Aéropostale (clothing)
Encyclopedia
Aéropostale, Inc. is a mall-based, specialty retailer of casual apparel and accessories
, principally targeting 14-to-17-year-old young women and men through its Aéropostale stores and 7-to-12-year-old kids through its P.S. from Aéropostale stores. Aéropostale maintains control over its proprietary brands by designing, sourcing, marketing and selling all of its own merchandise. The Company currently operates over 942 Aéropostale stores in the United States, and Puerto Rico and over 65 stores in Canada. P.S. from Aéropostale operates in 70 stores in 19 states. Aero also has a presence in the Middle East and has plans to expand into Asia.
, New York
by R.H. Macy & Co., Inc. on August 14, 1987. The Aéropostale name is French
for "air mail" and originated from the 1920s French/Latin-American airmail firm Compagnie Générale Aéropostale
.
Federated Department Stores purchased R.H. Macy & Co., Inc., Aéropostale's parent company, in 1994. In 1998, MSS Delaware Inc. and Bear Stearns
purchased Aéropostale and its 119 stores for approximately $15 million. Aéropostale went public
in 2002.
Aéropostale launched its e-commerce webstore
in early 2005. Total net sales from the webstore for the fiscal year of 2010 was $160.2 million, a 24% increase from the previous year.
In addition to Aeropostale’s financial success, the company has been recognized as one of the "100 Best Companies to Work For" by Fortune
magazine for 2011. The Company earned this significant distinction through its commitment to core company values that embrace integrity, respect, teamwork and compassion.
In May 2008, Aéropostale opened its first store in Puerto Rico in Plaza Carolina. The following weeks, Aéropostale opened two more stores located in Plaza Las Américas and in Puerto Rico Premium Outlets. By April 2011, Aéro has opened 4 stores, the latest being in Plaza del Norte.
In March 2009, Aéropostale expanded its operations to the Middle East, opening its first store in Dubai, United Arab Emirates. The company plans to open additional stores in the region over the next few years.
On March 8, 2011 Aéropostale signed a licensing agreement with Montreal PTE Ltd., creating a joint venture between Apparel Group LLC and Jay Gee Melwani Group, to open approximately 25 stores across Singapore, Malaysia and Indonesia over the next five years.
The company also offered a secondary brand called Jimmy'Z that focused on surf and skater clothing. The 12 stores were branded as more upscale with higher price points than its parent chain. The company closed all Jimmy'Z in 2009.
and its subsidiary retailer Hollister Co.
, and American Eagle
as well as a few smaller brands. In 2010, Aéropostale generated $2.4 billion in net sales, while its demographic-specific competitors, American Eagle, Abercrombie & Fitch and Hollister reported sales of $2.97 billion, $3.037 billion and $298.2 million respectively. Old Navy reported sales of $5.37 billion within the same time period. Aéropostale's younger brand, P.S. from Aéropostale, competes with brands such as A&F's younger subsidiary abercrombie
and American Eagle's 77kids.
album Infinity on High
with a store-exclusive T-shirt. Other offers include a free beach towel with every $50 purchase and a free holiday bear with a purchase of over $100, each promotion in its respective season. These holiday bears are also donated by Aéropostale stores to local charities in their respective communities. In 2008, Aéropostale, along with not-for-profit youth organization Do Something
, launched "Teens for Jeans", a campaign to raise awareness of teen homelessness
. Stores would collect lightly used jeans and donate them to local charities. In return, donators received a 20% (2008) or 25% (2009) discount on a new pair of Aéropostale jeans. In 2008, the campaign raised over 125,000 pairs of jeans. In 2008 and 2009, Aéropostale donated 10,000 pairs of new jeans to the campaign. In 2010, after the aftermath of the earthquake in Haiti
, for every pair of jeans that was donated by customers, Aéropostale sent a brand new pair to Haiti. Also they promoted the show Greek
Season 1 DVD with a free T-shirt with a $50 purchase. In the same year, Aéropostale organized Real Teen contest to discover new talent among teenagers. The top 8 winners of the contest received $5,000 personal college scholarship.
Most recently, Aéropostale partnered with The Black Eyed Peas
in April 2011 to sell exclusive T-shirts and CDs. Proceeds from these items benefit the Peapod Foundation, a charity which "helps children worldwide though music." Additionally, Aéropostale has pledged $100,000 to the organization.
Fashion accessory
Fashion accessories are decorative items that supplement and complement clothes, such as jewelery, gloves, handbags, hats, belts, scarves, wigs, watches, sunglasses, pins, stockings, bow ties, hand fans, leg warmers, leggings, neckties, suspenders, and tights....
, principally targeting 14-to-17-year-old young women and men through its Aéropostale stores and 7-to-12-year-old kids through its P.S. from Aéropostale stores. Aéropostale maintains control over its proprietary brands by designing, sourcing, marketing and selling all of its own merchandise. The Company currently operates over 942 Aéropostale stores in the United States, and Puerto Rico and over 65 stores in Canada. P.S. from Aéropostale operates in 70 stores in 19 states. Aero also has a presence in the Middle East and has plans to expand into Asia.
