Dune London’s CEO talks bags, sports, and global growth

A thriving bags business has been the focus for many fashion apparel and particularly footwear labels in recent years. But today, that business needs to do more than thrive, it needs to be one of the key drivers of company growth.

We’ve seen that happening at Kurt Geiger where the footwear brand that also sells bags is in some ways now a bags brand that also sells shoes!

At Dune London, meanwhile, that’s not the case yet, but the affordable, fashion-focused footwear brand’s bags business is strong, growing and is a key focus for the label.

We spoke to CEO Nigel Darwin about how Dune is ramping up its bags business as well as about how it’s faring in sports and its global plans.

FashionNetwork.com: You’re known as a footwear brand but as your campaigns and stores demonstrate, bags are clearly a growing category for you.

Nigel Darwin: The third big growth platform for us [apart from the UK and international businesses] is the category piece. We already have a big business in ladies’ footwear, men’s footwear, and then there’s bags. For a long time we’ve had a bags business, but we’ve always been a footwear brand with some bags. Where we are now is absolutely focusing on bags. It’s a category that works all year round, that works very powerfully for a brand from a storytelling perspective, so it’s not surprising that brands go in that direction.

FNW: What sort of work are you doing around growing that accessories business?

ND: Everything! We’ve looked at the assortment and we’ve really elevated it in terms of the materials were using, the design, we’re much more thoughtful, I believe, about styles and style families. We used to have a little bit more of an item focus with too many different bags. We’re much more coherent now about how the brand works across both footwear and bags [via] a select number of a very curated group of families. 

FNW: We’ve seen how for some companies the bags category can actually grow to be bigger than footwear. How big is the bags business for you at present?

ND: It varies from market to market. Somewhere like the Middle East it can be over 40%, but for us overall it’s around 20%-25%. We certainly see a lot of opportunities for growth in all of our categories but bags can really be a big business for us. We’re seeing good take up here in our home market in our stores and with our partners, but also in global markets we’re seeing a lot of interest. It can be easier to tell your brand story with bags.

FNW: Clearly the UK is your core market, do you feel you’re at saturation point there?

ND: These are very exciting times, we’ve got a lot of exciting growth aspirations both in the UK and globally. In our home market [it’s] really about bringing together our stores a digital presence, both those that we do ourselves and those of our partners and making the most of all of those channels.

We’ve got about 50 standalone stores in the UK, [plus concessions] and we’re with Next, with John Lewis, Marks & Spencer, Selfridges, so a broad distribution. But we think we’ve got a lot to do still to reach the core customer base within the UK, whether they’re shopping online and whether they’re shopping in stores. So a big UK piece.

FNW: I assume the opportunity outside the UK is much bigger though?

ND: There’s a big global piece for us with two areas of focus. We’ve got a large business already in the Middle East that we’ve had for 10+ years. We’ve got around 50 stores and a digital presence there and we see a lot more growth opportunity there.

The US is a much more recent adventure for us. [We entered it] a couple of years ago and we work with partners to really grow our brand presence and our distribution. 

We have other international markets as well, but the US and the Middle East are where we really see the ‘scale’ opportunity.

In the US, we’re working with Nordstrom and Dillards in particular, but also other partners that we’re adding, to understand their customers. We’re increasingly clear and confident about our brand and how that translates through both on the footwear and the bags side. We’re confident in that DNA, but when you meet new customer bases with new partners you want to learn from them. They know their customers far better than we do

FNW: How big is the US business for you at the moment and do you see potential in Europe too?

ND:  Today [our US business is] very small because we’ve only been there two years but we see there’s potential for it to grow quite dramatically. 

We have some strong European markets already, a strong presence in Ireland and in the Netherlands. But we do have a lot of markets where we don’t have very much of a presence other than through digital partners like Zalando and others. It’s absolutely an opportunity, I think, very much building on the digital partnerships that we’ve got, seeing where demand really spikes and deciding where we want to put more resource, more effort, before we put stores on the ground. 

I can imagine a point where we might have stores in Europe, absolutely, but I think it’s important to sequence these things well, and these days when you’re working with digital partners that can go an awfully long way in [telling you] where those hotspots are. As we all know, stores are a costly investment these days and you need the demand to be there before you spend. 

FNW: You’ve just unveiled your SS25 campaign that’s all about travel and London, is your marketing approach specific to individual markets or more global?

ND: Almost all the marketing activity we do is with a global hat on rather than just a UK or US one. Whether we’re working with influencers, with celebrities, or just telling our story, we’re always trying to find a hook that will work globally, as recently with Bella Hadid, which will work here and in the US and Middle East.

But in the Middle East for Ramadan, we will do a separate shoot working with our partner, making sure that’s very focused on their markets there. 

FNW: Given your US ambitions, are tariff threats an issue for you at the moment?

ND: Clearly there’s uncertainty but we’re in the fortunate position that we have a market that’s currently relatively small in the US. I’m sure by the time we’re at scale there we’ll have found ways of mitigating the uncertainty as all brands are doing at the moment! 

FNW: And talking of potential problems, what about the weather, are you vulnerable to that? 

ND: I wouldn’t use the word vulnerable but we sell a lot of sandals in summer and we sell a lot of boots in winter! So the timing of those things absolutely impacts us. Very consciously over the last couple of years what we’ve been trying to do is make ourselves less susceptible to the vagaries of the weather. But part of what I was saying about bags is that there’s a big standalone opportunity for them and they’re much less of a seasonal category for us.

FNW: Is your growing sports business part of that process of protecting yourself from seasonal issues?

ND: We used to have a 5%-6% sports business but we’ve seen that the category has grown dramatically. It’s not such a seasonal product, it’s a bit more year-round. It’s well into double-digits now. We see that continuing to grow for us and if you’re going to stores at certain times of year, it may be that 20% of the store is about sports, all of it with a Dune touch. We’re not a sports brand but we can do sports in a very Dune way. 

FNW: It seems to be something to which the consumer is responding positively. What sort of vibe are you getting from shoppers at present?

ND: We’ve had a reasonably consistent vibe from the consumer for the last two or three years. People have got money to spend and when people fall in love with a product, they will spend. However almost everyone at every level is cautious on their spending and so the product they fall in love with has got to be [special] — either something new or something right of the moment, or that speaks to them through colour or materials. If you’re trying to sell a product that’s very similar to what they may have seen last year that’s a hard sell!