Ch. 14 - Marketing Channels and Retailing

It wasn't until I was 14 years old, when I found out the existence of Forever 21 Inc. Consumers like myself spend quite some time searching for a retail store in which they can become a loyal customer. Seeing the store itself is much more different than actually knowing the company's marketing distribution and retailing strategies.

Forever 21 drives their costumers by selling its entire collection online. As more customers embrace online shopping, an increasing number of retailers will start to use multiple distribution channels. Forever 21 is aware of its competitors, and the use of multiple distribution may lead to cannibalization (one channel takes sales away from another). To break it down even further, the company specifically uses the level of selective distribution. Selective distribution involves a producer using limited number of outlets in a geographical area to sell products. A great advantage for Forever 21 is that they can choose the most appropriate or best performing outlets on them. It's also the best way for consumers to shop around because they have a preference for a particular brand
or price and will search out the outlets that supply.

Extreme Left – Do Won Chang (CEO of Forever 21) and Third From Left – Sidharth Malhotra at the Launch of Forever 21 Store in Saket, New Delhi.

Global relationships with India and for China are very important to the company. As of 2013, Forever
21 plans to invest $50 million in the Indian market over the next few years to expand its retail operations. Do Won Chang, the Korean founder and chief executive of Forever 21 Inc., sees the population of both India and China, as a huge opportunity to target market. The company expects to add 35 stores in India over the next five years. With new stores still opening, Forever 21 is seeing more than 500 large retail stores across the globe. 

If you haven't noticed, I myself am a dedicated customer at Forever 21 Inc. In my neighborhood, I have the option of going to two different store locations: Queens Center Mall, or The Shops at Atlas Park. My personal favorite store location is at Atlas Park. The store is more appealing and noticeable to the naked eye because of its surrounding environment: clean, elegant, safe, and engaging. On the other hand, the store located at Queens Center is not very appealing due to it's commercial location. The surrounding environment is always crowded, and locating the store can be confusing due to the way the mall was designed.

Forever 21 Inc., Atlas Park Mall

The exterior of the store always grabs the attention individuals. The store is conceived of a glass façade; passengers experience a subtle environment by day and a Times-Square vibe appearance by night. Once I'm side, I am bombarded with so much clothes, that you don't know where to start. Since the store has a rectangular shape with two floors, I would usually start from the left side and go clockwise, and repeat on the lower level. Forever 21 is unique with it's styles and updated clothing. Just by looking from the exterior, one can already tell if the new seasonal clothing are in. Sometimes a sales associate will greet the customers with discount coupons; making the shopping experience more exciting. There is no specific uniform code in the store. Each employee is allowed to wear whatever expresses their individuality. This motivates the customers to feel comfortable in what they want to buy.

If a customer is looking for inspiration, mannequins are located throughout the entire store with the latest styles. If a customer is still having trouble, one could always ask a sales associate to help them find what they're looking for. Better yet, the fitting rooms are the best place to ask for advice. Once a customer is about to purchase at the registrar, the sales associate always asks if everything went well today. Also, they are quick to inform that we have thirty days to either exchange or receive store credit for the purchase item. 

Forever 21 Inc., Times Square

If you're not satisfied with your local store locator, there's always the one at Times Square (Broadway between 45th and 46th Streets). In 2010, the company opened its flagship store right across the street from the MTV headquarters. The store is huge, consisting of four floors, over 90,000 sq. ft., and 151 dressing rooms. The local stores close at 10 p.m., but if you're looking for a last minute party outfit, Times Square F21 is open until 2 a.m. daily. Forever 21 is always known for its bright and loud atmosphere. The music always gives the customers that adrenaline to stay focus and motivated to keep shopping. Walking into the store in Times Square, is like walking into a mall, but it's not a mall. Wide open spaces, different kinds of flooring, different kinds of wall paintings, and random huge objects including mannequins. 

Shop at Forever 21 and I guarantee you'll come back for more.

Look at the population of both India and China, it’s huge... and... young too. This is a big opportunity,”

Read more at: http://www.livemint.com/Companies/HaomL7OBqYV53vFnCDfOfK/Forever-21-plans-investing-50-mn-in-India-to-expand-retail.html?utm_source=copy

Do Won Chang, the Korean founder and chief executive of Forever 21 Inc.

Read more at: http://www.livemint.com/Companies/HaomL7OBqYV53vFnCDfOfK/Forever-21-plans-investing-50-mn-in-India-to-expand-retail.html?utm_source=copy