Latest news with #Coresight
Miami Herald
09-07-2025
- Business
- Miami Herald
Store Closures On Track to Far Exceed 2024 Levels
Store closures across the U.S. continue to rise, and remain on track to far significantly surpass both new openings and the figures seen in 2024. According to a new report from research and advisory firm Coresight Research, cited by CoStar News, 5,822 store closures were recorded as of June 27, compared to 3,496 closures announced during the same period of 2024. The 2025 closures have also far outstripped the 3,960 announced openings this year. The stark increase in closures reflects long-term challenges to the retail sector, which has for years battled declining foot traffic and the rise of e-commerce - particularly since the COVID Pandemic - Coresight reported. Persistent inflation and tariff hikes on goods from other countries - heralded by the Trump administration as a measure to boost American manufacturing and protect jobs - have also taken tolls on consumer confidence and spending, analysis from US banking giant JP Morgan suggests. Early in the year, Coresight Research predicted that around 15,000 stores would close in 2025, more than double the 7,325 that shuttered last year. Those were the highest number of annual closures since 2020, when there were 9,698. Store openings, meanwhile, were predicted to fall to 5,800 from 5,970 in 2025. Since it made the prediction in late January, several major brands have announced or embarked upon reductions in their nationwide footprints. Macy's and Kohl's are among the household names to announce widespread closures, fueled in part by declining sales and a desire to optimize operations to accommodate shifting consumer behaviors. Pharmacies have also seen mass closures. Chains such as CVS and Walgreens have already announced plans to permanently shutter hundreds of locations across the country. Rite Aid, which filed for bankruptcy in early May, recently saw the number of locations marked for closure surpass 1,000, though many of these have been sold off to competitors as it attempts to exit the Chapter 11 process. The widespread shuttering of pharmacies has exacerbated fears over Americans' access to essential medications, as many face the prospect of living in what have been referred to as "pharmacy deserts." John Mercer, Coresight's head of global research, told CoStar News: "U.S. retail is in a period of unusually high real-estate churn as cyclical impacts confront structural shifts." "U.S. store closures are up by two-thirds compared to one year earlier, while openings are flat," he added. "That closures total is compounding closure numbers that were already up, year over year, in week 27 of 2024." Miranda Rochol, Senior Vice President of Provider Solutions at healthcare technology firm Prescryptive Health, told Newsweek that the reasons for mass pharmacy closures "are complex, but it's not an overstatement to say pharmacies are facing unprecedented economic strain, with shrinking margins and reimbursement rates." "Many small pharmacies now operate at a loss on common prescriptions, and large chains are restructuring in response to reduced revenues, declining foot traffic, and other outdated models that no longer align with the needs of modern consumers," she added. It remains to be seen whether the number of closures will ultimately match the 15,000 originally forecast by Coresight back in January. Last week, Coresight estimated that the level of store closures could result in over 120 million square feet of closed retail space in 2025. Related Articles Rite Aid Closures Reach 1,000 as America Faces 'Pharmacy Deserts'Map Shows Cities Where Malls are Dying Off FastestAre Banks Open on Juneteenth 2025? List of Holiday ClosuresTD Bank to Close 38 Locations by June 5: See the Full List 2025 NEWSWEEK DIGITAL LLC.
Newsweek
09-07-2025
- Business
- Newsweek
Store Closures On Track to Far Exceed 2024 Levels
Produced [by our journalists] with financial support from an organization or individual that did not approve or review the work. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Store closures across the U.S. continue to rise, and remain on track to far significantly surpass both new openings and the figures seen in 2024. According to a new report from research and advisory firm Coresight Research, cited by CoStar News, 5,822 store closures were recorded as of June 27, compared to 3,496 closures announced during the same period of 2024. The 2025 closures have also far outstripped the 3,960 announced openings this year. Why It Matters The stark increase in closures reflects long-term challenges to the retail sector, which has for years battled declining foot traffic and the rise of e-commerce - particularly since the COVID Pandemic - Coresight reported. Persistent inflation and tariff hikes on goods from other countries - heralded by the Trump administration as a measure to boost American manufacturing and protect jobs - have also taken tolls on consumer confidence and spending, analysis from US banking giant JP Morgan suggests. What To Know Early in the year, Coresight Research predicted that around 15,000 stores would close in 2025, more than double the 7,325 that shuttered last year. Those were the highest number of annual closures since 2020, when there were 9,698. Store openings, meanwhile, were predicted to fall to 5,800 from 5,970 in 2025. Since it made the prediction in late January, several major brands have announced or embarked upon reductions in their nationwide footprints. Macy's and Kohl's are among the household names to announce widespread closures, fueled in part by declining sales and a desire to optimize operations to accommodate shifting consumer behaviors. A store closing sign is displayed as customers shop during the last day of a store closing sale at a JOANN Fabric and Crafts location in a shopping mall following the company's bankruptcy in Torrance,... A store closing sign is displayed as customers shop during the last day of a store closing sale at a JOANN Fabric and Crafts location in a shopping mall following the company's bankruptcy in Torrance, California on May 27, 2025. More Patrick T. Fallon/AFP via Getty Images Pharmacies have also seen mass closures. Chains such as CVS and Walgreens have already announced plans to permanently shutter hundreds of locations across the country. Rite Aid, which filed for bankruptcy in early May, recently saw the number of locations marked for closure surpass 1,000, though many of these have been sold off to competitors as it attempts to exit the Chapter 11 process. The widespread shuttering of pharmacies has exacerbated fears over Americans' access to essential medications, as many face the prospect of living in what have been referred to as "pharmacy deserts." What People Are Saying John Mercer, Coresight's head of global research, told CoStar News: "U.S. retail is in a period of unusually high real-estate churn as cyclical impacts confront structural shifts." "U.S. store closures are up by two-thirds compared to one year earlier, while openings are flat," he added. "That closures total is compounding closure numbers that were already up, year over year, in week 27 of 2024." Miranda Rochol, Senior Vice President of Provider Solutions at healthcare technology firm Prescryptive Health, told Newsweek that the reasons for mass pharmacy closures "are complex, but it's not an overstatement to say pharmacies are facing unprecedented economic strain, with shrinking margins and reimbursement rates." "Many small pharmacies now operate at a loss on common prescriptions, and large chains are restructuring in response to reduced revenues, declining foot traffic, and other outdated models that no longer align with the needs of modern consumers," she added. What Happens Next? It remains to be seen whether the number of closures will ultimately match the 15,000 originally forecast by Coresight back in January. Last week, Coresight estimated that the level of store closures could result in over 120 million square feet of closed retail space in 2025.
