The latest department store chain to announce a spate of location closures in the coming years is Macy’s. The company stated in January that it plans to close 45 shops by 2021 permanently. According to CNBC, the cutbacks are part of Macy’s larger plan to shut 125 shops by 2023, restricting its presence to top-tier malls.
Bed Bath & Beyond
Bed Bath & Beyond intends to shut another 200 in 2021 after announcing 200 shops last year. According to USA Today, 43 more shops would shut indefinitely by the end of February. The closures would take place in 19 jurisdictions, nine of which are in California.
Express stated last year that it plans to shutter 100 of its shops by 2022, starting with 31 locations in 20 states in January 2020. Another 35 shops are set to close by the end of January 2021, with another 25 following the following year.
The reorganization initiative announced by Office Depot this spring would continue until 2021. The office supply business would shut an unspecified number of stores and lay off approximately 13,000 workers by 2023. The initiatives, according to sources, are part of the company’s ongoing efforts to save costs as it transforms from a traditional shop to an IT services provider.
Walgreens is presently shutting over 200 of its stores in the United States after announcing the closures in 2019. The closures would amount to less than 3% of the drugstore chain’s total store count, which is presently about 9,600 globally.
The Children’s Place
This year, The Children’s Place will also shut down several locations across the globe. Last year, the children’s clothing retailer announced plans to shut 200 shops in 2020 and another 100 by the end of 2021. According to “Today,” the company has not stated which shops would shut, although it primarily targets “mall-based” sites.
J.C. Penney will close additional shops this spring after declaring bankruptcy and closing more than 150 locations last year. In December, the department store company said that it plans to shutter an additional 15 locations by the end of March 2021. J.C. Penney stated in a statement to USA Today, “We also chose to shutter an additional 15 shops as part of our shop optimization strategy, which began in June with our financial restructuring.” “These shops will begin liquidation sales later this month and will shut to the public in mid to late March.”
In November 2020, Francesca stated that it would close around 140 shops by the end of January 2021. The women’s boutique chain filed for Chapter 11 bankruptcy in December, with intentions to sell the company, including its physical stores. According to USA Today, the company presently operates 558 shops but “plans to renegotiate a variety of leases via this process, which may result in the closure of additional boutiques,” according to a statement given to the newspaper.
Signet Jewelers, which operates under the brands Kay Jewelers, Zales, Jared The Galleria Of Jewelry, and Piercing Pagoda throughout the globe, is also closing additional locations this year. The diamond jewelry company announced in 2020 that it would not reopen at least 150 North American locations that had been temporarily shuttered because of the COVID-19 epidemic in March. Another 150 shops are scheduled to shut by the end of February 2021.
Pet Valu has also joined the list of businesses that have gone out of business due to the coronavirus epidemic. In November 2020, the pet supplies company announced that it would close all 358 stores and warehouses throughout the United States. Consequently, consumers will no longer place purchases on the company’s website, although closing sales have already begun in countries across the globe.
After permanently closing over 600 stores last year, Justice will likely shutter its remaining branches this year. The parent firm, Ascena Retail Group Inc., revealed plans to shutter the tween girl business in November, with the 108 remaining stores set to close by early 2021.
GameStop, which has shut down hundreds of stores in the last two years, plans to close many more in 2021. The video game retailer revealed plans to close over 1,000 stores by the end of its fiscal year in March. The closures follow almost a decade of financial problems for the gambling giant, which is trying to recover its debts after a $458 million net loss in 2018.
Sears, which Transformco runs, has seen a significant drop in revenues after declaring bankruptcy in 2018 and closing the majority of its shops over the preceding two years. According to CNN, the struggling company is going through a “slow-motion liquidation.” It would continue shutting shops where feasible over the next year and selling certain properties with commercial real estate brokers.
The Disney Store
On March 3, Disney announced that about 60 of its North American Disney Stores would shut by the end of 2021. Instead, E-commerce, social networking, and theme park retail initiatives will be emphasized, according to the group. As of 2016, the company has 330 locations globally, including 200 in North America.
Kmart, owned by the same parent company as Sears, Transformco, is also closing its doors. The company has cut its total store count to 48, with further closures expected next year as the commercial real estate market improves.
H&M intends to shut another 250 shops in 2021, after the closure of 180 locations in 2020. The retailer’s decision was mainly influenced by the coronavirus epidemic and the growing trend of internet sales. H&M CEO Helena Helmersson told “Good Morning America” that “more and more customers started buying online following the epidemic, and they are making it clear that they appreciate a safe and empowered atmosphere in which stores and online interact and reinforce each other.”
Victoria’s Secret is likely to shut more locations in the next two years, after the closure of 250 outlets in the United States and Canada last year. Victoria’s Secret CEO Stuart Burgdoerfer officially addressed the anticipated closings on an earnings call with investors in May 2020. According to USA Today, he said, “We will expect a significant number of additional store closures outside of the 250 that we’re targeting this year, implying that there will be more in 2021 and maybe a little more in 2022.”
