Gilly Hicks

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Abercrombie & Fitch Co. brand
Image:GHlogo.GIF
Type Subsidiary
Establishment January 21, 2008[1]
Headquarters Abercrombie & Fitch Co.
6301 Fitch Path
New Albany, Ohio 43054
1-866-681-3115
Key People Michael S. Jeffries, Chairman & CEO
Apparel Type Women's underwear, loungewear, and personal care goods[2]
Initials GH[3]
Logo Koala
Theme Australia, Down Under
Color scheme Burgundy & Sepia
Consumer Age 18 & up
Areas Served Flag of the United States United States
Store Locations 5 (April 2008)[4]
Website www.gillyhicks.com

Gilly Hicks is a lifestyle brand[5] from American company Abercrombie & Fitch specializing in women's intimate apparel, loungewear, and personal care products. The brand is the fifth from A&F, and was initially known as Concept 5. The theme was originally inspired by the phrase "Down Under". In saying, it is the only brand from A&F with a non-American image.[6]

GH is primarily set to compete with large lingerie chain Victoria's Secret.[7][8] Gilly Hicks has been called one of Mike Jeffries' best new concepts for A&F.[2]

Contents

[edit] History

[edit] Fictional background

Like RUEHL No.925, Gilly Hicks was based on a fictional background developed by A&F Chairman and CEO Mike Jeffries. Intended to complete the image of the brand, the story is as follows: "In 1932 the English family 'Hicks' immigrated to Sydney, Australia. In their 'British colonial-style manor house' the daughter of the Hicks, Gilly, opened an underwear shop.[9][5] In the 'living room' of every store hangs a supposed 'portrait' of Gilly Hicks.[10]

The name of the brand coincides with Colin 'Gilly' Hicks, who resides in Southern England. 'Gilly' is a nickname that was given to him when he was young for his ability to 'drink like a fish'. Applications from the U.S. Patent and Trademark Office state that the name "does not identify a particular living individual". Central Ohio and trademark lawyer Jason H. Foster said that "Abercrombie wants to have exclusive rights to use 'Gilly Hicks' in association with specific products" and that "it might not hurt for Abercrombie to negotiate with the real Gilly Hicks."[11]

[edit] Development

Gilly Hicks began its development phase in 2005 with an assembled "strong and talented development team".[12] By 2006 reports of a 'Concept Five' from Abercrombie & Fitch began to circulate on the Internet. However A&F remained tight-lipped on their future brand. Furthermore A&F began to trademark the Gilly Hicks name and sea-related logos in the United States and in the United Kingdom. The August Trademarks Journal reported that the UK trade marking was under four 'classes' including footgear, headgear, intimate apparel and imitate apparel accessories, athletic wear and athletic wear accessories, swimwear and swimwear accessories, fashion accessories, bags, fragrances and jewellery. Furthermore, the names "Gilly Hicks" and "Gilly Hicks: Sydney" were filed for protection by A&F, including prototype logos encompassing conch shells, nautilus, scallops, and sand dollars (with the sea shell seen as the potential final logo). By October 2, 2007, Hollister Co. stores began to promote GH through beauty products.

The first GH advertisement image featured on the first launched website.
The first GH advertisement image featured on the first launched website.

In the end of 2007, the brand's official homepage was launched, featuring a sepia toned promotional image of five men and one woman all in underwear. By December 26, 2007 the site was deemed restricted to underage visitors because of its only feature, its provocative promotional film.

