Reputation Nation – Abercrombie & Fitch: A Challenging Legacy

Dezenhall Resources / October 31, 2024
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Reputation is a fickle beast. A good reputation – with its glimmering images of trustworthiness, values, reliability, authenticity, and integrity – is like a fortress on a hill, visible for all to see, inspiring respect and admiration. Conversely, a bad reputation is like an unrelenting rain cloud, constantly threatening darkness, creating shadows that reel of dishonesty, unreliability, and worse.  

While many struggle to define reputation, there is a prevailing feeling that we know a good reputation or bad reputation when we see it, and in today’s brand-driven, judge-a-book-by-its-cover culture, we have developed an obsession with reputation. Gone are the days of Joan Jett’s “I don’t give a damn ‘bout my reputation.”  

Among most, brands like Apple and Patagonia enjoy a good reputation, while others like Shein and Wells Fargo fall on the other side of the reputational spectrum. Then there are brands like Volkswagen and Abercrombie & Fitch Co., which fall somewhere in the middle – consumers generally like them, but both carry challenging legacies they must address. 

Over the last decade, American clothing brand Abercrombie & Fitch reemerged from the ashes of bankruptcy back into the hearts, minds, and closets of consumers. Last year, Abercrombie’s stock increased by 285%, outpacing the growth of AI powerhouse Nvidia. By shifting their focus from scant sizes for teenagers to size-inclusive, fashion-forward classics for elder millennials, Abercrombie’s brand reputation is back and better than ever.    

Last week, the company’s former CEO Mike Jefferies and others were arrested on federal sex trafficking charges that prosecutors allege happened during his tenure at the brand from 1992 to 2014. While this isn’t the scandal of the Abercrombie & Fitch of today, with every report of Jefferies’ arrest including the label “former Abercrombie CEO,” it’s an unfortunate and ongoing situation the brand can’t avoid. A quick Google search brings up the Jefferies matter right below the brand’s shopping carousel.  

Smartly, Abercrombie is doing all it can to distance itself from the past as they are: 

✅ “Fully cooperating with law enforcement as the legal process continues.”  
✅ “Appalled and disgusted by the alleged behavior of Mr. Jeffries, whose employment with Abercrombie & Fitch Co. ended nearly ten years ago.”  

And reminding customers and investors alike that they have:  

✅ “Successfully transformed our brands and culture into the values-driven organization we are today.”   
✅ “Zero tolerance for abuse, harassment, or discrimination of any kind.”  

This case may not be Abercrombie’s battle, but they cannot hide from the reality of the brand’s legacy, and they’re not trying to. Abercrombie & Fitch has and will have to continue to face the uncomfortable truths of their corporate history head-on – they’re not only talking the talk, but they’re walking the walk.  

Abercrombie has worked hard to transform itself into the respected and profitable enterprise it is today. If they can continue to focus on their customers, create quality products, and move forward, I’m confident the brand’s reputation renaissance will endure despite the Jefferies scandal. However, managing their reputation will take constant vigilance, as this case is bound to be fought in both the court of public opinion and the courtroom for years to come.