Arrogance Forced Abercrombie and Fitch To Close Ruehl

This article may be a bit off topic for my regular followers – and for that I apologize, but I wanted to chime in on the news that Abercrombie and Fitch has decided to close their Ruehl concept stores throughout America.

When I was younger – I definitely fell for the whole Abercrombie & Fitch look, the smell of the stores and just the overall “coolness” that seemed to exude from the brand, the clothes and the stores. As I got older, I realized I hated paying as much as I did for the clothes from Abercrombie, they always seemed to shrink, and the styles just seemed to continue to look more and more ridiculous.

About 5 years ago Abercrombie launched a new conceptRuehl 925 – the premise was the store was based in Greenwich Village NYC, in the mansion of a rich family with the surname “Ruehl”. The clothes were somewhat Abercrombie-like, but had a much more adult feel, were still a little expensive, but overall seemed to be less expensive than Abercrombie. You wouldn’t find a jacket and tie appropriate for a business meeting at Ruehl, but you could easily find leisure or “going out” clothes that were eons away from the Guess/Armani Exchange look.

But the thing that really drew me INTO the Ruehl stores was the store design.

There are only 25 Ruehl stores in the US today, and anyone who has ever visited one will admit – its a VERY unique store. Instead of the storefront being floor to ceiling windows, it looks like a brick mansion that you’d find in Greenwich Village. Right down to the wrought iron fence, concrete walkway, subway/air grates and doors that look like they could come right from an a building in Greenwich Village. The inside is equally as impressive – the store is broken up into rooms, with a long hallway going down the center, dividing the womens and mens sections. The check outs are in the rear of the store – in a room that looks like it could be the garage, with exposed wooden beams and walls. Some rooms were even on different “floors” a good 2 or 3 feet higher than the other floor.

Ruehl Store FrontRuehl Store Front

The amount of detail that was designed into these stores was amazing – and the prices of the clothes did reflect that, but it really made you feel part of the story, made you feel part of the clothes – made you part of the experience, something that you will never get at The Gap, or Express.

Abercrombie’s downfall with Ruehl (and the considerable sales drop at other Abercrombie brands of late) came from their arrogance to refuse to acknowledge the state of the economy and price their clothes accordingly – or at the least, provide sales or discounts or specials. For almost a year now Abercrombie’s President and CEO, Mike Jeffries has continually stated that Abercrombie (and affiliated concepts) are premium brands, discounting them or placing sales on their products – even temporarily – will damage the reputation of the brands and make it more difficult for the brands to return to their premium status. Then, suddenly, on May 15th, in their quarterly earnings report Jeffries made a comment which clearly demonstrates just how out of touch those people are in New Albany, Ohio with whats going in the retail environment today:

The first quarter was clearly a difficult one for us. With a challenging economic environment, the consumer continues to show a reluctance to spend on premium brands; a price consciousness dictating shopping habits unlike anything I have ever seen…

Other “premium” brands – Express, Banana Republic, J Crew, and Martin & Osa to name a few – have done nothing but sell clothes for their regular price – but discount them down to almost half price, bombard email in boxes with one day sales, online sales, 30% off sales, I could go on and on. Those sales bring people in the doors, and make sales.

If you look at the quarterly results of those clothing companies – they aren’t as bad as Abercrombie’s have been and they have no intentions of closing any of these premium brands.. In fact, J Crew is still expanding their Madewell brand, Aeropostale is launching a new concept – PS, and Abercrombie is going full speed ahead with their Gilly Hicks brand. For those unaware of what Gilly Hicks is – it’s a women’s lingerie store, with pricing CONSIDERABLY lower than you’d expect to find at an Abercrombie/Ruehl store, and a lot lower than a comparable item at Victoria’s Secret as well.

It’s unfortunate that Ruehl has to take the hit, because the concept was great, the feel of the store was great, the clothing was great – but the prices were just too high, and the management of the company too arrogant to gauge the market better.

Oh, and once – sometimes twice a week – I’m now getting emails advertising their “Summer Clearance” sales in the stores and online from all the Abercrobmie brands.. How ironic. Not the least of which we’re just heading into Summer now – and they’re already doing Summer Clearance.

andrew@alconic-inc.com

View Comments »

  1. I so want to cry at hearing the closing of 28 ruehl stores : ( your post captured the essence of the ruehl experience..great work! i am hurt that they are closing and i will do everything within my power for the next six months to keep them opened!

  2. this is so sad !):
    i would give all my money to keep
    ruehl925 open . it was my favorite
    store, and the best store i;ve been too.
    ):

  3. This is so sad. I just discovered Ruehl and I love it. How are people supposed to know it’s a freaking clothing store?!!! I thought it was a bar or upscale restaurant from outside. I was at a mall’s food court and a woman pulled a couple of items out of her bag and I had to ask her where the store was, when she described it, she specifically said…”You will never think it’s a clothing store.”

