Four years later, what has become of the brand? For the last 2 years its results have been bad. Sales fell by 16% in 2009, net income is at 8.7% of turnover. Everyone talks about the impact of the crisis. But the truth lies elsewhere: Since 1999 the brand has seen its turnover, with the same sales surface, grow only once, in 2006! This means that there have been two tendencies: Growth in overall sales and a fall in sales at existing stores. Abercrombie & Fitch thus grows, but by persistently opening new stores. The opening of the store in Tokyo in 2009, followed by Copenhagen in 2010 and the eagerly awaited store in France in 2011 are part of this strategy. As their folders say: "The Company's Growth Strategy relies on the Addition of New Stores” (10K form March 2009). One may also note that some press releases from the brand "drown" these results in the overall results that are overwhelmingly positive due to the opening of new stores.
This confirms my analysis of the brand: a brand that has been built on a marketing concept (combination Sex / frustration / desire), extremely well exploited and implemented ... but with a dearth of interesting products (casual classics that Gap has built on over the years ..). Customers enter, attracted by the place, the atmosphere, the desire to own one of the brand’s products, to be part of this rather unique "experience" ... then do not return. We are far removed from the power of a brand developed 30 years ago with the same concept: Calvin Klein. The future of the brand, it seems, has been compromised.