The list of store closings continue in 2020. This includes the ever-growing number of retailers that have filed for bankruptcy, closed locations, or both. Since 2017, brick-and-mortar store closures have surpassed 20,000. Physical stores keep closing partly due to the ongoing e-commerce boom, but mostly due to the pandemic that has kept shoppers at home. While retail brick-and-mortar stores close up shop at a record pace, thousands of hard-working employees lose their jobs and loyal shoppers, either find an alternative or turn to online shopping.
Chuck E. Cheeses on the verge of filing bankruptcy.
WSJ reports Chuck E. Cheese is urgently trying to raise $200,000 to stay filing for bankruptcy. The restaurant and kids birthday hot spot has over 610 U.S. locations at risk of closure. Its parent company is $900 million in debt. And Chuck E. Cheese has already changed its name to trick Grubhub users into buying their pizza.
Pier 1 Imports closing all 950 stores.
On May 19, Pier 1 Imports announced that instead of closing half their stores forever, they were calling it quits and that all 950 stores would be closing.
GameStop expects at least 320 store closures.
In 2019, GameStop closed 200 stores as a result of not being able to compete with digital games and online stores. This year they expect to close at least 320 more.
Victoria’s Secret plans to shutter about 250 locations.
I thought Victoria’s Secret was gonna make it after Black Friday 2019, but Sycamore Partners, which was supposed to buy 55% of Victoria’s Secret in January of this year and rescue them from the brink, backed out of the deal. L Brands, the company that owns VS, announced this week they will close about 250 stores in the U.S. and Canada this year.
Gap will close up to 230 stores.
In February 2019, Gap announced up to 230 stores would close before February 2021. Who knows? Things could turn around yet.
Walgreens Pharmacy closing 200 stores.
The closing of 200 Walgreens locations was announced last August as part of a cost-cutting program.
Forever 21 closing down an unspecified number of stores.
Forever 21 filed bankruptcy last September and announced 178 locations would shut down in order to stay alive. Rumor has it the owners bootstrapped themselves through the holiday and Black Friday 2019. Then in February of 2020, the owner/family threw in the towel and sold their U.S. business to three buyers, among them Simon Malls (who planned to expand the brand) and licensed the rest of their international stores. Then the pandemic hit, and the malls all shut down. With malls taking such a hard hit, the latest buyers have decided to quietly start shuttering stores. At this point, we don’t know how many will survive, but it doesn’t look good.
15. Modell’s Sporting Goods is to shut all 153 locations.
After filing bankruptcy in February of this year, Modell’s reported all 153 stores would close.
