American lifestyle brand Abercrombie & Fitch will keep its flagship store on 5th Avenue in New York City for at least another year.
American lifestyle brand Abercrombie & Fitch will retain its flagship store on 5th Avenue in New York City for at least another year, Bloomberg reports. Positive news came after the publication of the latest financial report of the company, which recorded an increase in sales. Earlier it was planned that in the middle of 2020, the flagship store would be closed and moved a few blocks south, closer to the store Hollister.
According to Fran Horowitz, CEO of Abercrombie & Fitch, the decision to maintain the flagship store was also influenced by the possibility of signing a short-term lease agreement, which would benefit both parties. Despite this, the brand is gradually abandoning its best locations as consumers increasingly go online.
"It's hard to understand what's going on on on Fifth Avenue, but consumer traffic is still there, and we want to take advantage of those opportunities," said Horowitz. Also, the flagship is part of the brand's digital strategy, allowing it to accept and serve a large number of online orders. Earlier it became known that sales of the brand exceeded forecasts, as a result of which the company's shares went up by 10%.