Forever 21, a fashion retailer, has carved out a unique niche in the retail world since its inception. Founded by Korean immigrants Do Won Chang and Jin Sook Chang in Los Angeles in 1984, the brand has been a staple in the fashion industry for 40 years. Originally known as Fashion 21, the company started with a modest 900-square-foot store and $11,000 in savings. Forever 21 boasts over 540 stores worldwide, making it a global powerhouse in affordable, trendy fast fashion clothing. Here are ten interesting facts about Forever 21.
1. Founded in Los Angeles
Forever 21 was founded as Fashion 21 by husband-and-wife Jin Sook and Do Won Chang. The couple emigrated from South Korea to Los Angeles in 1981 and opened their first store in Highland Park, Los Angeles, in 1984 with just $11,000 in savings. Remarkably, they pulled in $700,000 in sales in their first year.
2. Rapid Expansion
The success of their initial store led the Changs to open a new store every six months. By 1989, Forever 21 had opened its first mall-based store in Panorama City, California. The brand continued to grow rapidly, expanding beyond California in 1995 with a store at Miami's Mall of Americas.
3. Rebranding to Forever 21
Originally named Fashion 21, the company rebranded to Forever 21 to reflect its target demographic. Do Won Chang believed that 21 was "the most enviable age," symbolizing youth and trendiness, perfectly aligning with their fast-fashion business model.
4. Peak Sales and Global Reach
By 2015, Forever 21 had become one of the largest tenants in American malls, boasting 480 locations nationwide. That year, the company peaked with $4.4 billion in global sales. At its height, Forever 21 operated 800 stores worldwide, employing over 43,000 people.
5. Family-Run Business
Throughout its growth, Forever 21 remained a family-run business. Jin Sook was the chief merchandising officer, while Do Won was the CEO. Their daughters, Linda and Esther Chang, played significant roles, with Linda managing marketing and Esther overseeing graphic design and visuals.
6. Bankruptcy and Restructuring
In September 2019, Forever 21 filed for Chapter 11 bankruptcy due to mounting debt, declining foot traffic, and shifting consumer preferences towards e-commerce and sustainable shopping. The company planned to close up to 178 stores in the U.S. and most of its locations in Asia and Europe.
7. New Ownership
In February 2020, Forever 21 was bought out of bankruptcy by a consortium including Authentic Brands Group (ABG), Simon Property Group, and Brookfield Property Partners for $81.1 million. This acquisition aimed to revitalize the brand and expand its global reach.
8. Shaquille O’Neal’s Involvement
Basketball legend Shaquille O’Neal is the second-largest individual shareholder of Authentic Brands Group, making him one of the owners of Forever 21. His involvement brought additional attention and credibility to the brand's revival efforts.
9. Innovative Marketing Strategies
Forever 21 has always been at the forefront of fast fashion, quickly producing and stocking items that follow the latest trends. Their strategy of offering low-cost trendy clothing helped them cultivate a massive following, particularly among young consumers.
10. Biblical Inspiration
A unique aspect of Forever 21 is the inclusion of Bible verses on their shopping bags. Founder Do Won Chang, a devout Christian, included John 3:16 on the bottom of every bag to share his faith and the message of God's love with customers.
