Company  Background    

Ann  Taylor's  stock  is  the  most  attractive  of  any  retailer's,  says  UBS  in  

its  latest  global  equity  research  report.  This  is  largely  due  to  its  LOFT  spinoff,  

which  was  launched  in  1996  and  targets  young  professionals  with  more  

casual,  trendy  clothing.  This  is  a  big  turnaround  for  a  company  that  

was  cutting  jobs  and  closing  stores  as  recently  as  2009.  

On  top  of  high  sales  from  the  fall,  Ann  Taylor  is  scoring  points  with  its  

latest  advertising  campaigns,  which  features  celebrities  like  Katie  Holmes  —  

and  signs  are  good  for  holiday  lines,  according  to  UBS.  The  company  has  also  

thrown  $15  million  into  e-­‐commerce  —  which  has  proved  to  be  smart,  

because  online  sales  for  both  brands  are  up  30%.  So  it's  no  surprise  that  Ann  

Taylor's  LOFT  was  recently  named  the  fastest  growing  brand  in  America  by  

RetailSails,  with  a  161%  year-­‐over-­‐year  growth.  

Loft,  the  lower-­‐priced,  more  casual  Ann  Taylor  spin-­‐off,  is  a  bit  of  an  

anomaly  in  retail.  While  competitors  like  Talbots  and  Gap  are  struggling,  Loft  

has  hit  its  stride.  WWD  reports  that  the  brand  has  just  registered  11  

consecutive  quarters  of  growth,  which  is  fairly  remarkable  in  the  current  

retail  climate.  

On  the  other  hand,  big  sister  brand  Ann  Taylor  is  not  struggling,  exactly,  but  

it's  not  skipping  down  Cash  Lane,  either.  After  several  seasons  of  ups  and  

downs,  WWD  reports  that  this  is  the  first  quarter  in  some  time  that  in-­‐store  

sales  are  up.  Even  so,  Ann  Taylor  sales  totaled  $233.3  million  last  quarter,  

compared  to  $361.6  million  at  Loft.  

Of  the  two  brands,  Ann  Taylor  has  been  around  longer  and  has  a  

stronger  reputation  for  quality  and  lifestyle  (is  wasn't  until  2009  that  Loft  

dropped  the  Ann  Taylor  from  it's  name  and  was  sent  out  into  the  retail  world  

on  its  own  two  slightly  lower-­‐priced  feet.)  But  Loft  now  has  almost  twice  as  

many  stores  as  Ann  Taylor  and  seems  to  have  found  its  niche.  

Loft's  president  Gary  Muto  attributes  the  brand's  strength  to  its  

accessibility.  "We  never  do  super-­‐serious  clothing.  There's  definitely  more  of  

a  casual  handle  here.  We're  not  intimidating  at  all.  It's  welcoming.  It's  

approachable  fashion,"  he  told  WWD.  

Ann  Inc.'s  CEO  Kay  Krill  thinks  it's  about  versatility.  "It's  a  brand  that  

works  everywhere,  in  urban  areas,  suburban  areas,  small  markets,  mid-­‐

markets,  lifestyle  centers,"  she  said.  "It's  a  brand  that  appeals  to  everybody.  

It's  ageless."  

Also,  it's  about  pricing.  The  most  expensive  item  currently  listed  on  Loft.com's  

"New  Arrivals"  page  is  a  $148  printed  trench  coat.  Everything  else  is  under  

$100,  and  70%  to  80%  of  the  brand's  merchandise  is  always  priced  under  

$50.  

 The  brand  that  I  chose  to  focus  on  for  this  week’s  assignment  is  Ann  

Taylor  LOFT,  which  is  now  formally  known  just  solely  as  LOFT.  The  umbrella  

of  the  Ann  Taylor  brand  includes  “Ann  Taylor,”  “LOFT,”  “Ann  Taylor  Factory  

Store,”  and  “LOFT  Outlet.”  With  all  four  brands  existing  as  a  woman’s  retail  

store,  they  are  “committed  to  meeting  the  evolving  needs  of  women  who  want  

feminine,  stylish  and  versatile  fashions  that  offer  great  quality  and  value  and  

that  inspire  women  to  look  as  beautiful  as  they  feel”  as  said  by  Kay  Krill,  who  

is  the  President  and  CEO  of  the  Ann  Taylor  brands.  The  reason  I  chose  to  

focus  mainly  LOFT  was  firstly  because  I  used  to  work  there,  and  secondly,  

they  recently  did  a  total  rebranding  of  LOFT  that  I  was  able  to  witness  while  I  

was  still  working  at  the  store.  

