2018 has been yet another challenging year for traditional retailers. After shutting down more than 5,000 stores in 2017, there have been more than 4,000 store closures announced so far this year.
The latest news is from a leader in the women’s lingerie business. Read on for the details…
Retail closings: The latest news
Victoria’s Secret – 20 stores
Some malls across the country will be losing their Victoria’s Secret stores.
During a recent investor call, company executives said Victoria’s Secret will shut down about 20 of its roughly 1,000 North America locations and open about three this year.
Victoria’s Secret is part of L Brands, which also includes PINK and Bath & Body Works.
On that investor call, L Brands announced a slight drop in same-store sales and the retirement of Denise Landman, CEO of Victoria’s Secret PINK. Leaders said they were “very focused” on improving performance at Victoria’s Secret.
Although no list of the closing stores was released, executives said decisions about the store portfolio are made based on performance.
Sears and Kmart – 46 additional stores
Sears Holdings has already shut down several hundred unprofitable stores this year and has now decided to close even more in November 2018.
“We continue to evaluate our network of stores, which is a critical component to our integrated retail transformation, and will make further adjustments as needed,” Sears Holdings said in a news release.
Liquidation sales will begin as early as August 30 at the following stores:
Kmart stores closing
- 935 Sweetwater Road, Spring Valley, CA
- 1075 Shaw Avenue, Clovis, CA
- 3625 East 18th Street, Antioch, CA
- 6310 W 3rd Street, Los Angeles, CA
- 589 Bridgeport Avenue, Milford, CT
- 301 College Square, Newark, DE
- 3231 Chicago Road, Steger, IL
- 11 South Kings HWY 61, Cape Girardeau, MO
- 2308 Highway 45 N, Columbus, MS
- 605 Old Country Road, Riverhead, NY
- 440 NW Burnside Road, Gresham, OR
- 101 Great Teays Blvd, Scott Depot, WV
- 2150 South Douglas HWY, Gillette, WY
Sears stores closing
- Flagstaff Mall, 4800 N US HWY 89, Flagstaff, AZ
- Capitola Mall, 4015 Capitola Road, Santa Cruz, CA
- 2424 Highway 6 And 50, Grand Junction, CO
- 2266 University Square Mall, Tampa – University, FL
- 1625 NW 107th Avenue, Doral / Miami, FL
- Coastland Ctr, 2000 9th Street N, Naples, FL
- Oglethorpe Mall, 7810 Abercorn St, Savannah, GA
- 2860 Cumberland Mall, Atlanta, GA
- 100 Mall Blvd Ste 300, Brunswick, GA
- 1631 E Empire Street, Bloomington, IL
- 4201 Coldwater Road, Fort Wayne, IN
- 3000 Mall Road, Florence, KY
- 1914 Hammond Square Drive, Hammond, LA
- 50 Holyoke Street, Holyoke, MA
- Silver City Galleria, Taunton, MA
- 1250 Jackson Xing I-94, Jackson, MI
- 4601 Glenwood Avenue, Raleigh – Crabtree, NC
- 77 Rockingham Park Boulevard, Salem, NH
- 1500 South Willow Street, Manchester, NH
- 4409 Black Horse Pike, Mays Landing, NJ
- 200 Eastview Mall, Victor, NY
- 578 Aviation Road, Queensbury / Glen Falls, NY
- 1400 Union Turnpike, New Hyde Park, NY
- 2700 Miamisburg Centerville Road, Dayton, OH
- 9505 Colerain Avenue, Cincinnati – Northgate, OH
- 11800 SE 82nd Avenue, Happy Valley / Portland, OR
- 400 Memorial City Way, Houston – Memorial, TX
- Post Oak Mall, College Station – Bryan, TX
- 7453 S Plaza Center Drive, West Jordan, UT
- 12000 Fair Oaks Mall, Fairfax, VA
- 8800 NE Vancouver Mall Drive, Vancouver, WA
- 4720 Golf Road, Eau Claire, WI
- Valley View Mall, 4200 US HWY 16, La Crosse, WI
Orchard Supply Hardware – 99 stores
Lowe’s has announced that it’s shutting down all 99 of the Orchard Supply Hardware stores that it owns.
According to a news release, Lowe’s says it’s closing the Orchard stores, which are in California, Oregon and Florida, to focus on its core home improvement business.
Along with the stores, a distribution facility that services them will be gone by the end of fiscal 2018.
“While it was a necessary business decision to exit Orchard Supply Hardware, decisions that impact our people are never easy. We will be providing outplacement services for impacted associates, and they will be given priority status if they choose to apply for other Lowe’s positions,” said Lowe’s president and CEO Marvin Ellison, formerly of J.C. Penney.
In addition to closing Orchard Supply Hardware stores, changes are coming to Lowe’s. The retailer will be aggressively rationalizing its store inventory by reducing lower-performing items.
These moves are taking place to help Lowe’s better compete with Home Depot.
Previously announced store closures
Brookstone – 102 stores
The seller of massage chairs, neck massagers and other travel items said it would close 102 of its mall stores. Meanwhile, an additional 35 airport-based locations will be put up for sale because they continue to meet revenue goals.
