22 Retailers Closing Stores

Discussion in 'Present & Current Events' started by Toroid, Aug 25, 2017.

  1. SOUL-DRIFTER

    SOUL-DRIFTER Life Long Researcher

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  2. Sheltie

    Sheltie good to the last drop

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    I just found out today Apple is apparently eliminating I tunes? Hadn't used my iPod in a couple of months. All my music is being moved to the cloud. And people make fun of me for still buying CD's.
     
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  3. wwkirk

    wwkirk Celestial

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    I think they're making a big mistake. Once my present iPod Touch dies, I don't see myself buying an Apple product ever again.
     
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  4. The shadow

    The shadow The shadow knows!

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    20191226_103406.jpg 1 20191226_103839.jpg 20191226_103908.jpg
    all closing end of Dec.
     
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  5. coubob

    coubob Celestial

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    There was a shooting at a mall in OKC this last week, more of a self defense case. 4 guys were beatin this one guy and soon as he had a chance he shot his attackers one in the chest, but the choppers, news, police,swat ,fire was all there clearing the mall, and on the news i remember a news anchor asking this old lady and she said i`m just going to do my shopping online now after this. i thought thats why every news was all over it for hours that night, with that ol lady saying that. ...
     
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  6. The shadow

    The shadow The shadow knows!

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  7. The shadow

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  8. The shadow

    The shadow The shadow knows!

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    20200123_103006.jpg 20200123_103035.jpg
    End of the line Gap and Gap Baby
     
  9. The shadow

    The shadow The shadow knows!

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    this is the 4th store to close in jan.
     
  10. wwkirk

    wwkirk Celestial

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  11. nivek

    nivek As Above So Below

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    Macy's to close 125 stores, cut more than 2,000 jobs

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    (Reuters) - Macy's Inc said on Tuesday it plans to close 125 of its least productive stores over the next three years and cut more than 2,000 corporate jobs as a part of its cost savings effort.

    The company said it would close stores in lower tier malls, and explore new off-mall formats, as it looks to tackle plummeting mall traffic in the United States.

    The department store chain, which has been struggling to boost store traffic as consumers opt for online shopping, has closed more than 100 stores since 2015 and cut thousands of jobs.

    "We will focus our resources on the healthy parts of our business, directly address the unhealthy parts of the business and explore new revenue streams," Chief Executive Officer Jeff Gennette said.

    The to-be-closed 125 stores currently account for about $1.4 billion in annual sales, the company said.

    It also said it expects annual gross cost savings of $1.5 billion by 2022, with $600 million expected in 2020.

    It forecast full-year net sales to be between $23.6 billion and $23.9 billion, below analysts' average estimate of $24.36 billion, according to IBES data from Refinitiv.

    The company will host its investor say on Wednesday.

    .
     
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  12. The shadow

    The shadow The shadow knows!

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  13. The shadow

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  14. The shadow

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  15. wwkirk

    wwkirk Celestial

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  16. nivek

    nivek As Above So Below

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    I like Kohl's and like Macy's, I drive into the city once in a while and shop at both of those places for clothes...

    ...
     
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  17. The shadow

    The shadow The shadow knows!

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  18. Dejan Corovic

    Dejan Corovic Celestial

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    Yeah, one of the reasons why all these shops are closing down is actually AI (Artificial Intelignence), particularly shopping algos behind Facebook advertising.

    Over the last 5 years there had been a huge surge of online drop-shipping shops and single product brands that are growing fortunes for their owners. And these enterprises, usually started with few hundred bucks (not joking), scale up to turnovers of $1M or higher within 1-2 years. It's generation change, Millennial are pushing out Baby-boomers.

    The main driver behind success of these startups was ability of Facebook's AI to predict consumer behavior on mega large scale. Forget a foot trade of Wallmart, it pales in comparison with FB's foot trade of 2.5 billion. Statistically speaking up to 44% of shopping behavior is buying things on impulse. Just remember how many times you went to local store to buy a washing powder, but ended up buying beer, shacks and God knows what else. And all this impulse shopping happens without actually comparing prices on search engines.

    And FB's AI has shopping behavior histories of billions of people. AI is very good at spotting repetitive patterns and once a unsuspecting shopper who buys compulsively is singled out, AI will never stop teasing money out of him. Just remember that FB's AI has a memory of every click you ever made. Mind boggling.

    The real nail in the coffin of the brick-an-mortar shops was not Internet by itself, but revolution in inventory ownership started by Amazon, eBay and FB. None of the major online retailers: Amazon, eBay and Facebook (yes, FB's massive profits come from retailing) holds any inventory. Amazon and eBay are a shops of shops, aka. shopping malls, not a shop. Amazon holds very little stock of very few own products, like Kindle, and eBay has zero own products. Because online retailers don't have inventory their capital is not tied into piles of products that failed to sell. Just imagine that. While offline retailer has at least 50% of it's working capital stuck in goods that are non-moving, an online retailer just continuously makes profits only from the best selling products. Essentially old school retailer has constant handicap of being chained to non-moving stock, while online retailer is constantly moving like an athlete at full speed and on maximum profit. It's Paralimpics vs Olimpics. It's not even a competition.

    In that sense FB is towering over the Amazon and eBay, because most of FB members don't even realize that they had been lured into what effectively is a shopping mall. And to make it even worst for eBay/Amazon they only charge a relatively small transaction fee, while FB is charging shop owners for much more expensive advertising. And advertising fees are always going to be higher that transaction/warehousing fees, because ads turn inventory into cash.
     
    Last edited: Feb 22, 2020
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  19. pigfarmer

    pigfarmer tall, thin, irritable

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    Regardless of who's holding the inventory for me it's about convenience and getting what I want, not advertising.

    Kohl's found a niche in this market by hosting Amazon returns. In the past I'd used shipping drop off places but this really speeds thing up and just works extremely well for me. I'm usually after car parts and can say that the chain stores like Autozone already have one foot in the grave and maybe haven't realized it yet.

    Today we're hitting the local Sears to see if I can buy any of their fixtures. This local store finally tanked and it's obvious why. Their business model was antiquated and they failed to change it.
     
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  20. Dejan Corovic

    Dejan Corovic Celestial

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    Most companies haven't sussed out the online game yet. They just feel the balance sheet squeeze, but don't see the way out. They just keep postponing the decision while slowly bleeding cash. And a publicly owned companies are run by committee, in which nobody has relevant experience.

    Basically AI is democratizing capitalism, at least for those that jump on the train early. Instead of one company dangerously locking huge amount of capital in inventory, that company gets thousands of small businesses to pay for the stock, while aggregator company deals with payments and logistics.
     
    Last edited: Feb 23, 2020

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