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Women’s Fall 2012American Apparel®
Robin Mitchell
Founded in 1989 by Canadian Dov Charney while
a Freshman at Tufts University
Vertically Integrated
Produces over 55,000 products and garments locally in Los Angeles
Worldwide with273 locations
Known for provocative and controversial ad
campaigns
American Apparel®
Marketing:• 1,043,887 Facebook likes• 587,109 Twitter followers
• Tumblr page• Pinterest page
• 40,000 Instagram followers
American Apparel®
• T-Shirt spreading over every demographic
• Affordable Price Points
• Company ideals produce brand loyalty
• Room for expansion
• Create Private Labels
• Open more stores
• Dov Charney is a liability (4 sexual harassment charges)
• Bland product
• With “edgy” comes controversy (ads)
• Fast fashion producing identical styles
S W
O T
American Apparel®
Target Market-Demographics & Psychographics
• Female between the ages of 25-44
• Keeps up with latest fashions
• Belong to a human rights organization and have a liberal outlook
• Concerned with the environment and care where their garments are made
• Avid readers enjoying authors like Henry Miller and magazines like Nylon
American Apparel®
• Typically renters
• Hold a college degree
Segment AnalysisLily Rachel
• Gender: Female• Age: 25-30• Income: $57,000 Individual• Education: Bachelor’s Degree• Lifestyle: Lives in the mission
works as a PR coordinator for beauty company. She enjoys dining out and taking dance classes.
• Gender: Female• Age: 18-24• Income: $16,000-$20,000
(Individual)• Education: Bachelor’s Degree
(current student) • Lifestyle: Lives in Glen Park
Psychology student at UCSF who sells her own art work on the side. She works at a hair salon part time.
American Apparel®
American Apparel® Sales
This Year Last Year % Change
$367.9$380.8 3.5%
Merchandise Mix Modifications
Changes Price Point Sizes % of total ColorsClassifications Dresses raise to $79 same replace blue with green, add purplesBottoms remove yellow to beige red gets 10%Short Sleeves same 10% of small to medium 10% to long sleeves Long Sleeves $40 to $60 remove polka dots add sheerSweaters $49,$79,$95 Skirts raise to $80 10% to medium 5% go to bottoms
Department Analysis
Class : Dresses
Reds Black Greens Stripes Dark Purple
0%10%20%30%40% Colors
XS
S
M
L
25%25%
25% 25%
Sizes
$35 $55 $79 Total0%
20%
40%
60%
80%
100%
120% Price Points
Class : Bottoms Class : Skirts
XSSML
30%10%
30%
30%
Sizes
Colors
Price PointsGreys Blues Beiges Whites Patterns
0%5%
10%15%20%25%30%35%40%45%
$45 $60 $80 Total0%
20%
40%
60%
80%
100%
120%
2420%
2630%
2815%
2720%
2515%
Sizes
Colors
Price PointsDenim Blacks Blues Reds Beiges
0%
10%
20%
30%
40%
50%
60%
70%
$50 $80 $100 Total0%
20%
40%
60%
80%
100%
120%
American Apparel®
Department Analysis
Class : Short Sleeves Class : Sweaters Class : Long Sleeves
Sizes
XS
S
M
L
30%
30%
30%
10%
Stripes Purples Reds Whites Blacks0%5%
10%15%20%25%30%35% Colors
Price Points
Colors
Price Points
$25 $35 $55 Total0%
20%
40%
60%
80%
100%
120%
XS
S
M
L25%
25%20%
30%
Blues Greens Blacks Sheers0%5%
10%15%20%25%30%35%
$40 $80 Total0%
20%
40%
60%
80%
100%
120%
XS
S
M
L
25% 25%
25% 25%
Colors
Burgundy Patterns Blacks Greens Greys0%5%
10%15%20%25%30%35%40%
$49 $79 $95 Total0%
20%
40%
60%
80%
100%
120%
Sizes Sizes
American Apparel®
Market Trend AnalysisAmerican Apparel®
• Consumers are more upbeat and positive about their spending futures
• Unemployment will decrease from 8.2% to 7.8%
.5% Economic Trends .5% Political Factors .5% Social Trends• Only 45% of 18-35
year olds are excited for the upcoming election
• Obama pushing “Made in the USA” to increase our exports and create more jobs in the United States
• UN World Tourism Administration predicts tourist arrivals to reach the one billion mark in 2012
• “Last Chance Tourism” offers travelers to see earths disappearing landscapes & species
.5% Competitive Changes 1.0% Fashion Trends.5% (threat) Marketing/Promoti
ons• The closing of Shotwell• Opening of Uniqlo
• Controversial ad campaigns
• “Coming Soon” feature on website where women can pre-order and even receive text alerts when new merchandise has come in
• WWD reports that gold, sparkling, velvet fabrics and oversized silhouettes will be on trend for fall
• Burgundy will be the color of the season reported by GQ.com
Market Trend AnalysisAmerican Apparel®
American Apparel®Private Label Program
Current styles are extremely basic, expand brand (line customer can grow into)
30% of available receipts in the dresses classification are going to be spent on a new private label which is a test for the Fall 2012 season
Build on Fall trends of burgundy and leather trimmings
AA wants to reach out to our other demographic Create higher
quality, specialty piece items
Private Label ProgramDelivery 1 - OctoberAmerican Apparel®
Long Sleeve Maxi Leather Collar Dress
• Fabric content: Silky Jersey
• Price point (at retail): $59
• Sizes: XS, S, M, L
• Fabric content: Tweed & Leather
• Price point (at retail): $89Cap Sleeve Dress
• Fabric content: Velvet & Rayon• Price point (at retail):
$72• Sizes: XS, S, M, L
American Apparel®
• Fabric content: Metallic Jacquard
• Price point (at retail): $78
• Sizes: XS,S,M,L
• Fabric content: Silky Jersey
• Price point (at retail): $59
• Sizes: XS,S,M,LLong Sleeve Maxi Disco Dress
Private Label ProgramDelivery 2 - December
American Apparel® Promotional Campaign
Exclusive new dressesGet ‘em while they’re hot!
American Apparel® Promotional Campaign
Exclusive email members get 15% off newest styles until 12/15/12 with this print out!
The Disco Dress just hit for the holiday season
Lust-worthy leatherHoliday 2012
Newspaper E-mail blast
The New Disco• December 1, 2012 7-Midnight• Employees on roller skates handing out free cocktails• Fashion show of private label items featuring The
Disco Dress