Y2K-Era Styles Resurgence Prompts True Religion to Consider Sale

Paresh Jadhav

10 months ago

True Religion’s popularity is back on the rise thanks to Y2K era fashion trends resurfacing, inspiring collaborations and community building to reach a broader consumer base.

PYMNTS takes an in-depth look at True Religion’s successful efforts in reaching across generations of consumers through their collaborative strategy.

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Y2K-Era Styles Make a Comeback

Fashion trends come and go, and bold colors, playful silhouettes, and futuristic elements of Y2K era style have recently seen a comeback among Gen Z and Millennials who appreciate its nostalgic yet striking aesthetic.

Hailey Baldwin and Kendall Jenner have become prominent voices for this trend through social media posts featuring them wearing outfits from Y2K era clothing, fuelling its growth further by convincing consumers to follow suit.

Y2K styles strike a balance between moderation and maximalism, as evidenced by the return of platform heels which had fallen out of fashion due to skinny stilettos and kitten heel mules.

Clothing from the Y2K period can be found in vintage boutiques, thrift stores and online resale sites like Depop. While it may seem outdated at first glance, the look can still be combined with modern accessories to create an eye-catching ensemble – for example combining camouflage cargo pants and strappy kitten heels will create a unique and modern aesthetic.

The Brand’s New Consumer

True Religion’s recent success among Gen Z shoppers can be attributed to its heritage and signature design features like its arch logo and buddha designs, among other factors. Creative Director Zihaad Wells recognizes that, to reach this target market effectively, True Religion needs to adapt with time and adapt itself accordingly.

True Religion is taking steps to invest in digital growth by developing its native app and prioritizing direct to consumer sales. In July, True Religion hired Kristen D’Arcy from PacSun and American Eagle Outfitters – previously working at their respective brand strategies as Chief Marketing Officer.

True Creators program – An initiative of the brand designed to support emerging designers – gives these talented individuals access to resources necessary for designing and launching limited collections for the brand. Many designs feature older items from its archive for an appealing circularity factor among Gen Z shoppers. Furthermore, collaborations with artists are underway such as last year’s partnership between 2 Chainz and this brand – and fashion collaborations.

The True Creators Program

True Religion’s founders made waves in 2002 when they introduced an eye-catching take on denim with flashy stitching and embroideries that quickly made an impression on A-list celebrities, such as its signature Buddha and horseshoe logos.

As soon as creative director Zihaad Wells returned to the company in 2019, he knew it was time for change. Realizing social media and creator economies had reached a pivotal moment, Wells determined it was necessary to rethink how generations interacted with us.

True Religion began partnering with up-and-coming designers, artists, and musicians who could engage their young consumer base while also drawing in their own fan bases. This arrangement benefits both parties: designers gain access to a larger platform under the True Religion name; while True Religion gets fresh new content.

Gems by Madeline Kramer is one of the partners involved with this venture; she designs vintage-inspired silhouettes while also channeling Downtown vibes into her creations. Her latest collaboration includes babydoll tee and reworked denim skirt which will be sold both in stores and online.

The True Religion App

True Religion has taken steps to transform its product offering and harness social media, as well as reduce its environmental footprint, work with factory partners who follow ethical standards, and embrace new factory partners with ethical standards – all elements that will enable it to reposition itself for success after exiting bankruptcy in 2020.

As reported by people familiar with the matter, True Religion Jeans is exploring a sale with various consumer-focused private equity firms and large publicly listed apparel companies, with its owner Farmstead Capital Management having retained investment bank Baird to facilitate this process.

True Religion saw online sales increase 50 percent year over year in 2021 and is expanding its digital presence. Through partnerships with Afterpay and Klarna, installment pay at checkout allows shoppers to purchase items for two weeks at no interest – an effective strategy targeting millennials and Generation Z consumers who can afford more expensive premium jeans featuring True Religion’s iconic Joey flares and signature rope stitching featuring their smiling Buddha and horseshoe logos.