FITCHABERCROMBIE & FITCH

Stacy McQueenSarah HopkinsRachel CoburnCori GibsonCristina VillarrealYuan Yuan Tian

Discrimination Racial:  regard as offensive, insensitive, degrading, and an

extremely disheartening portrayal of Asian Pacific American stereotypes by APA community at Stanford UniversityWok and bowl, Pizza Dojo: Eat-in or Wok-outBuddha Bash1982 dragon womenWong brothers laundry service

Regional : “It’s all relative in West Virginia.” Gender : “Who needs brains when you have these”

“Available for parties” “I had a nightmare I was a brunette.” (girlcott)

Sweat shop: sweatshop hall of shame Lawsuit of fragrance “Fierce” with  Beyoncé Knowles Sex implication: A&F Quarterly “XXX”, Christmas Field Guide;

humor tees

Socio-Cultural IssuesFitch

2002-Asian themed t-

shirts2003-

boycott over

catalog2004-

Virginia t-shirts

2005-“girlcott” 2009-lawsuit about

“Fierce”2009-humor tees

The younger consumers who purchase the clothing from Fitch will have an annual household income between $5,000-$25,000

These consumers are just starting out in the work force or are in college and will not have a lot of money to spend on expensive clothes.

The consumers are a single family household with no children to raise or support.

The Fitch consumers live in large cities or close by to a large city The young adults have a fun and fast paced lifestyle who enjoy

splurging on luxurious items without paying the full price. They do spend the majority of their income on the necessities but enjoy purchasing stylish clothing at a reasonable price.

The Fitch consumers have an exciting personality and enjoy trying out new styles and fashions.

The women who wear Fitch’s clothing have a keen fashion sense and enjoy looking their best at all times. The men who wear Fitch’s clothing enjoy looking their best at work and at social settings.

Fitch’s stylish and reasonable priced clothing will attract many homosexual men.

Consumer Group ReportFitch

Global Sourcing Strategy Purchase

merchandise from 209 vendors , from 37 countries, mostly from Asia and South Africa.

Never source more than 5% of merchandise from single factory or supplier.

Purchases are settled in US dollars

Company utilize both office and field employees to monitor the quality.

Fast Fashion Strategy Introducing the

new fast fashion brand “Fitch”.

Plan to launch 9,000 new designs each year.

Clothing are mostly manufactured in low cost countries like Bangladesh and China .

By using vertically integrated model to increase efficiency and replenishment.

Industry TrendsFitch

Fitch brand offers casual wear for young men and women

High school graduates-college students On a fixed income or still receive

financial help from parents Fashion savvy, fun, busy lifestyles High awareness of current trends Spend majority of disposable income on

utilitarian needs

Target MarketFitch

Sex: Male & Female Age: 18-24 Race: Varies Income: Fixed $5000-$20,000 Marital Status: Single Home Ownership: Renting Employment Status: Student/Part Time

Demographic ProfileFitch

Forever 21- Mass fast fashion leader

Wet Seal-Low Price Leader

Charlotte Russe-Fast fashion follower

H&M-Luxury fast fashion leader

Urban Outfitters-Funky fashion leader

Fitch Competition

Core Benefit Fast Fashion Provide merchandise in most current trends and make available before or right at demand

Basic Product Quality of merchandise Clothing and accessories are held to a high standard of quality

Expected Product Availability of merchandise

The merchandise is available in stores as well as the internet making the product easy to access.

Augmented Product Shoe and boot lineRealistic store setting

The merchandise expands past clothing and simple accessories into footwear.

Potential Product Versatility in style Offer variety of products and accessories that are unique to all different styles and preferences.

Brand Value HierarchyFitch

Fitch The new name of the fast fashion chain store from Abercrombie &

Fitch that provides affordable fashion for the masses while having the same aesthetics as the original Abercrombie & Fitch.

Provides faster and more affordable fashion by changing the main manufacturer location from Sri Lanka to China.

Rather than having the iconic “A&F moose” as the emblem on garments, the new icon would be a canoe. The canoe would still be in relation to the original A&F since it does go along with the “rugged outdoors” theme.

We would plan to have at least 9,000 new designs every year to firmly establish our fast fashion motives. Along with new designs we plan to open at least 35 stores in the first year of establishment.

Brand NameFitch

What’s the story?

The Fitch IconThe Fitch icon is the canoe. This logo is derived from some scenic aesthetics and inspiration Abercrombie and Fitch incorporated in their stores. This is to show the inner roots of Fitch and how it is still very much part of A&F.The canoe will be shown on all kinds of various apparel items such as tees and tops for men and women, purses and shoes. The icon will only be measure to 2X2 on apparel items so it will be somewhat similar to the size of the A&F moose. The canoe shows the overall theme and the key inspiration piece; apparel meant for the modern young shopper for any occasion but still keeping its heritage quality alive.

