that trend."

[Maeya]

I suspect it has to do with single moms getting extravagent child support checks from ex-husbands, and wanting to appear better than their friends.

[Ginzburgh]

Who fucking cares what people buy their children you haters.

I never understood why kids in my highschool would hate on other kids whose parents bought them BMW's. If I was a millionaire, my kid would be driving a nice car too. And these rich kids werent deliquients who didn't appreciate what they were given, they were intelligent and generally nice people.

Jelousy

[Diekan]

I agree. I don't have kids, but if I did - I'd have no problem dropping some heavy change on 'em. Fuck it... if you're making it, why not?

[Guntaag Gorefeast]

Pooh bear is the man. If you fuck with him i will cut you so bad you'll wish i didnt cut you so bad><

[Jimmy Durante]

I wasn't hating Growing up I was admittedly someone of privelege myself (albeit for different reasons than I mentioned). I do think the underlying reasons as far as the parents are concerned are intriguing to note, however.

[Gaazy]

Im gonna do with my kids like my dad did me. Ill do anything I can for them when they are young and when they turn 16, I'll buy them a decent (not too nice, 16 year olds cant drive and need something less than great to learn in) vehicle, and tell them to get a job to buy the rest of their shit. On top of teaching them to manage their money because they are the ones making it, they can learn how to work, which is what is wrong with most people now. Nobody knows how to fucking work anymore.

as far as parents spending money on that kind of stupid shit, im not gonna look down on it. If they want to spend their hard earned (sometimes) money on a shitty sweater thats just gonna get ruined, fine, more power to em.

[Ginzburgh]

Im gonna do with my kids like my dad did me. Ill do anything I can for them when they are young and when they turn 16, I'll buy them a decent (not too nice, 16 year olds cant drive and need something less than great to learn in) vehicle, and tell them to get a job to buy the rest of their shit. On top of teaching them to manage their money because they are the ones making it, they can learn how to work, which is what is wrong with most people now. Nobody knows how to fucking work anymore.

Define "rest of their shit". Clothes? Food? Etc? I can understand video games and crap like that (even though I will probably be buying most of the video games for myself). When my kid is old enough to get a job I will support the idea but only for 10-15 hours a week tops. Reason being, school comes first. I would rather they do their homework, participate in an extra curricular activity or hang out with their friend’s then waste all their free time making $6.00 an hour at a gas station.

And when they go to college I will have enough money to pay for tuition and support them so they don’t have to work at all. Fuck working in college. I didn't do it because I was lucky enough to have parents that could support me the whole way through but I know kids who did work in college and they were miserable and barely enjoyed the experience.

I understand that there are some situations where people HAVE to work in college and high school because the money just isn’t there. But if you have the means pay so that your kids can concentrate on school rather than a crappy minimum wage job, you'd be foolish to think that you are doing them a favor by "teaching them the way of the world" and making them work when they don’t have to.

[Martrae]

It's ridiculous to blow $60 on something your child will outgrow in 3 weeks just because you wanna impress the other mommies. If you have that huge a desire to impress other people you only had children as a trophy anyway.

[Gaazy]

it mainly refers to summers, but I made enough money during summers working 50+ hours a week to have plenty of money to buy shit with during the school year. Yes like clothes, games, food, making their car flashy like a lot of young people like to do, car and insurance and such I will cover. Who says they have to work at a gas station or McDonalds or whatever? A lot of people I know, including me, made 15 an hour or more (which isnt much, but for someone in high school or even college is still better than most) while I was in high school during the summers and still working around 30 hours a week during the school year. I'm not talking about them workin 50 hours a week and goin to school at the same time. I'm talking some way of keeping a small cash flow coming on the side of school.

As far as working goes, in my opinion, they need to know how it feels to have to wake up every morning at 5am and be at work and not late before they are out of school and 25 years old. Even if it is a shit job, it still looks good to have work experience, and my job will be to prepare my kids for their future, which is in fact working and making a living. Also its not like im cutting them loose on their own the moment they are old enough and making them support themselves on their own, i will help them with whatever they need.