As  I  had  mentioned  before,  LOFT  did  a  complete  rebranding  in  April  

2010.  According  to  “Styleite,”  LOFT  took  to  a  Tumblr  site  to  begin  their  

rebranding  transformation,  and  revamped  the  site  www.liveloveLOFT.com.  

The  site  featured  blog  posts  about  new  arrivals  of  clothing  and  accessories  to  

the  store,  as  well  as  tips  and  tricks  for  creating  the  perfect  outfit  with  the  

LOFT  brand.  They  also  allowed  guest  bloggers  to  compose  posts  about  

potential  outfits  for  LOFT  clients/readers  of  the  blog,  how  to  get  the  most  out  

of  a  versatile  piece  of  clothing  or  accessory  from  LOFT,  etc.    

    From  the  perspective  I  had  while  working  in  the  store  during  the  

rebranding,  reestablishing  the  brand  for  LOFT  was  extremely  important  for  

its  survival.  The  brand  of  “Ann  Taylor”  (and  all  of  the  brands  that  fall  under  

that  umbrella)  has  had  the  reputation  as  being  an  “old  lady”  brand  or  the  

place  women  could  go  to  if  they  needed  a  business  suit.  Ann  Taylor  was  never  

really  the  brand  that  women  thought  of  when  they  were  looking  for  a  “hip”  or  

“trendy”  outfit.  That’s  where  LOFT  came  in.  LOFT  was  supposed  to  be  the  

segment  of  Ann  Taylor  that  was  the  “younger”  part  of  the  brand,  but  it  could  

not  seem  to  outrun  the  shadow  of  the  stuffy  reputation  of  Ann  Taylor.  Not  to  

mention,  LOFT  had  to  keep  up  with  competitors  like  J.Crew  and  Banana  

Republic  -­‐  two  popular  brands  targeted  to  young,  sophisticated  and  hip  

individuals  (both  men  and  women).    Enter  the  rebranding.      I  was  able  to  

witness  LOFT’s  rebranding  first  hand  as  I  saw  the  store  receive  a  fresh  coat  of  

a  completely  different  color  of  paint,  more  vibrant  colors  in  the  clothing  and  

accessories,  the  sign  outside  of  the  store  as  well  as  the  shopping  bags  

customers  carried  out  of  the  store  go  from  “Ann  Taylor  LOFT”  to  just  “LOFT”  

and  so  on.  Along  with  their  blog  site  as  previously  mentioned,  LOFT  also  

called  upon  Jessica  Schroeder,  who  has  a  popular  Tumblr  site  called  “What  I  

Wore.”      This  partnership  allowed  women,  who  may  look  up  to  Schroeder,  to  

achieve  the  same  look  that  she  does  while  creating  the  look  with  LOFT  

products.  

    Through  LOFT’s  dynamic  e-­‐commerce  and  presence,  I  was  pleasantly  

surprised  to  see  that  the  informal  partnership  of  bloggers  and  the  brand  still  

holds  true.  Many  of  my  searches  that  came  up  would  trace  back  to  female  

bloggers’  pages  where  many  of  the  women  were  doing  the  same  thing  Jessica  

Schroeder  did  –  feature  a  picture  of  an  outfit  she  was  wearing,  and  promote  

LOFT  at  the  same  time.    With  sites  like  "My  Wardrobe  Today"  and  others,  

women  are  eagerly  sharing  LOFT  products  and  are  proud  to  do  so.  With  the  

rebranding  of  LOFT  still  being  fairly  new,  it  was  (and  still  is)  so  very  

important  to  monitor  both  negative  and  positive  feedback  (more  so  the  

negative).    With  the  rebranding,  LOFT  is  attempting  to  not  only  maintain  the  

current  consumer  base  they  have  established  over  the  years,  but  they  are  also  

trying  to  gain  a  new,  younger  consumer  base  who  will  be  brand  loyals  to  the  

LOFT  brand  as  they  grow  into  the  brand.    With  my  monitoring,  I  did  not  really  

witness  any  negative  feedback  about  the  brand  or  the  rebranding,  which  

proves  to  me  that  LOFT  made  a  move  in  a  great  direction.    This  positive  

feedback  will  be  highly  beneficial  to  the  brand  image,  as  it's  reinforcing  

everything  wonderful  that  the  brand  was  initially  built  on,  while  establishing  

that  it  is  very  capable  of  keeping  up  with  the  changing  times.    

