Abercrombie and Fire
While other retailers have succumbed to incredible growth of online shopping, one store seems to be finding it’s footing, and it’s not one that you would expect.
Abercrombie & Fitch reported only a 1% loss in sales during the last quarter. Upon hearing the news, shares increased by 17% last week.
Hollister helper
The surprisingly stable numbers are largely attributed to their California surfer-centric Hollister chain, which reported a 5% increase in sales.
Though most retailers are closing down stores at a faster rate than ever, Abercrombie has managed to compete with other popular clothing stores, like H&M along with the fiercest competitor of all, Amazon.
Going a new direction
Abercrombie decided to redefine their brand at the beginning of this year with the launch of a new store prototype. Gone are the shirtless man greeters, perfume clouds and awkwardly loud house music.
They want to make a more approachable atmosphere, which if you’ve ever even walked past an Abercrombie, seems the polar opposite of their earlier strategy.
To combat the convenience of online shopping, they decided to focus on what they can offer that a website cannot. The new store prototypes focus on improving the customer experience inside the store instead of simply boosting what they offer online.
One of the major changes they introduced is the “Fitting Room Suite.” They are going back to retail basics by offering a larger suite of fitting rooms where customers can privately try on clothes at the same time. The individual rooms will be divided and can be customized to create a comfortable atmosphere. Customers have control over the lights and sound and can even charge their phones.
Abercrombie is also stepping up their game when it comes to their employees. To turn their once intimidating stores into approachable atmospheres, they are expanding their training programs.
Not out of the woods yet
A prototype store is open in Ohio, with plans to have six more in the U.S. by the end of the year. Even with all of the changes, Abercrombie still faces an uphill battle, as do all retailers.
They have yet to define their brand. Without all their signature features, what makes Abercrombie any different from H&M?
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