Can American Eagle Outfitters Succeed in Athleisure?
Athleisure was a growing trend before the pandemic, and it's rate of growth is accelerating as people are staying home and working online. Activewear companies such as Nike and luluemon athletica are benefiting from growing demand, and teen apparel brand American Eagle Outfitters (NYSE: AEO) is getting in on it too with the recent launch of its new Offline label as part of the Aerie brand. Will it remain Aerie's side show, or can it shine on its own?
American Eagle created the Aerie brand in 2006 as a lifestyle-intimates line for its core target group of women aged 15 to 25. Aerie's groundbreaking marketing features women of all shapes and sizes and focuses on body positivity, unlike the traditional fashion model. This clearly resonates with U.S. audiences, propelling Aerie's high sales.
Image source: Getty Images.
Source Fool.com
