Designers at Japan Fashion Week target growing Asian market

By Elaine Lies

TOKYO (Reuters) - From a phoenix-themed collection by a Japanese designer who has clothed Lady Gaga to touches of traditional Mongolian decorations, designers showing at Japan Fashion Week set their sights firmly on Asia and its huge market.

Chinese consumers have become the world's leading buyers of luxury goods and account for one quarter of this market globally with demand growing, according to a report by consulting firm Bain & Co.

The fashion extravaganza showcasing the autumn and winter collections of 2013/14 kicked off at the weekend but Japanese brands took to the stage on Monday with Masanori Morikawa and his self-directed label, 'Christian Dada'.

Morikawa has created several pieces for American pop star Lady Gaga including a pink dress reminiscent of an origami crane for her 2012 'Born This Way Ball' tour.

This time he turned to Asia for inspiration with an edgy, androgynous collection titled 'Fenghuang,' which is Chinese for the mythical bird phoenix, pairing long, loose pants with richly embroidered lace on shirt sleeves for men and women.

Leather pants and jackets mingled with down-paneled trousers and shirts in plain, solid colors of black, white, red, blue and gold, which Morikawa said represented the nature of the phoenix.

'There's also the idea that the phoenix contains within itself both the male and the female, so we took this concept of fusion for the collection,' Morikawa told reporters.

Asian influences came to the fore on Sunday as well as Mongolian designer Ariunaa Surenjav mixed modern designs with traditional raised forms on the shoulders and bunched sleeves.

'That part of the clothing design where the material goes up on the shoulder ... comes from the tradition in old Mongolia, where the local people who were noble and respected had that design,' said Surenjav.

A NOD TO CHINA?

Although Morikawa said taking a Chinese title for the collection was just a reference to Chinese mythology and not a nod to the huge potential Chinese market, other designers were more open about their goals.

Conny Groenewegen, a Dutch designer who led off the runway on Sunday with clothing heavily influenced by Japanese designers, said her ambitions in Asia do not end with Japan.

'I would be very much interested to visit Shanghai and present my work over there, because I think that it is moving very fast,' she told Reuters. 'It's like a big youth culture over there and it has also a big, very rich history.'

Although growth in China slowed last year, Bain is still forecasting growth of 4-6 percent a year for the global luxury market through 2015, after growth of 10 percent in 2012 to about $280 billion, largely driven by Chinese consumers.

With 1.3 billion consumers, many with a strong inclination for expensive brands that scream status, China remains a driving force in the luxury market.

Japan Fashion Week continues until March 24 with names such as Vivienne Tam and Hiroko Koshino also taking part.

(Additional reporting by Mariko Lochridge, Editing by Belinda Goldsmith)

"Psy Style" scores as Gangnam rapper readies new song

By Narae Kim

SEOUL (Reuters) - As South Korean rapper Psy readies what he hopes will be his next hit song, aiming for a repeat of the viral 'Gangnam Style', retailers are keeping a close eye on what he wears, hoping another blockbuster will send sales surging.

From the tortoiseshell sunglasses to the two-toned Oxfords the chubby singer sported for his YouTube megahit, a wide range of brands - and Seoul's Gangnam district itself - have reaped rich rewards from the Psy effect.

Psy's stylist will say only that the 35-year-old will once more be clad in a suit for the new song, whose title also remains a secret. It will be released at an April 13 concert.

'The basic concept for his upcoming song is again a formal suit but with a humorous twist. I plan to add an unexpected twist of fun,' Hong Hye-won told Reuters in an interview.

'I made a point with a bow tie back in the Gangnam look. There is something like that for the new song.'

Psy's slicked hair and tuxedo jacket, in a broad range of electric colors, paired with a pleated white dress shirt and a black bow tie, run counter to the carefully manicured and primped young women and men typical of the K-Pop industry.

Much of what Psy wears is from his personal closet, since it is hard for him to find a suit that fits, Hong was quoted in a local newspaper as saying last year.

Both the Vivienne Westwood white shirt and the Thierry Lasry sunglasses he sports in the video, which made YouTube history by being the first to gain more than 1 billion views, are items he bought for himself some time ago, she was quoted as saying.

French eyewear designer Thierry Lasry has been besieged with questions about the two kinds of shades - the tortoiseshell, and black with gold temples, both called 'The Variety'.

'We have had a lot of requests from our customers who saw and loved his music video,' said Clara Mercier, marketing manager for Thierry Lasry, who said the tortoiseshell version was a limited edition. The black ones go for 335 euros ($430).

'We obviously could have sold thousands had it not been a limited edition,' Mercier added.

NOT SO TALL, NOT SO HANDSOME

Gabor, a German-based shoe maker, has also benefited. Psy's footwear was actually Christian Louboutin, but similar enough to one of Gabor's styles to send Korean sales shooting up 100 percent in September 2012 from a year before.

'Before Psy, Oxfords were not exactly popular,' said Lee Hyung-joo, Gabor marketing manager. 'But now everyone, man or woman, old or young, fashionable or not, wants to try the Oxfords Psy wears.'

Psy's broad appeal appears to be the key. The YouTube video has now been viewed more than 1.4 billion times.

'He is not a typical model type of person - quite chubby, not so tall and not so handsome. But it does not matter,' said shoe designer Jimmy Choo, in Seoul for a recent awards ceremony. 'We feel he is like us, like the guy next door.'

Gangnam, the upmarket Seoul suburb that has become a byword for affluence and consumption if not always good taste, has also seen a spillover effect that has kept its streets crowded - and the cash tills of its high-end stores ringing.

Tourist numbers have shot up 50 percent to 320,000 in January this year, compared with the same period in 2012, according to government data. Chinese tourists stand out although locals also spend more time in the area, especially Garosil-gil, the trendiest part.

'We think that Psy has brought 'Gangnam' closer to ordinary people, who were often uncomfortable with its luxurious, well-to-do image,' said Jeong You-sook, an official at the Tourism Promotion Division of the Gangnam District office.

Choo agreed that Psy's appeal was infectious.

'Everyone, including myself, wants to try not just his dance moves but his fashion and his hairdo. Just like everyone was going as Elvis Presley and Michael Jackson in their heydays,' he said.

(Reporting By Narae Kim; Editing by David Chance and Elaine Lies)

Supermodel Miranda Kerr OK after L.A. traffic accident

LOS ANGELES (Reuters) - Australian supermodel Miranda Kerr is in fine health despite a traffic accident, a spokeswoman for the model said on Wednesday, after the Victoria's Secret lingerie model was photographed in Los Angeles wearing a neck brace.

'Miranda was rear-ended, but is totally fine,' Kerr's spokeswoman said in a statement.

Kerr's Australian publicist Annie Kelly told media there that the model was traveling on a Los Angeles freeway on Monday when the accident occurred, and was in pain from the collision.

Kerr, 29, is also the face of Australian airline Qantas and has her own line of skin-care products.