History
The first Aéropostale store opened in New York CityNew York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
, New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
by R.H. Macy & Co., Inc. on August 14, 1987. The Aéropostale name is French
French language
French is a Romance language spoken as a first language in France, the Romandy region in Switzerland, Wallonia and Brussels in Belgium, Monaco, the regions of Quebec and Acadia in Canada, and by various communities elsewhere. Second-language speakers of French are distributed throughout many parts...
for "air mail" and originated from the 1920s French/Latin-American airmail firm Compagnie Générale Aéropostale
Aéropostale (aviation)
Aéropostale was a pioneering aviation company. It was founded in 1918 in Toulouse, France, as Société des lignes Latécoère, also known as Lignes Aeriennes Latécoère or simply "The Line" .- History :Aéropostale founder Pierre-Georges Latécoère envisioned an air route connecting France to the...
.
Federated Department Stores purchased R.H. Macy & Co., Inc., Aéropostale's parent company, in 1994. In 1998, MSS Delaware Inc. and Bear Stearns
Bear Stearns
The Bear Stearns Companies, Inc. based in New York City, was a global investment bank and securities trading and brokerage, until its sale to JPMorgan Chase in 2008 during the global financial crisis and recession...
purchased Aéropostale and its 119 stores for approximately $15 million. Aéropostale went public
Public company
This is not the same as a Government-owned corporation.A public company or publicly traded company is a limited liability company that offers its securities for sale to the general public, typically through a stock exchange, or through market makers operating in over the counter markets...
in 2002.
Aéropostale launched its e-commerce webstore
Webstore
A webstore is a website that sells products or services and typically has an online shopping cart associated with it. With the popularity of the Internet rapidly increasing, online shopping became advantageous for retail store owners, and many traditional “brick and mortar” stores saw value in...
in early 2005. Total net sales from the webstore for the fiscal year of 2010 was $160.2 million, a 24% increase from the previous year.
In addition to Aeropostale’s financial success, the company has been recognized as one of the "100 Best Companies to Work For" by Fortune
Fortune (magazine)
Fortune is a global business magazine published by Time Inc. Founded by Henry Luce in 1930, the publishing business, consisting of Time, Life, Fortune, and Sports Illustrated, grew to become Time Warner. In turn, AOL grew as it acquired Time Warner in 2000 when Time Warner was the world's largest...
magazine for 2011. The Company earned this significant distinction through its commitment to core company values that embrace integrity, respect, teamwork and compassion.
International expansion
In the summer of 2006, it was announced that Aéropostale would enter the Canadian market. On August 3, 2007, the first Canadian Aéropostale store opened in White Oaks Mall in London, Ontario. Aéropostale now operates 59 stores in major malls across Canada.In May 2008, Aéropostale opened its first store in Puerto Rico in Plaza Carolina. The following weeks, Aéropostale opened two more stores located in Plaza Las Américas and in Puerto Rico Premium Outlets. By April 2011, Aéro has opened 4 stores, the latest being in Plaza del Norte.
In March 2009, Aéropostale expanded its operations to the Middle East, opening its first store in Dubai, United Arab Emirates. The company plans to open additional stores in the region over the next few years.
On March 8, 2011 Aéropostale signed a licensing agreement with Montreal PTE Ltd., creating a joint venture between Apparel Group LLC and Jay Gee Melwani Group, to open approximately 25 stores across Singapore, Malaysia and Indonesia over the next five years.
Subsidiaries
To leverage the strength of the Aéropostale teen brand, the company has expanded its namesake chain to a new chain called P.S. from Aéropostale, geared at children. P.S. from Aéropostale began in 2009, and originally only offered apparel at value prices to the 7–12 age market. In winter of 2011, P.S. will be adding apparel for five and six year olds to their collections, being introduced with the Holiday clothings.The company also offered a secondary brand called Jimmy'Z that focused on surf and skater clothing. The 12 stores were branded as more upscale with higher price points than its parent chain. The company closed all Jimmy'Z in 2009.
Competition
Aéropostale mainly competes with other outfitters, Abercrombie & FitchAbercrombie & Fitch
Abercrombie & Fitch is an American retailer that focuses on casual wear for consumers aged 18 to 22. It has over 300 locations in the United States, and is expanding internationally....
and its subsidiary retailer Hollister Co.
Hollister Co.
Hollister Co., sometimes advertised as Hollister or HCo., is an American lifestyle brand by Abercrombie & Fitch Co. The concept was originally designed to attract consumers aged 14–18 through its SoCal-inspired image and casual wear. Goods are available in-store and through the company's online store...
