So far in week 21 of 2019, more than 7,150 store closures were reported, according to a report by Coresight Research, which tracks U.S. retailer store openings and closures. Compared to 2018, about 5,864 stores closed and 3,239 opened for the full year of 2018. Only 2,726 store openings have been announced in 2019 so far.
This number has so far exceeded the total amount of store closures for the year of 2018. Coresight Research suggests that by the end of the year, more than 12,000 store closures could be announced. The stores seeming to fall by the wayside are department stores, specialty retail stores such as those selling consumer electronics, groceries and furniture.
To add to the stores shuttering their doors, Dressbarn announced it would close all 650 of its locations May 20. In a letter to Dressbarn’s customers, Gary Muto, CEO of Ascena Retail Group, which owns Dressbarn and other retail stores, thanked customers for their loyalty, according to the New York Times. “It has been our pleasure to serve you, making it all the more difficult to let you know that the decision has been made to begin winding down the Dressbarn business,” Muto wrote. “This means that we will eventually be closing all of our stores.”
According to Muto’s letter, Dressbarn won’t close just yet. “All Dressbarn stores are open, and our sales associates are serving customers as usual. You can also continue to shop online at dressbarn.com and use your Dressbarn credit card for purchases,” Muto wrote. “There are no changes to our current return, refund or gift card policies or our loyalty rewards programs.”
Party City announced just a week before Dressbarn that it would close 49 stores due to a worldwide shortage in helium. Earlier this month, pharmacy and retail store CVS announced it would close 46 of its struggling locations. According to USA Today, this cut only amounts to fewer than 1 percent of CVS Pharmacy’s 9,600 stores. The closures impact about 14 different states and amount to a cost of $135 million for the company, according to USA Today.
Discount store Fred’s also announced the closure of more than 104 stores nationwide. The company will shutter these stores by the end of June. In April, Fred’s announced it was closing 159 stores. According to CNN Business, this will leave the retailer with about 300 stores.
Source: Coresight Research, USA Today, CNN Business