During the expansion of the upscale wing of Natick Collection, A&F's Concept Five was the first to be arranged an opening on the newly revamped level.[2] Construction of the store soon followed. Employees for the future opening location were required under company policy not to divulge any information they had on the brand to the press or any other entity.[13] They were not even allowed to view the merchandise until two weeks before opening.[13] An employee who requested to maintain anonymous mentioned before the opening that "[Abercrombie & Fitch Co. have] done jeans and sweatshirts... The Abercrombie girl needs something for underneath."[13]

Investment figures on Gilly Hicks stand at $7.5 million USD in 2006 and up to $15 million USD in 2007.[12]

[edit] Opening and reaction

On January 21, 2008 the first Gilly Hicks store opened (measuring 10,000ft2) in the upscale wing of Natick Collection with high anticipation.[10] Abercrombie & Fitch analysts were exclusively invited to the event, where Mike Jeffries introduced the brand. He called GH "the cheeky cousin of Abercrombie & Fitch".[9] Afterwards, the analysts were encouraged to interact with the company's senior management team.[1] After the event, analysts came out very impressed with the brand's image and merchandise.[14] Analyst Kimberly C. Greenberger enjoyed the "warm and inviting store entrance," the GH bras collection, and called Gilly Hicks's image "cute and sweetly sexy." She further said that Gilly Hicks is a more "wholesome" alternative to Victoria's Secret and that "mothers would not mind taking their 15 year-olds to Gilly Hicks to shop."[14]

After the event, the store became the target of interest for many shoppers. Anticipation that was built before the opening was displayed as the store became full of customers. Center officials of Natick report an extensive line of customers outside the GH doors that went well into the afternoon. Michael McNaughton, vice president of General Growth (in charge of the expansion of the Natick upscale level and who expressed interest in the GH store at Natick), said that "the opening certainly created a buzz that was so huge on the internet. People from California all the way to Australia were talking about this concept and conplemplating coming out to see it."[2]

On four days after the opening, the Australian newspaper, The Sydney Morning Herald published that GH coincidentally opened three months before the opening of Just Group's Peter Alexander (an underwear store). However, its CEO stated that GH will not be a competition, as both brands offer underwear to a completely different consumer group. The CEO was also curious on A&F's interpretation of Australia as a theme for an underwear store.[9]

Over all, the opening time for Gilly Hicks is seen as a good fit.[15] Both Victoria's Secret and aerie have seen significant drops in shares and store sales, potential competitors against GH.[15]

[edit] GH Today

[edit] Website and marketing

See also: Sex in Advertising

The same sexual marketing tactics used for the Abercrombie & Fitch brand are also implied on Gilly Hicks marketing.[15] The marketing is considered a "fine line between sexy and soft-core porn."

As of now, Gilly Hicks is marketing through a promotional film found online gillyhicks.com. The under-age-restricted "GH Film" features a large assortment of topless women parading around the beach and home, as well as swimming, in panties. Scenes of naked men, interacting with the women, are scattered around the video as well.[3] Ohio State University marketing professor H. Rao Unnava said that "it was like watching a Playboy movie."[16] Journalist Lori Price herself was surprised about all the nudity involved, not failing to mention that the film did not even market its products properly.[17] She was even in denial about publishing an article about Gilly Hicks, a friend of hers mentioning that that is just what Abercrombie & Fitch wants, to spread the word of their shocking-people-with-sex brands to gather more attention. Mike Jeffries has stated that A&F is all about sex, and Gilly Hicks is the perfect concept to embody this aspect through exposing "a lot of skin" in its advertising.[18]

Other features on the website include privacy policies and a store locator. GH as well operates a careers website.[19]

A&F has yet to add a descriptive "Brands" feature for Gilly Hicks on A&F Careers and A&F Investors, where the brand is discussed in A&F's own words.

The Company plans to open the first GH e-commerce website by spring 2009.

