Forever21 Filed for Bankruptcy Last September. What's next for this Fast-Fashion Empire?
When fast-fashion retailer Forever21 filed for bankruptcy 9 months ago and then, like many other retailers, suffered financially as a result of COVID-19 closures, many wondered if this would be the end of the trendy, low-priced clothing store popular young people. However, one of Forever21’s new owners, Authentic Brands Group, has announced other plans.
According to AdWeek, Authentic Brands has partnered IB Group with plans to expand Forever21 into Mexico, and later Central America, South America, the Caribbean, and even the Philippines. With this design, 37 new stores will be opening across Mexico. Forever21’s new owners Authentic Brands, Simon Property, and Brookfield Property also plan to launch new lines of various accessories including jewelry, shoes, and handbags. They say they hope to launch fresh new marketing campaigns and collaborate with influencers in order to gain back their young customers they've lost in recent years.
Leading up to its filing for bankruptcy, Forever21 faced challenges from rising online competitors such as BooHoo, Fashion Nova, ASOS, and H&M. In its prime, the retailer stayed on top of trends almost as soon as they emerged, however, in recent years Forever21 has become more of the butt of the joke in terms of style, trendiness, and quality. Additionally, they have been hit with 50 copyright lawsuits in the past decade as a result of efforts to mimic success from other brands such as Gucci and even Ariana Grande. It goes to show that while the retailer experienced impressive and speedy growth, this culminated in an equally speedy demise. However, many loyal customers remain globally, and they will be looking forward to see what the future holds for this re-branded, newly-owned Forever21.
Forever21 was sold to Authentic Brands, Simon Property, and Brookfield Property for a whopping $81 million back in February. Authentic Brands Group is somewhat known for buying out stores in bankruptcy. They also own other notable retailers such as Barney’s, Juicy Couture, Aéropostale, and Nine West.
Report: Grace Carlos
At the rise of Covid-19 many of us first questioned the timeline of fashion week and would we see the regular calendar continue - the question weighed over many of us for months! It was refreshing to see design houses and designers across the globe take advantage of the uncertainty and plow into production mode - thus my interest in Jerri Reid New York - The Black Designer based in Brooklyn New York wow’d instagram with his latest collection paying homage to the Black Is King film which debuted earlier this year in July. I was taken aback at quick of a turn round the young designer produced and released his well crafted designs reflecting some of the films most memorable moments.