Throughout the first half of the 2020s, a central narrative surrounding the types of retail stores that thrive compared to the ones that falter is the importance of the in-store experience, something that requires an effective maintenance partner to keep updated.
This has been a major factor in the downsizing, sales and collapses into administration of the likes of Wilko, The Body Shop, Topshop, Debenhams and especially WH Smith, with the most recent business to falter in changing times being Claire’s, according to an article by BBC News.
Part of the issue was the bankruptcy of their American operations due to increased import tariffs on many of their products, but a more fundamental issue has been their in-store experience.
Accessories and costume jewellery are extremely competitive markets, but the former Claire’s Accessories managed to create a bright, welcoming place for pre-teens and young adults to pick out affordable pieces and get their first pair of earrings.
This identity began to be lost as Claire’s started to chase many online microtrends, which left the stores lacking a sales identity and their products feeling far more disposable than they used to be.
Whilst the effect of e-commerce cannot be understated, especially in the fast-paced and increasingly online-first world of fashion, the solution is not to constantly be one step behind following trends but instead to transform the chain into the third space that a lot of teens saw it as.
Unlike in the United States, where the situation is significantly bleaker and has been since the company’s first bankruptcy in 2018, Claire’s benefits from a greater level of brand capital, so whilst the situation is concerning, it is also not necessarily terminal.
However, any potential buyer will need to significantly restructure the store from the ground up, revitalising the in-store experience, modernising the products to match the younger Gen Z and Gen Alpha audience and finding a way to connect with them in new ways.