Forever 21 SWOT Analysis Analyzes, Forever 21 is a specialty clothing retailer located in the USA with its headquarters in Los Angeles. The clothing retailer chain that sells its own products under different labels under the name Forever is well-known for its unique fashion and fashionable designs specifically for young adults. The store that specializes in clothing offers clothing from children to adults and caters to customers of all genders. It is a company also sells cosmetics and accessories both under its own brand and also with top brands from all over the globe. At present, Forever 21 has businesses across 68 countries around the globe and is the 5th largest retail store in the USA with a turnover of 4 billion USD and more than 28,566 employees across the globe.
Did You Know? Forever 21’s clothing has been criticized in the media due to the slogans printed on some of its shirts
The company was founded by husband-and-wife duo Jīn Sook and Do Won “Don” Chang after they emigrated from South Korea to Los Angeles in 1981. The pair opened their first store, then called Fashion 21, in 1984 and pulled in $700,000 worth of sales in the first year.
This can only be achieved through a firm with extensive knowledge, experience and innovative strategies. To determine the strengths of the company potential, weaknesses, opportunities and threats, it is necessary to conduct a SWOT analysis by Forever 21.
Forever 21 At A Glance – Forever 21 SWOT Analysis
Company: Forever 21, Inc.
Founders: Jin Sook Chang | Do Won Chang
Year of establishment: 21 April 1984, Highland Park, Los Angeles, California, United States
CEO: Daniel Kulle
Headquarters: Los Angeles, California
Employees (Dec 2020): 41,000
Ticker Symbol: FOR
Type: Public
Annual Revenue (Dec 2020): US$3.7 Billion
Profit net income (Dec 2020): US$1.7 Billion
Products & Services: Women’s, men’s, and kids clothing | Accessories
Company Website: Online Shopping for Women’s and Men’s Fashion – Forever 21
Top Forever 21 Competitors
Competitors: Wet Seal | Cato | Charlotte Russe | Chico’s FAS | Maurices | Groupe Dynamite | rue21.com | The Talbots | Abercrombie & Fitch | Ralph Lauren | PVH | Urban Outfitters | American Eagle Outfitters | H&M | Inditex | Jollychic
Forever 21 SWOT Analysis – SWOT Analysis Of Forever 21
SWOT Analysis Of Forever 21 analyzes the brand based on its strengths weak points, weaknesses, opportunities, and threats. With Forever 21 SWOT Analysis it is clear that the advantages and disadvantages are internal factors, while threats and opportunities are external elements. Here we are going to talk about Forever 21 SWOT Analysis. Below Is The Detailed SWOT Analysis Of Forever 21.
Forever 21 Strengths – Forever 21 SWOT Analysis
1. Staying current: Forever 21 has established itself as a brand that is always on the cutting edge and, in line with this, always has the latest fashions for shoppers in every category. It is the fact that Forever 21 is the one to bring out the latest fashions in fashion is the biggest advantage of its brand.
2. A new thing every day: Forever 21 gives a large amount of importance to creativity and the regular shopper is sure to find something new at the shop every day. This helps to eliminate boredom from clothing shopping and creates Forever 21 a hot favorite with its customers.
3. Cheap: Forever 21 has clothes starting at just USD 60 and offers something for everyone , whether it’s girls, women and perhaps even the most serious adult. It is also reasonably priced for the majority of its customers and has unique pieces of clothing that are priced at a reasonable price.
4. Customer Expertise: A recent research by Forbes revealed it is Forever 21 is among the most accommodating brands in America. Designers associated with Forever 21 say that the majority of their designs originate directly from customers and the company has an extremely efficient system of storing the opinions of customers and making sure that feedback is incorporated in every design. The company doesn’t invest in high-end products and services, rather on getting feedback from its customers and then implement it in the first possible moment.
5. Connection with young stars Forever21 is identified with a variety of young stars like Justin Bieber, Lady Gaga as well as Emma Watson. Therefore, the brand is seen as a fashion-setter by younger generations and is very popular with the younger generation.
Forever 21 Weaknesses – Forever 21 SWOT Analysis
1. private ownership: Though Forever 21 is a fast-moving company with shops across the globe and an estimated value of 4.1 billion dollars, the company remains an independently owned company that restricts its operations to families only.
2. Centralized process of decision-making: Forever 21 is a family-owned business that relies heavily on the decision-making abilities of its creators and is not willing to listen to the suggestions of other stakeholder. This centralized decision-making method of the business is believed to be causing some discontent among designers.
3. A lot of focus on teenagers: Right from its name the company has always advertised as an edgy brand. The excessive focus on teens as well as young people has caused some hesitation among customers of older age to purchase clothes from 21. This could eventually cause a risk to the business.
Forever 21 Opportunities – Forever 21 SWOT Analysis
1. The growing need for young people to adhere to fashions: In an urban setting the young adult isn’t solely focused on trends, and fashions, but they are also forced to dress in a certain way due to peer pressure to adhere to fashion trends. For a brand like Forever 21 which is all about fashionable clothing it is a great chance.
2. Fashion is changing: The fashion industry is always in development and trends don’t last for long. That means that clothing goes out of style faster and consumers shop more frequently to ensure that their clothing is in trend with the latest trends. This presents a chance for every clothing retailer.
3. Personalization of clothing: Gone are the days where people would rather buy any outfit that is comfortable. Particularly, in high-end clothing brands consumers are always cautious to ensure they look distinct from the rest of the crowd, which means the personalization of their wardrobes is crucial in the near future.
Forever 21 Threats – Forever 21 SWOT Analysis
1. The Economic Crises: The recession will lower the tendency to buy non-essential goods and luxury brands will suffer a major drop in sales.
2. The focus is on recycling The greater importance placed on how clothes can be recycled in order to lessen their carbon footprint. And the future trend is recycling clothes, and the cost could be very high.
Forever 21 SWOT Analysis Overview Template
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