Are you wondering ‘Is Bath & Body Works closing?’ Why did they shut down 50 of their stores? Read this article to learn the reason behind it.
In today’s evolving shopping world, big stores need to stay popular and make money. Ny Daily Trends reports that Bath & Body Works, known for its nice-smelling products, is closing many stores. This significant change has made people worried and curious about the store’s future.
People’s shopping preferences and new technology are causing stores to change significantly. Bath & Body Works, once a strong presence in physical stores, now faces big challenges with more people shopping online. This shift to online shopping has everyone considering how it affects the retail landscape.
Imagine your favorite store deciding to close some of its shops. Bath & Body Works, renowned for its fragrant products, has made this tough choice, leading fans and industry experts to wonder what’s next. Stores, like our habits, are changing significantly, and the increase in online shopping is making everyone rethink how we buy things.
Retail transformation in the digital age and its impact on Bath & Body Works
The surge of the digital age has fundamentally reshaped consumer behavior. Consumers can now effortlessly shop online, pursuing and purchasing products from the comfort of their homes. This radical shift has heightened consumer expectations and intensified competition within the retail realm.
While physical retail still dominates overall sales, the digital domain is steadily gaining ground, now accounting for approximately 15.4% of recent retail sales. This notable shift underscores the urgent need for brick-and-mortar stores to adapt and cater effectively to evolving consumer demands. Platforms like Ny Daily Trends are crucial in helping retailers understand and respond to these changes.
Ripple effects on the retail landscape of Bath & Body Works
The narrative of established retail chains grappling with dire consequences due to the inability to meet evolving consumer expectations and changing market dynamics is not unfamiliar. Instances of bankruptcy and liquidation have cast shadows over renowned names like Bed Bath & Beyond, Christmas Tree Shops, Tuesday Morning, and Rite Aid, marking the downfall of once-thriving enterprises.
The evolution of Bath & Body Works
Since its separation from its former parent company in 2021, Bath & Body Works has ventured into an independent journey, acknowledging the imperative need for adaptation. Led by CFO Wendy Arlin, the brand has embarked on a trajectory of change, exemplified by the closure of 48 stores in 2022, primarily within malls, while concurrently inaugurating 95 new off-mall North American stores, thereby facilitating a net square footage growth of about 5%.
Arlin’s emphasis on evaluating the brand’s cost structure through external advisors aims to counter ongoing cost pressures, fostering strategic investments with an annual savings target of $200 million.
Forward strategies: Is Bath & Body Works closing?
In a leap towards 2023, Bath & Body Works unveils plans to shutter approximately 50 mall-based stores, strategically derived from the company’s sturdy financial position. The brand’s fiscal robustness, sans debt maturities until 2025, along with a surplus of approximately $700 million beyond forecasted working capital, underscores its financial stability.
CEO Gina Boswell underscores the imperative integration of brick-and-mortar outlets with the brand’s e-commerce platform to elevate the overall customer experience and heighten customer lifetime value. The brand’s focus on dual-channel customers, known to spend three times more than their single-channel counterparts, spotlights the significance of this integrated approach.
Unpacking Bath and Body Works’ future amid store closures and sales slump
Amidst the closure of Victoria’s Secret and the decline in sales of Bath and Body Works during the past years, speculations have emerged concerning the company’s permanence in 2023. Nonetheless, the recent data, as per Retail Dive, indicates a 4.6% decline in net sales, reflecting the challenges Bath and Body Works faces.
However, it’s essential to delve deeper into this conjecture to uncover the actual implications behind the closure of stores and its impact on the company’s future trajectory.
Impacts of the COVID-19 pandemic on Bath & Body Works’ business in 2023
The COVID-19 pandemic brought about a decline in sales that affected businesses globally. Bath & Body Works, being one of the largest retailers, witnessed a significant 37% drop in net sales in 2020, compelling temporary store closures.
This upheaval in sales trends raises questions about Bath and Body Works’ operational strategies in the face of continued market flux.
Is Bath and Body Works permanently closing in 2023?
The decline in sales due to COVID-19 compelled Bath & Body Works to shut down a significant number of its stores, signaling a significant change in its operational landscape.
Contrary to the assumption of a complete shutdown, Bath and Body Works, historically showcasing 40 consecutive quarters of sales growth over a decade, aims to adapt and evolve.
In light of this intention, the brand is undergoing a comprehensive reevaluation, exploring the closure and subsequent reopening of select stores as part of its strategic realignment.
As the company navigates these transformative measures, the closures are part of an intricate strategic decision while looking ahead to potential store revitalizations.
