Company Background The brand Abercrombie and Fitch was founded in 1892 by David T Abercrombie Co. The first store was opened in downtown New York City on the waterfront. The focus of the business was on outdoor equipment that was authentic and of high quality. In 1900 a loyal customer called Mr Ezra Fitch became partners with David Abercrombie to invest in the company. This partnership was incorporated in 1904. However Mr Fitch and Mr Abercrombie had different idea’s regarding the company direction and the partnership was dissolved in 1907. Abercrombie continued to work and expanded the company alone. By 1917 the store was based on Madison Avenue and occupied twelve stories. In 1910 womenswear was introduced. In 1928 Abercrombie retired and James Cobb became the president and Otis Guernsey became Vice-president. The business went on to expand further and had many famous customers such as Amelia Earhart. The company ran into trouble following the Second World War and was declared bankrupt in 1977. The company went on to be bought by Oshmans which was a sports chain and in 1988 by The Limited which was a chain of fashion stores. It was transformed from a sporting store, by ditching sporting goods, into lifestyle clothing brand for young women and men known for high quality merchandise. This change proved very successful as the brand is still in operation today. Target Customer The Abercrombie and Fitch target market is eighteen to twenty two years old; it is aimed at both females and males. The brand is targeted at a wealthy clientele as the slogan “Casual Luxury” is used. The price point of the merchandise is slightly higher than that of its competitors and this is what gives the brand its luxury appeal. It is one hundred percent an American brand and this clear in their vision statement. “aspirational, quality, casual, sexy, American classic, driven by our Adirondack and northeast heritage, the Abercrombie & Fitch brand personifies the all-American, collegiate lifestyle; east coast classic heritage with a fun, spirited, wholesome American attitude. Our legacy is a timeless juxtaposition of ivy league traditions and the great outdoors” (Case Study Webb, 2009: 5). The brand sells more than clothing and accessories, it is sells a lifestyle. A lifestyle that many young people aspire to follow and by purchasing the brand items believe or hope to represent.
Marketing Positioning, Marketing and Communications As the target customer is a young female or male between eighteen and twenty two years old the brand has focused its marketing within certain channels to communicate and engage with this group. The brand aims to engage with the customer to be at the forefront of the customer’s mind. The first channel used by the brand is the Abercrombie and Fitch store. The environment within the store and the real life poster boys and girls greeting customers is a direct in person marketing experience. “There is no store that can be everything for everyone. In order to have a clear positioning, a retailer will have to choose which target group it wants to focus on, and with what attributes it wants to differentiate itself primarily from the competition” (Floor, 2006: 63). The loud music, low lighting and young people wash over the customer to incorporate them into the brand. The store also uses models and hopefuls to gain a real life engagement with the customer. Other channels used are through music, literature and the internet. The brand is present on a network called Bebo. Bebo is a social networking website that states it is for the new generation to connect with others while expressing themselves and discovering, all in an engaging and fun environment. The brand is also present on Facebook. The