A&F Clothes With Logo Are Coming Back Again.
Since the second half of last year, the clothing brand A&F of the United States seems to have fallen into a crazy adjustment strategy.
From announcing the reduction or removal of the classic brand Logo to the abandonment of naked men's marketing strategy, A&F seems to be in a bit of a hurry when confronted with the new generation of young consumers. It seems that they have not figuring out what they want or what consumers want.
In August 2014, A&F announced its plan to remove clothing Logo.
Recently, however, it went back on its word.
The US clothing brand, which once targeted young people, continued to suffer pains in the first quarter of this year. Net profit fell by nearly $63 million 200 thousand, almost three times that of last year.
In such a severe situation, Arthur C.Martinez, chairman of A&F's board of directors, has noticed that brand logo is showing some positive signs, and it may become a life-saving straw for consumers.
"We will use some details to show that products with Logo have better quality.
Logo will be very small, not so easy to see, it will not appear on the chest, but with
Logo
The products will be very important. "
Martinez said to the women's wear daily, which indicates that A&F will return to the old way in another way.
Will consumers really change so much in just a few months? In fact, when Logo CEO Michael Jeffries, who left the office at the end of last year, was under the pressure of board pressure, at that time, A&F claimed that she had noticed that children on campus had rarely worn clothes with Logo.
In the past, children wearing Abercrombie or A&F logo clothes were always the most popular group on campus, but logo was gradually losing their appeal.
But now, A&F says, the millennials are spending their money on electronic products because they spend all their money on electronic products, which is the meaning of Logo.
Therefore, Martinez shows that the decision taken by former CEO Jeffries to remove Logo is an "overreaction" behavior.
Although the company is now actively helping the new chairman of Abercrombie & Fitch, Abercrombie children's wear, Christos Angelides and Hollister's chairman Fran Horowitz to find new horizons in design and sales, but for the A&F whose performance continues to decline, Martinez believes that it is much safer to stabilize the situation than to be eager to change.
But in fact, the elk, which was taken away by the Forever 21 and H&M parity brands, has never considered its own price disadvantage.
In the analysis of New York guest in August last year, A&F was pointed out that the crux of its real failure is that it patronized its location and Logo, and ignored the fact that the fast fashion brands such as H&M can provide clothes similar to A&F, but the price is too low.
What people may care about is not Logo at all.
This is probably also true.
A&F
Now, the reason for the decision to go back is that it has finally found out that it was not logo.
So they took the blame elsewhere.
According to the report of Business Insider, in the recent A&F investor conference call, A&F announced that its brand Abercrombie will face repositioning of target consumers, and it will no longer care about young people's ideas.
The shift in strategy is also under pressure from declining sales.
Abercrombie, once a major consumer of high school students, is now pursuing a more fashionable and mature design, instead of targeting college students and graduate students.
"But it will not be as big as 35."
Martinez added.
This is the main retail dealer in the youth market for the first time in ten years to pform older consumers.
"The aim is to speed up the separation of its brand, Abercrombie will be pformed into a more high-end brand, and Hollister will become a member of fast fashion."
A&F's chief operating officer and chief financial officer, Jonathan Ramsden, told Bloomberg last year.
With the goal
customer
The new brand marketing plan will also meet with the public this autumn.
A&F said it will create a brand new image to refresh consumers.
This sounds like a more dangerous decision than removing or restoring logo, because the company is paying a lot of energy and financial resources to change all links from product production to market image. Once it fails, A&F is likely to accumulate.
But A&F says these are the results of looking before you leap.
"In the current situation, the two CEO of Hollister and Abercrombie are actively and effectively changing the direction of business. Although it is impossible for CEO to exist forever, we always focus on making the most correct decisions, not the fastest decisions."
Martinez said.
But these words are obviously not convincing.
A&F is learning what can resonate with millennial consumers, but you mustn't expect them to reverse their profits and losses when they return to school in July this year, according to the women's wear daily.
In addition, Abercrombie and Hollister will also start new explorations in channels.
The former has already tried camp on the Asos.com website, and the latter is about to start a Asos tour.
Things were done quite well, but the data did not look good.
As of May 2nd, A&F's overall net sales fell 13.7% to 710 million US dollars.
Abercrombie store sales fell 9%, while Hollister fell 6%.
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