Store closures didn’t necessarily dominate the headlines in 2023, but there were some exceptions among retailers looking to trim their overall fleets or those winding down parts of their business.
According to an early December report from Coresight Research, U.S. retailers have announced 4,594 store closures and 5,420 store openings in 2023 so far. Year-to-date, these closures have been led by more than 800 stores closing from Bed Bath & Beyond, which filed for bankruptcy this year. In 2022, Coresight recorded a total of 3,819 U.S. store closures and 5,394 store openings.
Here were some of the most notable store closures and store closure announcements in 2023.
Foot Locker
As part of Foot Locker‘s plan to simplify and grow its business, the footwear retailer announced in March a decision to close more than 400 stores locations through 2026 to focus on higher-performing doors.
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This number includes about 200 locations in C/D malls and about 200 in lower-performing A/B malls across North America. Altogether, these stores, which tend to be less profitable than others, represent about 10 percent of Foot Locker’s sales. These 400 closures also include about 125 underperforming Champs locations that Foot Locker planned to exit in 2023.
Overall, Foot Locker plans to go from its current 2,700 stores to nearly 2,400 by 2026.
Journeys
After reporting challenging first quarter results in May, Genesco announced it would close more than 100 underperforming Journeys stores in fiscal 2024, versus prior expectations to close 60 stores, to help cut costs at the retailer.
The company said it anticipates up to $40 million in cost reductions, versus $20 million to $25 million prior, with $20 million realized in fiscal 2024 by these closures.
Atmos
Atmos, the Tokyo-based sneaker retailer owned by Foot Locker Inc., announced in October it would exit North America. The company closed its three stores and an e-commerce platform in the U.S. as part of a strategic decision to focus on Japan and Asia.
In August 2021, Foot Locker Inc. spent $1.1 billion in cash to acquire both Atmos and West Coast shoe store chain WSS. Specifically, the acquisition of Atmos (Text Trading Company K.K.) was completed for $360 million in cash.
TJ Maxx and Marshalls
TJ Maxx and Marshalls, both owned by TJX Companies, will close several stores in New York and Chicago beginning in January 2024, due to an evaluation of their retail presence, according to a report in Newsbreak.
In at least one instance, TJX stated that the “economic” choice came from “assessing and reviewing our real estate strategies, and our decision to close this store reflects that thinking.”
Shoe City
The Baltimore-based sneaker and streetwear retailer Shoe City commenced going-out-of-business sales in April for all of its 39 retail store locations throughout Maryland, Virginia and Washington, D.C. with the help of Gordon Brothers.
According to the advisory firm, the stores range in size from 2,000 to 9,900 square-feet and include street front, regional mall and strip center sites. The sales were expected to conclude by May 31, 2023. The move comes after the retailer, which also did business as “Your City, My City” (YCMC), filed for Chapter 11 reorganization at the U.S. Bankruptcy Court in Maryland on March 31.
Target
Target Corp. in September said that it would close nine stores in October in four major cities as it faces waves of organized crime and theft. The company closed nine Target stores across four states, including one in New York, N.Y., two in Seattle, Wash., three in San Francisco/Oakland, Calif. and three in Portland, Ore.
The retailer said in a statement that it made the decision to close these stores to prioritize the safety of its customers and employees.
Nordstrom
Nordstrom in August officially shut the doors on two of its stores in downtown San Francisco, including a flagship location, as crime and safety issues impacted the city.
Walmart
Walmart closed several underperforming stores in 2023.
In February, FN reported that Walmart would close seven underperforming stores, including its last two pickup and delivery concept locations, after conducting a “thorough review process.” And in April, Walmart said it would close four Chicago area stores to the public by Sunday, April 16.
Moosejaw
Dick’s Sporting Goods Inc. said in September it would close 11 Moosejaw retail stores as part of an internal realignment, leaving just three Moosejaw stores in Birmingham, Mich.; Salt Lake City, Utah, and Bentonville, Ark., open for business.
Dick’s acquired Moosejaw from Walmart Inc. in February.
Macy’s
Macy’s in 2020 outlined a broad strategy to close close 125 stores in lower-tier malls by 2023. Several of these closures occurred throughout 2023. In January, Macy’s confirmed that it closed four on-mall stores.
At the same time, Macy’s is expanding its off-mall store fleet via its Bloomie’s and Market by Macy’s concept stores.
Bennie’s Shoes
Longtime Atlanta footwear retailer Bennie’s Shoes became the latest independent store forced to close amid a changing industry in September.
The retailer made the announcement in a short Facebook post in September: “After 114 years in business, we here at Bennie’s are sad to say that we will be closing for good at the end of the month,” the post said. “If you have shoe repair, please come pick them up. Shoes right now are 10-20 percent off our already discounted prices.”
Bennie’s first opened in 1909 as a shoe repair shop by Bennie Shemaira, who immigrated to the U.S. from a Greek island when he was 16 years old. His original shop was located on Marietta Street across from where State Farm Arena is today. The store has since moved a few times before finally settling on its current location at 2625 Piedmont Road N.E., in the Buckhead neighborhood of Atlanta.
