Irish retailer threatens Abercrombie & Fitch and others that have ruled teen fashion
Primark has ambitious expansion plans in America, and wants to be the hottest destination in teen retail. Morgan Stanley said in a recent note that it poses a real threat to the big names in the space. Another report, also by Morgan Stanley, shows that millennials spending more on expenses like rent, cellphones, and personal services than young people a decade ago, which leaves less money for buying clothes. Primark's low prices put it ahead of longtime teen retailers Abercrombie &amp; Fitch, American Eagle, and Aeropostale. While these retailers have moved to offer cheaper clothing, they remain much more expensive than fast fashion, and in teen clothing, cheaper is better. &nbsp;"Primark's US expansion should scare traditional teen retailers."
An Irish teen retailer is becoming a major threat to Abercrombie & Fitch, American Eagle, and Aeropostale

primark

Primark is plotting to become the hottest destination in teen retail.

The discount Irish retailer has ambitious expansion plans in America. According to a recent note by Morgan Stanley, Primark poses a real threat to the big names in teen retail.

The "rapid entrance of low cost fashion players (including Primark)" is likely to hurt sales at American Eagle, according to the analysts. The brand is starting by opening 10 stores on the East Coast.

Like Forever 21 and H&M, Primark offers the latest designs at insanely low prices. A handbag costs $9, while leggings are just $6. Boots will run you about $24.

A classic! £18/€23 #Primark #fashion #boots #chelseaboot A photo posted by Primark (@primark) on Aug 19, 2015 at 10:11pm PDT on Aug 19, 2015 at 10:11pm PDT

These low prices put Primark ahead of longtime teen retailers Abercrombie & Fitch, American Eagle, and Aeropostale. While these companies have made steps to offer cheaper clothing, they are still much more expensive than fast fashion.

And in teen clothing, cheaper is better.

Cuties off duty! 🙉🙊🙈 Prices from €10 #Primark #fashion #HQ A photo posted by Primark (@primark) on Aug 12, 2015 at 10:21pm PDT on Aug 12, 2015 at 10:21pm PDT

A recent report by Morgan Stanley shows that millennials are spending more on expenses like rent, cellphones, and personal services than young people a decade ago. This leaves less money for buying clothes.

For years, Abercrombie & Fitch and others ruled teen retail. Young customers unquestioningly bought the brands' logo t-shirts and expensive jeans.

A weekend of fun and frolics with the girls? We'll be rockin this outfit!! 👯 T-shirt €10, Biker jeans €15, Handbag €10, Metallic shoes €16, Necklace €6 #Primark #fashion #goingout A photo posted by Primark (@primark) on Jul 30, 2015 at 10:28pm PDT on Jul 30, 2015 at 10:28pm PDT

But fashion fashion retailers have changed the game. These brands offered wider assortments, cheaper prices, and fresher styles than the typical teen retailers.

As a result, teens were hooked and haven't looked back.

Primark's US expansion should scare traditional teen retailers.

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