Gap intends to decrease its physical presence during the next two years substantially. Gap Inc. announced in October 2020 that it would shut 220 Gap locations throughout North America by the end of 2023. The shop closures are part of the retailer’s strategy to shift away from malls and focus on city centers and stores.
Gap Inc. also owns the Banana Republic, which will shut numerous locations. The company intends to shut 130 Banana Republic shops by 2023. In addition, between the Banana Republic and Gap, the company would shut 350 shops, accounting for about one-third of its North American branches.
Carter’s is now shutting hundreds of stores indefinitely, with contracts for those sites set to expire in the coming months. The children’s apparel and accessory retailer announced plans to shut over 200 shops in October 2020, with about 60% of those sites anticipated to close by the end of 2021. The current stores will shut at the end of 2022.
Following the announcement of plans to shutter 40 to 50 shops by 2020, they may complete more American Eagle sites this year. Executives indicated last autumn that the company might close up to 500 locations over the next two years as leases expire. Chief Financial Officer Mike Mathias told Retail Dive that when choosing which shops to shut permanently, the company analyzes “lease tenure, mall profile, accessibility to other stores, and customer experience level.”
In the aftermath of the coronavirus epidemic, Zara is changing its emphasis away from brick-and-mortar shops and online purchases. Inditex, the clothing company’s parent company, said this summer that it would shut up to 1,200 shops worldwide over the following three years, starting in 2020. The company also plans to invest $3 billion in enhancing its digital operations, such as increasing its online customer service personnel.
Last summer, Tailored Brands, the parent company of Men’s Wearhouse and Jos. A. Bank announced that it had chosen almost 500 stories for closure “over time.” The COVID-19 epidemic hit men’s apparel retailers hard as customers relocated to distant employment with reduced demand for formalwear. Nonetheless, the company is gradually rebounding after declaring bankruptcy in August and entering the last stages of Chapter 11 procedures in November.
Chico’s is adhering to its previously announced plan to shut 250 stores over the next three years, beginning in 2019. The women’s clothing shop is trying to shift its focus to online sales and operations, among many others.
Abercrombie & Fitch
Abercrombie & Fitch’s four most important flagship stores will shut at the end of January 2021. The restrictions would be implemented primarily in London, Paris, Munich, and Dusseldorf, Germany, and were planned before the COVID-19 pandemic. In addition, three additional important shops in Brussels, Madrid, and Fukuoka, Japan, will shut this year when their leases expire.
Nine West intends to reorganize its indebtedness by selling off sections of the business and filing for Chapter 11 bankruptcy protection. All of this occurred as a result of the company’s $1.5 billion in debt. Consequently, the shoe retailer chose to discontinue its Easy Spirit brand and shut all but 25 of its shops. The company also intends to concentrate its efforts on jewelry and apparel companies such as Anne Klein, One Jeanswear Group, and Kasper Grouper.
Payless ShoeSource had the most store closures this year out of all the businesses that intend to shut. To eliminate their merchandise and liquidate their shops, the firm intends to shut over 2,500 locations and conduct clearance discounts. Some shops will stay open until May, while others will shut by the end of March.
Gymboree Group Inc is a children’s clothing business that declared bankruptcy in mid-January. They also announced the closure of around 800 Gymboree and Crazy 8 shops in the United States and Canada. Furthermore, it has halted online purchases and begun liquidation sales in shops. Gymboree has filed for bankruptcy for the second time in the last two years. Just last year, the firm shut down numerous shops.
Charlotte Russe announced the closure of the whole business in March 2019. Yes, it covers over 500 shops throughout the country. The firm previously announced the closing of 94 shops. The others were scheduled to shut on April 30, 2019. The business has already ceased online transactions, although goods may still be purchased during liquidation sales in particular areas.
Starbucks stated in the summer that it would permanently close 150 underperforming locations. This is three times the amount that it usually closes at the end of a fiscal year. However, the firm said that the closures would impact major cities with oversaturated marketplaces. The coffee chain branches are just competing with one another in such areas.
Christopher & Banks
Christopher & Banks said in late 2018 that it planned to shut 30 to 40 shops by 2020. This does not, however, imply that the company’s revenues are declining. The company’s e-commerce operation, on the other hand, has increased. Furthermore, it is projected to rise further this year!
e.l.f cosmetics, like the other companies on the list, intends to close physical shops and concentrate only on e-commerce. By the end of March 2019, twenty-two of its shops would have closed. However, customers of this brand need not be concerned since their goods can still be purchased via the official website and at drugstores throughout the country.
Destination Maternity Corp. intends to reduce its retail presence to revive the business and increase e-commerce sales. The shop closures would impact 42 to 67 locations throughout the course of the year. They did this to lower retail costs and increased their internet presence. According to USA Today, the firm also intends to build smaller sites “with less square area to promote greater efficiency.”
Foot Locker Inc. stated in March 2019 that it would close 167 locations. It intended to spend more heavily and pump millions of dollars into the remaining sites. This decision was taken to increase profit margins. The retailer’s stockholders were astonished by its performance in the fourth quarter of 2018.
