Well wha'dya know?... If you're an employee of any of the following retailers... RUN! I suggest you start to think smart and plan for your future. These companies are NOT seeking to be sympathetic. Jobs ain't tryna kick it with you... but job loss is.
Unless you want to endure the pain of being called into the office or being mailed the infamous "Pink Slip"...
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| Photo Courtesy: QuizzleWire |
Christmas season was a disappointment. GDP growth is slowing. Taxes are going up. What’s the retail industry to do? There’s really only one choice: CLOSE MORE STORES, INCREASE JOB LOSS IN THE ECONOMY!
Through the first nine months of 2012, closings were up 25% over the same period from the prior year (fourth quarter numbers aren’t available just yet). And Howard Davidowitz, chairman of retail banker and consultant Davidowitz & Associates, expects roughly the same pace of closings in 2013.
“The consumer is 70% of GDP. If growth is decelerating, how are you going to have (retail) growth? You’re not, you’re going to go on closing stores.” he says. This is a major area of some serious job loss.
More Job Loss- 9 Brands Saying "See Ya"
Store Closings: 100
GAP, Inc, the clothing retailer that runs the Gap, Old Navy, and Banana Republic retail chains are sitting on plenty of cash; Yeah, they're filthy rich... but a multiyear downsizing plan continues with 100 more stores. U.S. cutbacks were expected to total 700 stores between 2007 and 2013, and coincide with expansion into Asia. They'll be opening a flagship store in Hong Kong and tripling its locations in China from 15 to 45.
Both Gap and Abercrombie are investing more heavily overseas as they pare down domestically. “Gap is making money and getting its product mix better,” says Davidowitz. “But it will still close about 100 stores a year.” You could say the same for much of the industry.
Stores that may replace GAP as the new go-to retailer for the American shoppers: H&M, Target, Uniqlo, Old Navy, The Web (consumers could save $640 annually by shopping with Internet access).
Stores that may replace GAP as the new go-to retailer for the American shoppers: H&M, Target, Uniqlo, Old Navy, The Web (consumers could save $640 annually by shopping with Internet access).
Stores closing: 100
Percent of total: 18%
Declining same-store sales have the women's apparel seller cutting back. A strategy aimed at drawing younger women was less successful than hoped. The company said the last of the store closings would occur by the end of 2013.
Talbots has had four consecutive declines in quarterly sales. In the past year, the retailer has attempted to remedy this by focusing on broadening its appeal beyond its core audience of mature women. Part of this strategy included remodeling stores and a marketing campaign targeting younger women. The efforts did not draw the new customer base and may have turned off its existing base; comp store sales for Q1 2011 decreased 8.2% compared to the same quarter last year due to a 6% decrease in store traffic and a 3.5% decrease in conversion.
As a result of the poor results of its turnaround strategy, Talbots CEO Trudy Sullivan (former Liz Claiborne President) announced that the retailer will close 19% of stores by 2013.
Store Closings: 93 Luxury apparel seller shutting down in North America altogether after losing over $200 million over a four-year period. Data showed that falling sales had reduced Esprit's profits for three consecutive years. The company's turnover for the nine months to March 31 was 24 billion yuan (US$3.8 billion), a 7.2% fall year-on-year.
Esprit, which won a large share of the fashion market with its simple and attractive designs, is no longer among the most popular global fashion brands. An Esprit flagship store in Shanghai closed down recently.
Parent company Esprit Holdings claims it is closing its stores as part of a plan to transform itself. It plans to shut down 80 loss-making outlets, including 65 in Europe and 15 in Asia Pacific. Currently, over 50% of its stores have been closed or are in the final talks for closure.
Store Closings: 120
More than three years of losses had the West Coast, surf-oriented retailer downsizing beginning in 2011. Sales forecasts continue to be modest in the competitive teen apparel market.
I can honestly say that the PacSun that used to be in my local mall did closed down back in 2009. It seemed popular at the time but people obviously weren't buying.
The store closing announcement was accompanied by Pacific Sunwear's Q3 financial results. Net sales of $242 million for the quarter that ended October 29, 2011 were 6.2% lower than the $257.9 million sold during the same period last year. Comp store sales declined 3% for the quarter.
Store Closings: 180
Well, I guess sex doesn't always sell in the teenage department now does it? You would think A&F would be cash out city with those seductive ads and store displays seen in the malls. Guess not... (In my opinion, they may have done better if they sized their clothes correctly. How many people past high school size shop there, really?)
Abercrombie & Fitch however, is a generally healthy company that is simply getting rid of some excess capacity. Closings will phase in through 2015, as the company escapes unprofitable mall locations in the U.S.
In Europe, it has expanded aggressively, opening seven flagships and 62 Hollister stores since 2007.Abercrombie used to generate ost of its sales in the U.S. but has shifted its focus to overseas markets such as Europe and Asia, where it is still growing and people have "fatter pockets". The chain has already closed 135 underperforming U.S stores over the past two years.
