A Few Considerations For Level-headed Tactics In Shopping Sites

Mar 04, 2017

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The company was able to cut its debt, close its weakest storesand force its beleaguered landlords to lower its rent in many cases. "That's every distressed retailer's dream," Poonam Goyal, a retail analyst with Bloomberg Intelligence , said in a published report. Sears and K-mart struggle Sears and K-mart, both owned by Sears Holdings, have been on a slow, sad death march, closing stores steadily in the hopes that somehow less will eventually equal more. In January, plans were made public to close another 150 stores 108 K-mart locations and 42 Sears stores . Sears acknowledged in a press release that the soon-to-be-shuttered 150 locations "generated about $1.2 billion in sales over the past 12 months," but the end result of operations was "an Adjusted EBITDA loss of approximately $60 million over that same period." That's a relatively small loss that you might think the company could turn around. But thingshave become so dire for Sears Holdings that selling off inventory and store fixtures to generate cash makes more sense than trying to fix stores that are relatively close to break-even. Macy's getting smaller While the overall picture for Macy's has not been as bleak, the company has been steadily closing stores and has plans for more shutdowns in 2017. The company announced plans to close 100 stores in August with 32 of those locations shuttering in 2016 and another 68 set for 2017

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. In theory, these changes are designed to help the company focus its resources away from money-losing or marginal stores into various digital ventures. Of course, there has been no concrete evidence that having less of a physical presence will translate into more online/app sales.

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