Zoo York adjusts to Iconix ownership

At Agenda, I caught up with Seamus Deegan, brand manager for Zoo York, to see how the brand is doing after being acquired by Iconix in October of 2009.

Deegan said most of the changes under the new owners have been on the back end.

“The overall marketing direction and brand aesthetic has remained exactly the same. I am still sitting in same desk and place I’ve always been,” he said.

Iconix owns the trademarks for Zoo York as well as brands like Ecko Unlimited, Marc Ecko, Peanuts, OP, and the Rhino logo.

Deegan explained that Iconix runs the marketing and brand management, and licenses the design, sales and production for many of its brands.

In Zoo York’s case, the licensee KHNY is now producing Zoo apparel, and its accessories and hats are being licensed under Concept 1. The licensees both do sales as well as production for the items.

Additionally, the brand recently signed with the licensee D6 to manufacture its complete skateboards and helmets. That will start in January of 2011.

Deegan said while it may seem confusing in the short term, Iconix is actually helping Zoo operate as a bigger brand, especially when it comes to working with factories and manufacturing items.

I asked him how a retailer buys Zoo York under the new arrangement. It would seem they would have to contact different reps for Zoo hats and Zoo denim.

“It’s a formula we are working through,” said Deegan. “From the front end, in many cases, the guy selling boards can still sell Ts and hats. From a billing standpoint, we are still working through it. We’ve only been doing this since the beginning of the summer and some of our licensees have only been filling existing orders or don’t kick in until Spring 2011. The new, internal structure sounds crazier than it is.”

Despite growing pains that most companies go through under new ownership, Deegan said the brand, which had flattish sales last year and was impacted by weather on both coasts, is implementing new strategies to grow.

On page 2: Growth plans, mid-tier line, new categories