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Abercrombie Is Making Three Drastic Changes To Lure Back Teens

Aug 29, 2014, 21:35 IST

It's been a tough year for Abercrombie & Fitch.

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The teen apparel maker's same-store sales fell 10% in fiscal 2013, and in the most recent quarter, sales were down 7%.

The company is struggling to lure fickle teen shoppers, who are spending less on apparel than previous generations.

The company is taking three steps to bring back customers. They are:

1. Ditching the logo business. The company said on an earnings call Thursday that its logo business would be reduced to "practically nothing" in North American markets by next spring. This is a seismic change in Abercrombie's business strategy. Loud logos, as pictured below, have been central to the teen apparel maker's fashions for decades.

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The change is already reflected in Abercrombie's fall line. Here are some examples:

2. The company is changing the nightclub aesthetic of its stores to make them more open, light and inviting. Abercrombie is removing the dark shutters (shown below) from its windows to let in more light, turning down the volume on its store music, and cutting back on regimented cologne spritzing inside its stores.

Reuters3. Abercrombie is trying to turn its Hollister brand into a fast fashion retailer, like Zara and Forever 21. The transformation will mean lower prices and more styles for Hollister shoppers. The company is making the transition by beefing up its U.S.-based supply vendors to decrease the turnaround time for new fashions.

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