A Chain That Sells Everything For Under $5 Is The Fastest-Growing Teen Retailer

Five below teensFive Below on Facebook.Five Below has a following among teens who like its accessories and cheap prices.

Five Below, a teen fashion chain where everything costs less than $US5, is growing fast.

The chain has grown to 366 locations, up from just 82 in 2008, writes Sapna Masheshwari at Buzzfeed. Sales were $US535 million last year.

CEO and co-founder Tom Vellios tells Buzzfeed that his childhood love of five-and-dime stores inspired the chain, which was founded more than a decade ago.

While big box chains are generally getting smaller, Five Below’s price point is low enough to bring in customers.

Five Below focuses on offering quick imitations of popular teen trends, such as the Rainbow Loom craze last year.

“Our goal is not to be first to identify a trend — we have the ability to be a very fast second,” Vellios told Buzzfeed.

The brand sells everything from tech accessories and sporting goods to party supplies and bedroom decor.

The average store is 7,500 square feet, about the size of a Gap store, according to Maheshwari.

Parents on social media say they like the chain because it keeps their children happy and is cheap.

The brand is also popular for selling smartphone cases, a booming market that Forever 21 is also trying to capitalise on.

I have to admit I’m mildly obsessed with #FiveBelow. I feel like I beat the system when I give my kids $US5 to pick out what they want and they r happy as can be.

A photo posted by Julie Sabatino (@thestylishbride) on Oct 10, 2014 at 9:12am PDT

Credit Suisse analysts believe Five Below could eventually expand to 3,000 locations.

Five belowFive Below on Facebook.Five Below has a big expansion plan.

Read Maheshwari’s profile of the brand here.

NOW WATCH: Briefing videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.

Tagged In

retail retail-us teens