The Fresh Market – 15 stores
The Fresh Market recently announced that it plans to close 15 stores in Georgia, Illinois, Indiana, Kentucky, North Carolina, New Hampshire, Tennessee, Virginia and Wisconsin.
This comes after the company completed an organizational analysis, which focused on the retailer’s overall growth strategy and long-term financial performance.
The Fresh Market said on July 10 that the impacted stores below will close in two to four weeks:
- Snellville, GA
- North Druid Hills, GA
- Peoria, IL
- Normal, IL
- Glen Ellyn, IL
- Lincolnshire, IL
- Fishers, IN
- Louisville, KY
- North Charlotte, NC
- Bedford, NH
- Hendersonville, TN
- Winchester, VA
- Charlottesville, VA
- Brookfield, WI
- Fox Point, WI
“Over the last eight months, our company has been executing a turnaround plan and we’ve seen great progress,” said Larry Appel, CEO of The Fresh Market. “However, for a variety of reasons unique to each retail location, that progress is not evenly distributed and, as a result, we have decided to close these long-term, underperforming stores.”
The company said it doesn’t expect any further store closures in the foreseeable future.
Chipotle – 65 stores
Chipotle Mexican Grill is closing up to 65 underperforming restaurants this year, many of them in the next 30 days.
No list of the locations was provided, but USA Today reported in late June that the affected restaurants have been open between two and 15 years. Read more here.
Chipotle says it plans to focus on revamping its marketing strategy, growing digital sales and launching a new loyalty program in 2019.
Toys R Us – 735 stores
It’s a sad day for Toys R Us kids across the country.
The iconic Wayne, New Jersey-based toy retailer is closing all of its 735 stores by June 29. Liquidation sales have been taking place at Toys R Us and Babies R Us locations nationwide since March 23.
Toys R Us is counting down the final days on its social media pages, though many stores may already shut their doors.
Liquidation discounts have been up to 70% off, according to the retailer’s Twitter page. Let us know in the comments below if you’ve found any great deals!
Starbucks – 150 stores closing in 2019
Your corner Starbucks may be closing its doors next year. The coffee chain announced in June 2018 that it plans to shut down about 150 underperforming company-operated stores in the 2019 fiscal year.
The optimization of its U.S. store portfolio will concentrate on densely penetrated markets, Starbucks said in a news release:
“Starbucks is optimizing its U.S. store portfolio at a more rapid pace in FY19, including shifting new company-operated store growth to underpenetrated markets, slowing licensed store growth, and increasing the closure of underperforming company-operated stores in its most densely penetrated markets to approximately 150 in FY19 from a historical average of up to 50 annually. In FY19, this will result in a slightly lower growth rate in net new company-operated stores.”
H&R Block – 400 locations
It’s the first retail casualty of the new tax law. Amid a shifting tax preparation landscape, H&R Block has announced plans to close some 400 stores as more customers go online for tax prep and the new tax law makes your return a little less complicated.
Fortunately, no employees are expected to lose their jobs, as they will likely shift to other locations. The store closures represent just 4% of H&R Block’s nearly 10,000 company-owned and franchise locations.
“We aren’t as relevant as we need to be to today’s consumer,” CEO Jeff Jones said of the news during an earnings conference call.
Kroger – 14 stores
However, on a brighter note, at least eight of the stores will be bought by Harris Teeter — a wholly owned subsidiary of The Kroger Co. that’s native to the Tar Heel State.
Lord & Taylor – Up to 10 stores
Your local Lord & Taylor may be closing soon. Hudson’s Bay, the department store chain’s owner, plans to shut down up to 10 of its 48 Lord & Taylor stores nationwide through 2019, including its iconic New York City Fifth Avenue location.
The retailer says an increased focus on digital, new leadership and an optimized store footprint will help reduce costs and improve the brand’s overall performance.
HBC’s CEO Helena Foulkes elaborated in a news release:
“We are also taking action to reposition Lord & Taylor for improved results and increased profitability. With a new leader dedicated to evolving our experience and merchandise assortment to best meet customer expectations and shopping preferences, we will take advantage of having a smaller footprint to rethink the model and focus on our digital opportunities. The Lord & Taylor flagship on Walmart.com, which launched last week, is a great example of this and represents how we are thinking about the entire business.”
Subway – 500 restaurants
The company has faced competition from McDonald’s, supermarkets and even gas stations. It’s reportedly struggling to increase sales in the U.S. as new options emerge.
There are still more than 25,000 Subway locations across the country.
Bon-Ton – 256 stores
The Bon-Ton Stores Inc., a department store chain, announced in mid-April that it’s going out of business.
The store has been an icon of retail since 1854 with 256 locations today in operation throughout 23 states in the Midwest, Northeast and upper Great Plains.
Bon-Ton also owns six other nameplates: Boston Store, Younkers, Bergner’s, Carson’s, Elder-Beerman and Herberger’s.
The liquidation process in all Bon-Ton stores began on April 20 and is expected to run for approximately 10 to 12 weeks. Customers can learn more at bontonrestructuring.com.
