American Apparel Unveils Aggressive Retail Plans
Los Angeles–based T-shirt manufacturer American Apparel is making a wider commitment to retail by opening 14 new stores by the end of 2004, said Dov Charney, the company’s senior partner.
American Apparel will open its next store in Los Angeles’ Little Tokyo section by May 1. The rollout of Los Angeles retail will also include two boutiques in Hollywood, on Sunset Boulevard in the Los Feliz area and one on the 6600 block of Hollywood Boulevard. Another store on the corner of Robertson Boulevard and Third Street is scheduled to open in late May.
The company’s retail expansion also includes Europe. A London store and two German locations, one in Berlin and another in Frankfurt, are scheduled to open this summer.
The company made the shift from entirely wholesale in 2003 when it opened seven American Apparel stores across North America, three in New York City, three in Montreal and one in Los Angeles’ Echo Park district.
American Apparel forecast 2004 revenue to double 2003 revenue, which was $80 million. While Charney anticipates retail sales initially at 5 percent of company revenue this year, he hopes the stores will foster greater company growth. “The economies of scale that’s created from all the retail volume should bring more value to our customer base, both consumer and wholesale,” Charney said. —Andrew Asch
