Surprised woman with her hands on her face looking at a United States flag in a locker room
CONSUMER AFFAIRS

Goodbye Ross: the low-cost clothing chain that's opening new stores in the USA

Ross, against the ropes, as a low-cost clothing chain arrives strongly in new cities across the United States

The retail sector has gone through very difficult times in recent years. The Covid-19 pandemic and other economic problems severely affected many stores. However, some companies are finding ways to grow despite the difficulties.

One of the chains that stands out the most in this scenario is Primark, a low-cost clothing brand that is expanding its presence throughout the United States. In the midst of a wave of bankruptcies and closures, Primark is preparing to open new stores that promise to change the map of economic retail in the country.

Entrance to a clothing store with the
Primark expands its presence in the United States | Google Maps

The crisis that shook retail

Before the pandemic, retail was already showing signs of weakness, but 2020 made everything worse. The restrictions forced consumers to avoid physical stores and shop only online, which sank many companies. Although some survived, they later faced problems with inventory and a lack of workers.

Rising inflation added more pressure on retailers, who work with tight margins. Many couldn't withstand it and closed their doors. In April 2024 alone, Express, a well-known store in shopping malls, filed for bankruptcy due to a drop in sales and changes in shopping habits.

Forever 21, another giant in youth fashion, also filed for bankruptcy twice this year. The company blamed competition from online platforms like Temu and Shein as part of its difficult situation. Finally, Forever 21 had to liquidate its assets, marking a clear end to the trend of traditional brick-and-mortar stores.

Forever 21 clothing store with glass door entrance and mannequins displaying garments inside.
Forever 21 has filed for bankruptcy twice this year | Google Maps

Primark, the exception that's growing in the US

Amid these bad news, Primark stands out as a different case. The Irish affordable fashion chain plans to open new stores in the United States, betting on a model that seems to withstand the crisis. At the end of July, Primark will open its first location in Memphis, Tennessee, making it their 31st store in the country, according to The Street.

This new space will have more than 34,400 sq. ft. (3,200 m²) and will offer clothing, beauty products, and home goods at very competitive prices. Kevin Tulip, president of Primark in the US, stated that this opening is a "proud milestone" for the brand and that they're excited to bring their offering to Memphis shoppers.

Clothing store with mannequins and an illuminated Primark sign.
Primark opens its first store in Memphis, Tennessee | Primark, Google Maps

After this store, the chain plans to open another in Franklin, Tennessee. Although Primark mainly has a presence in Europe, with about 450 stores in total, its expansion in the United States shows that the market still demands more affordable and quality options.

Even in times when people stayed at home, clothing remained a regular expense. If Primark keeps offering modern and accessible products, it could attract consumers who are now being neglected by other larger retailers. Its success will depend on keeping that mix of fashion and low prices that is so popular.

➡️ Consumer Affairs

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