[edit] Merchandise

In store, Gilly Hicks brand representatives mention a lot about a "boy-girl tension" with the clothing (and other elements).[14] Jeffries called the intimate clothing "underwear, not lingerie."[20] The character of the merchandise is casual with boyish hints (hence the "boy-girl tension").[20] The mix of masculine and feminine design touches extends the store's theme of 'boy-girl tension' which carries over to the design of some of the 'boy style' cotton panties and tank tops," mentioned Vice President of GH.[14] Gilly Hicks merchandise is priced to be affordable to Abercrombie & Fitch shoppers. Cotton underwear sales for $11.50 USD while lace bras are priced at $49.50 USD.[2]

Items include underwear, bras, panties, thongs, boxers, boxer briefs, t-shirts, sweatshirts, pajama pants, summery tank tops, swimsuits, and a stuffed animal Koala Bear. The brand also carries perfume, whose container is designed with an antique look, and is displayed in antiquated glass cabinets. They also carry many lotions, body mists,and body washes so even in you are not wearing their clothing, in a sense you will be. Some names of the products are silver shell,velvet cassia, etc. Also hollister has a new body and beauty line out called sessions.[14] Hundreds of bras of 40 different styles[15] are placed on display on dark cherrywood shelves in the "Bra Library."[14] In regards to the display of the items, Senior Vice President of Gilly Hicks commented that "the bras are on pegs, not hangers, because it's more irreverent."[14] Fragrance, lotions, and bath & body products are kept in the "Living Room"[21] Similar to how Hollister Co. apparel is named after SoCal beaches, GH clothing and fragrance is named after Sydney-neighboring beaches and neighborhoods.[14] All clothing is tagged with a the GH label reading "Gilly Hicks: Sydney."[14]

Photography books by Bruce Weber (photographer for Abercrombie & Fitch) and by other male-form appraising photographers are even on sale, meant to draw the attention of heterosexual women.[14]

[edit] Stores

[edit] Design

The Gilly Hicks storefront in the recently opened upscale wing of Natick Collection.
The Gilly Hicks storefront in the recently opened upscale wing of Natick Collection.

The Gilly Hicks store prototype is designed as a colonial-style manor house.[5] However, the stores resemble more of a combination between that and a beach house.[2] The interior is huge with many rooms including fireplaces, chandeliers, and couches.[5] Sofas are shabby-chic,[14] the flooring is of oak, and the merchandise tables are of mahogany.[2] Dressing rooms are designed spacious with an antique-styled cabinet filled with an array of sizes of the five anticipated top selling bras.[14] A sign near the cabinet reads, "While your top is off, check out our drawers." Stores have even unique "Bra Libraries."[5] The library at Natick alone measures in at 200ft2, while the "Living Room" measures at 1,000ft2.[21] Like RUEHL No.925, Gilly Hicks stores are dimly lit within.[10]

The first four stores opened (see below) measure at 10,000ft2.[2] However, Abercrombie & Fitch will begin rolling out 7,000ft2 locations by the end of 2008. The 10,000ft2 stores encompass a dozen rooms.[2] Michael McNaughton stated that Abercrombie & Fitch has "created a store that inspires people to want to explore...people shopping for intimate apparel probably enjoy the discreet, closed setting. The lack of windows affords customers privacy, and that fact that the store isn't laid out in one giant room probably goes a long way in making a shopper feel comfortable." (See RUEHL No.925 for economical/customer issues involving no windows.)[2] The expense of the stores, however, is seen as a drawback in the expanse of profitability.[10]

A retail analyst named Chris Boring warns that Abercrombie & Fitch's brands are a "little more susceptible" should recession hit, because their specialties are premium-priced goods rather than necessities. "But a great brand can overcome that," he said. However, Lennox from A&F says that "having a 'portfolio' of strong brands strengthens Abercrombie's hand when negotiating with mall landlords for space."[14] Boring later commented that the image is smart, as Americans are intrigued by Australian culture.[2]

[edit] Expansion plans

A&F plans on opening sixteen GH stores by the end of 2008[22], five of which opened by the end of February.[9] The company has said they plan on opening 39 stores through 2010,[14] and that it predicts a long-term potential for 800 Gilly stores.[9] In regards to international or flagship store opportunities, nothing has been discussed publicly on the matter. However, international expansion for the brand is seen as a possibility.[2] CFO of A&F, Michael W. Kramer, said in a conference call with investors that "because our brands are not intended to appeal to everyone, an important characteristic of our business model is that we recognize its limits, how much we can grow each of our brands. We think we can open [Gilly Hicks] in every place Hollister does."[2]

