Gadzooks (retailer)

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Gadzooks, Inc.
Founded1983;42 years ago (1983)
FounderJerry Szczepanski
Larry Titus
DefunctMarch 17, 2005;19 years ago (2005-03-17)
FateAcquired by Forever 21 and shut down
Headquarters Carrollton, Texas

Gadzooks, Inc. was a mall-based teenage clothing retailer. [1] It was acquired by Forever 21 in 2005 and then shut down. Gadzooks stores had a life-size version of part of a Volkswagen Beetle inside. [2] Dozens of the cars were sawed in half for use as displays throughout its locations during the 1990s. [3]

History

The company was founded in 1983 as a T-shirt business [4] by brothers-in-law Jerry Szczepanski and Larry Titus, and inspired by the shopping habits of Szczepanski's teenage sons. [5] The first store was in Mesquite, Texas. [6] In order to fill floorspace, the founders displayed an "old, white Volks-wagen bug" in the store.

By 1992, the company had 33 stores in Texas. [6] In 1995, the company became a public company via an initial public offering and within three months, the share price quadrupled from $15 to $61. [6] That year the company had 195 stores. [7] In 2000, the company operated 330 Gadzooks in 35 states. [8]

In 2003, in response to heightened competition, the company retooled, shifting from being a "mini-department store", and dropping its male clothing line, [5] to focus exclusively on 16- to 22-year-old females, [9] which proved a fatal shift in its viability. [1] Gadzooks was one of the first national retail chains to adopt the teenage shopper as its target market. [5]

In February 2004, the company filed bankruptcy and announced plans to reduce its store count from 410 to 252. [10] In March 2005, Forever 21 purchased the chain [11] [12] for $33 million. [11] [13] The stores were eventually phased out. [4]

References

  1. 1 2 Pacheco, George (2022-12-27). "Top 10 Stores From Your Childhood That Don't Exist Anymore". MissMojo. WatchMojo. Retrieved 2022-09-24.
  2. ↑ Nelson, Emily (December 1998). "Underground Tastemakers: Delia's, Gadzooks and Others". Wall Street Journal .
  3. ↑ Lucsko, David N. (2016). Junkyards, Gearheads, and Rust : Salvaging the Automotive Past. JHU Press. p. 44. ISBN   9781421419435.
  4. 1 2 Starkey, Ted (May 15, 2018). "U.S. chains that no longer exist". Newsday .
  5. 1 2 3 Hartford, James (2003-04-21). "Gadzooks to Only Focus on Teen Girl Consumer". www.sgbonline.com. SGB Media. Retrieved 2022-09-26.
  6. 1 2 3 HOLLANDSWORTH, SKIP (June 1999). "It's Like, You Know". Texas Monthly .
  7. ↑ Lewis, Casey (August 27, 2014). "Where Are They Now: The Great Suburban Mall Store Demise". Vox Media .
  8. ↑ Stevens, Liz (2000-08-01). "GADZOOKS STORES ZOOM IN ON HIP TEENAGERS' FICKLE TASTES\ THE CLOTHING STORE/HANGOUT STAYS CLOSE TO THE CUTTING EDGE, BUT NOT CLOSE ENOUGH TO SCARE AWAY AVERAGE ADOLESCENTS". www.greensboro.com. Greensboro News & Record. Retrieved 2022-09-26.
  9. ↑ "Gadzooks to sell only women's clothing". American City Business Journals . Dallas Business Journal. January 9, 2003.
  10. ↑ "Gadzooks files for bankruptcy protection". American City Business Journals . St. Louis Business Journal. February 3, 2004.
  11. 1 2 "Mall stalwart Forever 21 files for bankruptcy as e-commerce cuts into sales". Dallas News. 2019-09-30. Retrieved 2020-08-10.
  12. ↑ Lewis, Casey (2014-08-27). "Where Are They Now: The Great Suburban Mall Store Demise". Racked. Retrieved 2020-08-10.
  13. ↑ "Forever 21 wraps up Gadzooks deal". American City Business Journals . Dallas Business Journal. March 17, 2005.
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