10 Big Grocery Stores That Will Be Gone by 2024

the grocery business can be brutal and in recent years the nation's Grocers have been dealing with a variety of issues ranging from supply chain disruptions to labor shortages to disorderly mergers and Acquisitions and huge piles of debt while some big box retailers recorded massive increases in sales during the pandemic the same wasn't true for various specialty grocers that were already on the ropes even though many of them were household names at one point many supermarkets have come and gone due to the increasingly visible cracks in our economy and the intensely competitive market we have compiled some of the once thriving and beloved grocery stores that have quietly gone broke closing sharply and clinging to life as the economy takes a turn for the worse this is just one example of how the crumbling Retail Landscape and changing shopping habits are causing some stores that were once key parts of communities to fade from our memories 1. Albertsons despite Rising demand for groceries as a result of rising living costs and Rising restaurant prices food retailers across the country are taking a major hit during the current economic downturn with many stores closing and layoffs becoming commonplace according to Forbes Albertsons is the only Supermarket with a very high default risk last year when the massive Supermarket announced it would not be able to cover pension plans as the company will not be able to meet around 565 million covering around 50 000 Supermarket workers in the Washington DC area the announcement and the threat of legal action if it doesn't meet its obligations caused a few hiccups the Grocer's Financial commitments occurred just as the parent company of the Safeway stores and Acme supermarkets was planning to go public Albertsons has hinted that it may merge with Krueger another struggling grocery chain this month but the deal hasn't been closed and the financial future of both companies is uncertain 2. RV Supermarket Southeastern Grocers a conglomerate of grocery stores is selling off a number of Brands as another recession approaches one of them is Harvey's Supermarket the supermarket is in the process of conducting closing sales in 30 locations throughout Florida Carolinas and Georgia since August 2021. if you love The Chain you should probably visit the stores while you still can because the 23 stores that have already closed suggest that Harvey's may eventually join the list of casualties of the retail Carnage given the significant decline in consumer spending we're currently witnessing 3. Earth Fare about a month before the start of the Health crisis in 2020 Earth Fare filed for bankruptcy and sought chapter 11 protection on February 4th as a result it shuttered all 50 of its stores across 10 states and laid off over 3 000 workers the company had planned to reopen some of its locations in collaboration with Whole Foods but as of now the reboot hasn't been finished according to spokesperson Jennifer Mercer the main reason is Earth fare's inability to refinance its 138 million dollar debt even after credit has pumped 78 million dollars into the company's balance sheet it became clear that the grocer couldn't turn out enough profit to stay in business meaning that we've probably already seen this 4. Winn-Dixie although it emerged from bankruptcy in 2018 the supermarket chain is still dealing with skyrocketing debt revenue losses due to poor sales pressure from vendors sliding credit ratings and a failure to find a way to step out from under the shadow of its larger Rivals the popular grocer is once again reducing its footprint by shuttering multiple grocery stores and laying off employees the business declared its intention to terminate lease agreements for underperforming stores During the reorganization period Implement a series of closures and work on initiatives to boost sales industry analysis however are doubtful that even a slim downwind Dixie could compete over the Long Haul pointing out that survival will require making gains at the expense of the same Rivals who have benefited most from its struggles it will also require reversing trends that reach crisis proportions in 2022 after spiraling downward for a retailer with low sales productivity turnarounds are extremely challenging because they require you to take someone else's market share even after when Dixie emerged they still faced arguably the toughest competitors in the country such as Publix at Walmart on an ongoing basis in their core Market noted Andrew wolf an analysis for BBT Capital markets 5. Balducci's in April 2020 Balducci's and King's Food Markets are both owned by the same corporate entity since the certain chain underperformed its business projections in 2018 which resulted in multiple defaults under credit agreements and missed interest payments just like King's Food Markets it seems like it is the end of an era for this specialty grocery store Nina Balducci who pioneered the store's model in New York City alongside her husband in 1972 passed away unfortunately her Legacy might not live on for much longer due to high debt and increased industry competition 6. Buy Low in 2018 Bilo filed for bankruptcy for the first time due to ongoing earnings disappointments which led to the closure of 100 stores Bilo lost favor among its sister chains because it lacked the size of Southern Mainstay wind Dixie or the focused appeal of Southeastern Grocers newest brand fresh and more in the summer of 2020 the chains parent company sold almost half of its stores to rival Food Lion and on September 1st of the following year the company announced it would close an additional 23 grocery stores its footprint has significantly shrunk over the past two years which is a clear indication that Bilo is no longer on Solid Ground 7. Safeway given that Safeway a significant U.S retailer with 897 locations nationwide is currently run by Albertsons the parent company's troubles could prove fatal for the Beloved supermarket chain Safeway is already experiencing significant internal turmoil due to supply chain issues labor issues and declining sales in half of its stores in the state of Washington to date only a few stores closings has been announced but analysis predict that as Albertsons begins to struggle more stores closings will follow 8. Kings Food Markets King's food Market's recent demise as a result of the parent company kbus Holdings failure following years of historical low earnings as a result of Market pressures in an effort to recover its ability to pay its 114 million dollar debt for years the corporation went bankrupt due to Rising labor costs and pension obligations it then began to sell its major store chains according to Benjamin Jones a restructuring specialist with Ankara consorting group KB experienced a lack of cash flow that led to debt default and the cancellation of planned Investments for store Renovations even though it was able to come to an agreement for a 20 million dollar bankruptcy loan from its lender it still doesn't have a permanent solution for its long-term liquidity constraints 9. Family Dollar one of the most well-known and adored chains in America Dollar Tree is a discount grocery store but in recent years the company has been experiencing a slow-motion train wreck in 2019 CNBC reported that Dollar Tree closed up to 390 Family Dollar locations as a part of a massive transition the parent company is closing and relocating hundreds of its stores in order to stay afloat in just one quarter Family Dollar lost 2.31 billion dollars compared to a profit of roughly half that amount the year before basically things started going downhill after a Family Dollar employee in Corinth Maine closed the store alleging poor treatment the now former employee put up a pink sign reading we quit Bad Company surprising both customers and employees to make matters worse in May the company encountered a massive rodent infestation that led to the closure of 404 stores [Music] 10. fresh thyme before the pandemic fresh time shuddered dozens of locations in Iowa and Wisconsin most recently the specialty grocer announced the closure of its last remaining locations in Nebraska just one year after it started doing business there according to J.J parkovich president and founder of retail insights the company was forced to make a hasty Retreat because the stores didn't live up to expectations all businesses are struggling in the current economic climate and the more specialty store chains close the more dependent we become on big business this makes consumers more susceptible to unexpected price increases and gives them fewer options on top of all these closures thousands of supermarkets May close in the coming years in other words grocery inflation is here to stay and these are only the very first chapters of a crisis that will last several years thank you for watching and please share this with your family and friends we look forward to reading your comments

Channel: FINANCE TODAY

Views: 79,971

Keywords: Retail store closures, retail store closures, closing stores, Grocery Stores Disappearing, Grocery Stores closures, Grocery Stores closing, retail apocalypse, retail crisis, Grocery Stores In US, grocery store bankruptcy, grocery sales, supermarket bankruptcy, supermarkets closing, supply chain crisis, retail bankruptcy, Retail crisis, supermaket collapse, grocery shortages, Retail stores closing, retailers closing stores, retailers in crisis, Family dollar closing

Id: FUyLLE-BiOQ

Length: 9min 46sec (586 seconds)

Published: Sun Jun 11 2023