    Take a second look at the pics above. If you never heard of Ruehl, would you know that they had clothes in there? It’s so dark in the store that you wouldn’t see clothes from the outside if you pressed your face on their windows. I’m sure this also contributed to their downfall. It sucks because I am in love with Ruehl’s great quality leather bags and their signature perfume (OMG it’s such a sexy smell). It will be missed.

  4. are you guys serious? ruehl was an incredibly overpriced version of the already existing abercrombie and hollister. they sold the same tanks, polos, and jeans, but changed the logo to a bulldog and added leather purses. they spent enormous sums of money decorating the store and set, in hopes of convincing people this was different from abercrombie. mike jefferies is not only out of touch with the real world and how much people make, but also a sick perverted old man.

  5. Ruehl was completely contrived out of thin air based on a sham back-story. It is hard to build a trademark and build the requisite good will on a false premise. I think the fact that it was so overdone and complex (an imposing storefront, designed to illicit intrigue – that part worked) that once people realized that the store design was contrived by a company board, they were let down. It was not authentic.

    They experimented often and never really settled on a style or statement of expression. But, the successful stuff made it over to Abercrombie, so it made a good incubator. You never knew what you’d find in Ruehl.

    Sometimes it was tattered clothing like Abercrombie, and if you’re selling to 22+, they’ve stopped growing. Frayed, worn out clothing doesn’t last very long and it does not look good.

  6. hollister was a sham back-story too but kids like it. stores will always sell random shitty stuff but there are always good things hiding in the store, even when u can see into the store. i really liked ruehl. i’d rather not everyone sound like they jumped off this other site

    http://www.topix.com/forum/business/retail/TJCJC8B5MV4M02GB3
    yikes.

  7. To my eye they used to have nicer stuff in Abercrombie and in recent times used Ruehl as an excuse to move that level of detail to another significantly more expensive line. Assumed the consumer wouldn’t notice I suppose. As an aside the fantasy back story idea is really cheesy.

  8. While Ruehl stores have great ambiance and quality merchandise, the management and many employees leave much to be desired. I’ve walked out of Ruehl and left behind the items I had intended to purchase (approx. $300 -$400 worth) because of the attitude exhibited by sales staff, particularly management. They could use a good lesson in Public Relations! Additionally, returns must be accompanied by original sales slip, and if not, management will not even consider exchange for different size, or credit toward another purchase. They are totally unreasonable, rude, and while I love their clothing, I will not spend money in a place that treats customers so disrespectfully. There are too many other franchises at which to shop that appreciate my business.

  9. If Ruehl was not associated with Abercrombie, people would not call it over priced. A cashmere sweater for around $140 is a great price, lower than JCREW. Jeans were $98, yes some had holes, but many did not, Banana Republic Jeans run up to $198… A&F has a bad rap because of overexposure and people just associate Ruehl with that image. Ruehl is actually my favorite store and I am very upset to see it go. I shop online frequently, but only got to go to one store- in Las Vegas.

  10. It is very unfortunate to hear about Ruehl closing is during my last visit to their Las Vegas store. It is the prime reason why I even bother going to the Fashion Mall when I am there. Yes, Ruehl is made by Abercrombie, so many of the characteristics that made Abercrombie what it is today you will find in Ruehl’s clothing. The difference is in the branding and finish of the clothes though. It is a little more subtle, polished and sophisticated. Also, while everyone you see wears Hollister and Abercrombie, I never see people wearing Ruehl. It feels a little more exclusive and less main stream…while this was good, I guess it ultimately became a detriment. I found it to be no more expensive than Abercrombie clothes, and what’s a few bucks here or there anyways? I am truly disappointed to see this gem of a store go. I wish I would have stocked up on more stuff over the last couple of years. Now I guess I’ll have to scrounge online for the remnants and pay shipping on top.

  11. I have known about Ruehl for a little while now, but have recently discovered Gilly Hicks. I’m curious if the Ruehl location at Easton will soon be the new Gilly Hicks?
    I am by far EXTREMELY sad that Ruehl is going to be going out of business, I love that store!! I love everything about it from the atmosphere to the flooring. We are actually going to take some of their designing concepts and put them into our own home!
    Anyway, they do always seem to have great sales during and especially after Christmas.
    Ruehl will be missed!! :-)

  12. that sucks because ruehl is awsome but if they got one at somerset collection it would do awsome there! somerset collection is located on big bever troy mi

