A weak dollar and more global business push Abercrombie’s web sales up

An international customer base that likes shopping online was a big factor in helping Abercrombie & Fitch Co. post higher first quarter web sales.

In the first quarter, Abercrombie & Fitch, No. 54 in the , reported web sales of $62.5 million, an increase of 43.7% from web sales of $43.5 million in the prior year. In comparison, total sales rose by 7.8% to $800.2 million from $742.4 million in the first quarter of 2007, while comparable store sales dropped by 3%.

Overall the web accounted for 8% of total first quarter sales, but accounted for 33% of the growth. The retailer credits a number of factors that contributed to higher web sales, including new site features, higher international brand recognition and targeted e-mail marketing. Though Abercrombie & Fitch didn’t break out specific numbers, revenue for Hollisterco.com in the first quarter grew by more than 60%.

“We saw a 44% growth in the direct-to-consumer business and a large portion of that was international,” Abercrombie & Fitch vice president of finance Mike Nuzzo told Wall Street analysts on the company’s first quarter earnings call. “If you break out that 44% by brand, Hollister had a 60% growth in direct-to-consumer business, which is staggering. We’re very excited about that.”
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