The brand also plans to open stand-alone stores located next to existing branches of Hollister. This move comes following a tumultuous period for the lingerie sector, which has seen new entrants into the sector increase their market share whilst popular brands such as Victoria Secrets flounder. Will this move prove successful for Gilly Hicks as an attempt to improve their own standing within the sector?
Growth has slowed across the Hollister chain in general. Owned by parent company Abercrombie & Fitch, there have been decreases in sales throughout the entire brand, although sales within the Hollister brand, which markets itself towards teens and tweens have really suffered. This has led to the brand making tough decisions when it comes to flagship closing stores in favour of smaller versions. A spokesperson from Abercrombie & Fitch, however, has announced that the lingerie part of the business, Gilly Hicks, has actually bucked that downward trend and that they have seen significant increases in sales. It looks like they are hoping to maximise this opportunity for growth within the brand by giving them their own space through the planned pop-up shops.
Abercrombie and Fitch announced on Monday that they would be opening 4 new pop-up shops. These will be based in the Los Cerritos Center in Cerritos, California; the Tysons Corner Center in Tysons, Virginia; at Dolphin Mall in Miami and at Baybrook Mall in Friendswood, Texas. These are all expected to open within the next year and will be joining the two existing stores, at Roosevelt Field mall in East Garden City, New York and Ala Moana Center in Honolulu.
The Gilly Hicks brand was once incredibly popular among teens and tweens but hit bad times as spending power among that demographic decreased. They once had 24 stores throughout the US but these were sold when times were hard in 2013. The merchandise was still sold online and it is from there that Abercrombie & Fitch have noticed an increase in demand for their products. Merchandise was put back into Hollister stores, where demand increased even more. This has been the key factor in the decision to open pop-up stores through the US and it is hoped that this resurgence in popularity will only increase sales more and more.