Businessweek

Five Below, Inc. operates as a specialty value retailer offering merchandise for teen and pre-teen customers in the United States. The company offers an assortment of products priced at $5 and below. As of February 2, 2013, the company operated a total of 244 locations in Pennsylvania, New Jersey, Delaware, Maryland, Virginia, Massachusetts, New Hampshire, West Virginia, North Carolina, New York, Connecticut, Rhode Island, Ohio, Illinois, Indiana, Michigan, Missouri, and Georgia under the name ‘Five Below’. Product Mix The company’s stores offer approximately 4,000 stock-keeping units across various product categories, including style, room, sports, media, crafts, party, candy, and now. Style: This category consists primarily of accessories, such as novelty socks, sunglasses, jewelry, scarves, gloves, hair accessories, and ‘attitude’ T-shirts. Its beauty offering includes products, such as nail polish, lip gloss, fragrance, and branded cosmetics. Room: This category consists of items used to complete and personalize its customer’s living space, including glitter lamps, posters, frames, fleece blankets, pillows, candles, incense, and related items. The company also offers storage options for the customer’s room and locker. Sports: This category consists of an assortment of sport balls, team sports merchandise, and fitness accessories, including hand weights, jump ropes, and gym balls. The company also offers various games, including name brand board games, puzzles, toys, and plush items. In the summer season, its sports offerings also include pool, beach and outdoor toys, games, and accessories. Media: This category consists of a selection of accessories for PCs, cell phones, MP3 players, and tablet computers. The offering includes cases, chargers, headphones, and other related items. The company also carries a range of media products, including books, video games, and DVDs. Crafts: The company offers an assortment of craft activity kits, as well as arts and crafts supplies, such as crayons, markers, and stickers. It also offers trend-right items for school such as backpacks, fashion notebooks and journals, novelty pens, and pencils, as well as everyday name brand items. Party: This category consists of party goods, decorations, and greeting cards, as well as every day and special occasion merchandise. Candy: This category consists of branded items that appeal to teens and pre-teens. This category includes an assortment of classic and novelty candy bars and movie-size box candy as well as gum and snack food. The company also sells chilled drinks via coolers. Now: This category consists of seasonally-specific items used to celebrate and decorate for events, such as Christmas, Easter, Halloween, and St. Patrick’s Day. Trademarks and Other Intellectual Property The company owns various trademarks that have been registered with the U.S. Patent and Trademark Office, including Five Below and Five Below Hot Stuff. Cool Prices. It also owns domain names, including www.fivebelow.com, and unregistered copyrights in its Website content. Seasonality The company’s business is seasonal in nature and demand is generally the highest in the fourth fiscal quarter (year ending on February 2, 2013) due to the year-end holiday season. History The company was founded in 2002. It was incorporated in Pennsylvania in 2002. The company was formerly known as Cheap Holdings, Inc. and changed its name to Five Below, Inc. in July 2002.