ABERCROMBIE & FITCH CO.

AGENDA

Company Overview Business Description History Industry and competitors Unique Sales strategy

COMPANY OVERVIEW

Specialty retailer that sales casual apparel Operates under 5 brands: Abercrombie & Fitch, Abercrombie Kids, Hollister and RUEHL and Gilly Hicks: Sydney brands. The company operates in the US, Canada, UK, & ASIA Operates 1045 stores worldwide (February 2012) 80,100 employees

 What

Abercrombie and Fitch brands are you familiar with?

ABERCROMBIE

Established July 1998 7-14-year-old age group Classic cool theme Logo Moose

HOLLISTER CO.
Established July 2000 14-18-year-old schoolers Theme SoCal Logo Seagull

ABERCROMBIE & FITCH

Established June 1892 Targets 18-22 year-old age group 357 stores Theme Casual Luxury Logo Moose

THE RUEHL
Established September 2004 Targets 22-35 year adults Logo French Bulldog

GILLY HICKS: SYDNEY

Established January 2008 Targets 18 and up Logo Koala Theme Australia

HISTORY

David T. Abercrombie established Abercrombie Co. on June 1892 In 1904 wealthy Ezra Fitch became a co-owner In 1909 issued and mailed 50,000 copies of 456-page catalog In 1917 A&F became the largest retailer in NYC that sold sportswear In 2006 A&F opened its first store in Canada, In 2007 first store in UK, 2009 in Asia

INDUSTRY AND COMPETITORS

Retail Industry (Special Lines) 40,000 companies operate 90,000 stores Summarized annual revenue $1.493 billion (2009) Dominance of large companies Slowdown in spending on clothing Labor-intensive industry, high demand for qualified and skilled sales reps Two main sales seasons- fall (main for A&F) and spring

 What

are Abercrombie and Fitch main competitors?

INDUSTRY AND COMPETITORS

The Gap, Inc., Target Corporation Limited Brands American Eagle Outfitters, Inc. Benetton Group SpA

Tommy Hilfiger Corporation Urban Outfitters, Inc. Wet Seal, Inc, The Aeropostale, Inc.

COMPETITION
Abercrombie & Fitch
Established Revenue (billion USD) Number of stores Employees Scope of operation 1892 6.91 1039 80,100 US, Canada, UK

American Eagle The Gap

1904 2.8 697 20,600 US 1969 16 3139 150,000 More than 19 countries

UNIQUE SALES STRATEGY: IMC

High integration of Marketing efforts Recruits high energy brand reps largely from college campuses who dress in A&F Issues subscription catalog A&F Quarterly (350,000 Americans has subscribed) Issues magalogues

UNIQUE SALES STRATEGY

Emphasis on high level of service, quality, brand image

Targets Generation Y Positioning strategy involves the use of overt sexuality advertising appeal

UNIQUE SALES STRATEGY: STORE LAYOUT

comfortable armchairs designed Large photos on the walls extremely loud, energizing trance and dance songs dimmed light unique A&Fs scent in the store

UNIQUE SALES STRATEGY: WEB SITE

Allows to download music, e-post cards Provide useful information, FAQ Shop online Watch Abercrombie TV

THE END