Urban Outfitters is having trouble keeping up with Gen Z trends. Previously, the brand concentrated on appealing to Millennials, but it clearly needs to attract both younger gens and Millennials. The company is grappling with not only a decline in new customer acquisition but also a drop in repeat customers, as indicated by decreasing retention rates and sales in recent months. During the pandemic, many young consumers felt that UO had fallen behind on trend cycles, perceiving that the brand struggled to keep up with rapidly changing popular styles—and this problem seems to have stuck. Despite this, UO interestingly attracts young shoppers through its sister stores Free People and Anthropologie, so they’re taking the time to reassess contemporary trends and the preferences of young consumers for its youth-focused brand. (Fortune)
