American Eagle

Summary

American Eagle is a leading global fashion retailer acclaimed for its high-quality, on-trend apparel and accessories that cater to a diverse demographic of customers. Specialising in denim, the brand offers a variety of fits and styles, alongside casual wear such as t-shirts, hoodies, and activewear, all designed to promote individuality, comfort, and self-expression. With a strong focus on inclusivity, sustainability, and customer satisfaction, American Eagle strives to create a positive shopping experience both in-store and online, offering personalized services, a robust loyalty program, and eco-conscious practices.

History

American Eagle Outfitters was founded in 1977 as a subsidiary of Silverman’s Menswear by brothers Jerry and Mark Silverman and focused on leisure apparel and sportswear. While American Eagle Outfitters was growing in the Eighties, Silverman’s Menswear was not doing well and the brothers sold fifty per cent to Schottenstein in 1980. Following the sale, they renamed Silverman’s Menswear to Retail Venture, Inc.

Despite reorganisation, American Eagle Outfitters began losing money and Schottenstein acquired the complete chain. Jay L. Schottenstein became Chairman and CEO of RVI, replacing Mark Silverman, and Roger Markfield was hired as President and Chief Merchant. Formerly with Macy’s and Gap, Markfield evolved American Eagle Outfitters to its present niche: private-label casual apparel with an outdoors look.

When the company began trading on NASDAQ in 1994, it reportedly had a hundred and sixty seven stores, nine outlet stores and presence in thirty-four states. With cash infusion from the IPO, the company opened over ninety stores in the next year. Revenues reportedly quintupled to $1 billion by 2000. Embarking on an ambitious plan, the focus shifted to womenswear and accessories which witnessed huge profits, making it a $1 billion entity by 2000, with over a thousand store and twenty-five franchisee outlets.

This was a busy period for American Eagle as it introduced the AE Clear Card, the first clear credit card. which within a year accounted for fourteen per cent of total sales. The company also undertook West Coast expansion in Seattle and Tacoma, Washington and Portland, Oregon. To appeal to the youth, a website was launched. In February 2006, American Eagle Outfitters started sub- brands to sell specific set of products. One was Aerie, lingerie and sleepwear.

The second, Martin + Osa, a line of cashmere sweaters and casual-wear for a older group. In March 2010, the management shut down Martin + Osa due to its failure. In 2008, American Eagle Outfitters launched 77kids, a line of kidswear. However, after a heavy loss again, the company sold 77kids to Ezrani 2 Corp, a company formed by Ezra Dabah, former Chairman and CEO of The Children’s Place. By then, the company had lost $44million to its failed attempts to make the sub- brand a success.

In June 2009, the company signed a franchisee agreement with M. H. Alshaya and opened stores in Dubai, Kuwait and later, Beirut. In November 2015, American Eagle Outfitters acquired Todd Snyder’s eponymous label and his vintage-style collegiate brand, Tailgate Clothing Company. In 2011, the company opened stores in Cairo and Moscow, and by 2016, was operating nine-hundred and forty nine American Eagle Outfitters stores, ninety-seven stand-alone stores and sixty-seven Aerie stores.

The brand’s first global advertising campaign debuted in 2016, featuring stylish young stars Troye Sivan, Michael Lockley, Hailee Steinfeld and Yara Shahidi with strong presence on social media, to appeal to the youth segment. In recent times, menswear and accessories has witnessed significant struggled, while lingerie and sleepwear sub-brand Aerie has become an important growth driver for the company, with revenues reportedly increasing from $310 million in 2015 to $650 million in 2018.

Per Forbes, “American Eagle label’s shifting approach toward omnichannel retailing across its 931 stores and its e-commerce – will help the company boost its top line and profit margins once the Covid threat abates.”

Vision

AEO® is built on trust, honesty and integrity. The team honors individuality and celebrates self-expression.

American Eagle’s vision is deeply rooted in fostering a sense of inclusivity and individuality for everyone who wears its brand. The brand aims to empower customers to express their unique styles, providing them with apparel and accessories that are fashionable and yet accessible and inclusive. The company believes that personal expression should be celebrated, and through their wide product portfolio, customers of all body types, backgrounds, and identities can find something that makes them feel confident and authentic.

