Abercrombie Sales Down 13% After First Quarter Due To Backlash
Karma came right back around to bite Abercrombie & Fitch in the ass, as all of this negative press has led to a 13% fall in retail sales for the clothing brand.
It seems as though the brand’s CEO, Mike Jeffries, shot himself in the foot with his comments, from saying he didn’t want fat people wearing his clothes to only wanting “cool, good-looking people” wearing his clothing.
The comments, while from 2006, have haunted Jeffries since they went viral a in the past couple of months.
Abercrobie’s first-quarter sales dwindled, as both Abercrombie & Fitch’s sales and sister brand Hollister’s sales dropped significantly, 13% and 18%, respectively.
“There’s something that is not appealing to customers,” Morningstar analyst Jaime Katz told the New York Daily News.
“They really stick to that Ivy League product, and other teen retailers are doing a better job of staying ahead of fashion trends.”
Abercombie dropped a full 8% on the market on Friday, with shares falling $4.35 throughout the day. At points throughout the day, the stock was down more than 10%.
Being exclusionary does not necessarily promote exclusivity, but rather turns your customers off. Nobody wants to wear a brand that promotes hate.