Shocking News – Over 20 Familiar Stores Are Shutting Down In 2020

    Traditional brick and mortar stores have taken a beating from the contemporary online business competitors. For old school business models that failed to stay in touch with the times, this is a blow to their loyal customers. For online stores that continue to boom, these traditional stores haven’t posed a threat in quite a while.

    Payless

    Payless ShoeSource shoes started off as a cheap shoe store and enjoyed some popularity. This popularity has declined, though, as the quality provided was not up to expectations. More than 2,500 stores will be closed this year. Clearance sales are underway to save what is possible between now and May 2020, when the last of these closures will be liquidated.

    Gymboree

    This children’s clothing traditional store – the Gymboree Group Inc. has finally filed its papers for a Chapter 11 bankruptcy action. The group confirmed that over 800 of its Gymboree and Crazy 8 stores would close down across North America. The Group also filed for bankruptcy during 2017 and has not succeeded with turnaround strategies.

    Charlotte Russe

    This company has stated that its operations will close in totality. More than 500 stores across the country will finally close their doors in April of this year. All transactions have ended, barring final liquidation sales where some products remain available online at various locations.

    Shopko

    Shopko is another familiar brand in the market that has filed for bankruptcy. Plans to sell merchandise failed when a buyer couldn’t be found, so liquidation sales of merchandise continue in the interim. The company states that all its stores will now be closed, with June 2020 being the final closure date.

    Gap

    Gap Inc. plans to shut down over 200 stores by the end of 2022. This figure represents 50 percent of its total stores across the globe. Plans to rejuvenate sister company, Old Navy, are meanwhile underway to boost company profits. Old Navy has consistently outperformed other brand sales. Old brands like Hill City, Intermix, and Athleta will continue under their new name – NewCo.

    H&M

    H&M has struggled to make targets and is under threat of losing its ranking as a popular mall staple. The company will forge ahead with plans to shut down over 150 stores in 2020 to mitigate losses in the U.S. Overseas growth has continued with plans to open over 300 stores in Europe and possibly the U.K.

    Starbucks

    Starbucks seems to close stores every year. More than 150 will close this year, though, which is three times its expected forecast. Closures will take place in saturated markets where too many franchises were granted, resulting in branches being forced to compete against their own brand. The major portion of these closures will be in big cities.

    The Children’s Place

    This group is focused on making online investments to grow sales. This strategy has been chosen in place of brick and mortar businesses. Over 300 stores were planned for shutdown in line with this strategy, a third of which took place in 2018. Only 100 stores remain to be closed, so the company can regain losses through its online business model.

    Performance Bicycle

    This company had 104 stores across the country. All have now been shut down, leaving cycling fans to go to their competitors. Advanced Sports Enterprises also followed the bankruptcy route as the parent company. Hopes were to rescue up to 50 percent of Performance Bicycle, but regrettably, this vision did not realize.