American Eagle (AEO) Reinvents Flagship Stores' Experience

 | Jan 10, 2019 09:20PM ET

After leaving a mark with the success of its Aerie brand, American Eagle Outfitters Inc. (NYSE:AEO) seems to have pulled up its socks to accelerate growth at flagship stores across the nation. As part of its ongoing actions to revamp the American Eagle brand, the company launched interactive fitting rooms at its flagship stores across the United States. This innovation is receiving a positive response at NRF 2019 Retail’s Big Show this week.

Initially launched at stores in Boston, Las Vegas and San Francisco, these fitting rooms are equipped with an interactive kiosk from Aila Technologies. This custom-built software enables customers to easily scan items on a sleek, iOS-based device. Additionally, shoppers can search and request for another available size or style in the store, track the running total of items in their carts, get product recommendations — all without stepping out of the fitting rooms.

Importantly, this technology addresses several concerns — including device security, loss prevention, customer privacy and ease of integration. This tool also helps store associates to better serve customers as they can quickly pick up items requested and deliver to the fitting rooms.

Undoubtedly, American Eagle’s partnership with Alia should go a long way in enhancing in-store experiences for customers. American Eagle expects to expand this fitting room experience to more stores in 2019.

Shares of American Eagle reacted little to the news. However, this Zacks Rank #3 (Hold) stock has surged 4.5% in the past year, against the industry ’s decline of 15.2%.