What Are The Advantages Of Forever 21?

U.S.A

brand

It has become the most negative news brand in the past year.

According to the world clothing and shoe net, Forever 21 Amsterdam flagship store will be closed in January.

Benjamin Colin, the general manager of the store, told the news on LinkedIn that the reason for closing the store was the internal adjustment of the organization and the unpredictable changes in the market environment.

It is said that about 100 trade unions are affected by customs shops.

Forever 21 first entered the Holland market in 2014 and opened a 4500 square meter flagship store in Amsterdam.

A year later, a shop was opened in Rotterdam and is now operating normally.

In 2016, Forever 21 left the Belgian market after 6 years of hard work and closed stores in Brussels and Antwerp.

At that time, Belgian media said the high rent and the decline in online sales were the reasons for leaving the Belgian market.

At present, Holland and Belgium's electricity providers are still operating.

It is worth noting that the European headquarters and distribution center of Forever 21 is located in Holland.

The closure of the flagship store in Amsterdam clearly conveys a negative signal in the European market.

Meanwhile, in the depressed British retail environment, Forever 21 is shrinking the UK.

Store area.

In addition to Amsterdam, the company will close many European stores including Dublin and begin closing its stores in the North American market.

Next is the store in downtown Vancouver, which is about to close this month.

It is not clear whether the UK will further close the UK stores, but the company currently has only three stores in the UK.

As sales in Australia continue to slump, Forever 21's flagship store in Sydney is about to close. The brand officially entered the Australian market in 2014.

The Asian market is also not optimistic.

More than two months ago, Forever 21 also closed the first flagship store in Japan.

The store opened in April 2009 and attracted 1800 consumers queuing up to buy it. It quickly became a shopping paradise for Japanese fast fashion consumers.

Some analysts pointed out that lower and higher passenger flow and high rent were the main reasons for the closure of Forever 21 flagship store in Japan.

Affected by the continuing downturn in the retail market in Hongkong, Forever 21 closed the flagship store of 6 floors in the Tongluowan JINGWAH center in Hongkong earlier this year, retaining only a small store in Mong Kok, and the original flagship store will be taken over by Victoria's Secret.

It is reported that the flagship store is rentable and expensive, and has reached HK $about 10000000 at the beginning of its business. The brand must ensure that several items of clothing and accessories are sold every minute to ensure profitability.

At present, Forever 21 has more than 800 stores in 57 countries in the world.

Such a size has been seen as a scale, but now it has become a burden of achievement.

In 1984, Forever 21 was founded in the United States, and has grown into one of the largest fashion chain brands in the world in more than 30 years.

Experienced rapid expansion stage, Forever 21, which has fallen into crisis, outlined the typical development path of fast fashion.

Under the current circumstances, ZARA and H&M, the industry leaders, dare not take the risk lightly, and are stepping up their restructuring and reorganization.

The picture shows the brand Arket launched by H&M.

H&M has launched a series of flagship minority and high quality new brands Arket and /Nyden. At the same time, it has intensified its efforts to enter Tmall, China.

According to Swedish media Breakit, H&M group will also launch a large discount e-commerce platform called P12 in April, and now 60 brands have agreed to join it.

Although Zara is sitting on the leading edge of the industry, the "super fast fashion" e-commerce website, which is faster than the faster reaction, is still stranded in the physical shop.

According to the latest news from foreign media, Zara has signed a leaseback agreement with buyers for 16 shops in Spain and Portugal, with a total value of $472 million.

It is said that the main purpose of the sale is to invest more money in expanding Zara online business in Spain.

With the fast fashion industry entering a difficult pition period, Forever 21 is no exception.

According to a UK market data, Forever 21 submitted its annual accounts for the year ended February 2016 at the end of December. The post tax losses surged 75% to 29 million pounds from 16 million 600 thousand pounds, and the turnover decreased from 53 million 860 thousand to 46 million 500 thousand pounds.

Some analysts believe that this trend will continue until next year.

In addition to the impact of the big environment, Forever 21's own problems are too obvious.

Over the past year, the lawsuit between Forever 21 and luxury fashion brands has occupied a large number of media outlets.

