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American Eagle Outfitters Launches a New Brand, “Offline” Activewear

By Rhian Hunt – Jul 29, 2020 at 2:19PM

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The company will open its first two Offline brand stores by late 2020.

American Eagle Outfitters (AEO 0.83%) announced on Monday it's offering a new brand of "athleisure" activewear named Offline by Aerie, aimed at people who want clothing usable both for their workouts and for relaxation. The move comes after American Eagle, last month, also launched a line of comfortable, casual clothing ranging from cashmere sweaters to swimsuits under the brand name Unsubscribed, a concept the company says highlights "the beauty of modern simplicity and taking things easy."

According to a statement by Aerie brand President Jennifer Foyle, Offline's "unique take on active lifestyle products celebrates REAL life when some days you feel like you can take on the world and other days you need that extra push to get off the couch." She also said health "and wellness have always been at the core of Aerie's mission." The brand's product range includes sports bras, tank tops, running shorts, leggings, jumpsuits, bodysuits, and similar garments.

A shopper checking  out Activewear shirts.

Image source: Getty Images

Currently, the Offline brand is available only through online sales. American Eagle has already seen robust +33% growth in e-commerce purchases during the first quarter of 2020. The popularity of its Aerie brand (of which Offline is an offshoot) drove enough revenue to result in only a -2% dip in comparable sales growth, or comps, over the course of a quarter when COVID-19 caused a -38% drop in company sales overall.

American Eagle also intends to open two brick-and-mortar Offline brand outlets sometime before the end of 2020. Its press release notes it is aiming to expand its "continued success cultivating lifestyle brands, paired with Aerie's incredible strength and growing customer demand."

Rhian Hunt has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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