186) Brand Revolution Part 2

(Click image to enlarge. Photo from Bloomberg Businessweek.)

A couple days ago I wrote about brand revolution, inspired by a video posted by Perez Hilton. At the time, I thought it would be clever to come up with an example of another brand that is attempting brand revolution in response to some problem. As a refresher, I'm defining brand revolution as a brand's abandonment or reversal of their core, defining element(s).

Well, it took a few days, but I found another recent example. Back in August, Bloomberg Businessweek wrote an article titled, "American Apparel's Unhip Finances." In a nutshell, it detailed the decline of the company's stock, which at the time was trading at below $1 (currently at 1.19), and brand perception. Never mind founder and CEO Dov Charney's sometimes questionable and risky behavior. What interests me the most is his own explanation for the downward swoosh in sales - "Hipster is over."

And even more interesting is his logical solution to his seemingly obvious explanation. From Bloomberg Businessweek:

The biggest challenge of all may be stylistic. After outfitting the world of 18- to 30-year-olds in all manner of T-shirts and leggings, which still rank among the company's best-sellers, American Apparel is going preppy, diving into more sophisticated garments such as blazers, pleated pants, button-down shirts, and more formal lace tops. "Kids are moving away from piercings," Charney says. "We want to grow old with our customer. We want to be a traditional American clothier."

American Apparel, with its lace bodysuits, assless tights, and neon nylon bike shorts, is the last thing I think of when I hear "traditional American clothier." The brand was built and grown on its hipster notoriety and sex appeal (Google image search "American Apparel ad" at your own risk). For it to swing so far in the opposite direction and appeal to those from whom hipsters sought to distance themselves (the mainstream, shudder) is brand revolution in every sense.

Like with Perez Hilton, it will be interesting to see how this plays out and what consumer response will be. As long as Charney is at the wheel, I think the brand will find ways to do their own take on preppy. That is, I don't think the scandalous ad aesthetic is going anywhere anytime soon.