  13. im so angry at this point i pour my soul into what i wear and i never knew there was such a store, until i came across somthing on
    the easton website:( and it had been there allmost a year by time i found it and now there closing i think they should at least keep one store in NY or the online store its be RUMORD By ruehl employes At Easton That The Abercrombie Brand Would Re-open ruehl as an excessorie/leather goods store for men and women even go at far as to re-create the once starting the co. there permium jeans at thins point the only store i really like from HCO & AandF becuase of The distinction. :( even though im a guy and i would not be shopping at gilly hicks i would still like to see it occupy the once occupied RUEHL No, 925 @ easton Town Center

  14. The whole concept, while intriguing for about the first 3 minutes in the store, came off as much too contrived – especially when the quality of their clothing was decidedly mall-grade. Additionally, the frequency with which one encountered aloof and inept “beautiful people” for sales staff (if you could find one at all) gave one the clear impression that the management valued optics more than product quality and service. That is a formula for failure in most businesses. Perhaps it appeals to teens going on an afternoon binge with their parent’s credit card. . . but that demographic seems to be shopping elsewhere.

  15. I was out at the Freehold Mall today and after my 14 year old son spent his American Eagle gift card and a few extra bucks he got for Christmas, he went over to the Ruehl store to find it shuttered. I was not surprised. I told him several times over that the concept was all wrong, despite once buying him a canvas autumn jacket for $149. Youth oriented couture with a price tag that would usually be afforded by people with excess disposable income (we are a dual physician family), with the view that I would be making a spectacle of myself to wear these clothes, (my age, 53), about town or in hospital. To sum it up, by the time you could reasonably afford to shop there, you were too mature for the style. Another chain that relied on overly generous parents. I left out overly generous grandparents who would probably be turned off by the concept. They still buy overpriced clothes at GAP Kids.

  16. Ah, it makes sense now. I went into this store on Jan 1, 2010. The entire staff was 100% useless. Rude, unhelpful, unknowledgeable, and generally apathetic. I left knowing I’d never return and figure they’d never survive.

    Who cares about the “style” of the store itself, do you wear that? Substance over style lasts. They’re closing. I rest my case.

  17. I live in Australia and I have visited these stores twice and I absolutely love the concept and branding and have also made purchases. The smell, the feel, the look, the sound…everything. I made a trip to the US last year knowing it would be the last time I would see a Reuhl store and I was very sad. Ruehl will be missed.

  18. I have no idea what they or anyone is talking about when they say the store was aimed at 22 plus. I’m 19 and occasionally shop at Hollister/A&F and when I would come into this store I felt like I was looking at the exact same designs but with a price tag that made me run back into Abercrombie feeling great about spending 50$ on a pair of shorts.. seriously.

    I definitely didn’t like the staff either. So incredibly rude and never made me feel welcome. The environment, although for other may have been different and invigorating, had me feeling like I just didn’t belong there. Maybe it was because I didn’t have the money, or it was just the staff who knew I wasn’t planning on buying anything and tried rushing me out of there.

    Yea, sales would have been nice.

  19. i thought ruehl was too much like abercrombie and fitch. They charged more for it and they made crappy purses. it dint look that much “older” to me. some stuff they had was nice, but not that much different from abercrombie and fitch as i mentioned before

  20. the San Antonio Ruehl location had excellent “models” they were nice as can be, of course san antonio is known for the small town big city feel. so they remembered me and my friends.

    i’m 24 and its funny, i shopped in chicago abercrombie once, and i forced the guy to help me pick out a shirt, one that he liked, and i liked. he asked, “you want me to help you pick out a shirt?” in an “are you serious?” kinda way, and i responded with “YEAH…..” in a “duh” way, he responded with “oh ok, well i like this one, what do you think?” i said “i like it too!” i bought the shirt and he said bye and thanked me on the way out. that was an interesting shopping experience.

    i hope they bring some of ruehls sophisticated style to abercrombie, i wouldn’t mind if they had it as an upscale section in the back.

  21. I am still in shock!!!!
    This was my favorite brand, I don’t know what am i going to do know :(

  22. I’m very upset that Ruehl closed down! Like someone else said, when I bought clothes from Ruehl and wore them, there was a feeling of exclusiveness. Everyone and their mom wears and buys A&F, AE & Aeropostale clothes. Ruehl was something different. I don’t know about anyone else but I don’t like being just another sheep. I like to wear new and upcoming brands. It will be sorely missed!

  23. No wonder why the price was freaken cheap last Black Friday and I bought a lot of stuff from Ruehl,and i started to love this brand name then now its closed down, WTH. Anyway, we can do nothing but blessing for the economic situation and hope it will go up soon so that they wont close any store of Aber or Hollister in the futurebrands

  24. They ripped out the whole front of the ruehl building last week it was sad

Post a Response

blog comments powered by Disqus