In an effort to focus more heavily on e-commerce, JCPenney will be closing 138 stores across the US, starting the liquidation process April 17. They announced back in February that they would be moving to close stores, and recently they released the full list here. About 5,000 employees will be impacted by this liquidation, and, as reported by FOX Business, Minnesota and Texas are seeing the most closures, with eight and nine closures apiece, respectively. By June, most, if not all, of the 138 stores will be shuttered.
The rise in online shopping is what is driving JCPenney to close down physical locations, causing many retailers to focus more efforts on e-commerce and mobile app development over face-to-face sales and customer service. Last year, Macy’s announced the closure of 100 stores for the same reason, and Sears and Kmart have also announced plans to focus more heavily on their online presence, closing 51 stores between them. We imagine this trend will continue, as more retailers either sink or swim in the increasingly digital world we live and shop in.
This also comes at a time when Amazon is attempting to bring its services into localized storefronts, like the Amazon Books stores and grocery operations popping up in high population areas, as well as expanding its online reach by adding Spanish to its US site. We’re also seeing Walmart step up its e-commerce efforts with its acquisitions of Jet.com, Moosejaw Mountaineering and ModCloth.