Bath & Body Works recent store closures: The details
Bath & Body Works strategically closed 51 stores, encompassing 50 locations in the United States and one in Canada. The plan accounts for merely 3% of the total stores, indicating the selective nature of these closures.
Here is a comprehensive list of the closed stores in different states across the U.S., highlighting the recent shifts in the company’s retail footprint:
Alabama:
- Oxford Exchange, 1000 Oxford Exchange Blvd., Oxford.
Arizona:
- Las Palmillas Shopping Center, 1212 South Castle Dome Ave., Yuma.
- Promenade at Casa Grande, 1004 North Promenade Parkway, Casa Grande.
California:
- Almarida Place, 515 East Hamilton Avenue, Campbell.
- Great Mall, 47 Great Mall Dr, Milpitas.
- 32391 Golden Lantern, Laguna Niguel.
- Plaza El Paseo, 22235 El Paseo, Rancho Santa Margarita.
- Tustin Market Place II, 13692 Jamboree R., Tustin.
Florida:
- 963 Harley Strickland Blvd., Orange City.
Georgia:
- Avenue East Cobb, 4475 Roswell Rd, Marietta.
- Perimeter Square, 130 Perimeter Center West, Atlanta.
Idaho:
- 1732 Hurley Drive, Pocatello.
Michigan:
- Jackson Crossing, 1132 Jackson Crossing, Jackson.
Minnesota:
- Eagan Promenade, 1295 Promenade Place, Eagan.
- 1303 Miller Trunk Hwy, Duluth.
Missouri:
- The Shoppes at North Village, 5201 N Belt Hwy, St Joseph.
Mississippi:
- Meridian Crossroads, 131 S. Frontage Road, Meridian.
New Jersey:
- Edgewater Commons, 489 River Road, Edgewater.
New York:
- Auburn Plaza, 217 Grant Ave., Auburn.
- Glenmont Plaza, 388 Feura Bush Road, Glenmont.
- 328 Eastern Blvd., Canandaigua.
- 1520 Military Road, Niagara Falls.
- 25 Waterfront Place, Port Chester.
- Woodbury Plaza, 401 S. Oyster Bay Road, Plainview.
- 14 B Spring Valley Marketplace, Spring Valley.
Ohio:
- Ontario Towne Center, 2259 Walker Lake Road, Mansfield.
Pennsylvania:
- 7507 McKnight Road, Pittsburgh.
- 2845 Concord Road, York.
Texas:
- 4169 Sunset Drive, San Angelo.
- Sunrise Palms Shopping Center, 3000 Pablo Kisel Blvd., Brownsville.
Virginia:
- 2051 Chain Bridge Road, Vienna.
Washington:
- Wenatchee Valley Mall, 511 Valley Mall Parkway, East Wenatchee.
- 2600 SW Barton St., Seattle.
- 200 Triangle Center, Longview.
- Valley Mall, 1740 East Washington St., Union Gap.
Wisconsin:
- Sheboygan: Memorial Mall, 3347 Kohler Memorial Drive.
West Virginia:
- The Highlands, 555 Cabela Drive, Triadelphia.
FAQs
What is happening with Bath and Body Works?
Bath and Body Works experienced a considerable decline in sales, mainly due to the impact of the COVID-19 pandemic, leading to strategic store closures and reevaluation of operational strategies.
Is Bath And Body Works still in business?
Yes, Bath and Body Works remains operational despite strategic closures, aiming to recalibrate and adapt to evolving market dynamics.
Is Bath And Body Works closing limited locations?
The closures encompass a selective set of stores, accounting for only 3% of total stores, indicating a strategic realignment rather than a comprehensive shutdown.
How is Bath And Body Works doing?
Sales trends indicate a decrease in the last quarter of 2022 by 5%, whereas in comparison to the last quarter of 2019, there’s a significant increase of 46%.
How many Bath And Body Works stores are there in the world?
Besides the 1,758 stores in the U.S. and Canada, Bath and Body Works holds more than 390 international franchised locations globally.
How many Bath And Body Works stores are there in the US?
Bath and Body Works boasts a total of 1,680 company-operated locations in the United States, complemented by over 390 international franchises and an online storefront.
Conclusion
This look at Bath & Body Works closing some stores shows how stores change as more people shop differently. Even though they’re closing stores, Bath & Body Works is still a big name in stores, getting ready for what comes next. They’re changing their stores to fit how people shop now. It shows they can change and adapt as shoppers’ habits change too.
