The study reviewed over 1,800 retail chains with more than 50 U.S. stores in 10 retail vertical segments. It found that for every business with a net closing of stores, 2.7 companies showed a net increase in store numbers for 2017.
Highlights of the research cover the following:
- The total net addition of stores for 2017 is 4,080, including shops and restaurants. Core retail sections will show a net gain of 1,326 stores, and table-service and fast-food restaurants are adding a net of 2,754 spots. In total, retail chains are starting a net of 14,239 stores and closing 10,123 stores.
- 42% of companies have a net increase in stores, only 15% have a net decrease, and 43% state no change.
- The three fastest-growing key retail segments are mass merchandisers such as off-price retailers, dollar stores (+1,905 stores), convenience retailers (+1,700 stores), and grocery stores (+674 stores).
- Specialty apparel retailers see the largest number of closings, with a net loss of 3,137 stores. For every chain closing shops, 1.3 chains are opening new stores.
- When it comes to chains shuttering stores, only 16 chains account for 48.5% of the total number of stores closing. Five of those chains (Radio Shack, Rue21, Payless ShoeSource, Ascena Retail, and Sears Holdings) represent 28.1% of the total closing.