The American brand is closing flagships in Paris, Brussels, London, Madrid, and Munich.
American casualwear brand Abercrombie & Fitch continues its campaign to optimize its business. Over the next month, the company will close its flagship stores in Paris, Brussels, and other world capitals to reduce costs and focus on developing smaller format stores.
Belgium's flagship Abercrombie & Fitch has already had a warning that the store will be permanently closed on January 9, 2021, after almost ten years of operation. The Retail Detail recalls that before opening their flagship in Brussels in 2011, the company selected employees through a modeling agency. But now, the brand is forced to cut costs to survive in the market.
Abercrombie & Fitch has been losing customers and revenues for the past five years. The brand is losing the fight for customers to fast-growing competitors Uniqlo and Superdry and the leaders of the world market of casual clothing, Zara and H&M, which won due to lower prices.
The company recently officially confirmed the impending closure of its flagship on the Champs-Elysees in Paris. It was also reported that the company would withdraw from its large-format retail spaces in London, Madrid, Munich, and Fukuoka. The company under the management of Abercrombie & Fitch has more than 300 stores, 250 of which are concentrated in the U.S., and 540 stores under the brand Hollister.
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16 DECEMBER 2020, USA