American Eagle Outfitters
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| American Eagle Outfitters, Inc. | |
|---|---|
| American Bald EagleImage:American Eagle Logo.JPG | |
| Type | Public (NYSE: AEO) |
| Founded | 1904, company establishment 1977, switch to current branding |
| Headquarters | Pittsburgh, Pennsylvania, United States |
| Key people | Jay L. Schottenstein (Chairman) James V. O'Donnell (CEO) Roger S. Markfield (Vice Chairman) Susan P. McGalla (President & CMO) |
| Industry | Retail |
| Products | Apparel, footwear, accessories |
| Revenue | Image:Green Arrow Up Darker.svg$2.3 billion USD (2005) |
| Employees | 20,600 (2005) |
| Slogan | Live Your Life. |
| Website | www.ae.com |
American Eagle Outfitters is an American clothing and accessories retailer based in the South Side neighborhood of Pittsburgh, Pennsylvania. The founder of American Eagle Outfitters is Edward Beinstein, who was nicknamed the "American Eagle" because of his wide armspan. The brand dates back to 1904, but took its current form in 1977 when it was reorganized in Pittsburgh's north suburbs. At one time, it sold brands such as OshKosh in the early 1980s, similar to Gap selling Levi's.
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[edit] Other brands
In addition to its namesake brand, American Eagle, the company has developed and announced plans for several new brand and concept initiatives poised to drive new growth as the American Eagle brand nears saturation in current markets. One already launched brand being Aerie.
The company's second stand-alone lifestyle concept, Martin + Osa, launched in the fall of 2006, targets men and women 25 to 40 years of age.
The company has also indicated that a third lifestyle concept is in development that analysts speculate could be aimed at Baby Boomers (Born during 1945–65 period), and may offer homewares.
In the year 2001, the company acquired a Canada-based retail concept called Bluenotes, which has approximately 100 stores averaging 3,300 square feet. The concept targeted a slightly younger demographic, ages 12-22, and was positioned as a denim-driven urban/suburban lifestyle brand. Due largely to poor performance, the Bluenotes business was sold to YM Inc. in 2004.
The line Aerie was announced in February 2006 as an intimate apparel sub-brand offering bras, panties, and dorm wear targeting American Eagle's core 15- to 25-year-old demographic segment.
[edit] AE All-Access Pass
In September 2005, American Eagle Outfitters announced the All-Access Pass customer rewards program. Customers in-store through a simple sign-up process are given a physical "All-Access Pass", which is about the size of a credit card. If you register online for the AE All-Access Pass, you will be prompted to print off a temporary pass, while the actual card will be mailed to you in 2-3 weeks. Customers receiving the pass are also given two cards for their key rings and multiple stickers for MP3 players as well as cell phones. Customers earn points when they present the card to the cashier at the store or enter the card number while checking out at AE.com. Each type of product earns a different amount of points – for example, jeans are worth 20 points. If you collect 50 points, you'll receive 10% off your next purchase, 100 points earns you 20% off next purchase, and so on and so forth. Customers can earn coupons up to 40% off and are given 15% off up to a month before and up to a month after anyone in their household's birthday. The rewards are mailed out 4 times a year: once in January, April, July and October.
[edit] Competition
American Eagle Outfitters is often compared to the clothing companies Abercrombie & Fitch and Hollister, due to their similar styles, marketing techniques, and targeted consumer demographic, as well as the department store private label brands Arizona Jean Company (JC Penney) and American Rag (Macy's). American Eagle Outfitters brands much of their clothing with an embroidered landing eagle, similar to Abercrombie and Fitch's standing moose, Hollister Co.'s seagull, and Aeropostale's butterfly for females and bulldog for males. Additionally, American Eagle emphasize their date of establishment, 1977, in their marketing and design, branding the majority of their products with the date.
[edit] Criticism
In 2007, textile and apparel workers union UNITE HERE launched the "American Vulture" back-to-school boycott of American Eagle [1] in protest of alleged workers' rights violations at the company's Canadian distribution contractor National Logistics Services (NLS). On the 2007 second quarter conference call[2], CEO James O'Donnell clarified the American Eagle's relationship with NLS and its effect on business. He explained, "We owned NLS with the acquisition of Braemar back in 2000 and we subsequently sold off NLS in 2006, and we are currently a customer of NLS... We have really no involvement at all with Unite Here and NLS. Our only involvement with NLS is basically as a customer and there have been some allegations made I think to some of, to the public about it affecting our business. I can tell you right now it has not affected our business."
[edit] Company growth
AE expanded internationally by entering into Canada after acquiring some Dylex divisions in 2000 (Thrifty's, Braemar & National Logistics).
In January 2007, the company announced that it will accelerate the expansion of aerie by American Eagle with the opening of at least 15 stand-alone locations in 2007. Launched in September, the new intimates sub-brand, featuring a full line of undies, bras and dorm-wear, is designed to be sweetly-sexy. The brand has been met with strong customer acceptance. The company's expansion plans are based on the positive results of three aerie stand-alone test stores. If new stores continue to perform as well as the test stores, aerie could be a 350+ store chain by 2012. In the fourth quarter, American Eagle opened eight new AE stores and remodeled 20 locations.
In 2006, 42 new AE stores opened and 65 remodels were completed. Together with five new MARTIN + OSA stores, and three new aerie stand-alone test stores, total gross square footage increased 8% for the year. In 2007, the company plans to open 45 to 50 AE stores, at least 15 aerie stand-alone stores and approximately 12 new MARTIN + OSA stores. Additionally, approximately 45 AE store remodels are planned, which combined with new store openings will generate total 2007 square footage growth of approximately 10%.[citation needed]
[edit] Notes
People who usually buy things from American Eagle are around 10-20 years of age. Plus, it's cheaper than Hollister or Abercrombie, and has the same look.
[edit] External links
| Pittsburgh-based Corporations (Within the Pittsburgh Metro Area) |
|---|
| Pittsburgh-based Fortune 500 Corporations: U.S. Steel | PPG | H. J. Heinz Company | PNC Financial | Mellon Financial | WESCO International |
| Pittsburgh-based Fortune 1000 Corporations: Allegheny Energy | Consol Energy | Allegheny Technologies | Dick's Sporting Goods | Kennametal | American Eagle Outfitters | Wheeling-Pittsburgh Steel | Mylan |
| Pittsburgh-based Forbes Largest Private Companies: 84 Lumber | GNC | Giant Eagle |
| Externally owned, regionally based, and other Pittsburgh corporations: American Bridge | Ampco Pittsburgh | Bayer USA | Calgon Carbon | ChemADVISOR, Inc. | Dollar Bank | DQE Holdings | Eat'n Park | Federated Investors | FedEx Ground | GlaxoSmithKline | Guru.com | Highmark | iGate | Koppers | Michael Baker | Mine Safety Appliances | NOVA Chemicals | Oxford Development | Pittsburgh Brewing Company | Respironics | rue21 | University of Pittsburgh Medical Center | Vocelli Pizza | Vivisimo | Wabtec |
Categories: Articles needing additional references from July 2007 | Companies listed on the New York Stock Exchange | All articles with unsourced statements | Articles with unsourced statements since March 2007 | Companies based in Pittsburgh | Clothing companies of the United States | Pittsburgh, Pennsylvania | Clothing retailers of the United States | Clothing brands | 2000s fashion | Companies established in 1904 | Youth
