On Thursday, Abercrombie & Fitch surprised the markets with a less-than-stellar earnings report: a 10% decline in sales for its Hollister brand, and 6% for its Abercrombie & Fitch adult clothing division. Its stock price fell as a result, and the company also announced a move away from logo-branded clothing to more fashionable outfits, along with quicker production processes. We can also blame the economy, more aggressive marketing from competitive brands, and other trends that have contributed to declining revenue for older brands.
Aside from dialing down the use of logos on its clothing, what else can A&F do to drive revenue and return as a trendier, more exciting brand to its customers? We have three strategic ideas that have worked with other brands, and if we were executives at the company, we’d aim to do these as soon as possible.