Kerr married British actor Orlando Bloom in 2010. She gave birth to the couple's first child, a boy, in 2011.

Victoria's Secret is a subsidiary of Limited Brands Inc.

(Reporting by Eric Kelsey; Editing by Jill Serjeant and Jan Paschal)

Small labels lure big bucks in fashion's latest trend

By Astrid Wendlandt

PARIS (Reuters) - Christophe Lemaire has spent the past three years designing dresses for Hermes. Now he wants to develop his own brand and ride a wave of investor interest in new labels which have the potential to become global brands.

He's not alone.

Whether it is private financing or takeovers by major luxury groups like LVMH, the latest trend in fashion is to find a promising niche label that has no history but plenty of imagination.

Fuelling the bull market for young designers is executives' conviction that demand for luxury goods is strengthening further in markets like China and the United States, especially for the kind of fresh looks that only new blood can create.

'People are taking comfort in the luxury goods sector's track record and growth prospects, which is encouraging them even more to invest in young niche fashion brands,' a Paris-based banker said, declining to be named.

Take Damir Doma, a 31-year-old Croatia-born designer who worked with Belgian designer Raf Simons, now at LVMH's Christian Dior. His brand's parent recently sold a 5 percent stake to Bernd Beetz, former chief executive of Coty who is still the board of the perfume and cosmetics maker.

And the designer has attracted the attention of another big name - Concetta Lanciaux, former adviser to LVMH CEO Bernard Arnault, who built her reputation on her ability to spot talent and who sits on Damir Doma's board.

'I think designers are opening up their capital earlier now because they understand that it allows them to grow faster,' Lanciaux said, adding that Doma was for her a 'modern Armani'.

Lemaire, the women's ready-to-wear designer at Hermes who previously worked at Lacoste for a decade, is also hoping to find experienced partners for his own fashion brand, which targets sales of 2 million euros ($2.6 million) this year.

'We feel that there is money to invest in fashion and there has been a rise in interest in small brands,' said Lemaire, who is about start prospecting for new investors.

NICHE LABELS.

Retailers say appetite for niche labels has grown to the detriment of megabrands such as PPR's Gucci and LVMH's Louis Vuitton, which have seen their sales growth slow in recent quarters, even in vibrant markets such as China.

Competition for good designers is such that investments in fashion labels tend to be made at the early stage of a brand's development, aiming to lock-in the talent and give the brand a strong start.

And there are other factors at work.

Arnault's long and painful search for a replacement for disgraced designer John Galliano at his group's flagship Dior brand goaded many groups into widening their talent pool, experts say, as it showed how difficult it could be to find the right person for a brand.

Both LVMH and PPR have recently invested in young designers, with the former last month buying around 30 percent of the brand of 28-year-old Maxime Simoens. PPR earlier this year took a 51 percent stake in seven-year-old British brand Christopher Kane, known for its original mixes of fabric.

PPR is also in talks to buy a stake in Italian jeweler Pomellato, famed for its colored stacking rings.

Other promising brands in play include China-born French designer Yiqing Yin and British brand Erdem, known for its imaginative prints, who have both recently received interest from investors, according to industry sources who declined to be named.

'At an early stage, what the investor is buying is the brand's growth potential and its notoriety, as it will take several years before it makes a profit as start-up costs are huge,' a London-based investment banker said, adding that these costs usually ranged from 10 to 20 million euros.

UPCOMING TALENT

Yet these are small sums compared with the billions of euros in profits made by big luxury groups such as PPR and LVMH.

Valuations of young brands, most of them lossmaking, range between one and three times sales, depending on their maturity, compared with a ratio of two to three times at listed luxury groups such as LVMH.

'Big groups certainly have the means to afford investments in upcoming talents, also to get them ready for important future assignments and ambitious development plans,' said Renzo Rosso, founder and president of Only the Brave (OTB) which owns Diesel.

OTB, which has invested in smaller brands such as Maison Martin Margiela and Viktor & Rolf, in December bought control of Marni, a bohemian-chic Italian label that makes 130 million euros in annual sales. Financial details were not disclosed.

'We are constantly looking for upcoming talents to grow,' Rosso told Reuters in an email exchange.

Big groups have also started building closer contacts with fashion schools. Last year, LVMH created a scholarship at the Central Saint Martins school in London, while PPR launched a contest with the Parsons school of design in New York with winners getting internships at Alexander McQueen or Gucci.

Industry observers say there has not been so much interest in investing in fashion brands since the late 1990s and early 2000s, when LMVH and PPR were building up their empires.

Only back then, the trend was to resurrect old names such as Balenciaga and Yves Saint Laurent in the case of PPR, and Fendi, Celine and Loewe for LVMH. And if they did invest in new brands, it was at a much later stage of their development.

LVMH acquired Marc Jacobs and Donna Karan for instance more than a decade after they were founded in 1984, while PPR in December 2000 bought a controlling stake in Alexander McQueen, which was created in 1992. The brand's sales have since risen 12 fold to more than 100 million euros.

So far there seems little reason to think the latest investment upsurge has run its course.

The global luxury goods sector has shown tenacious growth in defiance of economic shocks. After growing 10 percent last year, global sales are set to expand by between 7 and 8 percent in 2013, according to analysts' forecasts.

Meanwhile the world's top three luxury groups - LVMH, PPR and Richemont - are cash-rich and competing with private equity and individual investors for acquisitions.

'There is a desire to invest in risk,' said Didier Grumbach, president of the French Fashion Federation. 'That did not exist five years ago.' ($1 = 0.7680 euros)

(Additional reporting by Pascale Denis; Editing by James Regan and David Holmes)

Can Bowie turn acclaim and hype into record sales?

LONDON (Reuters) - He caught the music world napping in January with his first new song in a decade and soon had critics searching for superlatives to describe his new album 'The Next Day'.

The next big question for David Bowie and his remarkable comeback is whether the element of surprise and subsequent acclaim will turn into record sales.

'The Next Day' is in stores on Monday in Britain, where industry watchers are confident it will top the album charts, and on Tuesday in the United States, where the 'Space Oddity' singer has enjoyed more patchy success in the past.

It is already available in other key markets, and the early signs are that the 66-year-old master of reinvention has a hit on his hands.

According to his official website, the deluxe version of the recording went to No. 1 on the digital iTunes album charts in 11 of 12 countries where it was released on Friday, including Australia, Germany and Sweden.

'There has been a lot of interest in both the social and traditional media which will connect not only with the established fan base but also with younger fans,' said Gennaro Castaldo, head of press at British music retailer HMV.

'As a campaign, I can't think of many that have been more brilliantly orchestrated,' he added.

Ironically, part of that 'campaign' has been for Bowie to remain invisible, allowing collaborators like producer Tony Visconti to tell the media about how the star's first studio album since 2003's 'Reality' came about.

So rare had sightings of the 'Starman' become in New York, where he lives, that articles appeared in the British press late last year speculating the 'recluse' had unofficially retired.