Even though Easton Town Center near the A&F Home Office houses every A&F brand, there are no plans yet to open a store there.[10] A possible opening in 2009 could well be at the upscale Lenox Square in Atlanta, Georgia.[23]

Current stores:[24]

Upcoming store openings :[24]

[edit] References

  1. ^ a b Abercrombie & Fitch Co. (2008-01-17). "Abercrombie & Fitch Hosts Investor Tour at its first Gilly Hicks Store". Press release. Retrieved on 08-01-17.
  2. ^ a b c d e f g h i j k l m SCT - Shopping Centers Today Online
  3. ^ a b Gilly Hicks: Sydney website. Abercrombie & Fitch Co.. Retrieved on 2007-12-27.
  4. ^ http://library.corporate-ir.net/library/61/617/61701/items/282723/Q108_Rev_Comp_history.pdf
  5. ^ a b c d e Stylelist. "Abercrombie & Fitch Gets Imtimate: The Preppie Pros Launch New Lingerie Line". Press release. Retrieved on 2008-03-27.
  6. ^ Sheban, Jeffrey. "Abercrombie & Fitch: Not just all-American", Columbus Dispatch, 2007-06-14. Retrieved on 2007-06-14. 
  7. ^ Luxist (2008-03-10). "Gilly Hicks Sydney: Underwear For Those Who Don't Appear To Wear It". Press release. Retrieved on 2008-03-27.
  8. ^ http://jezebel.com/361932/abercrombie-declares-lingerie-war-on-victorias-secret
  9. ^ a b c d e Carson, Vanda. "Rival hops in on eve of Just's US launch", Sydney Morning Herald, 2008-01-25. Retrieved on 2008-02-09. 
  10. ^ a b c d e Gilly Hicks Bares It All: New Abercrombie chain uses skin and story to market intimate apparel, loungewear to women. Trading Markets. Retrieved on 2008-03-27.
  11. ^ Accidental Mascot for Retail Chain? Abercrombie's hush-hush new concept may share name with Brit Gilly Hicks. Retrieved on 2008-03-27.
  12. ^ a b Four Iconic Businesses: One "BRAND" (PDF). Retrieved on 2008-02-09.
  13. ^ a b c CCFC News - Would Hannah Montana wear it?
  14. ^ a b c d e f g h i j k l m n The Columbus Dispatch (2008-01-25). "Gilly Hicks Bares It All". Press release. Retrieved on 2008-03-27.
  15. ^ a b c d Abercrombie Slips Into Something New. Blogging Stocks. Retrieved on 2008-03-27.
  16. ^ Abercrombie catalog reborn for Europe
  17. ^ Blog.Jasoline.com (2008-01-10). "A&F Gets Naked With Gilly Hicks Line". Press release. Retrieved on 2008-03-27.
  18. ^ Denizet-Lewis, Benoit. The Man Behind Abercrombie & Fitch. Salon.com. Retrieved on 2007-12-08.
  19. ^ Gilly Hicks | Store Employment Application
  20. ^ a b http://clipmarks.com/clipmark/8CBA573E-94BF-4B67-9C0E-7716674095B0/
  21. ^ a b Gilly Hicks. Fashion Club. Retrieved on 2008-03-27.
  22. ^ Abercrombie & Fitch Co. - Investor Relations - News Release
  23. ^ R&R Watch ATL: New Abercrombie Concept, "Gilly Hicks" May Be In Atlanta In 2009
  24. ^ a b Gilly Hicks: Sydney website / "Stores" feature. Abercrombie & Fitch Co.. Retrieved on 2007-12-27.


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abercrombie (age 7 through 14) • Hollister Co. (14 through 18) • Abercrombie & Fitch (18 through 22) • Gilly Hicks: Sydney (18 and up) • RUEHL No.925 (22 through 35)

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