Crocs takes plunge into high fashion

Joyzelle Davis, Rocky Mountain News

Saturday, September 15, 2007

As most women know all too well, high heels elongate the legs, create an alluring sway of the hips - and wreak havoc on the feet.

Crocs, the maker of the brightly hued - and some might say homely - lightweight clog, is out to change that.

The Italian-designed YOU by Crocs line will arrive in stores next month, offering 11 styles ranging from 3-inch patent-leather heels to suede ankle boots. The shoes, priced as high as $299, incorporate Crocs' trademark Croslite resin into the footbed while featuring roomy round toe boxes and balanced wedge heels.

In launching its high-fashion line, Crocs hopes to demonstrate that it's diversifying into a full-fledged shoe line rather than relying on what might turn out to be a fashion fad. The Niwot-based company in the past year purchased athletic and beach sandalmakers to broaden its reach beyond its original footwear phenomenon. It's also adding Croslite-fiber clothing to its lineup.

"When people think of Crocs, they might think of ugly and then they think of comfort," said Lyndon "Duke" Hanson, Crocs' vice president and co-founder. YOU by Crocs is "for the woman who loves the comfort of her Crocs but certainly can't wear them with a cocktail dress."

They're also for the woman who doesn't mind dropping anywhere from $139 for suede ballet flats to $299 for lambs- wool boots. That's far above Crocs' $30 best-selling Beach clog and $28.56 for the average women's dress casual purchase, according to Port Washington, N.Y.-based market research firm NPD Group.

The YOU line is priced above the "sweet spot" in the women's fashion market, but it's a good place to start for a brand that's looking to add some prestige to its lineup, said Marshal Cohen, NPD's chief industry analyst.

"It allows those that want to make a statement of discovery and fashion savvy-ness with a product that is not 'mainstream,' " he said.

Crocs plans a limited launch, selling the shoes in only a dozen cities as well as through its own Web site. In the Denver area, the only retailers offering the YOU by Crocs line are Macy's at the Cherry Creek Shopping Center and the Pedestrian Shops in Boulder.

"It's a great product for a small segment," said Tia Mattson, a Crocs spokeswoman.

If sales do well, Crocs might expand distribution for future collections to more markets, she said.

NPD's Cohen said the selective debut is smart.

It's "not so bold a commitment that, just in case it doesn't catch on as expected, it can be throttled back without too much brand damage," he said.

Crocs is the latest shoemaker to try to spare women the choice of either looking good or feeling good in their shoes. Spurred by baby boomers who are getting to the age when their feet hurt when they slip into their Jimmy Choos, once stodgy but comfortable shoe lines like Naturalizer and Easy Spirit are offering trendier options, while high-end lines like Cole Haan have incorporated Nike Air technology.

Still, Crocs' Hanson said that "even in the crowded women's shoe market, we thought that a shoe that's high fashion and comfortable isn't easily found."

Since Crocs sold its first shoe in November 2002, the company's lineup has expanded to 50 models. Sales have soared accordingly. In July, Crocs reported second-quarter sales of $224.3 million, more than twice as much as the company reported for all of 2005.

For all the publicity surrounding Crocs' high-fashion debut, consumers are more likely to see another Crocs creation, the faux fur-lined Mammoth, as the weather turns chillier. The company had a surge of pre-orders for the $40 backless clog, Hanson said.

davisj@RockyMountainNews.com or 303-892-2514