'GRETA GARBO OF POP'

Simon Goddard, author of new Bowie book 'Ziggyology' published by Random House imprint Ebury, said his mystique was a part of the appeal, and showed that his interest in music far outweighed any appetite for the trappings of celebrity.

'He released two albums in the very early 70s featuring covers of himself in poses inspired by Greta Garbo,' Goddard told Reuters.

'Fast forward three or four decades and he becomes a rarely-sighted paparazzi quarry living in New York ... He engages with the media on his strict terms because he's surpassed any desire to engage otherwise. His art is all the engagement he needs.'

Bowie, who has shunned the limelight since he suffered a heart attack on tour in 2004, last performed on stage in 2006. It was with a sense of shock that his fans woke up on January 8, his 66th birthday, to the news he had released a new song.

'Where Are We Now?', a melancholic look back to the time Bowie spent in Berlin in the 1970s, was the first single from 'The Next Day', followed weeks later by 'The Stars (Are Out Tonight)'.

Both came with inventive videos which baffled as much as they entertained, affirming that Bowie was still the enigma who wowed the pop world in the late 1960s, 70s and 80s with glam-rock, androgynous alter egos and a radical sense of fashion.

Critics had barely a bad word to say about the 14-track album, with the Independent's Andy Gill calling it possibly 'the greatest comeback in rock'n'roll history' in a five-star review.

Alexis Petridis, writing in the Guardian, said: 'Listening to it makes you hope it's not a one-off, that his return continues apace.

Whether the return will include live performances remains to be seen, although Bowie's guitarist Gerry Leonard whetted appetites when he told Rolling Stone magazine he thought it was '50-50' Bowie would tour again.

Author Goddard attempted to sum up the level of excitement that has accompanied Bowie's return.

'Bowie's appeal has lasted because his influence is fundamental to everything that we in the 21st century understand as pop music,' he said. 'Remove Bowie and pop's whole house of cards as built up over the last 40 years or so collapses.'

Bowie's impact on modern music matched that of The Beatles - and the only contemporary star to combine music and art to the extent he did in the 70s was Lady Gaga, said Goddard.

'The hysteria is justified,' he added.

(Reporting by Mike Collett-White; Editing by Andrew Heavens)

Supermodel Heidi Klum new judge on NBC's "America's Got Talent"

NEW YORK (Reuters) - Supermodel and television host Heidi Klum said on Monday that she will be a new judge on the popular summer TV talent show 'American's Got Talent.'

Klum will be the fourth judge on the talent show created by British entertainment mogul Simon Cowell. She joins comedian Howie Mandel, radio 'shock jock' Howard Stern and former Spice Girl Mel B on the show hosted by Nick Cannon.

'Excited 2 join @HowardStern @howiemandel @OfficialMelB & @NickCannon on @nbcagt as new judge! Will be so fun,' Klum tweeted.

Broadcaster NBC said Klum, 39, adds a discerning taste to the jury panel.

'As we look to develop an act that will get the world's attention, we and the contestants will benefit from Heidi's international sensibility and understanding of what works in today's global entertainment industry,' NBC president of alternative programming, Paul Telegdy, said in a statement.

NBC said last month that Mel B would replace Sharon Osbourne, who quit the show after her son Jack was dropped from another reality show by the network.

German-born Klum was due to join the other judges for the nationwide auditions set to start on Monday in New Orleans. The show is open to singers, dancer, magicians and other performers with a top prize of $1 million.

NBC is betting that Klum and Mel B will boost falling audiences for the summer show, which experienced record low numbers during the finale in September with less than 11 million viewers.

Klum is also the host on Bravo's fashion-design competition 'Project Runway' as well as model competition 'Germany's Next Top Model' in her native country.

Bravo is a division of NBCUniversal, which is owned by Comcast Corp.

(Reporting by Patricia Reaney; Editing by Eric Kelsey and Mohammad Zargham)

Spain's Ortega leaps to rank as world's third richest man: Forbes

NEW YORK (Reuters) - Spain's Amancio Ortega, the co-founder of the Inditex fashion group, leapt over Warren Buffett and France's Bernard Arnault to become the world's third richest person on Forbes' 2013 annual ranking of billionaires, with an estimated net worth of $57 billion.

Mexico's Carlos Slim, who has taken a hit from the slump in the share price of his America Movil telecoms group since the list was calculated as of February 14, remained the richest person with a fortune of $73 billion, and Microsoft co-founder Bill Gates held on to the No. 2 spot with a net worth of $67 billion.

Ortega's fortune increased $19.5 billion, the biggest gain for any of the billionaires, from the report in 2012. He jumped two places and bumped Buffett, chairman and chief executive of conglomerate Berkshire Hathaway Inc with a fortune of $53.5 billion, out of the top three to the No. 4 spot for the first time since 2000.

'Warren had a great year, it's just that Amancio Ortega had a better year,' Forbes magazine editor Randall Lane said of the co-founder of Zara. 'He has one of the dominant apparel lines in Europe.'

Arnault, of the LVMH luxury goods group, dropped to 10th place with $29 billion.

Slim, 73, made much of his fortune in telecommunications but also branched out into retail, commodities, finance and energy.

'To see Carlos Slim again broaden his lead and certify himself as the richest man in the world is a statement that wealth truly is global and not an American monopoly like it sometimes felt for many decades,' Lane added in an interview.

Rising stock markets fueled in part by monetary stimulus by the U.S. Federal Reserve, and robust consumer brands fortified the fortunes of those already on the list and drove many of the 210 new billionaires onto it.

Oracle Corp's Larry Ellison, with a fortune of $43 billion, rounded out the top five in the ranking that included a record 1,426 billionaires, with an average net worth of $3.8 billion.

Forbes' 27th annual ranking is the biggest ever and has the largest jump in total number of people added in one year.

'It is a very good year to be a billionaire, and a much easier year to be a billionaire. You have those economic forces and global markets going up and that is pushing more people over the threshold,' Lane explained.

Brazilian mining, energy and shipping magnate Eike Batista, whose net worth fell $19.4 billion, was the biggest loser on the 2013 list. He dropped from No. 7 in 2012 to 100.

The total net worth of the world's billionaires is $5.4 trillion, according to Forbes, up from $4.6 trillion in the previous ranking.

AMERICA, CHINA, RUSSIA HAVE MOST

The United States led the list with 442 billionaires, followed by 386 from Asia and the Pacific region, with 122 in China alone.

Europe was close behind with 366, including 110 in Russia. The Americas, not including the United States, had 129 and the Middle East and Africa 103.

'There will be more Asian billionaires than American billionaires by the end of this decade, actually by the middle of this decade,' said Lane. 'That is a statement about where global growth is.'

Americans captured five of the top 10 spots including brothers Charles and David Koch, owners of Koch Industries Inc, who tied for sixth place with $34 billion each.

France's Liliane Bettencourt, of the L'Oreal cosmetics empire, is the world's richest woman, coming in ninth with a $30 billion fortune.

