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Present the proper way science and
  technology, Gothic production
                                     1
Company History




         Present the proper way science and
           technology, Gothic production
                                              2
Michael Jeffries

                               • Became CEO in 1992

                               • Created the look of
                                 A&F




          Present the proper way science and
            technology, Gothic production
                                                       3
Competition




         Present the proper way science and
           technology, Gothic production
Product Image




         Present the proper way science and
           technology, Gothic production
Controversy as Marketing
Tool ?
•   A&F purposely created controversy and engaged in risky
    practices to attract attention, draw in shoppers, and sell more
    products.

•   A&F doesn’t really care about backing away from
    controversy.

•   “Free Advertising Gig”




                          Present the proper way science and
                                                                      6
                            technology, Gothic production
Diversity Marketing and theory

                    Gothic




          Present the proper way science and
                                               7
            technology, Gothic production
Law Suit Issues:




           Present the proper way science and
                                                8
             technology, Gothic production
Diversity Commitment
•   Increasing and promoting diversity.

•   Recruiting strategy.

•   Managers-in-training are now more racially and ethnically diverse.

•   Supporting organizations that value academic excellence.




                           Present the proper way science and
                                                                         9
                             technology, Gothic production
Recommendations
    Diversity and Ethics




   Present the proper way science and
                                        10
     technology, Gothic production
Financial Operation

              Gothic




    Present the proper way science and
                                         11
      technology, Gothic production
Financial Operation




          Present the proper way science and
                                               12
            technology, Gothic production
Recommendations
   Financial Operation




                         13
Financial Summary


 (Stock price from Jan. 2007 to Apr. 2010)




                                             Present the proper way science and
                                                                                  14
                                               technology, Gothic production
Selling Abilities
•   Same-store sales across all Abercrombie’s                               2009   2008 2007
                                                  Total Comparable Store 
    brands largely decreased                      Sales                     -23% -13%   -1%
                                                     Abercrombie & Fitch    -19% -8%     0%
•                                                      Abercrombie Kids     -23% -19%    0%
    Abercrombie has been reluctant to cut price
                                                           Hollister        -27% -17%   -2%




                                                                                        15
Operating Challenges




                       16
Growth Opportunities




                       17
Target Market and Global
      Brands and Target Markets


              Gothic




                                  18
Brands and Target Markets
Abercrombie: ages 7-14

Hollister Company: high school students

Abercrombie & Fitch: college students




                                          19
Brands and Target Markets




    35 million teens in the United States

    Multiple revenue streams

    No financial obligations
Recommendations
    Target Market




                    21
Marketing

  Gothic




            22
Marketing
Strengths/Opportunities
•   Store Experience: Sight, Smell, and Sound.

•   Product reflects the “All American Look” target market is seeking.

•   Low Advertising Costs: Word-of-Mouth Advertising

•   Controversy creates awareness and free advertising.

•   Clothing is “Aspirational” because of how its portrayed by the
    models/employees/etc.




                                                                         23
Marketing Weaknesses/Threats
•   “Aspirational Pricing” = Broken Business
    Plan

•   Competition: Offering similar if not
    identical products at a fraction of the cost.
     (American Eagle, Gap)

•   Controversy can effect brand name /
    image




                                                    24
Recommendations
     Marketing




                  25
Thank You


            Gothic




                     26

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Abercrombie & fitch

  • 1. Present the proper way science and technology, Gothic production 1
  • 2. Company History Present the proper way science and technology, Gothic production 2
  • 3. Michael Jeffries • Became CEO in 1992 • Created the look of A&F Present the proper way science and technology, Gothic production 3
  • 4. Competition Present the proper way science and technology, Gothic production
  • 5. Product Image Present the proper way science and technology, Gothic production
  • 6. Controversy as Marketing Tool ? • A&F purposely created controversy and engaged in risky practices to attract attention, draw in shoppers, and sell more products. • A&F doesn’t really care about backing away from controversy. • “Free Advertising Gig” Present the proper way science and 6 technology, Gothic production
  • 7. Diversity Marketing and theory Gothic Present the proper way science and 7 technology, Gothic production
  • 8. Law Suit Issues: Present the proper way science and 8 technology, Gothic production
  • 9. Diversity Commitment • Increasing and promoting diversity. • Recruiting strategy. • Managers-in-training are now more racially and ethnically diverse. • Supporting organizations that value academic excellence. Present the proper way science and 9 technology, Gothic production
  • 10. Recommendations Diversity and Ethics Present the proper way science and 10 technology, Gothic production
  • 11. Financial Operation Gothic Present the proper way science and 11 technology, Gothic production
  • 12. Financial Operation Present the proper way science and 12 technology, Gothic production
  • 13. Recommendations Financial Operation 13
  • 14. Financial Summary (Stock price from Jan. 2007 to Apr. 2010) Present the proper way science and 14 technology, Gothic production
  • 15. Selling Abilities • Same-store sales across all Abercrombie’s   2009 2008 2007 Total Comparable Store  brands largely decreased Sales -23% -13% -1% Abercrombie & Fitch -19% -8% 0% • Abercrombie Kids -23% -19% 0% Abercrombie has been reluctant to cut price Hollister -27% -17% -2% 15
  • 18. Target Market and Global Brands and Target Markets Gothic 18
  • 19. Brands and Target Markets Abercrombie: ages 7-14 Hollister Company: high school students Abercrombie & Fitch: college students 19
  • 20. Brands and Target Markets  35 million teens in the United States  Multiple revenue streams  No financial obligations
  • 21. Recommendations Target Market 21
  • 23. Marketing Strengths/Opportunities • Store Experience: Sight, Smell, and Sound. • Product reflects the “All American Look” target market is seeking. • Low Advertising Costs: Word-of-Mouth Advertising • Controversy creates awareness and free advertising. • Clothing is “Aspirational” because of how its portrayed by the models/employees/etc. 23
  • 24. Marketing Weaknesses/Threats • “Aspirational Pricing” = Broken Business Plan • Competition: Offering similar if not identical products at a fraction of the cost. (American Eagle, Gap) • Controversy can effect brand name / image 24
  • 25. Recommendations Marketing 25
  • 26. Thank You Gothic 26