Fresh off the heels of a fiscal 2009 in which Martin + Osa lost 44 million dollars after taxes The Pittsburgh Tribune-Review is reporting that American Eagle has decided to pull the plug on the clothing brand. Despite gains year over year "the company [American Eagle] said it wasn't achieving performance levels that justified further investment." Both its 28 stores and online operations are expected to close by midsummer.
Talk about a shame, especially for a brand I believed was just beginning to find its identity and seemingly position itself to battle J. Crew for coveted market share - blame the economy or poor marketing, it's moot at this point. I was a big fan of the brand's affordable style and was extremely excited to see what they would bring to the table in the coming crucial season, but alas it was just not meant to be. I guess it's back to the profitable business flip flops and bootcuts for AE. Read the article here.
-L.A.S
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Crap.
ReplyDeleteFiresale as a possible upside?
ReplyDeleteThat's too bad. They never were able to find their identity. But I think their niche, whatever it was, is going to quickly be filled (and more, hopefully) by LE Canvas and LL Bean Signature.
ReplyDeleteToo bad... So, when's the sale?
ReplyDeleteI have to say, someone dropped the ball in the marketing department or said dept.'s budget. I would not have heard of M&O if it weren't for this blog.
ReplyDeleteYeah, epic marketing failure, as I hadn't heard of the line pre-your blog either. Fingers crossed for a good "going out of business" sale.
ReplyDeleteM&O has largest dressing room I've ever been in. The word 'cavernous' comes to mind.
ReplyDeleteI only knew about M&O through a discount card sent to me from AMEX shortly after Thanksgiving. Checked out the site and didn't buy. Then, went back the day after Christmas and certain items were around 50% off. I bought two sweaters. They're very nice colors, reasonable quality and modern cut.
ReplyDeleteThey would have done much better with a different name and obviously marketing.