RETAIL MANAGEMENT

Case study Abercrombie & Fitch and American Eagle Compete for 18-22 Year Olds

Abhigya Srivasatava Raunak Vasandani Binal Kanabar Deepinder Singh Amanjot Babrah Rahul Mathur Anand Bhate

What if any, are the differences in A&Fs and AEs retail strategies?
College students and High school students Age group ( 18 22)

Target Group

Pricing

Opening more stores in target market areas and increasing operational hours of the store The most expensive brand amongst its competitors

Brand concept Initiatives

Hollister low priced apparels Ruehl No.925 (22-35 post grads) Gilly Hicks lingerie for women

American Eagle
Target Group Brand concept initiatives Pricing
Young adults Teens

Opened new brand store Martin+Osa for(28-40yrs) 77kids (Children) Aeire lingerie for women

Having the latest designs The lowest prices as compared to its competitors

There is no significant difference within two bands. At the time of A&F inception it targeted towards hunting, fishing, and camping goods but later as it lost interest of consumers it repositioned itself to target both men and women in the teen and college market American also focused upon outfitters when it started but later AE shifted its focus to High school and college going students. Currently both the brands are working on a similar strategy except for the price.

The ad here is especially for the teenagers who want to fashionable and trendy within small pocket size

A&F uses more of a black and white theme which gives a classy effect to the brand and it also does not talk about what the product is offering

The store design & layout are of a typically premium apparel brand there is proper display of merchandise & no exclusivity in the store interior.

A&F gives a completely new experience with loud music, hit pop songs (lounge effect) this gives you a feeling of some exclusiveness

What are the brand images of A&F and AE. What words & phrases are associated with these brand names?

The Abercrombie & Fitch brand image is heavily promoted as an international nearluxury lifestyle defining concept. They generally locate their store with close proximities to up-scale retailer like Prada .

American Eagle defines its brand image as being more fun loving and fashionable within budget constraints of the target audience
They locate their store in suburban area within the middle class target market. All the apparel and accessories at both chains appear under the stores private-label brand

High A&F Worth AE Loyalty Low

High

Low

Brand Personality

BRAND AWARENESS

WORDS &PHRASES ASSOCIATED

Its like I really have to have Abercrombie. Sexy , classic, Luxurious,

For special occasions.

They look the same & the both are really cute but

American eagle prices are a little cheaper Fun loving, casual , trendy, youthfulness.

List the other specialty apparels retailers that target same customers as A&F and A&E? How do these brands differentiate themselves in the competitive retail environment?

Forever 21 H&M

Pac sun

Which retailers has the stronger competitive position ?

This fast fashion system depends on a constant exchange of information throughout every part of Zara's supply chain from customers to store managers, from store managers to market specialists and designers, from designers to production staff, from buyers to subcontractors, from warehouse managers to distributors, and so on

Every consumer who is loyal customer of Zara visits 18 times a year

Due to Zaras responsive supply it has gained competitive advantage. Faster Inventory turnover cycle.