RB fashion dispatch: Lacoste wins a legal battle and Zegna’s sales soar

Hey there—welcome back to our weekly dispatch on what you need to know in fashion. This week, one retailer won big in a trademark infringement lawsuit, and a luxury brand continues to grow its revenue, even as luxury overall experiences a spending lull.

Lacoste wins trademark lawsuit

Lacoste received $2 million as compensation in a trademark infringement lawsuit in China. The dispute was over Lacoste’s trademark crocodile, which looks to the right, and a Chinese brand’s suspiciously similar crocodile looking to the left. The ruling determined that the latter, Cartelo, had caused confusion in the market, as Lacoste’s crocodile logo was well established in the region, and hence constituted infringement.

Why this matters: Over the past couple of years, some fashion brands have been fervently defending their designs against potential copyright or trademark infringement. In 2023, French luxury house Hermès won a yearlong copyright battle against Mason Rothschild, who created an Hermès-inspired range of NFTs called MetaBirkins that resembled the Birkin bag and sold for thousands of dollars.

Zegna’s sales jump

In its April 5 earnings report, Italian luxury retailer Ermenegildo Zegna notched a 19.3% YoY jump in organic sales for FY 2023, while suggesting it would increase its annual dividend by 20% from 2022. The brand credited increased demand for its products for its success, especially in Japan, UAE, and the Greater China region.

Why this matters: While luxury as a whole has struggled, as inflation tightens its grip and consumers pull back on spending, some retailers, including Zegna, have proven to be outliers. In February, the brand reported 1.9 billion euros in sales in 2023, a 27.6% YoY jump.

Denim made from non-GMO hybrid cotton becomes a reality

Swedish denim brand Madh has joined forces with Italian mill Candiani to come up with a line of denim crafted from a non-GMO hybrid cotton dubbed “Blue Seed,” WWD reported. The proprietary dark blue seed is fully traceable from the time of planting through the entire supply chain.

Why this matters: Consumers continue to place more value on sustainable fashion, from luxury to accessible, and retailers are paying attention. LVMH-owned Fendi, for instance, has been working with Central Saint Martins and Imperial College London to develop lab-grown fur, and Ganni and Stella McCartney are already using mycelium leather made from mushroom roots.