American Eagle is Going Home

AEO's new OFFLINE brand answers to consumers ONLINE shopping needs in the new comfy work-from-couch culture

Sweatpants and leggings have become the wardrobe necessity during these WFH times. And American Eagle Outfitters is the latest retailer to launch an athleisure label to reply to the demand. 

This week, the brand launched OFFLINE by Aerie, its intimate apparel and lifestyle retailer. Ironically, it’s currently only available for shoppers ONLINE. Built for “REAL movement and REAL comfort” with soft and cozy materials – the brand does plan on opening two brick and motor outlets sometime before the year ends. 

It seems like AEO, largely popular for its denim wear, made the perfect move at the perfect time – though it created the plan before the pandemic struck. 

According to the Washington Post, the pandemic has taken a real toll over jeans sales, which were already weak for the past five years. Many well-known jean retailers filed for bankruptcy since April, including True Religion, G-Star RAW, J. Crew, and Lucky Brand. 

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Other retail giants, like H&M, have been negatively affected by the crisis too. The Swedish fashion brand is planning to close 170 stores worldwide after experiencing a drop in sales and is about to let go of 20% of its COS brand’s head office personnel. 

“We have proposed several changes to our London head office and Europe region organization,” said the COS spokesman. “We are making new roles available while also removing and diminishing select roles. We aim to find a suitable alternative role within the brand for as many affected colleagues as possible and have a thorough consultation process in place.” 

On the other hand, activewear brands are benefiting from the shift towards sweatsuits, jeggings, and yoga gear being seen as essential items alongside makeup and cosmetics, for instance. Lululemon saw market share gains and may not face compression anytime soon as long as the trend remains prevalent. 

That’s why some may feel confident that AEO’s new OFFLINE brand is set to succeed. It’s a unique offering, and personal messaging not only targets those who enjoy working out, but it also addresses those who simply feel like wearing relaxing, comfortable loungewear. And are working out, or at least working – from home. And we still spend more time at home, it’s appealing to a much wider audience. 

“OFFLINE’s unique take on active lifestyle products celebrates REAL life when some days you feel like you can take on the world and other days you need that extra push to get off the couch,” said Jennifer Foyle, Aerie Global Brand President.  

During the first quarter of 2020, American Eagle has already seen robust +33% growth in e-commerce purchases. Last month, the brand launched another label, Unsubscribed, calling it “the beauty of modern simplicity and taking things easy.” 

AEO plans to hire fulltime employees to join its team, supporting the local economy through stable job creation. A drive-thru hiring event at the Hazleton Distribution Center will take place on August 4-5th – tapping into another corona-times trend of everything-drive thru. 

Candidates won’t have to leave their cars to interview, and coronavirus guidelines will be enforced, including wearing a mask and practicing social distancing.