A dramatic surge in retail store closures swept across the United States in 2024, with several major chains either scaling back operations or filing for bankruptcy amid growing competition from online shopping platforms.
By November 2024, projected store closures reached 7,100 locations - a 69% jump compared to 2023, marking the largest increase since the COVID-19 pandemic.
Family Dollar led the closure count with 677 locations shuttering their doors. The chain, which operates approximately 8,000 stores nationwide, has struggled since its 2015 acquisition by Dollar Tree for $8.5 billion.
CVS Health announced plans to close 586 locations by April 2024, as part of a broader strategy that began in 2021 to shut down 900 stores. The pharmacy chain cited changes in population density and consumer shopping patterns as key factors in their decision.
Big Lots faced a particularly challenging year, with 580 store closures followed by a bankruptcy filing. The retailer announced the closure of all remaining 963 locations after a potential buyout deal with Nexus Capital Management LP fell through. While CEO Bruce Thorn indicated the possibility of a reversal if new financing emerges, liquidation sales have begun across all stores.
Walgreens also joined the list, revealing plans to close approximately 1,200 locations by 2027. The pharmacy chain entered discussions with a private equity firm regarding a potential buyout that could take the company off the public market.
The retail landscape continues to evolve as brick-and-mortar stores adapt to changing consumer preferences and mounting pressure from online competitors like Amazon. This ongoing shift, dubbed the "retail apocalypse," reflects a broader transformation in how Americans shop and highlights the challenges traditional retailers face in maintaining physical store locations.