Is Hollister Going Out of Business?

The brand’s history stretches back to 1892, when it was established as a clothing and accessory store for travelers and outdoor enthusiasts. However, the modern identity of the company is largely credited to the vision of former CEO Mike Jeffries. During the 1990s, he remade the company by reinventing it as an upmarket teen retailer with a hyper-sexy preppy ethos. The company’s recent success has led to a rapid rise in its stock price. In 2011, it overtook the venerable Abercrombie in the U.S.

However, the company has been making adjustments to its business model and is continuing to invest in its digital capabilities. The company’s digital sales are projected to account for 54% of total company sales by 2020. In Q4 of this year, digital sales made up 57% of the company’s total sales.

While Hollister has cut back on its splashy retail locations, the brand has become more innovative with their marketing strategies. They have piggybacked on big cultural events, including Sneaker Con, to attract the target demographic. Most recently, the company also launched a limited-edition apparel collection in collaboration with Fortnite world champion Bugha.

Abercrombie and Hollister’s success was largely due to their distinct brand identities. While these two brands have similar product offerings, their price points differ significantly. Hollister sells higher-end basics and has been more expensive than fast-fashion retailers such as Gap and Old Navy. Its reversible fleeces, hoodies, and sweatshirts cost $65 or more.

The company has also been restructuring its business, focusing on eliminating costs. Its closures will depend on the needs of the different markets, and will depend on how each market reacts to the company’s restructuring efforts. Currently, L Brands operates 238 retail locations in the U.S., and 250 in other countries. There has been no confirmation of the company’s bankruptcy, but some speculate it may close down more stores or relocate to a different location.

Another retailer that is experiencing difficulty is Hallmark. It filed for Chapter 11 bankruptcy protection in November 2020 and will close its stores permanently. It has also announced the sale of its online business to Hilco Merchant Resources in March 2021. It has also started liquidation sales. With this latest move, the company hopes to regain its footing in the women’s apparel industry. There are a variety of other potential buyers, but they will likely face tough competition.

Brooks Brothers is another large retailer that has been suffering from the downturn. Its parent company, L Brands, has announced plans to close 50 stores in the U.S., but has been putting more of its stores up for sale. The company has also been selling off some of its brands, including Cost Plus World Market and its other brands. Its recent acquisitions include the Carter’s brand, which focuses on infant and young children’s clothing. In addition to that, it also sold off the Christmas Tree Shops brand, which operates 80 stores across the U.S.