Li Ka-shing, who controls the Hong Kong-based conglomerate Hutchison Whampoa, is the wealthiest man in Asia with a $31 billion fortune, putting him in eighth place.

New York Mayor Michael Bloomberg, the founder of financial data firm Bloomberg LP, a competitor of Thomson Reuters Corp, just missed the top 10, rising to 13th place from 20th with a net worth of $27 billion.

WOMEN AND YOUNG MAKE GREATER STRIDES, MORE MONEY

Thirty-four more women, including American fashion designer Tory Burch, made the list for a total of 138.

The youngest billionaire was 28-year-old Internet entrepreneur Dustin Moskovitz. The former college roommate of Facebook founder Mark Zuckerberg and an early investor in the social networking site, came in at No. 353 with a net worth of $3.8 billion.

Another newcomer was GoPro's Nicholas Woodman with a fortune of $1.3 billion. The privately owned company makes wearable cameras. Renzo Rosso of the Italian fashion company Diesel was also new to the list with a $3 billion net worth.

'It's a cultural sea change when you can come up with an idea, actualize the idea, monetize the idea and become a billionaire by your 40th birthday. That just didn't happen in the pre-Microsoft era,' Lane said of the young billionaires.

U.S. banker and philanthropist David Rockefeller, 97, was the oldest, placing 527th with $2.7 billion.

Sixty people dropped off the list, including Mark Pincus of social gaming company Zynga Inc and Aubrey McClendon, the outgoing CEO and former chairman of natural gas producer Chesapeake Energy Corp.

Exclusive: BCBG exploring sale, may fetch $1 billion - sources

NEW YORK (Reuters) - Fashion house BCBG Max Azria Group Inc, whose clothing has been worn by celebrities such as Beyonce and Angelina Jolie, is exploring a potential sale that could fetch around $1 billion, two people familiar with the matter said on Wednesday.

The company, which owns the BCBGeneration, Max Azria and Herve Leger lines, is being advised by Blackstone Group on the sale process, said the people, who declined to be named because the talks are private.

The Los Angeles-based clothing company, founded and run by fashion designer Max Azria, was not immediately available to comment. Blackstone declined to comment.

BCBG could attract interest from other fashion companies or private equity firms, the people said.

Azria is a French fashion designer of Tunisian descent. He launched the brand in 1989, naming it for the French phrase 'bon chic, bon genre,' which means 'good style, good attitude'.

(Reporting By Olivia Oran and Martinne Geller in New York, Editing by Soyoung Kim)

Jennifer Lawrence's clothes from "Silver Linings" up for auction

LOS ANGELES (Reuters) - Clothing worn by Jennifer Lawrence in her Oscar-winning role as an outspoken young widow in comedy 'Silver Linings Playbook' went up for auction on Tuesday, just two days after the Academy Awards ceremony.

Memorabilia dealer Nate D. Sanders put the skin-tight white dance pants, winter coat and sports bra Lawrence wore in the film up for sale in the online auction that will end on Thursday.

The items are expected to fetch between $500 and $1,500 following the 22-year-old's Best Actress win on Sunday.

'She's now on the record for having an Academy Award, which definitely gives it (the items) status now,' said Laura Yntema, spokeswoman for auction house Nate D. Sanders.

'The Hunger Games' star also won awards from the Golden Globe and Screen Actors Guild in January for her 'Silver Linings Playbook' performance.

Five items, either worn by Lawrence or from her wardrobe on the film, are up for auction with starting bids at $100.

They include the custom-tailored skin-tight white pants Lawrence wore during the film's climactic ballroom dance scene with co-star Bradley Cooper.

The black, full-length double-breasted Moda International wool coat is a size six. The teal sports bra by Gap Body will be sold together with an extra-small blue Threads 4 Thought long-sleeved shirt.

The auction also has nine clothing items either worn or from the wardrobe of Cooper, and two items from the wardrobe of supporting actor Chris Tucker.

Movie studios often hand off costumes to auction houses, where even small outfits can fetch high prices from fans and collectors.

(Reporting by Eric Kelsey; Editing by Jill Serjeant and Eric Walsh)

Dark looks rule the Milan catwalks for autumn/winter season

MILAN (Reuters) - Fashion designers at Milan fashion week delivered a dark palette and masculine styles for autumn-winter wardrobes in a reflection of Italy's bleak economic and political landscape.

Giorgio Armani, Gucci and Roberto Cavalli were among the fashion houses whose darkly colored catwalk collections for the 2013-14 autumn/winter season catwalk shows evoked the anxiety over grim expectations for Italian fashion sales, worries over European economic health and uncertainty over domestic politics.

Designer Miuccia Prada, whose sleek collections are eagerly awaited at the Milan week, chose a post-industrial setting to present her look for a modern woman hemmed in by the grim realities of life since an economic downturn began in 2008.

'It seems to me that in the contemporary world you cannot let yourself go completely,' Prada said after her show.

Armani re-worked a masculine style for a collection that included suspenders and jumpsuits in black velvet accessorized with black berets.

'We must create clothes that women wear,' Armani said backstage from a show attended by Princess Charlene of Monaco.

Luxury retailers have fared better than other industries during the prolonged recession in southern Europe thanks to demand from wealthy travelers from Asia, the Middle East and Russia.

But global sales of Italian fashion - including those of smaller brands hit hard by the crisis - are expected to fall by 3.5 percent this year after dropping 5.4 percent in 2012, textile and fashion body Sistema Moda Italia (SMI) said.

Designers expressed concerns about stability in Italy, where the uncertain outcome of parliamentary elections held during the fashion week rekindled fears of a new euro zone debt crisis.

'We need infrastructures to attract tourists but we also need a long-term government for such long-term measures,' said Michele Norsa, chief executive of Salvatore Ferragamo.

SCULPTED BEAUTY

Gucci designer Frida Giannini offered jackets narrowed at the waist with egg-shaped shoulders and worn over pencil skirts below the knee. A mostly pragmatic look designed for work.

Giannini, who is going to have her first baby in a couple of weeks, used colors like purple, rust, moss green and dark blue for a femme fatale she said was 'steely yet sexy'.

If colors were dark, materials were bold.

Neoprene, lurex and vinyl surfaced everywhere, with Versace delivering the most daring looks in a rock-and-roll show.

Creative head Donatella Versace showed ankle-length silk dresses with vinyl details contouring the body, while oversized coats came in bright yellow and black-and-white colors.

Designers reserved their boldest ideas for accessories, where sales have risen during the recession because they are more affordable in price and can be used for more than a season.

'Sales of my accessories are growing,' Armani said, after showing shoes with sculpted heels and a variety of handbags.

Versace opted for silver spikes on chain necklaces and studded boots, while Roberto Cavalli crafted necklaces in the shape of snakes and roses and large earring enveloping the ears.

Dolce & Gabbana, who drew inspiration from Byzantine mosaics, had shoes with inlaid sculpted heels, capped their models with golden crowns and draped them in jewels.

