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CONSUMER AFFAIRS

Goodbye to This Well-Known U.S. Chain: It Has Already Closed 27 Stores

A Famous Clothing and Home Goods Chain Closes in 15 States Due to the Transformation of Its Business Strategy

The American chain Kohl's, known for its wide range of clothing and home goods, has closed 27 of its stores. The decision, which is part of a restructuring, affects 15 states and marks the end of the commercial life of some historic locations. This closure adds to a transformation process that the company has been announcing for months.

In January, Kohl's revealed that it would reduce its physical footprint by closing about 36 stores, in addition to a distribution center in San Bernardino, California. This measure is related to the implementation of new technologies that have allowed the chain to improve efficiency. With the closure of these stores, the company aims to focus its efforts on its most profitable locations and the expansion of its digital presence.

Storefront with a large
Kohl's has already closed 27 of its stores | Google Maps

Kohl's Is Undergoing Restructuring

The employees of the affected Kohl's stores will not be left without support, as the company has offered them a competitive severance package. Additionally, they have the opportunity to apply for other positions within the same company. Despite these efforts, the impact on the workforce is not minor, as many will lose their direct source of income.

Among the closed stores are some of the most well-known in cities like Los Angeles, New York, and Chicago. The locations in California, in particular, have been heavily affected, with several outlets in San Diego, San Francisco, and Napa.

However, these closures represent only a small fraction of the more than 1,150 Kohl's stores across the United States. Thus, it is worth noting that the company remains one of the largest in its sector.

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Kohl's Store Employees Affected Won't Be Left Stranded | Google Maps

The closure of these stores comes at a difficult time for the company. Kohl's has lost 70% of its market value in the last five years, with a 48% drop just in the past year.

This setback has been driven by the rise of e-commerce, which has been reducing the demand for in-store shopping. Despite efforts to adapt to new market demands, the future of large retail chains seems uncertain.

Kohl's store building with a large sign on the facade and a speed limit sign in the foreground.
Kohl's has more than 1,150 stores across the United States | Google Maps

However, Kohl's is not the only major store that has made this decision. Macy's, another important chain in American retail, announced the closure of more than 60 stores for the first quarter of 2025. Additionally, JOANN Fabric, after declaring bankruptcy, announced the closure of its 500 stores, a move that left its customers completely disappointed.

In an increasingly digitalized commercial landscape, it seems that physical stores are struggling to find their place. Although Kohl's is trying to stay afloat with its online offerings, the store closures are a clear indication of the challenges currently facing the retail sector.

➡️ Consumer Affairs

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