J. Crew seems to be in the headlines all the time these days. Following the loss of its CEO in 2018, the business began 2020 by shutting six locations in January. These closures are part of the company’s broader intention to shutter 30 locations. Last summer, they made the plan public. However, we have yet to learn which sites they want to close to accomplish their objectives.
Vitamin Shoppe is experiencing problems similar to GNC. To address these issues, they are concentrating on e-commerce and developing a subscription service. In 2017, top-line sales were $1.2 billion, decreasing 8.5 percent from the previous year. The situation may be attributed to the decline in the popularity of shopping malls and the emergence of rivals. We hope that their category expansions, delivery services, and marketing events will help them break out of their rut soon!
When Neda Mashouf, the creative director and wife of founder Manny Mashouf, departed the business, Bebe’s sales began to decline. The brand was founded in 1979. With the fall of retail malls, the business faced many challenges. Bebe had a $4.6 million operating deficit in 2018. In addition, it spent $65 million to close retail locations and concentrate on e-commerce.
Fancy dresses and costly wedding rituals seem to be a thing of the past. Instead, many brides are choosing for less expensive weddings and more informal gowns. This is unfortunate for bridal gown shops such as David’s Bridal. This brand’s sales are rapidly declining. In addition, they have a $520 million loan and $270 million in unsecured notes due in 2020.
Bon-Ton, the online retailer and department store, has been operating for a century, but it is time to say goodbye. In the previous year, the store declared bankruptcy and subsequently liquidated its shops. However, in 2018, it reopened for e-commerce and reopened a few shops. They had a lot of success at first since they operated in tiny communities with little competition. Of course, Amazon altered that.
Claire’s is an accessories shop that first opened its doors in 1961. For a long period, it was the favorite shop of many young American ladies. However, the firm halted its IPO and filed for Chapter 11 bankruptcy protection in 2018. It closed more than 130 shops throughout the nation in May of that year.
Supermarkets are also struggling with sales. For example, Southern Grocers, which operates shops like Winn-Dixie, Bi-Lo, and Harveys, stated that 22 locations will close by March 25, 2019. This decision was made less than a year after it emerged from Chapter 11 bankruptcy. During that period, the business was forced to shut 94 shops. Among the three brands it controls, Bi-Lo is likely to suffer the most, with 13 stores closing.
Shopko initially revealed plans to close 70% of its shops by May 2019. They subsequently altered their minds and planned to shut all of the shops permanently. Shopko filed into bankruptcy in January 2019, hoping that a buyer would bail it out. Unfortunately, it was unable to find a buyer and attempted to sell all of its inventory. As a consequence, it will shut all of its sites by June 2019.
If you like riding, we have some terrible news for you. The country’s largest bike store has ceased operations. On March 2, the last of its 104 sites closed. Last autumn, Advanced Sports Enterprises filed for bankruptcy. Initially, it planned to preserve at least half of its sites by attempting to renegotiate leases. Unfortunately, it had no option but to collapse and shut the business.
Lowe’s is a well-known home and garden supply store. The firm has previously closed 51 shops, all of which were underperforming. The closures took place in 2019. It closed 20 shops in the United States and 31 in Canada. The business revealed these intentions towards the end of 2018 to have all stores closed by February 1, 2020. When longstanding CEO Robert Niblock resigned and was replaced by former J.C. Penney CEO Marvin R. Ellison, the decision to close shops was made.
Vera Bradley is reconsidering its business practices, concentrating on licensing rather than physical stores. Instead, the company considers selling home goods via retailers such as Bed Bath & Beyond and Macy’s. It also intends to close up to 50 of its 110 shops by 2021. Many of the leases are set to expire at that time. However, there are still 52 Vera Bradley manufacturing outlets open for business, making it feasible to visit a real shop.
Henri Bendel closed all of its 24 shops throughout the country in early 2020. The parent company, L Brands, then announced in the autumn of 2018 that the whole brand, including its website and iconic Fifth Avenue store, will be shut down. Instead, the business concentrated its efforts on other brands with more promise, such as Victoria’s Secret and Bath & Body Works.
Dollar Tree is a bargain retailer that announced plans to close about 390 Family Dollar stores in 2020. It would imply that the customers would have to get their personal care goods and other necessities elsewhere. This business also chose to rebrand about 200 of its branches. It intends to make other adjustments as well. They will soon attempt to raise the cost of their goods in a few shops.
J.C. Penney has been a mall fixture for many years, but its sales have been declining in recent months. Furthermore, it had a dry spell throughout the Christmas season and witnessed a drop in stock value. As a result of these factors, the firm announced the closure of 18 department shops in 2020. Not only that, but it also intends to close nine furniture shops. This implies that a total of 27 sites will be closed.
Z Gallerie is a high-end home furnishings business. It is now on the list of shops that have declared bankruptcy. According to reports, the business is looking for a buyer who can rescue its shops throughout the nation.
Beauty Brands informed the public that it would be closing 25 shops in 2018. The business declared bankruptcy in January of that year and decreased its corporate personnel. According to its bankruptcy filing, the business was experiencing higher operational costs due to its status as a “predominantly brick and store shop.”