Retail store closures explode in 2024

Getty Images
Like Love Haha Wow Sad Angry

The retail industry is going through a tough time as it copes with inflation-weary consumers and a rash of bankruptcies, prompting chains to announce the closures of almost 3,200 brick-and-mortar stores so far in 2024, according to a new analysis.

That’s a 24% increase from a year ago, according to a report from retail data provider CoreSight, which tracks store closures and openings across the U.S. Although some retailers are planning to expand this year, major chains have announced 4% fewer openings compared with a year earlier, the analysis found.

Blame changing consumer habits, as well as retailers’ management struggles and bankruptcies, with the latter impacting companies including Rite Aid and Rue21. The largest number of store closures stems from Dollar Tree’s announcement earlier this year that it plans to close more than 600 Family Dollar locations in 2024, with the discount store citing the impact of inflation on its customers as well as an increase in shoplifting.

“A lot of this year’s closures are related to bankruptcies of chains that have been in trouble for a while, like Rite Aid and Rue21,” Neil Saunders, managing director of GlobalData, told CBS MoneyWatch. “We’re also seeing several retailers, like Family Dollar, take action to weed out underperforming locations.”


What Are Your Thoughts?


Chuck comes from a lineage of journalism. He has written for some of the webs most popular news sites. He enjoys spending time outdoors, bull riding, and collecting old vinyl records. Roll Tide!