The company exclusively sold handbags at first, but soon expanded to clothing, jewelry, shoes, stationery, eyewear, baby items, fragrances, and gifts. In 1996, the Kate Spade brand opened its first boutique, a 400-square-foot (37 m) shop in Manhattan's trendy SoHo district, and moved its headquarters into a 10,000-square-foot (930 m) space in West 25th Street.
In 1996, the CFDA awarded Spade "America's New Fashion Talent in Accessories" for her classic designs. In 1998, the organization again honored her for "Best Accessory Designer of the Year".