Top Stories
Top Stories
Retail

Apparel retailer Forever 21 tests the beauty market with its first Riley Rose store

Source: Riley Rose

Teen apparel retailer Forever 21 is trying something different.

The company created Riley Rose, a beauty boutique that's being rolled out at 13 of General Growth Properties' shopping centers across the U.S., to start. The first Riley Rose store opened at Los Angeles' Glendale Galleria mall earlier this week.

The Riley Rose moniker was coined by Linda and Esther Chang, the daughters of Forever 21's founders. While the two have been involved in marketing and visual merchandising at Forever 21, they've long wanted to tap into beauty. Meantime, the apparel industry has grown increasingly challenging to operate in — eight specialty apparel retailers alone have filed for bankruptcy in 2017.

"This is definitely a play to boost growth," GlobalData Retail Managing Director Neil Saunders told CNBC. "The core business at Forever 21 is under pressure from slower growth, fickle consumers, and price deflation in a discount-driven market."

Beauty is a "logical choice" and one path forward for Forever 21, as the beauty sector promises higher margins, Saunders added. "I think this will help Forever 21, especially in the run up to the holidays."

Riley Rose has plans to launch its own website this November. The new entrant will target millennials, and face competitors such as Ulta, Sephora and Bluemercury.

"Although the market is growing rapidly, it is crowded with choice," Saunders emphasized.

Take a look inside Riley Rose's first store, where shoppers will not only find mascara and lip balm, but also candy, housewares and other everyday essentials.

An open floor plan with color-coded displays

Source: Riley Rose

Makeup mirrors with tech features

Source: Riley Rose

A "beauty bar" for testing products

Source: Riley Rose

Clean design and ample lighting

Source: Riley Rose

Beauty experts on site to assist shoppers

Source: Riley Rose

Plenty of makeup products on display

Source: Riley Rose

In addition to makeup, there are everyday essentials

Source: Riley Rose

Candy, small housewares, stationery and trendy accessories

Source: Riley Rose