Title: Retail apocalypse - Wikipedia
Headings: Retail apocalypse
Retail apocalypse
Contents
History
Factors
Shift to e-commerce
Over-malled
Experience economy
Shrinking middle class
Poor management
COVID-19 pandemic
Retailers
Strategies
See also
References
Further reading
Videos
External links

Content: initially began in the United States, Canada, the United Kingdom, Ireland, Australia, and New Zealand
Cause
Financial crisis of 2007–2008 -related downsizing of retail chains caused by rise in global e-commerce operations
Accumulation of corporate debt for retail overexpansion
Changes in spending habits
Impact of COVID-19 pandemic
Outcome
Numerous bankruptcies of retail stores began in early 2010s
Major decline in revenue from suppliers
Bankruptcies began accelerating in March 2020 as a result of the COVID-19 recession
The retail apocalypse is the closing of numerous brick-and-mortar retail stores, especially those of large chains worldwide, starting around 2010 and continuing onward. In 2019, retailers in the United States announced 9,302 store closings, a 59% jump from 2018, and the highest number since tracking the data began in 2012. Over 12,000 physical stores have closed due to factors including over-expansion of malls, rising rents, bankruptcies of leveraged buyouts, low quarterly profits outside holiday binge spending, delayed effects of the Great Recession, and changes in spending habits. American consumers have shifted their purchasing habits due to various factors, including experience-spending versus material goods and homes, casual fashion in relaxed dress codes, as well as the rise of e-commerce, mostly in the form of competition from juggernaut companies such as Amazon.com and Walmart. A 2017 Business Insider report dubbed this phenomenon the "Amazon effect," and calculated that Amazon.com was generating greater than 50% of the growth of retail sales. The rash of bankruptcies and store closings have greatly intensified during the COVID-19 pandemic, with most retail stores, particularly already struggling mall -based retailers, closing for extended periods of time. J. Crew, Neiman Marcus, Stage Stores, JCPenney, and Tuesday Morning were among the retailers to file for bankruptcy during the pandemic. The most productive retailers in North America during the retail apocalypse are the discount superstores Walmart and Target, the low-cost " fast-fashion " brands (e.g., Zara, Uniqlo, Cotton On, and H&M ), off-price department stores ( Ross Stores and DD's Discounts, Marshalls and Burlington) and dollar stores (e.g., Dollar General and Dollar Tree ). Pop-up retail, including seasonal retailers such as Spirit Halloween, operate temporarily in spots vacated by companies that go out of business and has become more common during the retail apocalypse. Research from IHL Group finds that when a retailer closes many stores, it says more about the individual retailer rather than the retail industry overall.