- Gap,JCPenney, and Victoria’s Secret announced more than 300 store closures over the course of 24 hours this week.
- All three companies reported declining same-store sales during the critical holiday period.
- Tesla also announced it would shutter many of its 378 stores, with job losses.
- These announcements will bring the number of planned store closures this year to nearly 4,500.
Gap, JCPenney, and Victoria’s Secret announced more than 300 store closures over the course of 24 hours this week, sending a clear signal that the fallout from the retail apocalypse is far from over. Tesla also announced it would close “many” of its 378 physical dealerships in favour of online-only sales.
Gap said Thursday that it would close 230 namesake stores over the next two years as it reported that the brand’s same-store sales fell 7% during the holiday quarter. The company also said it would spin off its Old Navy brand.
Earlier in the day, JCPenney said it would close 27 stores in 2019, including 18 full-line department stores and 9 home and furniture stores. The department-store chain said same-store sales fell 4% during the fourth quarter.
Victoria’s Secret’s same-store sales also fell during the holidays, dropping 3% during the quarter. The company said late Wednesday that it would close 53 stores this year, citing a “decline in performance.”
These announcements will bring the number of planned store closures this year to nearly 4,500, not counting the unknown number of Tesla closings.
“Shifting all sales online, combined with other ongoing cost efficiencies, will enable us to lower all vehicle prices by about 6% on average,” Tesla said in a blog post.
- We visited a Victoria’s Secret store on the day that it announced dozens of closures. Here’s what we found.
- Old Navy and Gap are splitting into two companies. We visited both stores, and realised why one company is dominating the other.
- People are mocking Victoria’s Secret’s failure to embrace plus-size and transgender women after the lingerie brand announces plans to close dozens of stores
- Tesla is shuttering most of its stores as the company switches to an online-only sales model
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