Nearly 1,000 Family Dollar locations are expected to close over the next few years, with 600 stores scheduled to close in the first half of 2024. This move is part of a larger trend in the retail industry, as at least nine major retail brands have announced plans to shutter a total of 1,280 stores across the United States this year.
Family Dollar is the largest chain on the list of closures, with plans to close 600 stores in 2024. However, other companies like Walmart and TJX are closing a smaller number of stores while simultaneously opening new locations. According to a tally by Business Insider, a total of 1,290 stores have been closed or are set to close this year by various retail chain brands.
Despite the large number of store closures, the total number is lower than in previous years, such as in 2023 when more than 2,800 locations closed, including Bed Bath & Beyond stores. Analysts at UBS predict that up to 45,000 retail locations could close in the US over the next five years, primarily driven by smaller stores going out of business, while larger firms like Walmart, Costco, Target, and Home Depot continue to expand.
Among the brands closing stores in 2024, Dollar Tree-owned Family Dollar is at the top of the list with plans to close at least 600 locations. Some retailers, like Express and Foxtrot, are facing financial difficulties, while others like Walmart and TJX are focusing on expansion. Brands like Foot Locker and Macy’s are adjusting their strategies to adapt to changing consumer habits.
Overall, the retail industry is undergoing significant changes as companies navigate the impact of factors like e-commerce, changing consumer preferences, and economic challenges.