Coach sells its products through the direct-to-consumer sales as well as through wholesalers. The direct channel takes up for the majority of sales. Because the majority of the company’s sales come through business-to-consumer channels, the buyer power from such wholesalers as Naiman Marcus, Nordstroms or Sak’s is severely constraint. With that in consideration, there is an important amount of buyer power that comes from Coach’s direct to consumer sales channels. The firm, despite targeting themselves as “accessible luxury,” they are considered a luxury brand at the same time and no matter the company’s long-standing reputation, the products stay at a highly discretionary priced item. This exposes the company to different effects when discretionary
