Abercrombie & FitchHollister moves away from its sartorial roots and partners with Target to begin selling home and dorm room decor for the first time, as both brands look to new categories to drive growth.
The collaboration, called The Hollister Collection at Target, launches online at most Target and select Hollister stores on June 28 and will include nearly 60 clothing and bedding items for men and women.
Hollister’s tie-up with Target comes as both companies face a decline in discretionary spending and a loss of consumer confidence, which has forced retailers to get creative to entice shoppers to spend.
Hollister, Abercrombie’s brand targeting shoppers ages 13 to 22, has been growing comfortably for much of the past year but is looking to become more of a lifestyle brand that sells more than just clothes. By offering a broader assortment, especially across a larger footprint, Hollister can acquire new customers, encourage existing buyers to spend more, and create a new organic growth pipeline.
On the other hand, Target already has a large home and dorm decor department, but has long relied on brand collaborations as a competitive differentiator, particularly because they are not as common among its competitors. Walmart. Across the company, the company regularly used trendy names like Kendra Scott, Diane von Furstenberg, Bombas and Champion, even before facing sluggish sales and declining profits.
For both companies, the collaboration provides access to the lucrative back-to-school shopping market, which reached $88.8 billion last year, or about $1,325 in spending per person participating, according to data from the National Retail Federation.
Within this market, spending on dormitory or apartment furniture has been increasing steadily for more than a decade. In 2025, it will reach $12.8 billion, just behind electronics or computer equipment.
Hollister’s expansion into home and dorm decor comes as sister brand Abercrombie & Fitch expands into outdoor footwear brands like Puma, Sperry and Hunter to drive growth. In interviews with CNBC, executives said expanding categories across the company can both attract new customers and entice existing shoppers to spend more.
Through Target’s “physical presence, we should be able to expose the Hollister brand to people who don’t shop with us today,” said Corey Robinson, the company’s chief product officer, overseeing both the Abercrombie and Hollister brands. “And then, with these customers who love us so much today, being able to play an even bigger role in their lives is something we look forward to.”
Under the terms of the collaboration, Hollister and Target will work together to design the products while Target, given its expertise in the field, will handle manufacturing, Robinson said. The collaboration will last until at least next year, with drops expected during the fall, holiday, and spring 2027 shopping seasons.
“Beyond just bedding and thinking about blankets, wearable blankets, stuffed animals, that’s how we’ll evolve the partnership,” Robinson said. “With our target age, the dorm is a priority. From a seasonality perspective, there are many ways to refresh your dorm and decorate it with something new based on seasonality.”