STORES Magazine - June 2008 - (Page T2)

From Boppers to Shoppers Teens represent a lucrative – if hard-to-categorize – retail market BY SUSAN REDA, EXECUTIVE EDITOR Teens love to create mashups. They cobble together text, graphics, audio, video and animation from various pre-existing sources to create digital media files that are uniquely their own. Merchants that cater to teen shoppers on ae.com, in stores and on television are very familiar with the mashup conand, given the viral nature of content, it cept – even if they’re not particularly spread to sites including YouTube, Myadept at digital media. They’re constantSpace and Facebook. ly trying to piece together the assortLike A&F, AEO is honing a strategy ments, looks and methods of delivery that will extend the brand to both older they believe will resonate with this deand younger demographics. Martin + mographic. Osa, which debuted in September Taking on teens is a tough assignment. 2006, skews to the 25-to-35 demoOne minute they’re buying a stack of Tgraphic. In the fall, AEO will step into shirts at Hollister. Then, it’s on to Amerthe kids business with an online shop Abercrombie & Fitch ican Eagle Outfitters for a “must-have” called 77kids by american eagle. hoodie. Before they leave the mall they might duck into Express, a one-time Limited Brands division, is enjoying Claire’s for some bracelets or GameStop to check out the resurgence under the tutelage of Michael Weiss and the latest Wii game. Later on, they bum a ride with Mom to backing of Golden Gate capital. Aéropostale is winning Wal-Mart to pick up some cosmetics, and then go online over the masses with its fashion-at-a-price strategy comthat night to Threadless.com to create a custom T-shirt. bined with emphasis on events The STORES list of Top Teen Retailers highlights 15 spethat sync up with teens’ concialty apparel companies whose brands are synonymous cerns. with today’s youth. Abercrombie & Fitch and American Urban Outfitters is a bit of an Eagle Outfitters rank at the very top of the list, closely folenigma in the teen space. The lowed by Express, Aéropostale, Urban Outfitters and Pabrand targets the 18- to 30-yearcific Sunwear. Each has carved its niche in traditional shopold shopper, yet seems to conping malls, winning teens’ affection with the latest jeans, Tnect with a younger shopper, shirts, hoodies, baby doll shirts and boxers. too. Even Urban’s other diviWith 2007 sales of nearly $4 billion, Abercrombie & sions, Anthropologie and Free Fitch is the pace-setter among teen apparel specialists. The People (both of which are tarcompany begins nurturing teen shoppers with abercromgeted to an older consumer), bie — its kids’ division — then gives them a choice of Holseem to resonate with teens, lister or A&F for the middle and high school years and on particularly if Mom is willing to Torrid into college. foot the bill. And, although there are fewer than two dozen RUEHL PacSun is on the comeback trail. Led by retail veteran units, this concept – aimed at shoppers who have just gradSally Frame Kasaks, the chain is reconnecting with cusuated college and are heading out on their own – appears tomers — particularly girls, who had strayed in recent to be gaining traction. Earlier this year, A&F introduced years. Gilly Hicks, an intimate shop, hoping to extend the retailer’s Midas touch to an up-and-coming category. Eclectic expression art of the difficulty in trying to analyze teen conAt American Eagle Outfitters, where sales eclipsed the $3 sumers is their eclectic shopping patterns. On one billion mark in 2007, connecting with teens is a mediahand, they’re locked into shopping where Mom and driven proposition. Last year AEO launched 77E, a multiDad shop; on the other, they often seek out different channel entertainment platform featuring original and items based on their sense of style and their desire to user-generated content. The content was made available m p P T2 STORES / JUNE 2008 WWW.STORES.ORG http://ae.com http://Threadless.com http://WWW.STORES.ORG

Table of Contents Feed for the Digital Edition of STORES Magazine - June 2008

STORES Magazine - June 2008 Contents Executive Editor's Page President's Page Tesco Tests Carbon Labels What Shoppers Think 10 Things You May Have Missed Numbers Worth Counting Full Price/Markdown Retail People Cover Story: Boom - or Bust Green Retailing Concept2Watch Online Marketing Building Traffic Water Management Branding Digital Marketing Loyalty Programs Special Report: Taking on Teens Supply Chain - Robo Crop Human Resources Supply Chain - Directory Assistance Loeb Retail Letter Arts Update Point of View NRF News Retail Crossword Retail Industry Calendar Last Laugh

STORES Magazine - June 2008

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