Abercrombie & Fitch to Close 60 Stores in 2018
Abercrombie & Fitch announced Wednesday it will be closing 60 stores later this year. The teen apparel retailer, which also owns the brand Hollister, has been reconfiguring its store fleet in malls as more shoppers opt to buy clothes online. Last year, it closed nearly 40 stores, having previously planned to shutter 60 locations. In 2016, it closed about 50 shops. The company has said many of its leases are up for renewal by the end of fiscal 2018, which gives it some flexibility to move out without a fight with landlords. Abercrombie hasn't disclosed exactly which locations will be closing this year, or from which banners (Abercrombie & Fitch or Hollister).
Total Retail's Take: Following a year with a record number of store closings, 2018 has already seen its fair share of retailers announce that they will be shuttering brick-and-mortar locations this year. Foot Locker announced this week that it's closing 100 stores, Best Buy is closing all of its mobile phone stores (250 in total), and department store chain Bon-Ton filed for bankruptcy in addition to closing 40 stores. At this point, closing underperforming stores is standard operating procedure for traditional brick-and-mortar retailers, which in many cases overextended their physical presences when more consumers chose to shop in-store. Rightsizing your store count is essential to remaining viable in today's competitive retail environment.