What was once considered to be a leading store for art and craft supplies must close its stores after declaring bankruptcy. JoAnn Fabrics has been an important pillar in the lives of many artists in the United States, since there they could get everything they were looking for. But, despite its great recognition, it has had to close the doors of several retail stores.
Retail outlook
JoAnn Fabrics’ store closings and bankruptcy filing is not an isolated case. There are dozens of companies that met a similar fate in recent years. This is due to the effects of inflation and the complicated economic scenario faced by businesses, especially retailers. Macy’s, Casillero de pies, Autopartes Advance and Ciudad de fiesta, are some well-known companies that declared bankruptcy in the last time.
Experts say there is some respite on the horizon. Economist Intelligence, a provider of economic information, predicts a “slowdown in inflation” in 2025. Unfortunately, EIU says that while inflation will slow, consumer confidence will still be considered “weak.”
JoAnn Fabrics files for bankruptcy: dozens of stores to close their doors
There was a time when JoAnn Fabrics seemed to dominate the art and craft supply business. Every artist knew they would find everything they were looking for there, so it became a trusted place for all of them. With aisles full of supplies and colorful fabrics that you could cut and take home, this business dominated the market in the 1960s. But now, everything has changed for JoAnn Fabrics, which filed for bankruptcy less than a year ago and must close many of its U.S. stores.
According to information provided by The Street, the company filed for bankruptcy in March 2024 due to a significant decline in sales. At the time, the brand had about 800 stores across the United States. And although a few months later JoAnn emerged from bankruptcy, its share of the craft market did not prosper. As a result, the company will now have to close many of its branches.
Branches the company will close by 2025
These are the stores that are going to close during this new year 2025 in the United States:
- Iowa: Burlington
- Maryland: Owings and Cockeysville Mills
- Massachusetts: St. Thomas
- New York: Ithaca
- North Carolina: Hard Walnut
- Pennsylvania: Ermita and Williamsport
JoAnn Fabrics branch closing dates vary depending on the needs of the company. PhillyBurbs.com reports that the two Pennsylvania stores will close on January 19, while other branches could close even earlier.
Chains to close by 2025
The list of chains, in addition to JoAnn Fabrics, that have closed or are about to close their doors is quite extensive. One of the most affected is Advance Autoparts, which has implemented a “strategic plan” to reduce the number of stores. This strategy consists of the following:
- Closure of 523 corporate stores nationwide.
- Exit of 204 independent stores.
- Closure of four distribution centers.
An exact timetable for the company’s implementation of this plan has not yet been announced. But what we know so far is that the company intends to consolidate its distribution centers into 13 large facilities. Although this idea of Advance Autoparts might not become a reality until 2026, as the planning is only in the first phase.
Another chain that has had to close its branches for some time is Best Buy. In its case, it closed 24 branches in 2024 and plans to do the same with another 15 stores in 2025. The same happened with Big Lots, which filed for bankruptcy and several stores closed their doors. However, there is a chance that some will survive this economic downturn.
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