                     SWOT  Analysis:  LOFT      Strengths:    • Strong  brand  identity  and  heritage.    • Focus  on  value  concepts  that  

appeal  to  customers  in  the  current  market  

• They  have  had  well  known  celebrity  endorsers  and  faces  of  the  brand.    

• Robust  growth  in  sales  and  profits  • They  have  an  iconic  style  that  is  

tailored  for  the  modern  working  woman  and  that  is  always  evolving  to  meet  her  changing  aspirations  and  roles.  

 Weakness:    

 • Reliance  on  third-­‐party  

manufacturers  • Dependence  on  a  single  

distribution  center  and  third  party  distribution  

• The  brand  has  a  fixed  image  in  people’s  minds  that  would  be  hard  to  change.    

• It  is  a  very  American  brand  that  focuses  on  the  classic  American  style.  

 Opportunities:    • The  brand  Ann  Taylor  has  the  

option  of  branching  out  to  other  countries  (as  they  are  thinking  of  doing  in  the  UK).    

• They  could  increase  their  market  range  possibly  introducing  some  lower  priced  items  as  entry-­‐level  products.  

• Online  and  outlet  sales  channels  expand  market  reach  

•    Threats:    • Intense  competition  may  erode  the  

market  share  • Product  quality  • Oversized  age  demographic    

                   

 Public  Relations  Plan:  LOFT      

Who  are  we  trying  to  reach?  Some  important  identifiers  include  

‘inspiring,  engaging,  genuine,  happiness.’  The  Loft  customer  dresses  how  she  

wants  to  feel,  whereas  the  Ann  customer  goes  through  her  agenda  and  thinks,  

“What  do  I  need  to  look  like  for  what  I’m  going  to  do  today?”  She  wants  to  be  

appropriately  dressed  for  what  she  does,  and  the  Loft  girl  wants  to  feel  good.  

   

We  want  to  make  the  brand  shift  from  Ann  Taylor  LOFT’s  persona  of  

being  an  ‘Old  Lady  brand’  to  one  of  a  lifestyle  brand  for  young  stylish  

professionals.  Using  innovative  technology,  Social  media  platforms,  and  a  

community  of  well-­‐connected  LOFT  girls.  We  believe  we  can  create  a  better  

customer  culture  for  our  clients  old  and  new.    

 

Marketing  Objective:  At  the  core  of  our  strategy  is  our  commitment  to  

strengthening  our  connection  to  our  client.  With  an  exceptionally  strong  

brand,  our  goal  is  to  be  there  for  her  wherever  and  whenever  she  chooses  to  

shop,  by  providing  her  with  an  engaging  client  experience  across  all  of  our  

channels.

   

PR  Objective:  LOFT  is  the  trusted  personal  stylist  for  the  woman  who  lives  a  

casual,  layered  life.  We  aim  to  inspire  her,  and  cultivate  a  genuine  relationship  

that’s  expressed  in  our  promise  to  be  the  curator  of  her  style,  support  her  as  

an  individual  and  value  her  passion  and  investment  in  our  brand.  We  wish  to  

rebrand  LOFT  as  the  go-­‐to  lifestyle  brand  for  the  stylish  young  professional.  

 

                 Strategy  I:  Technology  Using  technology  to  reach  the  28-­‐35  ages,  social  media  sharing,  etc.  

 

Tactic  I:  Interactive  Storefront  Displays    

 • Interactive  tablets  will  be  placed  in  mall-­‐scapes  and  outdoor  buildings  

transforming  storefronts  in  high-­‐traffic  location  into  massive  displays  

that  allure  and  captivate  Chinese  consumers  nearby.  

