FitchAbercrombie & Fitch Stacy McQueen Sarah Hopkins Rachel Coburn Cori Gibson Cristina Villarreal Yuan YuanTian
Socio-Cultural Issues Fitch • Discrimination • Racial: regard as offensive, insensitive, degrading, and an extremely disheartening portrayal of Asian Pacific American stereotypes by APA community at Stanford University • Wok and bowl, Pizza Dojo: Eat-in or Wok-out • Buddha Bash • 1982 dragon women • Wong 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
Consumer Group Report Fitch • 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.
Industry Trends Fitch • 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. • 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.
Target Market Fitch • 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
Demographic Profile Fitch • Sex: Male & Female • Age: 18-24 • Race: Varies • Income: Fixed $5000-$20,000 • Marital Status: Single • Home Ownership: Renting • Employment Status: Student/Part Time
Fitch Competition 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
Brand Value Hierarchy Fitch
Brand Name Fitch • 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.
The Fitch Icon The 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.
Mixing & Matching Brand Elements Spring 2012 Kennedy Champion Cotton Graphic Tee Colors Colors for Linen Shirts and Vests Denim Linen Pants
Mixing & Matching Brand Elements Serendipity Legacy Collection Polyester Prints for the Floral dress Cotton Scoop Neck Button down shirt ¾ Sweater
SWOT Analysis Fitch
Brand Positioning Durable Moderate Budget Transitory
Brand Position: Important • 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: Affordable • 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.
Merchandising Strategy Product Mix: Fitch Product Depth=20 Average Product Length *Product Width=20/4=5 Product Length
Consumer Based Branding Equity • 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. Brand Performance Brand Imagery
**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.