Cotton

Mixing & Matching Brand Elements

Champion

Denim

Graphic Tee Colors

Kennedy Colors for Linen Shirts and Vests

Linen Pants

Spring 2012

SerendipityPolyeste

r Prints for the Floral dress

Button down shirt

Legacy Collection

Cotton

¾ Sweater

Scoop Neck

Mixing & Matching Brand Elements

INTERNALEXTERNAL

Strengths Trendy store layout 9,000 styles per year Attractive brand image Inviting store atmosphere to

our specific target market High brand awareness

Weaknesses Brand recognition could be

confusing to customer compared to the parent name

Quick inventory system Repetition of merchandise &

product lines

Opportunities Product extensions Expand not only further in the U.S.

but to international countries as well

E-commerce business opportunity

Threats Few competitors, accessible

to competition Rising cost of raw materials,

commodity prices Competing against well-

known companies in which customers may already have brand loyalty to

May be complications with international trade regulations

SWOT Analysis Fitch

Transitory

Durable

Budget Moderate

Brand Positioning

For students and new graduates, They are trend savvy consumers who regard fashion is an

essential part of their lives. They require high quality of the product with a lower price

point. They enjoy social shopping and new technology.

Fitch is catered to fit all these needs, Fitch offers not only sophisticated style but also casual style

and with a large number of selection and frequent replenishment.

Fitch maintains high quality standard for the product by controlling the whole production process.

Fitch enable consumer to see their friends’ shopping lists and reviews for the product.

Fitch create more accessibility by using the mobile technology. Fitch has high level of brand awareness.

Brand Position: Important

• Fitch’s benefit is affordable because the brand is striving to offer high fashion products to consumers that have moderate or low disposable income.

Our customer are still in school or just graduated, and most of them have a low fixed income or still receive financial help from their parents.

Most of their disposable income are spent on satisfying utilitarian needs but still enjoy fashion goods.

Different from other fashion brands, Fitch offer wide variety of stylish items with a affordable price.

By utilizing vertical integrated business model, Fitch is able to source the high quality material for the product with a low cost.

Brand Position: Affordable

Champion Kennedy Serendipity

Legacy Collection

Cotton graphic Tees

Linen button-down shirts

Tube top print dress

A-line dress

Cotton button-down collar shirts

Vests Polyester floral dress

Scoop neck shirt

Classic khaki/denim shorts

Linen pants Boyfriend tees

¾ Sweater

Jeans (classic, skinny, boot)

Classic fit cotton slacks

Classic button-down collar shirt

Denim skirt

Flip flops, sandals

Loafers Sandals Ballet flats

Prod

uct

Leng

thProduct Depth=20Average Product Length *Product Width=20/4=5

Merchandising StrategyProduct Mix: Fitch

Product Channel Image• Sophisticated style

with a budget price.• Wide range of

choices with frequently replenishments.

• High product quality by controlling the whole production process.

• Vertical integrated channel from manufacturer to sales floor.

• Develop social network system to create social shopping.

• Launch mobile application to increase accessibility.

• Healthy positive brand image by using more realistic models with a school/work relevant theme.

Differentiation Tools

Salience-•Brand awareness: Fitch offers the right merchandise, at the right time for the right price. It is above all its competitors by insuring the best products possible.•Positive experiences with the merchandise are key to extending the brand awareness within the target market due to the fact this particular group is highly social and like to share their fashion forward lifestyles.

Performance-•Primary characteristics: Quality fast fashion clothing and accessories.•Reliability: The merchandise produced and sold is held to high standards to ensure quality and product satisfaction.•Price: Merchandise offered at lowest possible price for the superior quality.

Imagery-•User profile: Consumers are males and females ranging in age from 18 to 26 who are high school graduates and college students.•Purchase and usage situations: For individuals who spend the bulk of their income on utilitarian products and receive financial support from parents.•Brand personality: High quality fashion that is always current while still keeping with it’s roots with the rugged outdoors theme shown by the décor of the stores and with the image of the canoe on the clothing.

Salience

Brand Performance

Brand Imagery

Consumer Based Branding Equity

**Increasing Sales** Fitch will design a rewards program to enhance brand

loyalty through mass email and direct mail. Rewards will provide varied discount on all merchandise

Encourage more spending online The more you spend the less the shipping fee.

Utilize a database of consumers who are frequent shoppers. Notify repeat spenders of new arrivals.

Offer “trend of the month” via online store. Enhance product lines by utilizing Facebook uploads &

testimonials to interactive page Offer track a package on interactive smart phone

application.

Increasing Brand Knowledge

Fitch will promote its brand with several tactics: Print ads-Cosmopolitan, Seventeen, Teen

Vogue Banner Ads Facebook ads Models Direct Advertising-Mass email

Fashion Shows Customers will learn about upcoming products

for new arrivals.