In the past few years, brick-and-mortar shops have been struggling against the boom of online shopping, and the new emerging hardships in 2020 have just given them a fatal blow. Even the biggest brands like Lowe's will have to close their doors. Will your favorite stores make it through? Check out their fate in this list of store closures!
1. Pier 1 Imports
Pier 1 Imports said in January that it would close half of its stores. Weeks later, the company filed for Chapter 11 bankruptcy. And in May, it announced that it would shut down all of its stores.
2. Family Dollar
The days of finding some of your home essentials for only $1 may soon be a thing of the past, as Family Dollar has recently announced the closure of 390 stores. Plus, nearly 200 of the remaining stores will operate under a new name, and chances are they will sell goods for more than $1.
As of May, the popular home improvement and garden store has shut down 51 underperforming stores - 20 in America and 31 in Canada. The company made the closure plan in late 2018 after former J.C. Penney CEO R. Ellison took office.
Seeing a decline in shopping mall customers, Kohl's has decided to close four stores that are too close or inside of malls. Meanwhile, to retain their overall store count, the brand is planning to open four smaller locations.
5. J.C. Penney
J.C. Penney has been a staple in fashion malls across the country for decades. However, its sales have fallen sharply due to online shopping trends and fierce competition with Amazon and cut-price retailers. Even worse, the brand filed for bankruptcy protection in mid-May and declared that it would close 242 of its stores within two years.
6. Olive Garden
The new pandemic has dealt a heavy blow to the catering industry. Some restaurants are downsizing, while some have to close their doors for good. Olive Garden, the famous Italian casual-dining chain that opened in 1982, is trying to cut costs and closing down its unprofitable restaurants.
7. The Cheesecake Factory
2020 seems like it'll be a tough year for The Cheesecake Factory, despite being one of the most popular sit-down restaurant chains in America. Since the beginning of the year, it has closed 27 locations because of low order traffic and cash flow. At one time, many of its stores could not afford the rent payments.
8. J. Crew
You may have learned that J. Crew filed for bankruptcy not long ago. The company lost its CEO in 2018, kicked off 2019 by closing six stores, and entered 2020 with a whopping $1.7 billion of debt. There reportedly will be a restructuring process coming, and in the meantime, you can still shop there.
Tesla announced in 2019 that it would shift all of its sales online and accordingly close most of its stores. The few stores that remain open will act as "galleries, showcases, and Tesla information centers."
10. Golden Corral
Let's be honest, buffets are not as popular as they used to be. As a result, Golden Corral's sales have seen a steady decline over the last few years. The company was forced to shut down some of its locations and is trying to remodel the remaining ones to attract new customers.
Dressbarn has been serving women's fashion needs for more than 50 years, and there was even a time when Dressbarn stores seemed to be everywhere. However, those days are over. In May 2019, the company announced plans to gradually close all of its 650 locations. The good news is that it won't immediately close any stores of its 6,800 associates.
12. Vera Bradley
This famous handbag brand has decided to close up to 50 of its 110 locations by 2021. But its 52 factory outlets are said to be remaining open, and they will still be selling their products to retailers like Bed Bath and Beyond.
Sadly, Hertz filed for bankruptcy after a century in the car rental and leasing business. The company was reportedly saddled with 700,00 unused cars and a $19 billion debt. While its CEO directed the blame at the new pandemic that struck the world, most experts claimed it was due to the brand's business model and failure to catch up with the new trends.
GameStop admitted in March that it had closed 333 stores and opened 12 new ones in fiscal 2019. The company is now picking off locations that are believed to be too close to one another and that aren't helping sales.
Drugstore chain Walgreens has also been taking a big dose of downsizing. The company announced last summer that it planned to shut down about 200 U.S. stores, and that work is still going on.
Macy's CEO Jeff Gennette has made the shocking announcement that the company will close 125 stores over the next three years. In fact, 28 stores have already gone dark following the holiday shopping season. The giant retailer will focus more on healthy parts of its business, while at the same time try to open smaller stores in strip shopping centers.
17. Bath & Body Works
You may need to stock up on those Black Cherry Merlot body lotions and Champagne Toast shower gels, as Bath & Body Works is planning to close 50 U.S. stores in 2020.
While the apparel conglomerate has decided to close 250 stores in 2020, it does not mark the end of Chico's which has over 1,200 locations in the U.S. and Canada. Moreover, the brand is in close cooperation with well-known shopping channels like Amazon, which help sell its clothing, accessories, and intimate apparel.
19. Children's Place
Children's Place, once a go-to spot for snatching up fashionable and affordable children's clothes, is closing 300 underperforming stores. It turned out the closures had already begun in 2018. The company will instead invest heavily in boosting its online sales.
When Topshop made its debut in America in 2009, it instantaneously became a fashion favorite, even with celebrities like Kate Moss and Jay-Z. However, recently, the brand has made a dramatic exit and has closed all of its 11 stores across the country. This is because its parent company, Arcadia Group, went bankrupt due to the highly competitive online shopping.
About 150 of Starbucks' underperforming stores are going to close down for good. The company has announced that the closures will happen in big cities where the markets are oversaturated.
Though Applebee's tried to update its menu to attract new customers, people, particularly millennials, don't seem to like reheated food as before. In the last two years, the brand shut down more than 120 locations, and more stores are expected to close this year.
Gap Inc. has decided to shutter nearly half of its stores by 2021 after a dismal 2018 holiday season. Meanwhile, the clothing retailer will downsize all its remaining stores. However, its sister company, Old Navy, will be turned into a separate business due to excellent sales performance.
24. Victoria's Secret
The retailer specializing in lingerie and womenswear shut down 30 stores in 2018, with more closures on the cards this year. Moreover, L Brand, its parent company, has announced to close 53 more stores, putting the closure rate to 4%.
25. Bar Louie
Since last year, Bar Louie has been shutting down stores like crazy across the country because of a quick expansion. With over $100 million in debt, the chain filed for bankruptcy and scrapped 28 of its 134 remaining stores.
The fast-fashion giant announced the closure of 160 American stores this year, while its business abroad has been steadily growing. Furthermore, it plans to open 355 more stores with its focus being shifted to foreign markets.
The iconic chain that innovated the mail-order catalog has signaled the end for 89 locations. Though the company survived bankruptcy in 2019, it is not as strong as it used to be.
The restaurant gained a notorious reputation for many people getting sick after eating its food. Thought the brand tried to change its menu to improve sales, it doesn't seem to have worked. Even worse, a child labor violation further damaged its performance. As a result, Chipotle will close 65 stores this year. Who knows what would happen after that?
Sbarro has been one of the most popular pizza stores over the past two decades. However, the company has seen a drastic drop in sales after its food quality decreased. Last year, it closed more than 200 stores, including its historic Times Square location.
30. Forever 21
Forever 21, which used to be a major go-to for teens, planned to close 350 stores globally, and 178 of them are located in the US. In fact, the closures started early this year.