Abercrombie & Fitch expands to lucrative wedding market with A&F Wedding Shop

Abercrombie & Fitch (NYSE:ANF) is expanding into the lucrative wedding market with the launch of The A&F Wedding Shop, a collection of attire for the bride, bridesmaids, and guests as well as a clothing selection for events surrounding the big day.

”The A&F Wedding shop is a comprehensive, curated destination that reflects what we know our customers crave and what we are uniquely positions to deliver,” said Carey Collins Krug, Chief Marketing Officer of Abercrombie & Fitch, Co (ANF).

Spending on weddings has grown consistently over the years as the number of guests increases and destinations become more exotic. And the expenses aren’t just isolated for the wedding itself. There’s the engagement party, bachelorette party, and bride’s brunch, all of which require a new wardrobe.

And while inflation has made some brides plan a more modest wedding, the cost for the ceremony and reception has swelled from $28K in 2019 to $35K in 2023, according to data compiled by The Knot, with brides spending an average of $2,000 for just the dress.

“Abercrombie’s customers view weddings as multi-faceted experiences, which is why we designed this collection to be the outfitting solution for so many wedding-related occasions,” Corey Robinson, Chief Product Officer said.

In related news, on Wednesday, ANF reported better-than-expected Q4 results with sales up 21% and the company’s gross profit margin improving 720 basis points during the quarter.

In the wake of Wednesday’s results, Morgan Stanley raised its price target by 27% to $103, and Telsey Advisory hiked its price target by 8.5% to $152 with an Equal-Weight and Outperform ratings, respectively.

After a string of gains, the company’s stock has appreciated by more than 200% over the last six months, giving back some of those gains in the last two days.

Shares are down 3% on Thursday after closing 3% lower on Wednesday after setting an all-time high of $140.28.