 

• The  storefront  display  will  allow  consumers  to  engage  themselves  with  

LOFT’s  brand  before  stepping  foot  inside  stores  and  feature  multiple  

level  of  engagement  like  virtual  styling  with  LOFT’s  products  showing  

before  and  after  results  images.    

 

• Users  could  then  enter  their  social  media  feeds  or  email  address  to  

receive  their  photo  to  share  with  their  friends  and  inner  circle.    

 

Tactic  II:  Digital  Styling  Kiosks    

 • Chicago  Transit  Association  will  team  with  LOFT  to  launch  an  

interactive  "virtual  retail"  kiosk  that  scan  the  image  of  the  user  and  

suggest  product  and  styling  to  fit  both  their  body  shape  and  also  their  

personal  style  incorporating  the  “LOFT  Girl.”    

 

• The  kiosk's  large  screen,  situated  next  to  a  full-­‐length  smart  mirror,  is  

loaded  with  software  that  scans  the  user  to  create  digital  animations  

that  represent  their  silhouette.  The  results  for  the  user  will  appear  

alongside  their  reflection,  accompanied  by  recommended  products  

from  this  season’s  LOFT  line.  

 

• The  kiosk  gives  customers  the  option  to  purchase  the  recommended  

products  (Shipping  to  their  home),  or  if  they  decide  not  buy,  they  can  

opt  to  send  the  look  to  their  email  to  save  for  later  or  post  on  their  

social  media  sights.  A  third  screen  on  the  kiosk  displays  blog  posts  and  

photos  from  influential  bloggers.    

 

Tactic  III:  LOFT  Pop-­up  Stores    

 • Pop-­‐up  Stores  will  be  placed  in  high  traffic  locations  giving  consumers  

a  chance  to  receive  our  “LOFT  Girl”  VIP  treatment.  LOFT  will  have  

stylists  on  hand  to  create  striking  looks  for  clients,  using  LOFT’s  

clothing.    

 

• Participants  will  be  encouraged  to  snap  their  photo  to  be  featured  in  

LOFT’s  beauty  look  book  and  receive  a  free  tote  to  take  home.    

 

Tactic  IV:  Social  Media  “One  Moment  to  Wow”  Campaign  

 

• Social  media  tactic:  Use  our  “One  Moment  to  Wow”  for  hastags  or  name  

of  contest.  

 

• ‘Selfies  with  LOFT’  encourages  consumers  to  post  photos  with  their  

favorite  LOFT  products  on  Twitter  with  the  hashtag  #momenttowow  

or  tag  us  in  your  selfie  on  Facebook.    

 

• By  doing  this,  clients  will  automatically  be  entered  in  a  drawing  for  a  

tote  filled  with  LOFT  products.  

 

• A  winner  will  be  drawn  every  Monday  and  on  Valentines  Day  for  the  

month  of  February.  

               Strategy  II:  The  ‘Loft  Girl’  Community    

We  want  to  launch  a  new  ambassador  program,  LOFT  Girls.  LOFT  Girls  

are  engaged,  energetic  and  dynamic  women  who  have  a  vested  interest  in  

their  local  community,  charity,  friends  and  family,  and  most  importantly  

fashion  and  shopping!  These  girls  are  selected  because  of  their  social  capital  

both  in  their  societal  circles  along  with  their  professional  ones.  

 Tactic  I:  Shopping/Social  Events  Catered  to  LOFT      • Creating  shopping  events  that  deliver  an  atmosphere  more  compliant  with  

our  target  clienteles’  social  lives.  We  want  to  attract  women  that  share  

their  great  style  not  only  with  their  friends  but  also  with  us.  Our  LOFT  

girls  are  our  inspiration  and  creating  this  genuine  connecting  with  them  

will  help  promote  word  of  mouth  PR.  

 Tactic  II:  Word  of  Mouth  PR  through  LOFT  Girl  Channels    

• There  is  one  place  women  find  advice  and  will  hold  heartedly  trust  it.  Their  girlfriends.  Creating  the  buzz  through  these  LOFT  girls  will  create  

the  word  of  mouth  PR  that  can  push  the  brand  into  new  markets.