It’s not easy to successfully shed an outdated brand legacy. It’s even harder to make money during that shift. Abercrombie did both. Kudos, mama! But as a certified hater cultural critic, this article isn’t about that.
Under CEO Fran Horowitz in 2017, the retailer ditched rich preppy teens and started dressing adults with 9-5s, brunch plans, and at least five upcoming weddings. They ran with ahead-of-trend trousers, Reformation-esque dresses, and high-quality denim in cuts that even Gen Z could get behind. By the end of 2021, they’d posted their best quarter since 2008.
Their polished, inclusive identity didn’t pack a crazy amount of personality. But it was cool. We were just happy the clothes fit and they weren’t like, emotional terrorists anymore. Shopping there made you feel like you had your shit together—because they finally got their shit together. But four years later and still no point-of-view to be found… did they really? Or did they just find a smarter way to dress people who still want to look like they belong?
Back-to-back years of ~16% revenue growth in 2023 and 2024 suggest they’ve nailed the formula for casual shoppers who want easy, one-off style solutions. While competitors often incorporate a clear persona or aesthetic lens in their inventory strategy—like Zara, whose small-batch runway knockoffs speak to romantic fashion girlies without Miu Miu money—Abercrombie leans more pragmatic. According to Financial Times, their growth stems from a shift toward “more tailored and core items,” reducing reliance on trends and markdowns.
But CFO Scott Lipesky also points to their ability to chase early wins with vendors, placing orders just weeks out instead of nine months in advance. This strategy supposedly helps them offer both trendy and “timeless” pieces without piles of unsold inventory. Who says a brand can’t have it all?!
Some of their products go for thirty, flirty, and, thriving—while others look no different than your average influencer’s Amazon storefront. The common denominator? It’s safe. Bland. Even the trending pieces are adapted a little too carefully, eradicating any edge in the process.
Using Zara as a comparison again—their polka dot pieces follow a cohesive, flowy theme with dynamic color and form. Abercrombie’s feel more à la carte: mini here, basque waist there, all in black and white.
It’s cutesy. It’s classic. It’s kinda cheap. Funnily enough, this “unbranding” as The Cut’s Chantal Fernandez cleverly calls it in her 2024 article, sells so well because it’s so vague and boring.
“In writing the story, I went to Columbus, and I went to their headquarters and spoke to the chief marketing officer, the chief product officer and asked them, like, what is the aesthetic now? And they really couldn't answer that, and that's the point. The point is to not be pinned down by anything.”
If you close one eye and cock your head, you can kind of see the genius here. After all, they’re laughing all the way to the bank. Plus, their new era has been nothing but praised for its versatility and range. But, come on. One bikini in 21 colors? Just because you can doesn’t mean you should.
Even when Abercrombie gets it right—like with their CurveLove jeans or wedding guest dresses—they lose their luster when surrounded by hundreds of churn pieces. Like $50 bubble-hem tops or array graphic tees whose quirky designs won’t make it past September.
This kind of anemic excess should point to a brand with a short shelf life. But the fact that it doesn’t (yet) might say more about us than them. If we weren’t so quick to accept our own averageness—so ready to embrace the comfort of blending in—we might expect more.
Got similar taste? Consider subscribing
In March, the retailer was proud to report 9% net sales growth in 2024’s Q4 holiday season—showing 16% growth for Hollister (also owned by A&F), and just 2% for Abercrombie. Not terrible, but certainly not 2023’s insane 35% Q4 growth. In the same report, they also warned of weakened margins due to higher freight costs and start-of-year markdowns to clear inventory.
But despite any inventory issues looming under the surface, they remain committed to a weekly drop schedule that feels misaligned with their penchant for sustainability pledges, and is certainly behind the curve when it comes to evolving consumer attitudes about overconsumption. Their customers might have once filled carts with SHEIN hauls—maybe they still do—but now they feel guilty about it. They want fewer, better things. Or at least the illusion of it.
And it’s not about the fact that most of their garments are made with primarily synthetic materials. At this price point, most of us are willing to overlook that, so long as the craftsmanship still feels convincing. Lately, though, that’s been harder to defend, and people are starting to take note.
Today, the retailer reported their official Q1 finances—and even with 8% growth overall compared to last year, Abercrombie sales were down 4%, carried by Hollister’s 22% growth, continuing the trajectory set in Q4. Despite this, plus a $50 million cut in projected earnings for the year, Wall Street reacted with a surge in share prices. I guess that tracks. It’s not the market that threatens their success. It’s their taste.
Always Something is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber.
Writers are better with help from other writers! Huge thanks to for generously giving feedback on an early draft—I’d probably still be weeks away from publishing if it weren’t for her smart insights. If you love merchandising and fashion, you must check out her work.
Speaking of…. if you’re into brands, taste, media, Bravo, overthinking, or just think I seem chill and want to talk shop in general, hit my line!
Sources:
https://www.businessoffashion.com/news/retail/abercrombie-fitch-deepens-retail-gloom-with-tepid-forecast-shares/
https://corporate.abercrombie.com/investors/news-and-events/news/news/?id=25511
https://www.americancentury.com/insights/comeback-kid-the-fall-and-rise-of-abercrombie-and-fitch/
https://www.macrotrends.net/stocks/charts/ANF/abercrombie-fitch/revenue
https://www.annualreports.com/Company/abercrombie-fitch
https://www.npr.org/2024/07/11/nx-s1-5034260/officials-at-abercrombie-fitch-have-been-successful-at-turning-the-business-around
Comments
Nothing yet. Say the first thing.
Sign in to join the conversation.