Once known as a major retailer for fast-fashion amongst young adults, Forever 21 has officially announced the closing of all of its U.S. stores, marking the end of an era for shoppers who grew up with affordable and trendy clothing.
Founded in 1984, Forever 21, quickly became the number one go-to store for teens and young adults that were looking for stylish attire that was also budget friendly. With its signature yellow bags and store layout, Forever 21 dominated malls across the country, reaching over 800 locations at its peak. But, despite the major success, Forever 21 still managed to run into an issue.
Around the late 2010s, the retail landscape began to change, leading to its decline. For starters, as the foot traffic in malls began to decrease, Forever 21 struggled to maintain its massive mall locations. Additionally, with the rise of online shopping, fast-fashion giants like TEMU and SHEIN instantly became competition, offering cheaper and trendier options.
As a result, Forever 21 filed for bankruptcy in 2019. The following year, the company was acquired by a consortium of investors, hoping to revive its appeal through partnerships with companies like SHEIN. However, the challenges persisted, leading to its recent bankruptcy.
“While we have evaluated all options to best position the company for the future, we have been unable to find a sustainable path forward, given competition from foreign fast fashion companies, which have been able to take advantage of the de minimis exemption to undercut our brand on pricing and margin,” Chief Financial Officer Brad Sell said in a statement.
Nonetheless, Forever 21’s closure marks the end of an era for fast fashion as we knew it. While shoppers mourn the loss of a once-beloved clothing staple, Forever 21’s fall serves as a reminder that it’s important that companies evolve with their target audience to stay relevant in a constantly changing industry. Though Forever 21’s doors may be closing, its influence on fashion and pop culture will remain a lasting legacy.
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