It's been a hard past two days for people who still like to shop in brick and mortar stores. Four major retailers announced that they will be closing stores.
Gap, JCPenney, Victoria's Secret, and Foot Locker are all shuttering locations in 2019. Taken all together, their store closures for a total of 465 stores and countless jobs.
All four companies reported their fourth-quarter results in the last week of February. Gap, JCPenney and Victoria's Secret reporting declining in same-store sales. On the other hand, Foot Locker reported growth that more than doubled expectations.
That was enough to keep those Foot Locker stores afloat. They announced on Friday that it plans to close around 165 stores across the country.
24 hours prior, Gap announced it would close 230 of its stores after sales fell 7 percent during the holiday quarter. They also announced that Old Navy will become its own publicly-traded company.
On Thursday, JCPenney also announced a minor closure. They will close 18 of their department stores in 2019. They will also close 9 of their home and furniture stores and cease selling major appliances and furniture in their stores by the end of February.
However, Bob Phibbs, CEO of New York-based consultancy the Retail Doctor thinks JCPenney will be forced to announce more closures down the road.
“It is mind boggling that JC Penney still thinks they have time when the clock has run out and there’s no real plan. Closing 18 stores is barely a drop in the bucket of JC Penney’s more than 850 stores. If this was a big, bold effort to reinvigorate the brand, they would have announced they were closing hundreds of stores and investing in an outstanding experience at their other locations," Phibbs told FOX Business.
It was a week of bad reports for Victoria's Secret as well. The women's store announced that they are closing 53 stores in 2019 after a same-store sales drop during the holidays.
According to a Business Insider report, these announcements will bring the number of planned stores closures this year to well over 4,500.
Will you miss any of these stores? Let us know in the comments.