At the core of American Eagle’s vision is the desire to build a community that promotes positivity and inclusivity. They focus on creating a welcoming environment where everyone feels represented. This is evident in their campaigns, which highlight real people rather than models, showcasing a diverse range of individuals in terms of race, gender, and body size. By doing this, American Eagle challenges traditional beauty standards and encourages people to embrace who they are, without conforming to societal expectations.

Sustainability and social responsibility also play a significant role in American Eagle’s long-term vision. The brand recognizes the importance of minimizing its environmental footprint and ensuring ethical practices across its supply chain. By focusing on eco-friendly materials and sustainable manufacturing processes, American Eagle demonstrates its commitment to making the world a better place, not just for its customers but for future generations as well. This holistic approach to fashion, inclusivity, and sustainability solidifies American Eagle’s mission to positively impact the world while staying true to its core values of freedom, individuality, and authenticity.

Mission Statement

“American Eagle Outfitters is committed to the principle that the people who make our clothes should be treated with dignity and respect.”

American Eagle’s mission is to provide high-quality, trend-centric apparel that allows individuals to express their personal style with confidence and authenticity. The brand is committed to creating a space where everyone, regardless of background, body type, or identity, can feel represented and empowered. By offering a spectrum of styles and sizes, American Eagle ensures that their products cater to diverse tastes and needs, making fashion accessible to all. The brand’s mission is not just about selling clothes but also about fostering a sense of belonging for every customer who interacts with the brand.

In addition to promoting individuality, American Eagle’s mission is centered on fostering a community of inclusivity and positivity. They aim to go beyond traditional retail by creating meaningful connections with their customers, whether through their inclusive marketing campaigns or their efforts toward sustainability and ethical practices. The brand emphasizes the importance of being socially responsible, ensuring that their products are made with care for both people and the planet. This focus on inclusivity, sustainability, and social good is what sets American Eagle apart, making it a brand that strives to inspire and uplift while remaining committed to its core values.

Products And Services

American Eagle offers diverse products designed to cater to a wide audience, with a focus on trend-centric, comfortable, and high-quality clothing. The brand is best known for its denim collections, which include jeans, shorts, jackets, and skirts available in a variety of fits, styles, and sizes. From skinny jeans to relaxed, loose-fits, American Eagle ensures that there’s something for everyone. In addition to denim, the brand provides a range of casual wear, including t-shirts, hoodies, sweaters, dresses, and activewear. Each product is designed to reflect current fashion trends while maintaining comfort and accessibility.

Beyond its clothing, American Eagle provides services to enhance the customer experience. They offer personalized shopping assistance both online and in-store, allowing customers to get tailored fashion advice. Their online platform features a user-friendly interface with options for curbside pickup, easy returns, and exchanges, ensuring a seamless shopping experience. Additionally, American Eagle promotes customer engagement through its loyalty program, AEO Connected, which rewards members with exclusive discounts, early access to sales, and special promotions. With a strong focus on creating value and convenience for its customers, American Eagle’s products and services embody the brand’s commitment to inclusivity, accessibility, and customer satisfaction.

Team

Jay L. Schottenstein (Executive Chairman and CEO)
Michael A. Mathias (CFO)
Michael R. Rempell (COO)

References

• Official website American Eagles
• Twitter page of American Eagles Twitter
• Instagram page of American Eagles Instagram
• LinkedIn page of American Eagles LinkedIn
• Youtube channel of American Eagles YouTube
• Wikipedia page of American Eagles Wikipedia
• American Eagle sells 77kids business Biz Journals
• American Eagle confirms UK arrival Fashion United
• American Eagle Outfitters opens first store in India Apparel Resources
• New look NY Times
• American Eagle Outfitters to Buy Quiet Logistics for $350 Million WSJ
• American Eagle Outfitters opens first PH store ABC CBN
• American Eagle Taking Flight to Japan WWD
• American Eagle Acquires Todd Snyder in $11 Million Deal WWD
• American Eagle’s #AExME Council Is Full of Game Changing Gen-Zers Teen Vogue
• I Found The Best Jeans for Curvy Girls Teen Vogue
• American Eagle Outfitters’ Stock To Regain Pre-Corona Level? Forbes
• American Eagle Outfitters Revenues: Where’s The Growth? Forbes