Other trends for next winter include zips, seen at Etro, pleated skirts from Blumarine, and a return of padded shoulders.

(Reporting by Antonella Ciancio)

Pale blush, sparkle and gold grace Oscars red carpet

LOS ANGELES (Reuters) - Ethereal, strapless silhouettes and wavy tresses gave the Oscars red carpet a patina of old Hollywood glamour on Sunday as the year's top actresses and presenters led the way in blush, grey and black sequined gowns.

'There were no misses this year, everyone had very good taste,' said Avril Graham, executive fashion and beauty editor at Harper's Bazaar.

'Silver Linings Playbook' Best Actress nominee Jennifer Lawrence, 22, wowed critics with her off-white Christian Dior Couture strapless gown with a full-tiered skirt and a long necklace dropping down her back.

The actress, who is the face of Christian Dior's Miss Dior brand and has been wearing the designer to the awards leading up to the Oscars, said it was the only dress she tried on for the event.

Fellow Dior brand ambassador Charlize Theron wore a white strapless couture gown from the French fashion house.

Halterneck column gowns were a popular trend on the red carpet as stars opted for a long and lean silhouette this year.

'Les Miserables' star Amanda Seyfried opted for a pale grey and lilac embroidered Alexander McQueen halterneck dress, while her co-star and Best Supporting Actress winner Anne Hathaway received mixed reviews for her blush pink Prada halterneck satin strapless gown with a daring low back.

In an interview on the red carpet Hathaway quipped, 'it's business in the front and party in the back.'

Hathaway 'had a shade of Audrey Hepburn in her pastel Prada,' with her cropped pixie cut, Graham said.

Blush and nude hues were a hot trend on the runways for spring and were echoed in the clean palettes on this year's Oscar red carpet.

'The Master' supporting actress nominee Amy Adams stunned crowds in a strapless pale grey full-skirted tulle Oscar de la Renta gown, while last year's supporting actress winner Octavia Spencer wore a blush Tadashi Shoji number.

Zoe Saldana's white strapless bustier Alexis Mabille dress was offset by grey underlays peeking out.

Contrasting the off-white gowns were the actresses picking gold, gunmetal greys and bright colors that stood out on the red carpet at Hollywood's Dolby Theater.

Jessica Chastain, nominated for Best Actress for 'Zero Dark Thirty,' channeled golden-age Hollywood glamour with a deep gold sequined Armani Prive strapless dress, accessorizing with soft side waves in her auburn hair.

STRONG SILHOUETTES, SEQUINED GLAMOUR

Hal Rubenstein, editor-at-large at InStyle, said this year's red carpet choices showed 'restraint,' with trends for strong silhouettes paired with old Hollywood glamour.

'The shapes were really strong yet simple, not over-adorned ... it was a real harmonious look from top to bottom,' Rubenstein said, naming Jennifer Hudson in navy Roberto Cavalli, Nicole Kidman in black sequined column L'Wren Scott, and Chastain's gold strapless Armani as his top picks.

Metallic sparkle was another big trend on the red carpet, with Naomi Watts, Best Actress nominee for 'The Impossible,' leading the way in a gunmetal sequined one-shouldered Giorgio Armani gown.

Catherine Zeta Jones, in a gold sequined Zuhair Murad gown and Halle Berry in a strong-shouldered silver and black striped Versace fitted gown, followed suit.

Quvenzhane Wallis, the 9-year-old actress competing with Best Actress nominees Lawrence, Watts, Chastain and Emmanuelle Riva, accessorized her navy sparkling Armani gown with a fluffy puppy purse.

'The Sessions' Supporting Actress nominee Helen Hunt shunned high-end designers to wear retail brand H&M in a navy blue strapless gown, stunning fashionistas with her choice.

'Lincoln' Supporting Actress nominee Sally Field added color to the red carpet in a full-sleeved vibrant red Valentino dress.

Reese Witherspoon stood out in a strapless cobalt blue Louis Vuitton gown, 'Django Unchained' star Kerry Washington wowed critics with her coral and blush Miu Miu dress and Jennifer Garner, holding husband Ben Affleck's hand, wore an eggplant purple strapless flowing Gucci gown.

(Editing by Mary Milliken and Stacey Joyce)

Italian designers celebrate sartorial craft at Milan shows

MILAN (Reuters) - Italian designers put craftsmanship before reckless glamour at the Milan fashion week, in a bid to defend their tailoring tradition in the face of global competition.

Fashion houses PPR's Bottega Veneta, Roberto Cavalli and Ermanno Scervino on Saturday proposed sculpted flannel coats and steel-embroidered dresses for their 2013-14 autumn-winter collections.

'I am based in Florence because this is where I find a know-how that I don't find anywhere else,' Scervino told Reuters in the backstage of his packed show.

Both Scervino and Cavalli dedicated their events to Florence, a city famous for its artisanal leather goods, also the signature lines of Italian fashion giants Salvatore Ferragamo and Gucci.

'What does art represent for a Florentine? A sense of place, a form of nostalgia, a necessity, a consequence,' Cavalli said in a statement to accompany his show, attended by American singer Janet Jackson.

The Florence-based designer, known for his leather-fringed dresses in animal prints, said he was inspired by floral motifs by 16th century painter Caravaggio for his classic collection.

The city of Florence was also projected on the backdrop of Scervino's catwalk, where models wore masculine grey flannel coats cut close to the waist to add femininity.

Tomas Maier, creative director at Bottega Veneta, cut vertical lines into thick flannel coats to add movement to the sculpted forms.

'The collection is about proportion, precision, ease, and the simple beauty of the material,' Maier said in a statement.

Bottega Veneta, whose 'intrecciato' woven leather bags are priced from around 5,000 euros, also explores new uses of fabric to make unique pieces.

Italian fashion houses, the world's biggest producers of luxury goods with France, are renowned for their craftsmanship but they are facing a shortage of skilled workers which is putting their historic brands at a competitive disadvantage with low-cost production centres.

At the same time, cheaper production centres in Asia and Africa are improving as buyers from developing economies develop a taste for high-quality goods.

(Reporting by Antonella Ciancio; Editing by Rosalind Russell)

Pashmina goats perishing in heavy snow on Indian frontier

Jammu, India, Feb 22 - Thousands of Pashmina goats may have perished in recent heavy snowfall around the nomadic areas of Changthang on the Sino-Indian frontier of the Ladakh region, officials said on Friday.

The area is a production hub for the finest quality of Pashmina (Kashmir) wool in India and is used in manufacturing of popular Kashmiri shawls sold across the world.

'We have no information of several places in the area. Many places are still snowbound and inaccessible. There is no communication link with them', said Tsering Samphel, a former lawmaker from the region.

'Since 1962, this is an unprecedented snowfall in the area and it has severely affected our nomadic way of life and livestock. Pashmina goats who get impregnated before the onset of winter have also perished,' he added.

'We may face (an) acute shortage of Pashmina wool this year'.

