A 'tsunami' of store closings expected to hit retail

[Capt Worley PE]

Get ready for the next era in retail—one that will be characterized by far fewer shops and smaller stores.

On Tuesday, Sears said that it will shutter its flagship store in downtown Chicago in April. It's the latest of about 300 store closures in the U.S. that Sears has made since 2010. The news follows announcements earlier this month of multiple store closings from major department stores J.C. Penney and Macy's.

Further signs of cuts in the industry came Wednesday, when Target said that it will eliminate 475 jobs worldwide, including some at its Minnesota headquarters, and not fill 700 empty positions.

Experts said these headlines are only the tip of the iceberg for the industry, which is set to undergo a multiyear period of shuttering stores and trimming square footage.

Shoppers will likely see an average decrease in overall retail square footage of between one-third and one-half within the next five to 10 years, as a shift to e-commerce brings with it fewer mall visits and a lesser need to keep inventory stocked in-store, said Michael Burden, a principal with Excess Space Retail Services.

http://www.cnbc.com/id/101353168

Not surprising.

 

[Road Guy]

[SIZE=medium]I noticed that back home in Atlanta and here in Denver the Targets are generally not very busy, they get busy for Christmas and back to school but most times I go its almost like a ghost town..


There is a sears out here that is kind of like a Costco, its pretty cool and we have gone there a couple of times, not sure what type of store it is but its not a typical sears store (the one near 470 for you locals)[/SIZE]

[SIZE=medium]But I cant think of the last time I went to a mall sears, or even to the mall , this generation of kids doesn’t really seem to do malls..[/SIZE]

 

[Sapper PE LS]

They don't need to, the only reason for the mall in our day was to socialize with friends. They've got facebook and texting capabilities to do that now.

 

[roadwreck]

[SIZE=medium]I noticed that back home in Atlanta and here in Denver the Targets are generally not very busy, they get busy for Christmas and back to school but most times I go its almost like a ghost town..[/SIZE]

There are three Targets within 7 miles of my house, all of them are busy all the time. I avoid going to them just because they are so busy.

 

[Capt Worley PE]

They don't need to, the only reason for the mall in our day was to socialize with friends. They've got facebook and texting capabilities to do that now.

Yeah, the time of the mall is over, I'm afraid. The HVAC costs for the thoroughfares are pretty high. Strip malls (they don't call them that, of course) seem to be replacing malls. Kinda going back to the original late 50s/early 60s mall concept, really....a strip mall with covered walkways in front of all the stores.

 

[Capt Worley PE]

[SIZE=medium]I noticed that back home in Atlanta and here in Denver the Targets are generally not very busy, they get busy for Christmas and back to school but most times I go its almost like a ghost town..[/SIZE]

There are three Targets within 7 miles of my house, all of them are busy all the time. I avoid going to them just because they are so busy.

I avoid for that reason and because I can usually get the same item much cheaper at Wally-world. Tar-zsee can be quite expensive at times.

 

[Road Guy]

The ones (target) in west cobb were just always dead....

I only go to wal mart out here when the broncos are playing, it's like a ghost town in there.but I think that has about run it's course....

 

[Road Guy]

Story on news says hobby lobby may close all us stores? That's another store I have never been in....

 

[csb]

^ I don't think that's quite right. They had an expansion plan in place in October 2013. I know they are a company that says they'll close them all if they have to give everyone Obamacare.

 

[Capt Worley PE]

^csb is correct.

Hobby Lobby is an awesome store. I hope they don't close.

 

[mudpuppy]

^ I don't think that's quite right. They had an expansion plan in place in October 2013. I know they are a company that says they'll close them all if they have to give everyone Obamacare.

Actually, they say they will close all their stores if they have to pay for birth control for their employees.

 

[Capt Worley PE]

^ Be interesting to see if they follow through.

I suspect they'll Alec Baldwin, though.

 

[csb]

That's right. Religious exemption.