GNC – 200 stores
Vitamin retailer GNC is shutting down about 200 stores in 2018. The company said efforts toward favorable lease renegotiations or relocation opportunities are ongoing and may impact the number of closings.
J. Crew – 20 stores
J.Crew Group announced in March that it plans to close 20 stores in 2018. It shut down 50 stores during fiscal 2017.
The retailer says it’s seeing results in its most important business — women’s apparel — but the company is only in the beginning stages of evolving the J.Crew brand.
In the fourth quarter of 2017, J.Crew sales decreased 4% and Madewell sales rose 32%.
Abercrombie & Fitch – 60 stores
Abercrombie & Fitch isn’t finished shrinking its retail footprint. The teen apparel company said it plans to close about 60 stores in the U.S. during the fiscal year as leases expire.
CNBC reports that Abercrombie has been trimming its store count in malls because more people are buying clothes online.
Foot Locker – 110 stores
Your favorite shoe store may be closing soon — Foot Locker is shutting down 110 stores in 2018.
During a recent earnings call, Foot Locker executives said the retailer is continuing to close underperforming stores. The company has struggled with declining foot traffic at malls and the shift to e-commerce.
Foot Locker reported a net loss of $49 million in the fourth quarter and comparable-store sales fell 3.7%.
Best Buy cell phone stores – 250 stores
The small-format stores will close May 31, but the retailer will continue to sell cell phones at its 1,000 U.S. big box stores and online.
J.C. Penney – 8 stores
Around 670 jobs will be cut with the closing of the distribution center in Wauwatosa, Wisconsin, this summer.
Meanwhile, around 480 employees will be affected by the eight stores that are closing, which follows a post-holiday review. The locations will be shut down between now and May, according to CNBC.
Here’s a list of the affected stores:
- St. Louis, Missouri
- Paramus, New Jersey
- Galesburg, Illinois
- Alexandria, Minnesota
- Bartlesville, Oklahoma
- Burlington, Washington
- Calexico, California
- Mt. Vernon, Ohio
J.C. Penney still operates approximately 875 stores nationwide.
Sam’s Club – 63 stores
Bad news for Sam’s Club members! The Walmart-owned warehouse club has abruptly shut down multiple locations across the country, according to local media reports.
The retailer has confirmed that 63 clubs are closing and up to 12 of them will be converted to e-commerce fulfillment centers.
“Transforming our business means managing our real estate portfolio and Walmart needs a strong fleet of Sam’s Clubs that are fit for the future,” said John Furner, president and CEO of Sam’s Club. “We know this is difficult news for our associates and we are working to place as many of them as possible at nearby locations. Our focus today has been on those associates and their communities, and communicating with them.”
Walmart said the impacted clubs will close over the next few weeks, leaving 597 Sam’s Club locations.
Several people have used Twitter to ask for an official list of the stores that are going away. Sam’s Club has replied by directing them to the store locator tool on SamsClub.com.
Macy’s – 11 stores
Nearly a dozen Macy’s department stores will soon be closing their doors forever.
Macy’s intends to close an additional 19 stores as leases or operating covenants expire or sale transactions are completed.
The following Macy’s stores will be closing in early 2018. In most cases, clearance sales will begin on January 8, 2018, and run for approximately 8 to 12 weeks.
- Laguna Hills Mall, Laguna Hills, CA
- Westside Pavilion, Los Angeles, CA
- Novato (Furniture), Novato, CA
- Stonestown Galleria, San Francisco, CA
- The Oaks, Gainesville, FL
- Miami (Downtown), Miami, FL
- Magic Valley Mall, Twin Falls, ID
- Honey Creek Mall, Terre Haute, IN
- Birchwood Mall, Fort Gratiot Township, MI
- Fountain Place, Cincinnati, OH
- Burlington Town Center, Burlington, VT
Gap and Banana Republic – 200 stores
Gap Inc. plans to close 200 Gap and Banana Republic locations over the next three years, the company announced in September 2017. No list of the stores was released, but they’re all “underperforming.”
Teavana – 379 stores
Many of the 379 Teavana stores, which are primarily mall-based, have been underperforming. Starbucks said it tried to improve sales through creative merchandising and new store designs, but it just wasn’t working.
Ascena Retail Group – At least 268 stores
In June 2017, company executives announced that 667 stores are part of its fleet optimization program.
At least 268 of those stores will definitely be closed by July 2019. The remaining 399 stores will be shut down if rent concessions aren’t obtained through negotiations with landlords.
The company didn’t specify which locations will be closed.
Michael Kors – 100 to 125 stores
Michael Kors is closing between 100 and 125 of its retail stores over the next two years.
According to a May 2017 news release, the company is making the move to improve the profitability of its store fleet. No list of the affected stores was released.
Clark’s key takeaway
If you happen to receive a gift card for any of the retailers on this list, money expert Clark Howard wants you to spend it right away in case your local store is on the chopping block.
“If you have any gift cards for major retailers, I want you to go and shop. I want you to use them up,” Clark said.
More Clark.com retail coverage:
- 12 money-saving secrets to know about Ross Dress for Less
- 9 things to know before your first trip to Costco
- 12 money-saving secrets to know about T.J. Maxx and Marshalls