He said up to 10,000 domesticated animals including Pashmina goats have perished due fodder shortages and the freezing cold.

'About 1,000 quintals (100,000 kg) of fodder was dispatched immediately by Ladakh Autonomous Hill Development Council (LAHDC) to the affected areas but the same could not be distributed due to snow bound pastures where these animals are scattered these days', said Samphel.

He said the federal Ministry of Textiles had earmarked 40 million rupees last year for nutrition supplement to save Pashmina goats during pregnancy and to meet such exigencies.

This money, Samphel said, helped in procuring about ten thousand quintals of cattle feed, 2,500 quintals of barley and 3,000 quintals of alfalfa fodder for the purpose.

(Reporting by Ashok Pahalwan, editing by Paul Casciato)

Authorities checking if wreck found is Missoni plane: report

ROME (Reuters) - Authorities are checking if a wreck found on a beach of the island of Curacao could be that of a plane carrying fashion executive Vittorio Missoni which disappeared last month, Italian news wire Ansa reported on Friday, citing local sources.

Missoni, the eldest son of the founders of the Missoni fashion house, disappeared with his wife and four others when their plane went missing off the coast of Venezuela in early January.

Italian investigators later said the airline that owned the plane was not fully licensed to operate and that the pilot's license had expired more than a month before the flight.

(Reporting by Naomi O'Leary; Editing by Stephen Jewkes and Pravin Char)

Prada mixes romantic and urban for "raw elegance" in Milan

MILAN (Reuters) - Italian fashion house Prada ventured in a new post-industrial world for her introvert woman at Milan fashion week on Thursday.

The trend-setting designer, whose collections are closely-watched by fashion critics, mixed romantic and urban looks for a refined style she called 'raw elegance'.

'What preoccupies me is impossibility. Women cannot be romantic, you have to be politically correct. There are so many restrictions,' Miuccia Prada said in the backstage of her show.

The designer created skirts with irregular hems of different lengths and fabrics, while tops were worn open on the shoulders. Other models wore chequered, romantic dresses with ample skirts.

Assisted by design studio AMO, Prada turned its show space into an industrial landscape where the audience took seat on an irregular wooden island at the center. A romantic landscape was projected on the walls alongside shadows of industrial devices.

'We wanted to express what women think,' Prada told reporters after the show.

The designer created handbags in tweed, giving a sporty touch to luxury items.

The Hong-Kong listed fashion house, which competes with LVMH's Louis Vuitton and PPR's Gucci, said on Tuesday preliminary revenues rose 29 percent to 3.3 billion euros ($4.36 billion) for the 12 months ended in January.

The company declined to comment on Thursday on media reports that it may buy Milan's renowned coffee house Cova, located in Via Montenapoleone, in the heart of the fashion district.

($1 = 0.7563 euros)

(Reporting by Antonella Ciancio; Editing by Jason Webb)

Roberto Cavalli revamps youthful line at Milan fashion week

MILAN (Reuters) - Italian glamorous designer Roberto Cavalli on Thursday reinvented prints and shapes to breathe new energy in his youthful line and seduce new generations of globe-trotters.

Designers at the Milan fashion week presented bold creations on the second day of the 2013-14 autumn/winter shows, in a reaction to economic and political uncertainty in Italy.

The Florentine designer, whose animal prints and skinny leather-fringed jeans have been worn by actress Jennifer Lopez and model Cindy Crawford, said he personally oversaw the collection he is relaunching with Diesel founder Renzo Rosso.

'I wanted to show to all my fans all over the world that Roberto Cavalli is back,' the designer told Reuters television on the stage of his packed show at the Arch of Peace, a landmark monument in central Milan he is contributing to restore.

Wearing a dark blue jacket and a sweater in matching color over a pair of jeans, Cavalli said he found inspiration from a woman he saw walking in Thimphu, the capital of Bhutan.

'I speak to all the girls from 15 to 100 years old, a girl that loves the femininity as her personality,' the designer said while keeping his inseparable German shepherd dog Lupo at leash.

Cavalli proposed large sweaters in jacquard animal prints and jackets with fur-lined hoods, with a mix of elegance and sporty styles to give models a contemporary look.

Young-focused lines, that the fashion industry used to call 'second' lines to distinguish them from top lines, are playing a more important role in the fashion business as they cater to young consumers who spend less but demand something exclusive.

GLAMOUR TOUCH

Similarly to Prada's MiuMiu, Versace's Versus or Giorgio Armani's Emporio Armani, fashion houses are reinventing these brands by opening dedicated stores and hosting glitzy shows.

Georgia May Jagger, the blonde daughter of Rolling Stone rocker Mick Jagger, is testimonial for Just Cavalli.

'I love sometimes to be the director of this orchestra but today I directed but also played the instruments, which means I did nearly all the collection by myself,' Cavalli said.

Just Cavalli's sales will return to growth in 2013 after being hit hard by financial troubles at previous licensed manufacturer IT Holding, the group's chief executive said.

'We know that Just Cavalli started very well this year,' CEO Giuseppe Brozzetti told Reuters on the sidelines of the show, where models wore fitting pants with coats in matching prints.

The group will open a Just Cavalli flagship store in New York in May, followed by a launch event during the New York fashion week in September, Brozzeti said.

In 2012, the group reported a 4 percent increase in sales to 185 million euros.

Sales at directly-operated stores in the first months of this year were growing in line with last year, when they rose 23.4 percent, Brozzetti said.

Excluding the impact from new stores, sales last year rose 18 percent, helped by foreign markets, where Cavalli exports most of its production.

At another show on Thursday, designer Anna Molinari presented a British-inspired collection for her Blugirl line, which also targets young customers.

(Additional reporting by Rollo Ross; Editing by Roger Atwood)

Greenpeace, anti-fur protest confront Milan fashion shows

MILAN (Reuters) - Environmental groups staged colorful demonstrations during the first two days of the Milan fashion week to protest against the use of toxic chemicals and furs in designer garments.

Catwalk shows traditionally have offered a stage for activists campaigning in defense of wildlife and the environment, but growing demand for colored furs and washed denim jeans has fuelled more vigorous protests.

On Thursday, a woman activist tried to interrupt the show of Just Cavalli, the youth-oriented line by Roberto Cavalli, approaching the catwalk with a banner reading 'Your fashion, their death'.

The woman, whose banner was signed 'visoniliberi.org' and was intended as a protest against Cavalli's use of fur in clothes other than those at the show, was photographed by news media before she was pulled away by staff.

Greenpeace on Wednesday rolled down a 12-m (yard-)-long green banner in the shape of a glove along the Sforzesco Castle, a Milan's landmark site, as part of its 'fashion duel' campaign.

The environmental group is asking luxury goods makers to divulge details about their manufacturing policies and make commitments to preserving Amazon forests and water resources.

'We hope to create an open dialogue with Greenpeace, aimed at an enduring, shared commitment for the sustainability of the planet,' Italy's National Fashion Chamber said in a statement.

