Friday, October 14, 2011

Chapter 15: Retailing

Abercrombie & Fitch is a prime example of retailing mainly because it is a retail store. The store itself falls under the category of a chain store as well as the other stores that fall under the company’s general umbrella. There has been discussion about franchising and many people have been interested in opening Abercrombie & Fitch franchise stores but Mike Jefferies, the company CEO has decided that in order to ensure the consumer has the Abercrombie & Fitch experience, all stores should be run by the company in every aspect. In terms of service I would have to say from experience that Abercrombie & Fitch falls in between full service and self service. There are sales associates located all around the store to help the customers find sizes and items. Since the company attracts a lot of European customers, sometimes they expect associates to act as personal shoppers when assisting them, which isn’t something that isn’t done often, so consumers aren’t always receiving the service that they enter the store for.

There’s also a self service part of retailing that Abercrombie & Fitch provides which is their online store. They provide all of their items, including their specialty flagship items and sales items online. They also provide special discounts for online use only to give those that shop online the best deals. Within the last year Abercrombie & Fitch has also created Apple App for the iPhone for both the Abercrombie & Fitch and Hollister store where consumers can now purchase items on the go straight from their phone, as well as see what items are new and where the closest store location is.

screenshots of the Abercrombie & Fitch App for iPhone

Friday, October 7, 2011

Chapter 6: Consumer Decision Making

Abercrombie & Fitch over the years has used perception to get consumers to make purchases. They brand themselves as being this casual luxury clothing line and the people that buy truly do perceive it as that. I remember being in High School and seeing the girls I thought to be "cooler than me" all wearing Abercrombie & Fitch which led me to believe that if I wore that specific brand I too would be cooler. Of course non of that was needed to actually make me any more of a popular person, but after discovering the brand and seeing how well their jeans fit and how comfortable the sweatshirts were I continued to shop there. Its the perception of being cool that brings consumers in and the actually clothing itself that keeps consumers coming back. If i felt like that growing up in New York City, i can imagine how High Schoolers in more rural areas feel, places where Abercrombie & Fitch is much more popular..

That has much to do with the reason Abercrombie & Fitch got into a dispute with the cast of the Jersey Shore, when the company offered the cast money to stop wearing the brand. Perception played a big part in that because in the summer of 2010 when Jersey Shore was the biggest thing ever, Abercrombie & Fitch released a set of men's graphics tee shirts using popular Jersey Shore phrases, such as "GTL" because at that time it attracted consumers to have anything Jersey Shore related. Fast forward a year, now societies thoughts on the Jersey Shore cast has changed, and Abercrombie want to distance themselves as much as possible from the cast, even paying them to stop wearing the brand. All because now the company no longer wants to be associated with something seen as trashy and goes against its idea of casual luxury. Its all about making use to give the consumer the best perception at literally any cost.

Tuesday, October 4, 2011

Chapter 5: Developing A Global Vision

Abercrombie & Fitch has actually done a lot globally from recieving exported merchandise from countries in South America and Asia to opening stores all across Europe and Asia. One thing I've seen first hand as an example of the global effect of the company was the pricing and the exchange rate between the US and Europe. Although there are Abercrombie & Fitch stores in London and Milan and Hollister stores located all around Europe, the Abercrombie & Fitch store in New York City attracts a lot of European customers. One reason being the exchange rate between the US dollar and the British pound and the euro. Customers raved about how much money they saved purchasing items in an American store that they would buy many items in bulk. Another reason for a heavy International following is because although Abercrombie & Fitch maybe seen a certain way in this country, internationally they love it. So for people that don't have access to a store where they live they purchase many things in buy for their friends and family back home.

Abercrombie & Fitch also tapped into the globTheal market by choosing to open up stores internationally. Something that greatly helped bring in more business for the company, while providing more internal jobs aside from merchandise production. Opening stores internationally also help get the company name out there and allow people internally access to something that for so long was so limited.


The Abercrombie & Fitch store in Ginza, Japa