Hollister Co.

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Abercrombie & Fitch Co. brand
Hollister Co.
Type Subsidiary
Establishment June 2001
Headquarters Abercrombie & Fitch Co.
6301 Fitch Path
New Albany, Ohio 43054
Key People Mike Jeffries, Chairman & CEO
IndustryRetail
Apparel Type Preppy, California, Surfing, Lifestyle
Initials HCO
Logo Flying Seagull
Theme California Beach Coast Surfing
Color schemeSepia
Consumer Age 14 through 18
Areas Served Image:Flag of the United States.svg United States
Image:Flag of Canada.svg Canada
Store Locations {{{store locations}}}
Website www.hollisterco.com

Hollister Co. is a moderately priced American lifestyle brand of Abercrombie & Fitch specializing in California surfer style apparel for individuals aged 14 through 18.[1] Although established in 2000, Hollister Co. puts forth the date of its establishment as being 1922, and uses the number 22 and its flying seagull logo on many of its goods. Hollister merchandise is sold through their stores and its official website.[2]

Opened in 2000, the brand now operates 424 stores nationwide and three stores in Canada. Its first ever flagship is planned for Spring 2009.

The brand has also rated No.1 seasons as Teens Top Clothing Brand in a study by US Bancorp Piper Jaffray.[3]

Contents

[edit] History and identity

Hollister Co. opened its first store in July 2001, at Easton Town Center in Columbus, Ohio.[4][5] After its opening, Abercrombie & Fitch began to notice a cannibalization effect on the A&F brand (a situation in which a company's new brand eats into the revenue of older brands). As a result, the Abercrombie & Fitch merchandise began utilizing higher-grade materials and construction (and raising prices as a result) to provide more of a distinction between the two stores.

In May of 2002, Abercrombie & Fitch officials sent a letter to rival brand American Eagle Outfitters accusing the company of using the number "22" on baseball caps and graphic T-shirts to confuse consumers into thinking they were getting Hollister products. Specifically, the lawsuit charged American Eagle with trademark infringement and unfair competition, common law trade dress infringement, and deceptive trade practices. Abercrombie & Fitch asked the court to stop American Eagle from using the number, and award compensatory and punitive damages.[6]

By March 24, 2006, Hollister discontinued its rewards program, Club Cali. The program began with the "Red Card" at the $0 through $500 level. Once a cardholder went beyond the $500 mark, they received the "Gold Card", and beyond the $1,000 mark, the card became platinum. It awarded one point for every dollar spent with points being able to be traded for for merchandise such as autographed CDs, surfboards, and the like.

Since October 2, 2007, 100 Hollister stores have begun to promote Abercrombie & Fitch, Inc's upcoming brand, Gilly Hicks, through a variety of "body care" items items including body sprays, deodorant, soaps, lotions, and lip care called "Sessions", opening January 2008.

[edit] Design

Image:IMG 0547.jpg
Side view of a Hollister storefront

Hollister stores aim for a cool, beach shack feel. The exteriors have shuttered windows, brown walls, and teal boardwalks. The store interiors have dim lighting, loud music, and the aroma of either Jake or SoCal cologne, which is sprayed throughout the day. The front area is divided into "Dudes" (boys)" and "Bettys" (girls) sections. At the center is a main lounge with surfboards all around and chairs with blankets and magazines next to them. The apparel is displayed on built-in shelves and wooden tables. The cash rack contains CDs and magazines on display for sale. Behind the lounge, most Hollister stores contain more retail space, mostly the clearance section.

On September 23, 2007, permanent cabinets were installed in the "Lounge" rooms of the 100 selected stores to create marketing space for "Hollister Sessions" products. This was installed to promote Gilly Hicks, a new concept by Abercrombie & Fitch Co.

[edit] Expansion

As of 2007, Abercrombie & Fitch. Inc. operates a total of 424 Hollister Co. stores in the United States. Abercrombie & Fitch, Inc. marked its expansion into Canada mid-January 2006, opening two Hollister Co. stores, both in Ontario. These stores were originally set to open before the end of 2005, however construction and planning issues pushed the opening of the stores to early 2006. As of now, Canadian locations include; two stores in Ontario (one at Sherway Gardens, one in Toronto Eaton Centre), and one other in Edmonton, Alberta (West Edmonton Mall).

[edit] Music

Hollister Co. stores are notorious for playing pop-rock music music loudly. The company policy is to play the music at the 80-85 decibel level. One investigation measured the level of sound at 90 decibels. OSHA requires employers to provide ear protection to employees exposed to decibel levels 85 or over. A store manager in a particular Hollister store stated that there were complaints from customers, but that the volume was mandated by corporate policy. This loud music is appealing to many teenagers. It encourages them to go in and look around but it scares some away causing lost business.[7]

[edit] Lawsuit

In 2007, the lawsuit Morris vs. Abercrombie & Fitch, Co. was settled. A&F admitted that they should have not asked their California customers for personal identification information during credit card refund transactions. Customers who were asked this information during June 9, 2005 through May 31st, 2007, they may be part of the settlement and receive a $5.00 gift card.[8] Since the settlement, A&F stores have stopped asking for this information for returns on purchases for which a credit card had been used. One women stuck a lawsuit on the brand, due to the loss of hearing in her unborn son. She blamed the store saying that if it wasn't for the loud music her son Harry Winkler III probably would have his hearing today.

[edit] References


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