Bucking Trends At Forever 21

For Forever 21, good things come in big packages. The fast-fashion chain is betting on a new super-size format that breaks ground on a fresh retail concept: the trend-driven department store.

The new vision for the 450-unit chain, known for interpreting runway looks at bargain price points, can be seen at an 86,000-sq.-ft. former Mervyns in Cerritos, Calif. Opened in January, the store was designed to introduce an “overall direction of the future of Forever 21,” says executive vice president Larry Meyer.

It is the first of 15 former Mervyns department stores that will be retrofitted over the next year. Other larger stores in the works include a 96,000-sq.-ft. location in Times Square.

The Cerritos prototype reflects Forever 21’s bid to woo a new swath of shoppers, including kids, and appeal to a wider customer base in general. “The goal was to offer a larger assortment of the latest fashion and accessories to more customers at a great value in an exciting shopping environment,” Meyer says.

The store features a roster of newly-launched lines like cosmetics collection Love and Beauty; HTG81, apparel for boys and girls ages six to 14; and athletic wear for women.

“Their core customer is probably in the 16-to-25 category, but we see a lot of 40- to 50-year-old women shopping in their stores,” says Tom Chin, managing director of consulting and analytics at equity research firm Telsey Advisory Group. “They are trying to build out a one-stop-shopping [destination] in terms of fashion apparel and accessories.”

Forever 21’s strategy to go bigger runs counter to the smaller-store trend being led by, among others, Ann Taylor and Target, but the move makes sense, says Kelly Tackett, senior apparel analyst for Kantar Retail.

“There is cheap real estate available, and they have a fast-fashion model that really works,” she says. “They have expanded into so many different categories and sub brands, so now they have the merchandise to fill those stores.”