, and American Eagle
American Eagle Outfitters
American Eagle Outfitters is an American clothing and accessories retailer based in Pittsburgh, Pennsylvania. It was founded in 1977 by Mark and Jerry Silverman as a subsidiary of Retail Ventures, Inc., a company which also owned and operated Silverman's Menswear...
as well as a few smaller brands. In 2010, Aéropostale generated $2.4 billion in net sales, while its demographic-specific competitors, American Eagle, Abercrombie & Fitch and Hollister reported sales of $2.97 billion, $3.037 billion and $298.2 million respectively. Old Navy reported sales of $5.37 billion within the same time period. Aéropostale's younger brand, P.S. from Aéropostale, competes with brands such as A&F's younger subsidiary abercrombie
Abercrombie Kids
Abercrombie kids is an American lifestyle brand by Abercrombie & Fitch. Targeting consumers aged 7–14, the concept is designed as the children's version of A&F and is marketed as "Classic Cool"...
and American Eagle's 77kids.
Promotions
In 2007, the company began doing promotions with successful figures to increase brand awareness. The first promotion was selling the Fall Out BoyFall Out Boy
Fall Out Boy is an American rock band from Wilmette, Illinois, formed in 2001. The band consists of vocalist, guitarist and composer Patrick Stump, bassist and lyricist Pete Wentz, guitarist Joe Trohman, and drummer Andy Hurley. The band released five studio albums from 2003–2008...
album Infinity on High
Infinity on High
Infinity on High is the fourth studio album by American rock band Fall Out Boy, released on February 5, 2007 by Island Records as the follow-up to the band's commercially successful 2005 album From Under the Cork Tree. Pre-production began in the group's hometown of Chicago, where writing and...
with a store-exclusive T-shirt. Other offers include a free beach towel with every $50 purchase and a free holiday bear with a purchase of over $100, each promotion in its respective season. These holiday bears are also donated by Aéropostale stores to local charities in their respective communities. In 2008, Aéropostale, along with not-for-profit youth organization Do Something
Do Something
Do Something is a non-profit organization that motivates young people to take action around social changes through national campaigns and grants for projects that make an impact. The organization's CEO is Nancy Lublin, who founded Dress for Success in 1996.-History:The organization was co-founded...
, launched "Teens for Jeans", a campaign to raise awareness of teen homelessness
Homelessness
Homelessness describes the condition of people without a regular dwelling. People who are homeless are unable or unwilling to acquire and maintain regular, safe, and adequate housing, or lack "fixed, regular, and adequate night-time residence." The legal definition of "homeless" varies from country...
. Stores would collect lightly used jeans and donate them to local charities. In return, donators received a 20% (2008) or 25% (2009) discount on a new pair of Aéropostale jeans. In 2008, the campaign raised over 125,000 pairs of jeans. In 2008 and 2009, Aéropostale donated 10,000 pairs of new jeans to the campaign. In 2010, after the aftermath of the earthquake in Haiti
2010 Haiti earthquake
The 2010 Haiti earthquake was a catastrophic magnitude 7.0 Mw earthquake, with an epicentre near the town of Léogâne, approximately west of Port-au-Prince, Haiti's capital. The earthquake occurred at 16:53 local time on Tuesday, 12 January 2010.By 24 January, at least 52 aftershocks...
, for every pair of jeans that was donated by customers, Aéropostale sent a brand new pair to Haiti. Also they promoted the show Greek
Greek (TV series)
Greek is an American comedy-drama television series, which follows students of the fictional Cyprus-Rhodes University , located in Ohio, who participate in the school's Greek system...
Season 1 DVD with a free T-shirt with a $50 purchase. In the same year, Aéropostale organized Real Teen contest to discover new talent among teenagers. The top 8 winners of the contest received $5,000 personal college scholarship.
Most recently, Aéropostale partnered with The Black Eyed Peas
The Black Eyed Peas
The Black Eyed Peas are an American pop group , formed in Los Angeles, California, in 1995. The group includes rappers will.i.am, apl.de.ap, and Taboo, and singer Fergie. Since the release of their third album Elephunk in 2003, the group has sold an estimated 56 million records worldwide...
in April 2011 to sell exclusive T-shirts and CDs. Proceeds from these items benefit the Peapod Foundation, a charity which "helps children worldwide though music." Additionally, Aéropostale has pledged $100,000 to the organization.
Legal issues
- In March 2007, Aéropostale was accused of infringing a patent owned by Card Activation Technologies, Inc. in a lawsuit filed in the Northern District of Illinois. However, in a separate lawsuit on the same patent, Card Activation received a ruling on claim construction which it interpreted as "extremely favorable" to its interpretation of the patent and its "pursuit of infringers" of the patent.
- In June 2007, Aéropostale was accused of infringing a patent owned by Picture Patents, LLC in a lawsuit filed in the Southern District of New York.
- In July 2009, Aéropostale was accused of infringing a patent owned by Furnace Brook, LLC in a lawsuit filed in the Northern District of Illinois.
- Executive Vice President and Chief Merchandising Officer Christopher Finazzo was terminated in November 2006 after an investigation by the Board of Directors revealed that he had concealed and failed to disclose personal and business interests with South Bay Apparel, a major vendor. The SEC issued an investigation on the Finazzo matter in January 2008. A criminal indictment was unsealed and announced June 11, 2010 in U.S. Court in Brooklyn, NY charging Finazzo and Doug Dey, the owner of South Bay with wire and mail fraud conspiracy.