Forever 21’s Fourth Shot at China: Can the Comeback Stick?
From June to July, the bright yellow Forever 21 logo was impossible to miss in China. It popped up at the Strawberry Music Festival in Hangzhou, filled subway ad space in Shanghai, and loomed over billboards in cities like Wuhan and Hangzhou. This time, the American fast-fashion giant is making a louder entrance than ever before.
Yes, this is the brand’s fourth attempt to win over China.
Backed by Vipshop
On June 13, Authentic Brands Group (ABG), Forever 21’s parent company, announced a new partnership with Chinese e-commerce heavyweight Vipshop. Through its affiliate Shanghai Chengdi Trading Co., Ltd., Vipshop will oversee everything from production to sales to omni-channel marketing.
The plan covers men’s and women’s apparel, footwear, intimates, bags, and accessories, with the goal of speeding up Forever 21’s revitalization in the market. In theory, local execution plus global brand recognition could be the winning combination that eluded Forever 21 in past attempts.
Three Exits, Three Lessons
Forever 21’s story in China has been one of repeated false starts.
2008: The brand entered through Changshu in Jiangsu, an unusual move compared to rivals ZARA and H&M who targeted Shanghai first. Consumer appetite for fast fashion was low, and the debut fizzled quickly.
2011: A second entry, this time more conventional. The first mainland store opened in Beijing’s APM mall in 2012, followed by locations in Shanghai, Shenzhen, and Hangzhou. Yet expansion lagged far behind competitors. By 2017, Forever 21 had only 21 stores in China, compared to H&M’s 506. By 2019, the brand had fully exited.
2021: A third return, leaning on e-commerce platforms Vipshop and Pinduoduo and stores in lower-tier cities like Jingjiang. Once again, the strategy was short-lived. By October 2024, the brand’s WeChat fell silent and closures followed.
These repeated exits have weakened Forever 21’s credibility with consumers. When the brand announced its return on Xiaohongshu this summer, comment sections were filled with skepticism about whether the account was even official. On Tmall, multiple storefronts - official store, women’s flagship, fashion flagship - further cloud the brand’s authenticity.
The Challenge Ahead
China’s fashion landscape has shifted dramatically since Forever 21 last exited. Fast fashion is no longer the rising tide it once was. Many players are pulling back or moving upmarket. ZARA, for example, is rebranding itself with premium positioning, while local labels and nimble online-native brands are capturing young consumers.
Forever 21, meanwhile, is reentering with a low-price strategy, a model that may feel dated in today’s market.
Still, there are signs of a more localized and deliberate effort this time. Sponsoring music festivals, taking over subway ad space, and building visibility on Xiaohongshu all suggest a brand that understands where Chinese youth culture lives today.
Can the Fourth Attempt Work?
Forever 21’s biggest hurdle is no longer distribution. It is trust. After three failed attempts, consumers will need convincing that the brand is here to stay.
The opportunity lies in whether the brand can combine its value positioning with cultural relevance, and whether Vipshop’s infrastructure can finally deliver the consistency Forever 21 has lacked.
The industry will be watching closely. Fourth time could be the charm - or another reminder that in China, brand equity is as important as price.
