13 Chain Stores Closing This Year
Updated on June 3, 2024 / 4 min read
Amidst the ongoing economic slowdown in the country, businesses are having a hard time staying afloat. Brick-and-mortar retailers have taken a particularly devastating hit since they require massive funds to manage inventory costs, salaries, utilities, rent, and more. Many brands and businesses are also facing issues like mounting debt, bankruptcy, and major losses owing to inflation-weary consumers and their changing spending habits, coupled with intense competition from online sellers and giant e-commerce websites.
Chain stores closing this year
Many chain stores are closing down in different areas across the country, including some popular brands. Some notable names include:
1. Family Dollar
A subsidiary of Dollar Tree, Family Dollar, with about 15,000 stores across the country, is set to close a total of 970 of its stores in the coming years, out of which about 600 outlets have already closed their doors to customers. Dollar Tree is among the companies that witnessed the largest number of close-downs this year, owing to problems like inflation and a rise in shoplifting cases.
2. CVS Pharmacy
The pharmacy chain is also set to pull the shutter at 900 locations over three years, and they are already in their third lap. The company attributed changes in buyer preferences and buying patterns to its decision to close multiple stores in certain areas.
3. Express
The American fashion retailer is closing down its flagship brand stores in about 95 locations across 25 states. Its subsidiary direct-to-consumer sustainable lifestyle brand UpWest will also take the plunge, and all of the UpWest stores will be closed in the coming months.
4. Big Lots
Another discount retail chain that sells everything from food, toys, and clothing to furniture, housewares, and small electronics, Big Lots reported a net loss of over $200 million this year alone. The business has suffered from the economic slowdown, leading to the brand closing several of its stores in the country. The company closed 35 outlets last year and plans to close nearly 35-40 stores this year.
5. Macy’s
The department store chain recently announced its plans to close nearly 150 unproductive stores over the next three years as part of its cost-cutting initiatives. Known for its fashion, beauty, and home products, the company said it aims to invest more in the luxury industry and expand its Bloomingdale’s and Bluemercury locations, which has led to the decision.
6. Outback Steakhouse
The chain of casual dining restaurants popular for its Australian-inspired cuisine has closed its outlets in over 40 locations. Its parent company, Bloomin’ Brands Inc., recently announced that it is withdrawing funds from the underperforming areas and reinvesting in locations with more traffic and product demand.
7. Red Lobster
Another restaurant chain, Red Lobster, filed for bankruptcy recently and has decided to terminate its operations in at least 48 places this year. The seafood eatery brand saw a decline in sales for the past few years and amassed outstanding debts exceeding a billion dollars. TAGeX Brands, which owns the Red Lobster chain of restaurants, is also auctioning the inventory of its closing outlets, including furniture and equipment.
8. MOD Pizza
Despite the best efforts, the fast-casual pizza restaurant company could not turn around 26 of its underperforming restaurants, which led to their closure. Reportedly, the willing employees were relocated to the other operational units of the business, while others received a severance package.
9. Rue21
Teen clothing brand Rue21 filed for bankruptcy this year with about $200 million in debt. Rue21 has already closed most of its storefronts and is in the process of closing down all of its 540 stores, putting an end to a business of about 50 years.
10. Hardee’s
perated by CKE Restaurants Holdings, another fast-food restaurant chain, Hardee’s pulled the plug on its 39 stores last year and is set to diminish its footprint in more areas this year, including Illinois, Tennessee, and Missouri.
11. Walgreens
Another retail pharmacy chain is winding down around 2,150 of its 9,000 stores nationwide in the upcoming years. The company CEO stated in an interview that they plan to close the stores that see a lack of profitability or maximum cases of theft, as well as stores that are too close to each other in the same areas.
12. Applebee’s
This chain of restaurants, owned by the parent company Dine Brands Global, will also discontinue its services in about 35 locations across the country. Famous for its “Dollarita” drink and $10 burger, the company has already closed multiple restaurants due to a lack of demand.
13. TGI Fridays
The widely popular TGI Fridays is also suspending operations in about 36 of its underperforming restaurants in select areas. The restaurant chain has offered transfer opportunities to its employees and is focused on optimizing operations in other existing restaurants.
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