Abercrombie, once a top destination for teens, has struggled to adjust as its customers increasingly shop on their phones and other mobile devices, and shift more to fast-fashion chains like H&M. The retailer is changing its marketing to play down its sexy image, and last year got rid of provocative pictures on its shopping bags and bare-chested male models greeting customers at the door. It also gave employees more freedom to dress how they wish, ditching its “look policy” that banned eyeliner and certain hairstyles among other rules.
Indications had been that moves to make over its merchandise were gaining speed. But the latest results underscore that the decline in visitor spending in U.S. is overshadowing efforts that the company is making to spruce up its business.