Fifteen brands including Valentino, Dior, Gucci, Giorgio Armani and Versace have been asked by Greenpeace to say whether they buy leather from cattle that are linked to destruction of the Amazon, or use chemicals that can damage waterways.

Greenpeace deems the responses so far received by the brands unsatisfactory, with only Valentino getting their full approval.

Sales of fur reached record highs last year, according to the International Fur Trade Federation (IFTF), as China's growing appetite for luxury goods put the once-taboo material back on the catwalks.

Visoniliberi.org calls for the abolition of fur farming.

(Reporting by Antonella Ciancio; Editing by Michael Roddy)

Actresses walking Oscar's red carpet to exude sophistication, not sex

LOS ANGELES (Reuters) - When actresses sashay down the red carpet before the Oscars ceremony on Sunday, they are expected to be wearing gowns exuding glamour and sophistication, not flesh-exposing jaw-droppers.

Performers at this month's Grammys were issued a 'wardrobe advisory' ahead of the big music awards show, telling them to cover up and keep buttocks, nipples and genitals under wraps. The advisory appeared to work, as no one bared too much skin.

But fashion experts do not expect guests at the 85th Academy Awards at the Dolby Theater in Los Angeles on Sunday night to shock, instead forecasting original fashions inspired by last month's Paris haute couture week where made-to-order gowns worth tens of thousands of dollars are hand-crafted.

Top designers are keen to dress the hottest Hollywood stars, loaning them creations and jewelry for the awards ceremony that is watched by an estimated one billion people worldwide, with many as interested in the fashions as the films.

The importance of looking good on the film industry's biggest night is critical for up-and-coming actresses wanting to be noticed and for designers and cosmetic and jewelry companies seeking global recognition and the next big contract.

The Academy of Motion Picture Arts and Sciences, which hands out the Oscars, says on its award show tickets that attire for the event is 'formal.' An Academy spokeswoman declined to elaborate on whether more detailed advisories are given to nominees and presenters, saying only that 'the Oscars and the Governors Ball are black-tie events.'

With the red carpet televised live, there is no room for wardrobe malfunctions. And attendees know that the critics are ready to pounce on anyone whose frock does not live up to the event.

LEGBOMBING

Designer Marc Bouwer, who is dressing three Oscar attendees this year, called the Oscars red carpet 'the greatest, biggest runway show on earth,' pointing out that the right outfit can take someone's career 'from zero to a hundred.'

Bouwer would know. His creations are regularly featured on best-dressed lists, with the white satin gown worn by Angelina Jolie wowing the audience at the 2004 Oscars.

Jolie is a pro of the red carpet. She again stole the spotlight last year when she thrust her right leg out of her high-slit Versace dress, setting off a global copying craze and leading to the adoption of a new word, 'legbombing.' Her right leg even got its own Twitter account.

The value of red carpet exposure is hard to pinpoint, but a vintage Christian Dior dress worn by actress Natalie Portman at the 84th Academy Awards later sold for $50,000.

The photographs of the actress who takes home the Best Actress statuette becomes part of Oscar lore.

It's a night when images of beautiful women in spectacular gowns become Hollywood history, such as pictures of Grace Kelly in a blue satin gown by Edith Head in 1955, Julia Roberts in a black vintage Valentino in 2001, and Halle Berry in an Elie Saab gown with a sheer upper bodice and burgundy satin bottom in 2002.

One actress in the spotlight this year is 22-year-old Jennifer Lawrence, who is a favorite for the Best Actress award for her role in the quirky romance 'Silver Linings Playbook.'

Lawrence has built a relationship with Christian Dior's creative director, Belgian fashion designer Raf Simons, and wore Dior gowns to the recent Golden Globes, Screen Actors Guild Awards and the BAFTA awards in London.

It remains to be seen if she will don Dior for the Oscars, but style expert Sam Saboura, a fashion host on the cable channel TLC, said he expected the copious amounts of black and white used by Dior and Chanel in Paris last month to appear at the Oscars.

He said the full skirts used by Dior in Paris are also likely to influence gowns on Oscar night, while spring and fall colors like cobalt blue, poppy red and yellow, as seen at the Golden Globes, could emerge.

'The Oscars carpet is the grand dame of all red carpets,' Saboura told Reuters. 'It's a world stage and what's worn on that night will set the tone and trend of what everyone else will be wearing ... and other designers will follow suit.'

Bouwer expects prints to make a big return to the red carpet as designers use computer software like photoshopping and art applications to add prints easily.

'Prints have been on day dresses for years, but now it's moving into haute couture and ballgowns,' Bouwer told Reuters. 'It's something different. It's pushing the envelope and there's no reason it shouldn't be on an evening gown.'

No matter what color, pattern or designer is chosen for the Oscar red carpet, hair stylist Jose Eber said the underlying theme will be, as always, a celebration of the golden years of Hollywood and a bygone era of timeless elegance.

'Every nominee and presenter gets inspired by that era, and you will see them paying homage to stars like Rita Hayworth, Veronica Lake, Audrey Hepburn and others,' Eber told Reuters. 'But they will all have their own new twist' on elegance.

(Editing by Belinda Goldsmith and Philip Barbara)

Milan fashion week opens with hopes of economic comeback

MILAN (Reuters) - Designers kicked off Milan fashion week on Wednesday with bold collections to persuade Italian shoppers that the worst of the economic crisis is over and it is time to hit the stores again.

Fashion houses including PPR's Gucci, Giorgio Armani and Prada are among the top names showing their womenswear 2013-14 autumn-winter collections, taking up the baton from catwalk shows in London.

'I have great hopes for this country after the political and economic debacle of the last months,' cashmere goods maker Brunello Cucinelli told Reuters at his showroom.

The colorful crowd of fashion critics and bloggers descending on Milan will mix this year with Italian voters heading to the ballot box on February 24-25 to choose a new government and decide the country's future economic path.

Italy came close to a major debt crisis in November 2011 before Silvio Berlusconi stood down as prime minister and was replaced by technocrat Mario Monti.

'There is a need to clean up politics and give small businesses the incentives to hire people,' Maurizio Modica, co-designer at Italy's brand Frankie Morello, told Reuters.

Sales of Italian fashion goods are forecast to drop 3.5 percent to around 58 billion euros ($77 billion) this year, after falling 5.4 percent in 2012, according to preliminary data by textile and fashion body Sistema Moda Italia (SMI).

Gucci, the first big name brand to show, proposed a fetish aesthetic for its sensual collection, with sculpted dresses in materials such as python skin.

Creative head Frida Giannini, who is expecting her first baby in a couple of weeks, was inspired by the idea of a 'femme fatale' for her show, which also featured evening gowns with colorful feathers stitched on black lace.

For the morning, Giannini showed sporty jackets embroidered with three-dimensional leaves.

Fashion house Frankie Morello presented a 'dark lady' for its youthful collection, which featured black blouses covered with mirror shards and stiff fabrics in geometric patterns.

