PVH Corp. is the parent company of PVH Retail Stores, Inc., which wholly owns PVH gTLD Holdings LLC
Mission and Purpose of .CALVINKLEIN Calvin Klein, Inc. ("Calvin Klein") is a leading fashion design and marketing studio, serving the needs of global consumers with stores in multiple countries. Calvin Klein products are available for purchase online in the United States. Calvin Klein's online... Read more
Mission and Purpose of .CALVINKLEIN
Calvin Klein, Inc. ("Calvin Klein") is a leading fashion design and marketing studio, serving the needs of global consumers with stores in multiple countries. Calvin Klein products are available for purchase online in the United States. Calvin Klein's online content is viewable in the .COM gTLD and also in the .DE, .EU, .NL, and .TV ccTLDs. In order to apply for the .CALVINKLEIN gTLD, PVH Retail Stores, Inc. ("PVH Retail Stores"), a sister company to Calvin Klein, has created a wholly owned subsidiary, PVH gTLD Holdings LLC ("PVH gTLD Holdings") as the entity to file this application and bring the .CALVINKLEIN gTLD to market. Both PVH Retail Stores and Calvin Klein are wholly owned subsidiaries of PVH Corp.
Calvin Klein designs and markets womenʹs and menʹs designer collection apparel and a range of other products that are manufactured and marketed through an extensive network of licensing agreements and other arrangements worldwide. Brands include Calvin Klein Collection, ck Calvin Klein, Calvin Klein, Calvin Klein Jeans, and Calvin Klein Underwear. Worldwide retail sales of products sold under the Calvin Klein brands were approximately $6.7 billion in 2010. In 2010, over $300 million was spent globally in connection with the advertisement, marketing, and promotion of the Calvin Klein brands and products sold.
Calvin Klein will be analyzing and evaluating other .BRAND gTLD applications as well as general market adoption to determine short- and long-term potential best-in-class use case options to most effectively serve and enhance Calvin Klein's online strategy.
The intended future mission and purpose of the .CALVINKLEIN gTLD is to serve as a trusted and intuitive namespace provided by PVH gTLD Holdings for Calvin Klein and its consumers. However, PVH gTLD Holdings is primarily filing this application on behalf of Calvin Klein in ICANN's first round for precautionary reasons given the uncertainty regarding when ICANN will be opening a second round. Therefore, although PVH gTLD Holdings is committed to moving forward with the .CALVINKLEIN gTLD application, to date there has not been enough time, and currently there is not enough market information available, to fully analyze and evaluate all potential use case options.
Although ICANN has not specifically recognized a .BRAND gTLD specification in the current version of the Applicant Guidebook, it is widely anticipated within the brand-owner community that this will become a specialty subset of gTLDs. The .CALVINKLEIN gTLD is planned as a .BRAND gTLD, with the goal of protecting Calvin Klein's online presence and identity; expanding its marketing and promotion efforts; providing a secure channel for online products and services; and offering a platform through which to consolidate many of the intellectual property activities of Calvin Klein.
PVH gTLD Holdings intends to initially limit registration and use of domain names within the .CALVINKLEIN gTLD to Calvin Klein and its qualified subsidiaries and affiliates. This initial limited use will allow PVH gTLD Holdings to establish its operations and achieve full sustainability. This limited distribution coupled with the other requirements set forth in Specification 9 of the template Registry Agreement is intended to exempt PVH gTLD Holdings from its annual Code of Conduct Compliance requirements.
After Stage 3 (see below), PVH gTLD Holdings and Calvin Klein will evaluate whether opportunities exist to carry out the business strategy for the gTLD through expansion that continues the registry's sustainable operations through fee-based registrations to parties other than Calvin Klein and its qualified subsidiaries and affiliates.
PVH gTLD Holdings currently plans a four-stage rollout for the .CALVINKLEIN gTLD:
Stage 1: The initial stage of implementation of the gTLD will involve Calvin Klein registering a limited number of .CALVINKLEIN second-level domain names.
This initial use will provide Calvin Klein's IT and security personnel the time to run a number of tests to ensure seamless and secure access using the .CALVINKLEIN gTLD domain names, interoperability with various software and Web-based applications, and unbroken and secure use of all names. This initial allocation will also allow the appropriate PVH Corp and Calvin Klein staff to coordinate with the internal and external staff responsible for the delegation and setup phases of the .CALVINKLEIN gTLD to ensure a proper transition from delegation to full operation.
Stage 2: Once all testing has been successfully completed, PVH gTLD Holdings will begin allocating domain names in the .CALVINKLEIN gTLD to Calvin Klein and its qualified subsidiaries and affiliates for more widespread internal corporate use. During this same period of time, Calvin Klein will begin evaluating strategies to potentially migrate traffic away from its current patchwork network of second-level domain names, which are registered in a variety of TLDs, to the .CALVINKLEIN gTLD.
It is in Stage 2 that Calvin Klein will evaluate expanding the operations of the .CALVINKLEIN gTLD to permit registration by other registrants such as select licensees and/or strategic partners. Should an assessment of its expansion strategy lead to a decision to extend registration rights to other parties, this expansion is currently planned to take place during Stage 3. However, any expansion would be conditioned upon a review of Specification 9 (Registry Code of Conduct) set forth in the template Registry Agreement to ensure compliance with PVH gTLD Holdings' business model.
Stage 3: The third stage is planned to implement the permanent migration of Internet traffic away from the TLDs in which Calvin Klein's domain names are currently registered, and toward the .CALVINKLEIN gTLD, if that is the conclusion of the evaluation as described in Stage 2. It is in this stage that PVH gTLD Holdings may also implement Calvin Klein's decision to extend registration rights to select licensees and/or strategic partners, depending upon compliance with Specification 9 as noted above. The dates of such expansion are subject to change depending upon business, strategic, and industry factors at the time.
After consideration of the following factors: analysis of Calvin Klein's existing domain name portfolio; internal analysis of marketing initiatives; and the fact that Calvin Klein will have full control over the number of registrations in the .CALVINKLEIN gTLD namespace, PVH gTLD Holdings is confident that the number of domain name registrations will be less than 10,000 in the first five years of operation.
Stage 4: Based on its experience with any expansion implemented in Stage 3, PVH gTLD Holdings and Calvin Klein will assess whether the business plan and expansion strategy should be augmented by extending registration rights to a broader class of licensees, including potential customers of Calvin Klein. It is anticipated by Calvin Klein that changes to the domain name industry, and particularly the impact of .BRAND gTLDs, will take at least five years to be realized and assessed. Any decision to expand the gTLDs beyond corporate, qualified subsidiary and affiliate, and licensee use will take into account this experience as well as the technical analysis of potential expansion.
The potential use of the .CALVINKLEIN gTLD by Calvin Klein or PVH Corp's other business segments will also be driven by Calvin Klein's future business strategies as identified in the annual report and investor filings of PVH Corp, see http://pvh.com/investor_relations.aspx.
Utilizing current projections based upon Calvin Klein's existing businesses, future business plans, current domain name portfolio, and other strategic factors, Calvin Klein estimates second-level domain name registrations to be in line with the projections set forth in the response to Question 46 of this application.×