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The buzz his outré designers create around loss-making catwalk collections (Mr Galliano's latest show clad models in tea bags and straitjackets) generates follow-on sales of highly profitable accessories, from bags to scents.
If all those moneylosing Cavaliers weren't being sold, Delphi wouldn't be selling all those profitable accessories.; It would be nice to make money on the basic car.
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But just as Apple uses the iTunes store to drive sales of high-margin iPods, ShockHound is trying to use MP3s to help sell the kind of profitable band T-shirts accessoriesrits it carries in stores.
A Circuit City rival, the RadioShack Corporation, said today that December sales at stores open at least a year fell 2percentthoughugh demand for more-profitable parts, batteries and accessories rose.
She said the accessories business was profitable but would not give details of the financial performance.
Accessories are more profitable than apparel because they do not have the same sizing and fitting requirements.
And as sensationally profitable as categories like cosmetics and accessories can be, most luxury houses have at least one other blockbuster that is a deep, proficient well of cash.
Accessories are even more profitable: a $75 Gucci necktie might cost Saks $29 to buy and $13 to make a 475% jump.
Mr. Mooney and his team made being a princess both hip and profitable: the Disney Princess line of costumes and accessories will earn $2 billion this year in retail sales and spawned a series of princess-related events at Disney's theme parks.
"We have already been very active in expanding the accessories business, and it's already very profitable for us," Mr. Sälzer said.
The brand's creative director, Marc Jacobs, has worked with Stephen Sprouse and Takashi Murakami (to name but two) on accessories, all of which have raised its profile and turned out to be profitable, too.
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