Supply Chain: Fashion Experts Forever 21

It seems that Zara is not the only one with a fast turnover rate in the world of fashion. New competitor Forever 21 has mastered the art of the supply chain. Forever 21 has a high turnover rate, which they can accomplish because they “carry a healthy mix of private label goods as well as those from other suppliers” according to

Forever 21 Store

Most “fashion seasons follow the annual cycle of summer, autumn, winter and spring”, but, “in fast fashion, cycles are compressed into shorter periods of 4-6 weeks [or less]”. Good operation of supply chains, along with communication with marketing,  allows retail stores to offer high turnover. This is done by:

1. Supplier preference:

  • Suppliers close to the market are used for products produced in the middle of a season, meaning trendy items. Marketers are in constant communication, providing ideas straight from fashion shows.
  • From the runway to the store at Forever 21
  • Long-distance suppliers are utilized for cheap, “core” items that are used in collections every season and have a stable forecast.

2. New technologies in production, such as the continuous ink jet process which reduces screen printing time.

These tactics allow consumers to take advantage of current clothing styles at a lower price, and thus keep the customer coming back for more.

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2 Responses to Supply Chain: Fashion Experts Forever 21

  1. scm says:

    Using supplier closed to the market is a really smart decision to reduce production cycle and response time to market. Anyway, there must be a secret how they control product cost.

  2. Most agree with Mr.scm! it absolutely be a secret in the “product cost control strategy” for each business owner and include minimize resource and investment in the main stream of supply chain. Thank for share the good idea.

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