Im going to, at LEAST in the summers, treat them how I was treated. Im going to get them a job so hard and grungy, that they WANT to go to college.

But Hell who knows, maybe when I get a little older my views will change, because keep in mind I am still in my low 20s.

bleh enough of this for now

[Ginzburgh]

It's ridiculous to blow $60 on something your child will outgrow in 3 weeks just because you wanna impress the other mommies. If you have that huge a desire to impress other people you only had children as a trophy anyway

What if you get it as a gift?

Face it, people who make a modest income can't fathom how the other half lives. Don't hate on what you don't understand, it's just a different life style period.

[Diekan]

I can agree with that. I mean spending 100 dollars on a pair of pants for an infant is a bit much.

I'm just saying that I wouldn't let my child go without, nor subject them to less than average clothing, items, whatever to save a buck IF I can afford to go the extra mile.

After the bills have been paid, retirement has been paid, groceries are purchased, savings added to, and all else covered... if there's cash left over and you feel the urge to hook your kid up with an Xbox - I see no reason why you shouldn't. Granted, I DO understand the need to teach them to be financially responsible - but that doesn't mean you can't splurg on them either.

/shrug...

But, yeah I see your point. $60 for a pair of pants they're going to outgrown in three weeks is a bit much.

[Ginzburgh]

As far as working goes, in my opinion, they need to know how it feels to have to wake up every morning at 5am and be at work and not late before they are out of school and 25 years old.

Trial by fire. They dont NEED to know how it feels when they are 16 or 17. They will know how it feels when they turn 25 and have no choice but to do it. I never had to wake up at 5:00 in the morning for work when I was young and I made the adjustment just fine. You just have to have the common sense when you are 25 to realize that, "I have to do this, I have to do a good job or I will be the one to suffer". You don't need to bust your ass while you are a teenager to reach that conclusion when you are 25.

[Ginzburgh]

And I agree on the clothing thing being too expensive. I too would not spend $100 on something they will outgrow in two weeks because I am not rich. But I don't hate on people that do. Like I said, it's just a different lifestyle.

[Martrae]

It's ridiculous to blow $60 on something your child will outgrow in 3 weeks just because you wanna impress the other mommies. If you have that huge a desire to impress other people you only had children as a trophy anyway

What if you get it as a gift?

Face it, people who make a modest income can't fathom how the other half lives. Don't hate on what you don't understand, it's just a different life style period.

I can fathom it...it's just not sensible. Most smart people who are wealthy didn't get wealthy by wasting their money on frivolous things. Or I should say they stay wealthy by not wasting their money.

[Ginzburgh]

I can fathom it...it's just not sensible. Most smart people who are wealthy didn't get wealthy by wasting their money on frivolous things. Or I should say they stay wealthy by not wasting their money.

No, you can't fathom it. Or else you'd realize that there are people in the world who are so rich they can keep spending and never run out. These are people make millions on interest alone. The taxes on their third home that they spend one week a year in are twice as much as your annual salary.

We aren't talking about the well off contractor in North Carolina who just built a 5,000 square foot home and bought his wife that new Acura SUV. We're talking about people who have inherited tens or hundreds of millions of dollars, own a jet(s) have five homes and drape their new born babies in cashmere.

Like I said, it's a different lifestyle. Quit crying about how irrational you think it is. I for one am happy that they spend their money the way they do because I'd rather them spend it then horde it all.

[Martrae]

Who's crying?

The lady they quoted isn't Paris Hilton. It's just some lady that helped found a company and is making 100k a year. She IS the person that just built a 5,000 square foot home and got the new Acura SUV. She's an idiot who looks at her kids as status symbols. "Everyone see how much money I make! I buy my infant cashmere!" Two years, 10 years from now her business will fold and she'll be regretting it.

My grandmother, the last time I checked, was worth over 5mil. I'll wager I know more about KEEPING money than you do.