Retail Shake-Up: Big Names Bite the Dust in 2025

2025 was a challenging year for many well-known retailers. Over 8,100 stores closed across the U.S., a significant increase from the previous year. Several factors contributed to this trend, including the rise of online shopping, reduced consumer spending, and fierce competition.

Major Closures

Bargain Hunt

• Closed all 92 locations across 10 states.

Forever21

• Blamed cheap imports for its downfall.

Joann Fabrics

• Shut down after 80 years due to lack of a buyer.

Liberated Brands

• Closed all 122 stores, a sports and outdoor apparel company.

Party City

• Closed many locations, though products remain available online.

Rite Aid

• Closed all stores due to legal and financial troubles.

Sonder

• Suddenly stopped operations, leaving guests stranded after losing a major deal with Marriott.

The Lesson

The retail landscape is evolving rapidly. Stores must adapt or risk falling behind. It's no longer enough to have a physical presence—offering something unique is crucial to survival.