American Apparel's Second Life

The rise of interactive online environments is creating new branding opportunities for tech-savvy businesses like American Apparel. Their rapid expansion in the real world is being complemented by a foray into the virtual world of Second Life. Participants in this massively popular online role-playing game can now purchase AA outfits for their online representations (or avatar) from the new Second Life AA store, an exact virtual replica of one of their real world stores – faux-porn advertising and all.

With in-game items selling for $1 a piece, it’s unlikely that online sales will make much money for AA. However, it is obviously hoped that the online store has the potential to tempt virtual consumers into making real-life offline purchases. The offer of a 15% (real world!) discount to those who have made online purchases should help to ensure that that is the case. Beyond purely driving sales, there are other uses for a virtual shop. AA is planning to release their new range of jeans into Second Life two months before they hit real stores. The ease and low cost at which this can be done creates brand new opportunities for test-running potential products. Alongside this is the prospect of getting mouths watering in anticipation of the real world release of previously online only products. Of course, this raises the prospect of an online persona being more fashionably dressed than their offline counterpart leading to avatar-envy with us playing catch-up with our own virtual selves. OK, so there’s still a way to go before things go that far but as companies big and small look to develop an online presence, it is those who meet the needs and desires of the user best that will reap the biggest rewards. And seeing as even online avatars need clothes, American Apparel is making moves to capitalise on this whilst securing their brand presence in cyberspace at the same time.

Source: BusinessWeek