Forever 21 has been accused of trademark infringement by Puma, Gucci and Adidas this year because luxury fashion brands are increasingly intolerant of creative plagiarism against fast fashion.

Forever 21 and Gucci have been paying close attention to trademark disputes for half a year.

Forever 21 said it received three warning letters from Gucci lawyers in February this year, asking them to stop selling certain striped patterns of clothing and accessories.

In June of this year, Forever 21 decided to request the court to cancel the trademark "Gucci" in the United States before Gucci formally launched the lawsuit.

In response, Gucci decided in August this year to formally prosecute Forever 21's plagiarism for its logo red and blue stripe design.

The picture shows Forever 21 suspected of plagiarism of Gucci red and blue stripes.

In addition, the Forever 21 infringement dispute also involves the German sports brand Adidas and the American family planning alliance.

According to the latest report of the American women's wear daily, the dispute between Forever 21 and Puma is further escalated.

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In April last year, Puma filed a lawsuit against the US court, saying that Forever 21 copied and sold its best-selling Fenty by Puma was not only an insult to Puma and designers, but also a threat to Puma's entire business.

Recently, however, the case has been implicated in the design of Fenty by Puma Rihanna, which has challenged the extent of the latter's participation in the design.

Last week, Forever 21 asked the federal court of California to summon Rihanna and Roc Nation Management, a management company founded by Roc Z, and Kendo Holdings to handle Rihanna business.

A judge said that although Puma publicly claimed that Rihanna had designed the shoes involved in the lawsuit, Rihanna was not the author of Puma copyright application nor the inventor of Puma design patent.

As a result, Forever 21 is striving for the legitimate use of suede sports shoes, fur sandals and bow silk satin sandals and other design elements, and is against Puma's accusation of infringement.

The picture shows suspected plagiarism of Puma products, left and right in turn Puma and Forever 21.

Although Forever 21 is once again on the top of the case, some analysts believe that in the long run of the brand, putting too much time and energy into litigation disputes will make the fast fashion brand that is in crisis unable to spare any time, let alone carry out strategic pformation and upgrading.

More importantly, brand reputation and goodwill are constantly consumed in endless news of infringement.

For the millennial consumers who yearn for authenticity and individuality, the importance of brand image is rising, and the scandal surrounding Forever 21 is becoming dangerous.

Financial website 24/7 Wall Street published an analysis of the employee ratings on the online job search website Glassdoor, and released the worst Employers list in the United States.

Forever 21 takes the first place with a comprehensive score of 2.5 points (full score of 5).

The clothing retailer has more than 30 thousand employees, but the recognition rate for CEO is only 30%.

Nowadays, fewer and fewer consumers are willing to buy products that are too similar to luxury brand creativity, which will embarrass them.

Another disadvantage of fast fashion creativity replication is that because of the lack of originality of the brand, consumers' loyalty to fast fashion has been kept at a low level. When there are more choices in the market, they will not hesitate to turn to another brand.

In order to improve the performance, Forever 21 is making some efforts, for example, before the Christmas holiday this year, it launched the first attempt to open 10 beauty store Riley Rose in the United States.

The brand said that if the market responded positively, it will open another 10 by March 2018.

Riley Rose mainly sells a series of beauty products. Besides selling products produced by its own brand, it will also introduce more popular new cosmetic brands on social media.

According to a statement released earlier by the brand, Forever 21 will also reissue its comprehensive store F21 Red, which expects the number of stores to increase from more than 30 to more than 70.

The F21 Red concept store was launched in 2014. It was originally a new comprehensive store for Forever 21 to meet the diversified shopping needs of consumers. The product classification includes Forever 21, 21 Men, Forever 21 Plus, cosmetics and footwear accessories.

Lin Dachang, vice president of Forever 21 commodity department, said that the development potential of F21 Red is optimistic and the number of F21 Red stores in the world is expected to exceed 500.

The picture shows ASOS, a fast fashion provider in the UK.

It seems that Forever 21 is still opening shop crazily.

With Boohoo, ASOS, Missguided and other fashion business sprang up like mushrooms, the market is either designed or assembled, and finally it must be sped together.

But what is the advantage of Forever 21? Speed and creativity are all weaknesses.

More interesting reports, please pay attention to the world clothing shoes and hats net.