KEY POINTS

Coresight Research tracks store openings and closures for a select group of retailers in the US and the UK, as well as major US store bankruptcies.

  • Year-to-date 2018, the number of US store closure announcements stands at 4,579 and the number of store openings is 2,380.
  • Sears Holdings announced that it plans to close 46 more stores in November 2018.
  • Lidl opened its 54th store in the US. It plans to open three more by September 2018.
  • Year to date in the UK, there have been 1,195 store closure announcements and 711 store opening announcements.
  • Iceland Foods has agreed to acquire 19 former Poundworld stores. 

What Is Happening this Week in the US? 

Sears Holdings to Close 46 Stores 

Sears Holdings announced on August 21 that it plans to close 46 more stores in November 2018. This includes 13 Kmart stores and 33 Sears stores. These store closures are part of the ongoing process of streamlining Sears Holdings operations. The company stated that it is evaluating its network of stores and focusing on strengthening its capital position. 

Stage to Close 30 to 40 Stores

Department store retailer Stage Stores plans to close 30 to 40 stores this year. This is part of a multi-year store-closure plan that the company began in 2015—to close stores that do not have the potential to meet its sales productivity and profitability standards. It plans to open one new Gordmans off-price store this year.

L Brands Plans to Close 20 Victoria’s Secret Stores

L Brands recently announced that the company plans to close 20 Victoria’s Secret stores in North America this year; these closures will be partly offset by three planned Victoria’s Secret openings in North America. CFO Stuart Burgdoerfer said on the company’s second-quarter earnings call that the store portfolio is being “actively managed” and that the net reduction is “a function of performance.”

Lidl Opens New Store in the US

German supermarket chain Lidl opened its 54th US store in Indian Trail, North Carolina on August 22. The company plans to open three stores next month, in Bowie, Maryland; Dumfries, Virginia; and Concord, North Carolina. 

Amazon Go Opens Second Store in Seattle

A second Amazon Go cashierless convenience store opened in Seattle on August 27. This store is similar to the first one which opened in January this year. American startup Zippin has also opened its first cashierless store in San Francisco, in direct competition with Amazon Go. Currently, the checkout-free stores from Amazon, Zippin and California-based Inokyo are the only ones of their kind in the US. 

Champion Opens Second Store in the US

Athleticwear brand Champion opened its second US store in New York on August 25. The store will cover an area of 4,900 square feet and have a wall dedicated to its sneaker collection. The store will offer on-site customization for customers, allowing them to design patterns to be made on-demand. The company opened its first US store in Los Angeles in April. 

Non-Store-Closure News

CVS Pharmacy Opens New In-Store Beauty Concept 

The retail arm of CVS Health has opened a new store-within-a-store concept called BeautyIRL. These are currently open at four test stores in Connecticut, Florida and Massachusetts. The new concept includes an array of beauty brands and in-store beauty services similar to the services found at Ulta and Sephora. The company plans to add more BeautyIRL concept stores in 2019 and begin offering BeautyIRL products online. 

Ermenegildo Zegna Announces Acquisition of Thom Browne 

Italian luxury menswear brand Ermenegildo Zegna announced on August 28 that is has bought an 85% stake in New York-based clothing brand Thom Browne for $500 million. The Italian company plans to expand its business in the US. 

Brookstone Gets $35 Million Purchase Offer

Specialty goods retailer Brookstone announced on August 27 that brand management company Authentic Brands Group has made a “stalking horse” bid of $35 million to acquire the company’s assets. The proposal will serve as the baseline bid at the bankruptcy auction scheduled for September 24. Brookstone filed for Chapter 11 on August 2 this year. 

Year-to-Date 2018 Major US Store Bankruptcies

2017 Major US Store Openings and Closures

2017 Major US Store Bankruptcies

2018 Major UK Store Openings and Closures

Year to date in the UK, there have been 1,195 store closure announcements and 711 store opening announcements. 

What Is Happening this Week in the UK?

Iceland to Acquire 19 Poundworld Stores

British supermarket chain Iceland Foods has agreed to acquire 19 empty Poundworld stores. After the completion of the deal, 15 stores will become regular Iceland stores and four will become Iceland Food Warehouses. Poundworld filed for bankruptcy in June and has already closed all of its 335 stores. The Henderson family announced that it planned to acquire Poundworld on August 9; however, the deal was never closed. 

Wren Kitchens Opens Largest UK Kitchen Showroom

UK kitchen retailer Wren Kitchens opened a new 20,500-square-foot showroom in Reading on August 24. The retail space includes an array of kitchen displays in different styles and colors as well as virtual reality (VR) suites that give customers an opportunity to try different designs before buying.

2017 Major UK Store Openings and Closures

 


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