Steven Zale, the award-winning design director of Zalemark, said that by the end of July or in August, his company expects to close on the purchase of the television studio and equipment that once belonged to Gems TV, the home shopping channel that filed for bankruptcy and went off the air this past spring. Zale would not disclose the purchase price.

 

On Septenber 1, Zalemark expects to introduce a new player on the home-shopping scene: LuxTV, which will offer nearly all the Zalemark brands-Demeter, Steven Zale Beverly Hills, B. Smith and Paris Blues (Badgley Mishka and Seventeen jewelry will not be included)-as well as other jewelry lines, at steep discounts both on-air and on the Internet at ShopLuxTV.com.

 

"The whole mantra is to offer luxury brands at smart, discount prices but to maintain a high quality level," said Zale, who is no relation to the family that started the well-known retail chain. "We really want to wow the customer with a great price, a great service and better quality at deep discounted pricing."

 

Though the deeply discounted designer formula sounds similar to the business model of private-sale Web sites, such as Rue La La and Gilt Groupe, Zale said the network's jewelry would be sold in the traditional manner both on-air and online. There will be no private-sale element or reverse-auction format, such as the one that was embraced by Gems TV.

 

Retail price points will start at $79. Zale said other jewelry brands that will be featured on LuxTV include Laura Ashley London as well as new designers that might not meet the "rigorous" financial commitments required to sell their wares on other home shopping networks.

 

Despite the still-shaky economy and competition in the discounted designer goods space, Zale said an experienced core management team, seasoned on-air presenters and its branded product offering will give the station a strong foundation.

 

"We spent a considerable amount of time reviewing all the mistakes Gems TV made," he said, noting that having recognizable brands seemed to work best for the network when it was still on the air.

 

LuxTV Inc. will be a separate company from Zalemark and will have its own president, Matt Chao, who will run the marketing and operations of LuxTV out of Gems TV's former headquarters in Reno, Nev.

 

Zale said the network would reach about 40 million households in all 50 states through distribution on the Dish Network, DIRECTV and myriad cable stations. One specific market the station will target is the Hispanic consumer, a demographic that offers a lot of opportunity to retailers right now, he said.

 

"The Hispanic audience, especially now, really want to buy brands, but [many] brands are so high priced," he said. "This will give them an opportunity to purchase brands."

 

In 2011, LuxTV plans to expand its offerings beyond just jewelry to branded shoes, handbags and ladies' accessories, with a special emphasis on celebrity-endorsed lines. The station also will be holding special sales with celebrity/designer guest hosts to benefit the charity Operation Smile, a children's charity that treats deformities such as cleft lip and cleft palate worldwide.

 

"Through Operation Smile, we will be doing a lot of celebrity-endorsed shows," Zale said.