Why it seems like all of America’s chains are closing

The retail store apocalypse stormed back in 2024.

The retail store apocalypse stormed back in 2024. Major US retailers announced more than 7,300 store closures last year, up 57% from 2023, according to Coresight Research. That’s the highest annual number of closed stores since 2020, when the pandemic led to mass disruption of businesses across the country. Some of the most recognizable chains in America left strip malls and shuttered across city street corners. Family Dollar closed 718 stores. CVS and Walgreens closed more than 1,000 stores combined. Big Lots closed nearly 600. LL Flooring disappeared for good, and Party City’s liquidation is under way. The Container Store filed for bankruptcy and may be forced to close some of its 100 stores. Restaurant chains also shrank last year. Institutions like Red Lobster and TGI Fridays filed for bankruptcy and Denny’s and Applebee’s announced major closings. There’s no single reason why all of these chains closed last year. But they have a few factors in common: They each were hurt by the highest inflation in 40 years and faced competition from bigger and better-positioned rivals. Many also made strategic mistakes like overexpanding or were slow to pivot to online shopping. “Price-sensitive consumers are looking for the best prices and finding them online,” said Deborah Weinswig, chief executive at Coresight Research. “They have also lost patience with stores that are hard to shop, have out-of-stock items all the time, poor customer service and other issues, and they’re deciding to shop elsewhere.”