'I am confident that this edition of the Milan womenswear week will confirm the positive signs of recovery that we saw in January during the menswear shows,' Mario Boselli, chairman of Italy's fashion national chamber, said in a statement.

He said he expected orders for the autumn-winter collections would improve as the recession eases in 2013.

Foreign markets will make up the mainstay of the revenue, with exports expected to reach record levels in terms of value, surpassing the previous record in 2000. Non-EU countries such as China will outpace EU members for the first time, SMI said.

'These forecasts are based on a scenario that there will be no fiscal shocks in 2013 and the government to be named after the election will couple fiscal austerity with measures to boost spending in the second half of the year,' SMI said.

The fashion week, which ends on Tuesday, will also include shows from Versace, Dolce & Gabbana and Roberto Cavalli.

($1 = 0.7487 euros)

(Editing by Alison Williams)

Timeless suits from London's Savile Row back in fashion

LONDON (Reuters) - With a blazing fire, leather sofa, and a half-empty bottle of single malt whisky by the door, London bespoke suit-maker Anderson & Sheppard feels more like a gentlemen's club frozen in time than a 21st century luxury retailer.

At the back of the shop a number of impeccably dressed tailors cut cloth on wooden work benches much like they have been doing for the last 100 years. One can almost imagine past customers like Charlie Chaplin, Pablo Picasso or some faded Victorian gentleman turning up at any moment.

This Savile Row tailor, where first names are banned and customers are always 'sir', may feel like a museum to Britain's faded imperial glory but the bespoke menswear business on 'the Row' is enjoying a remarkable resurgence.

Anderson & Sheppard is just one of the names on London's most renowned street for high-end tailors.

Alongside Gieves & Hawkes, Dege & Skinner, Henry Poole & Co and others, tailors on 'the Row' have been dressing royalty, aristocrats, statesmen, great warriors and the wealthy since British dandy Beau Brummel first introduced trousers to fashionable London society at the start of the 19th century.

Behind the fusty facade 'the Row' is attracting a new generation of less exclusive young clientele despite suit prices starting at 3,800 pounds ($5,900) with a combination of client discretion, a subtle online presence and absolute attention to detail and quality.

Anderson & Sheppard had a 2012 turnover of 4 million pounds and growth has been over 13 percent every year since 2009.

A number of other houses on Savile Row have also enjoyed over 10 percent growth in recent years with total revenue for the informal group of suitmakers now estimated to be 30-35 million pounds.

'We're doing very well actually. We've found that business has picked up in the last few years, and we couldn't be busier,' Anderson & Sheppard manager Colin Heywood said as he showed Reuters around the shop.

RENAISSANCE

The renaissance of classic British menswear is a dramatic turn-around for an industry that was left on the ropes by the rise of decent quality ready-to-wear suits and shirts in shops during the 1970s and 1980s.

Clothes that were then dismissed as old fashioned, over-priced and going the way of bowler hats, are now the subject of renewed interest reflected in sartorial blogs and forums from India to the United States.

'We've noticed that we get a lot more younger customers coming in. I think that's particularly the result of the internet. There's so much more written about bespoke tailoring now in books, magazines and online,' Heywood said.

The celebration of Savile Row's handcrafted suits in online forums, top men's magazines and promoted by its own association on the Savile Row Bespoke website (www.savilerowbespoke.com) has allowed tailors on the Row to make a centuries-old tradition irresistible to well-off modern men seeking top quality.

'People find it a lot more accessible and I think it takes away that fear element of people coming in for the first time,' Heywood said.

One customer, 38-year-old James Massey who runs a public relations firm, said a bespoke suit was impossible to match.

'I could probably go and spend the same amount of money in Selfridges on a Zegna suit that's made in a factory in Italy with a bit of handstitching, but this is actually made specifically for me,' he said.

Dylan Jones, editor at GQ UK, puts the renaissance of British tailoring down to the way men now shop for clothes.

'It's a generational shift. Men today consume far more like women. They're far more sophisticated consumers than they used to be and they expect very good produce at every entry level,' he said.

'Menswear is starting to approach 50 percent of a lot of people's business. It's a real growth industry.'

Savile Row is particularly popular in international circles where the classic British look is increasingly fashionable.

'One thing that plays fantastically well with foreign press and buyers is the heritage aspect of what we do and there is so much interest in Savile Row,' Jones said, referring to the events he runs as chair of the menswear committee for the British Fashion Council.

Within this overall growth market where men are spending more on clothes and demanding higher quality, Savile Row remains uniquely placed in a global industry which luxury consultants Bain & Company estimated was worth more than $34 billion in an October 2012 note.

'London is the home of menswear. We invented the suit and Savile Row is the most important men's shopping street in the world which offers a quality and aspect of heritage that you simply can't get anywhere else,' Jones said.

COTTAGE INDUSTRY

While big fashion brands such as Tom Ford, Dior, and Paul Smith, invest heavily in marketing, distribution and staff, Savile Row tailors remain a cottage industry employing only a few dozen people who produce suits on site.

With fewer overheads and an international reputation from generations of suit-making which does not cost a penny in advertising, Savile Row is a surprisingly competitive and durable business model.

'Any of these big fashion brands will have a much bigger mark-up than the Savile Row tailors. No one goes into bespoke tailoring to get rich,' said James Harvey-Kelly the menswear designer for French brand Vicomte A who also runs his own made-to-measure company.

'The quality is sensational and that's what Savile Row trades off. They use sensational cloths and its sewn together by absolute experts. They last for generations.'

On the other side of Piccadilly the manager of traditional shirtmaker Budd, Andrew Rowland, said his company was reaping rewards for sticking by its principles through the tough times.

'We've never done anything different, but the others have weakened,' he said in the cosy shop just off Jermyn Street above which bespoke shirts are still scissored by hand.

Jermyn Street used to be the home of London's bespoke shirt-making industry, but many of the old stores such as T.M. Lewin and Hawes & Curtis expanded into mass sales, pushing down the price by producing shirts in Vietnam and Turkey.

One long-term customer is British actor Edward Fox, who played the title role in 'Day of the Jackal'. Before sitting down to a cup of tea with Rowland, he explained why he has been coming back for 55 years.

'This is a Budd shirt. It must be at least 10 years old. Just as good today as it was 10 years ago. You don't actually have to spend that much on clothes, you have to look after clothes and you have to buy well originally'.

However, traditional tailoring is not always ideal for more design-conscious people, according to Harvey-Kelly.

'Everything for them (Savile Row) is about it falling perfectly with no creases. But in the modern day people sometimes want it to look a bit uncomfortable. They want it to be slim and curl on the sleeve and a lot of tailors refuse to do that'.

Heywood at Anderson & Sheppard when asked about modern fashion trends said he had noticed a 'slight lean towards narrower trousers'.

'We're not fashion-led. Fashions change very quickly and what we like to do is create a suit that's a timeless classic that you can wear in any decade'.

(Reporting by Stephen Eisenhammer)