Why did Jeffries leave Abercrombie

Why did Jeffries leave Abercrombie? Where is Mike Jeffries now?

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According to Bloomberg, Mike Jeffries became CEO of Abercrombie and Fitch in 1992. The company had been operational for a century, having started out as a sporting goods business in 1892.

Abercrombie & Fitch used to be more about manufacturing hunting and fishing apparel with a traditional American touch than it was about topless models with steel abs. Abercrombie and Fitch have dressed celebrities like John F. Kennedy, Amelia Earhart, and President Theodore Roosevelt before it became a teen hangout.

Why did Jeffries leave or Lose his Job at Abercrombie: Here are The Reasons

Jeffries may have made Abercrombie & Fitch one of the hottest retailers in the 1990s, but his recent career has been marred by huge missteps, ranging from high-profile public relations gaffes to the closure of hundreds of failing locations. Investors reacted positively to news of his departure, with the stock rising over 7% in recent trading on Tuesday.

Jeffries’ mistakes at the helm of the corporation were numerous, but three in particular ruined him.

#. He was a nightmare in terms of public relations.

In 2013, media outlets dug out comments from a 2006 interview with Salon explaining why Abercrombie & Fitch refused to stock women’s apparel larger than a size 10 and caused an uproar. “That’s why we hire attractive folks to work in our stores,” Jeffries explained. “Because good-looking individuals attract other good-looking people, and we want to market to cool, good-looking people,” he continued, “and we don’t market to anyone else.” On May 15, 2013, Jeffries issued a public apology in response to the controversy.

“While I believe this seven-year-old, resurrected quotation was taken out of context,” Jeffries stated, “I genuinely apologize that my choice of words was perceived in a way that has caused offense.” “Any discrimination, bullying, pejorative characterizations, or other anti-social behavior based on race, gender, body shape, or other individual traits is entirely unacceptable to us.”

#. He was far too ambitious in his expansion.

When he wasn’t ruining Abercrombie’s public image, Jeffries was destroying the company’s financial results by approving the establishment of too many U.S. stores, despite the fact that teens are increasingly opting for the lower-priced racks at Forever 21 and H&M.

Then there emerged the concept of feminine lingerie and accessories. Jeffries also created Gilly Hicks, which debuted in 2008 as a direct competitor to Limited Brands’ (LB) – Get L Brands, Inc. Victoria’s Secret should be reported.

Abercrombie & Fitch announced the closure of its 24 freestanding Gilly Hicks locations on November 1, 2013. At Abercrombie’s surfwear-inspired Hollister branch, the brand was moved to the inside of select stores.

Similar to Ruehl, the store closures at Gilly Hicks cost the company a lot of money: as of the first quarter of 2014, the company had spent roughly $90 million on restructuring expenditures connected to store closures at Gilly Hicks.

Finally, the unexpected decision to break ways with Jeffries during the holiday season foreshadows significant changes at the retailer in 2015.

To compete with fast-fashion retailers like H&M and Forever 21, one of those modifications could be to give teens more cheap items at the Abercrombie & Fitch division. This decision would be similar to Jeffries’ price-cutting drive at the Hollister division this year.

Another is the closure of Abercrombie Kids standalone stores, with merchandise being moved into the gigantic adult locations, as mentioned in the company’s most recent earnings call. “We’re looking at the kids’ carve-outs (kids’ products in Abercrombie & Fitch stores) very closely, and we’re paying a lot of attention to it,” Jeffries added.

Where is Mike Jeffries now?

There is very little information about his personal life available on the internet.

Esquire claims that Jeffries listed his Midtown Manhattan townhouse for $19.5 million in 2016, then re-listed it for $16 million the following year.

In 2018, the property was eventually sold for $12.9 million

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