Get All Access for $5/mo

Amazon Is Collecting Private Label Fashion Brands The company, which is ramping up its own fashion team, already owns seven.

By Eugene Kim

This story originally appeared on Business Insider

Thomson Reuters

Amazon already owns seven private label fashion brands, and it's probably going to expand it even further, according to KeyBanc Capital's Ed Yruma.

According to a note published by Yruma, Amazon has at least seven of its own trademarked brands that are already selling through the e-commerce site, including: Franklin & Freeman, Franklin Tailored, James & Erin, Lark & Ro, North Eleven, Scout + Ro, and Society New York.

The note, first reported by fashion site WWD, said these brands have a total of 1,800 products listed, ranging from men's shoes to women's scarves and children's clothing. The price seems moderate (a men's suit costs less than $300) and the styles are pretty casual, reminiscent of the looks of UNIQLO or H&M.

"Apparel is a large category that remains highly fragmented. We think the low barriers to entry, size, and significant competitive set make this an attractive category for Amazon," Yruma wrote.

The news comes on the heels of recent reports indicating Amazon ramping up hiring for its fashion team. One recent opening said it is "looking for a dynamic senior brand manager to drive the DNA and face of a new brand," while another position we found under the senior software engineer position describes the position as, "When you think of buying new clothing, shoes, watches and jewelry, do you think of Amazon? Not yet? Well, we are going to change that."

Fashion is a relatively high-margin business and it could contribute to Amazon's profitability, too. Yruma anticipates Amazon's focus on clothing will add at least $0.25 in EPS by as early as next year.

Amazon has been increasingly spending more on fashion lately, scooping up online fashion stores, like ShopBop, MyHabit, and EastDane. Last year, it sponsored the New York Men's Fashion Week for the first time, too.

And all this could lead to Amazon eventually dethroning Macy's as the largest apparel retailer in the US. According to new research from Cowen Company, Amazon's expected to own 14 percent of the total US apparel market by 2020, up from the 5 percent it accounted for in 2015.

Eugene Kim

Business Insider Reporter

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Starting a Business

From Side Gig to 6-Figure Success — How I Built a Thriving Home-Based Business as a Busy Family Man

I've made over $17,000,000 for clients worldwide and brought in multiple six figures for myself, all while barely leaving my kitchen.

Franchise

Expanding Your Franchise Overseas Can Make You Millions — Or Tank Your Profits If You Don't Consider These Risks.

Deciding to expand your franchise concept internationally is a challenging one. Doing so can provide growth opportunities far beyond those in your current home market. But doing so before you're ready can create undue stress on your system. International expansion requires a full investment of time and resources to do it right; it is a serious commitment that reburies hard work, supported by a well-thought-out and well-executed game plan.

Business News

If Your Bank Is Calling, Don't Answer. It's Probably a Scam.

Scammers are getting sophisticated, from AI voices and videos to spoofing caller IDs. Here's how to spot them.

Growing a Business

How to Choose The Right Insurance Broker to Grow Your Lower to Mid-Market Company in 2025 and Beyond

Private, client-focused insurance firms matter more than ever in 2025 — here's why.

Business News

Tesla Is Now Worth More than Toyota, Ferrari, General Motors, Porsche, and Ford Combined

Tesla has added $250 billion to its value since the presidential election.