The fashion industry is currently experiencing one of its most significant crises, affecting iconic brands that have defined urban and sporty style for generations. Liberated Brands, the conglomerate that owns Quiksilver, Roxy, Volcom, Billabong, RVCA, and DC, has filed for bankruptcy, with debts ranging from $100 million to $500 million. As a result, the company will close 124 stores in the United States, including 35 in California. This marks the end of an era for surf, skate, and urban fashion—cultures these brands have championed for decades.
The downfall of Liberated Brands is not an isolated incident. The textile industry has faced numerous challenges in recent years, from the impacts of the pandemic to shifting consumer preferences. The growing demand for sustainable fashion and fierce competition from online retail giants have added further pressure on these once-dominant brands, which at their peak were known for their innovative designs and youthful energy. However, their failure to adapt to new market dynamics seems to have been a key factor in their financial struggles.
On another front, Benetton, a globally recognized brand, is also grappling with difficulties. The Italian fashion label has announced the closure of its production plant in Serbia, resulting in the loss of over 950 jobs. Since the 1980s, Benetton has been a leader in colorful and socially conscious fashion, but in recent years, it has struggled to maintain relevance amid growing competition and industry changes.
The family-owned Edizione group plans to support Benetton’s recovery by investing 260 million euros over the coming years, helping to restructure and rejuvenate the brand.
These closures represent a turbulent period for the urban and sportswear sectors. The effects are felt not only in the loss of jobs and physical stores but also in the cultural legacy of brands that shaped a generation’s sense of style and identity.
The critical question now is whether these brands will disappear entirely or find a way to reinvent themselves with fresh strategies. Their ability to adapt to a constantly evolving fashion landscape will ultimately determine their future.