Collective Brands: Payless ShoesSource+Stride Rite
Store Closings: 103
The frugal shoppers' safe haven. Of course whenever I went shopping, I would notice how boring the employees looked, pretending to fix shoes on fully stocked shelves. Business was SUPER slow in my area, so it didn't come as a surprise when the store was there one weekend gone the next.
The company, like many, didn't mention how many employees stand to lose their jobs, but a safe guess would be in the thousands. I know several people, personally, who suffered job loss with this company since 2011.
The company, which owns footwear brand Ked in addition to Stride, posted a loss of $35 million for the quarter ended July 30. That included a series of impairment and severance charges that cut income by $83.6 million. Part of the effort dates back to an August 2011 announcement to shutter 475 stores, or about 9% of the total.
Sigh ...I'm so going to miss buying their dirt cheap flip flops.
Blockbuster Video
Store Closings: 500
No surprise here. I heard nothing but terrible news regarding BB. Their shutting down like the spread of wildfire. Parent Dish Network, which bought Blockbuster out of bankruptcy, continues the downsizing by cutting a third of the remaining locations. Don't count on the remaining 1,000 stores to last long, either.
Closings continues at a fast clip for Blockbuster, the movie rental company whose business model has become outdated in recent years. Analysts figure that unless Dish Network’s plan to sell mobile phones out of Blockbuster stores pans out, the remaining 1,000 locations may not last much longer either.
Welp... I prefer Netflix anyway! *shrug* ..it also makes me wonder how Radio Shack is still in business. Hmm...
Store Closings: 600
Sears Roebuck & Co.
Anyway... The epic retail failure of hedge fund manager Eddie Lampert, which has lost money for years following a merger with Kmart? After spending a fortune buying back stock, only to see its value keep declining, Lampert, who just inserted himself as Sears’ CEO, is now monetizing by selling off some of his best real estate and shuttering stores. Sears Holdings announced 172 closures in 2012.
The unique discount women’s apparel chain is shutting down, upon completion of the sale of parent Charming Shoppes to Ascena Retail Group. Charming Shoppes had already closed over 100 Fashion Bug locations in 2011.
Ascena will concentrate on igniting sales and
profits at Charming Shoppe’s other chains, Lane Bryant and Catherines.
The acquisition cost Ascena about $900 million, and it plans to close the Fashion Bug stores by early 2013, Ascena said on its website. The company also is considering selling Figi's because the brand is very different from Ascena's other retail clothing brands, the statement said. In 2011, Charming Shoppes closed 124 Fashion Bug stores, the statement said, and it intended to close more.
Store Closings: 172
...again. I am not surprised. I worked with the Sears company back in 2008-09. Borrrrrring... need I say more? It was dead business for 6 out of every 8 hours I came to work. Not my idea of fun at all. They started cutting loose lots of people big time in 2009 though. Suckers dropped me a week after I graduated high school... ***holes!
...again. I am not surprised. I worked with the Sears company back in 2008-09. Borrrrrring... need I say more? It was dead business for 6 out of every 8 hours I came to work. Not my idea of fun at all. They started cutting loose lots of people big time in 2009 though. Suckers dropped me a week after I graduated high school... ***holes!
Anyway... The epic retail failure of hedge fund manager Eddie Lampert, which has lost money for years following a merger with Kmart? After spending a fortune buying back stock, only to see its value keep declining, Lampert, who just inserted himself as Sears’ CEO, is now monetizing by selling off some of his best real estate and shuttering stores. Sears Holdings announced 172 closures in 2012.
For all you appliance lovers, expect those invincible brands like Craftsman and Kenmore to survive with the Sears competitors. maybe they should start selling guns... that'll boost their sales, eh? *sarcasm* ...if they gave up selling soft goods and sticking to the hard knocks surplus, they may still be considered a booming company. But hey... that's just my opinion.
More Job Loss- Side Note
Department store chains like Macy's and J.C. Penney are treading water along with several other retailers. Check out the articles below to find out what other chains are locking their doors. It's interesting to see that people are struggling so much to find a job when the information CLEARLY states that companies are taking those jobs away and outsourcing overseas.
- -Complete List of U.S. Retail Stores Closing in the 2012 Calendar Year - Roundup
- -The 10 Well-Known Brands That Will Disappear in 2013
More Job Loss- So What's Next?
Now... if anyone told you the recession is over they're either lying or simply dumb as hell. Think about it, if jobs are being outsourced to countries overseas, where do you think those who are unemployed are going to do? If you're currently in this position, what will you do.
-Government unemployments benefits only last but so long.
-People spend more than they should and refuse to fix their finances, knowing that's what they need to do.
-Everyone is fighting for dead end jobs at the supermarkets, clothing stores, & fast food joints, which are already cutting back hours.
...and the list goes on. Notice that all of these companies are downsizing but remain online. The age of brick and mortar is now all about click and order. Business are banging online... when they do it correctly. To make a long story short... one unstable source of income should not be your only income.
List- Yahoo Shopping
You know what to do... leave your comments below. I love reading the views and opinions from many of you! Be sure to share this post if you like it! :)
Here's To Being Prepared!