Miami Herald
21-06-2025
- Business
- Miami Herald
Walmart delivers Amazon some really bad news
While Walmart (WMT) has been the industry leader for many decades when it comes to general retail, there's been proof as of late that Amazon (AMZN) is coming for its crown. In February 2025, it was reported that Amazon had dethroned Walmart in quarterly revenue for the first time ever, scoring $187.8 billion in Q4 2024, while Walmart brought in $180.5 billion. Don't miss the move: Subscribe to TheStreet's free daily newsletter While Amazon has long been nipping at Walmart's heels, this marked a new level of competition between the retail giants, and it's a war that will likely be riveting to watch as it continues to develop. Related: Walmart responds to outrage over return of a harsh policy In an effort to compete with Amazon's Prime service, which originally launched in 2005, Walmart launched its own service in 2020 called Walmart+, which offered free shipping, Scan and Go perks in the Walmart app, and fuel discounts at participating stations. The problem, of course, is that Amazon had a 15-year head start - but that doesn't mean Walmart shouldn't aim for a slice of the pie. That said, Amazon Prime last reported 180 million subscribers as of March 2024, according to Consumer Intelligence Research Partners, while Walmart+ is estimated to have about 17.2 million, per a Morgan Stanley survey. But it looks like Walmart just might have gained an edge on Amazon. New data taken over the last year reveals that a survey of Amazon Prime members opted to buy their groceries online from Walmart instead of via Amazon, per Coresight Research. More Retail: Huge retail chain suddenly closing hundreds of storesMajor retailer scores huge benefit from Joann bankruptcyHome Depot, Target, Ulta and more strike back at retail crime The survey, which included 2,004 U.S. consumers Coresight spoke with April, as well as the insights culled from similar-sized groups over a seven-year period, shows that just shy of 60% of Prime subscribers bought groceries online from Walmart in the last year. In that same period, only 52% of Prime members turned to Amazon for their grocery shopping. But Walmart saw 79% of its Walmart+ subscribers buy groceries online during that time, showing stronger loyalty. Related: Walmart shares new service that's better than Amazon Online grocery shopping overall is dropping, but just slightly, with Coresight reporting that 53.6% of respondents bought groceries online last year, as compared to 56.3% during the prior year. While Walmart has long been known for catering to the needs of lower-income customers, it showed a surprising new trend in 2024: it's also attracting more affluent consumers. A growing base of new customers drove strong growth for Walmart's grocery business in the first half of 2024, per data from a Brick Meets Click report called Profiling the Online Shopper: eGrocery Purchase Patterns in the U.S. In the meantime, Walmart recently shared that it will enrich grocery offerings as part of its new "Store of the Future" rollout, including a Hispanic bakery section, a fresh tortilla maker, a sushi station, and more. Amazon also is taking steps to continue to pull in grocery customers, such as allowing them to buy items from Whole Foods, and Amazon Fresh in a single order. Related: Walmart takes a major step in a bold new direction The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Miami Herald
18-06-2025
- Business
- Miami Herald
Amazon Prime members prefer Walmart for online grocery shopping, research shows
Dive Brief: A greater share of surveyed Amazon Prime members bought groceries online from Walmart than from the e-commerce giant itself during a yearlong stretch that ended earlier in 2025, according to data released this month by Coresight under 60% of surveyed online grocery shoppers who subscribe to Prime purchased groceries online from Walmart during the 12 months ahead of a poll Coresight conducted in April. Meanwhile, only about 52% of surveyed Prime members who bought groceries online over that period purchased from contrast, almost 79% of online grocery shoppers in the survey who subscribe to Walmart's membership program, Walmart+, made online grocery purchases from the mass retailer, Coresight found. Dive Insight: Coresight's research underscores Walmart's powerful position in the U.S. grocery e-commerce sector, where the mass retailer has made deep investments in recent years. Walmart topped the list of retailers where survey participants bought groceries online, followed by Amazon, Target and Costco - and was well ahead of conventional supermarket operators. Almost 58% of survey participants who bought groceries via e-commerce during the 12-month period covered by the research purchased groceries online from Walmart. The comparable figure for Amazon was about 45%. Kroger banners attracted digital purchases from about 18% of online grocery shoppers in the survey. Overall, 53.6% of respondents bought groceries online during the yearlong period covered by the survey, down from 56.3% during the prior year. However, Coresight found that the proportion of online shoppers who depend primarily on e-commerce to buy groceries rose sharply last year, continuing a steady trend that stems back to the early days of the COVID-19 pandemic. Nearly 31% of participants in the survey who bought groceries online said they do "all or almost all" of their grocery shopping online, a figure that was up by about 10 percentage points compared with data Coresight collected a year earlier. By contrast, just 4.3% of shoppers Coresight surveyed in 2020 who used online grocery services said they depended mostly on those channels. Walmart and Amazon have both been directing resources to beef up their online grocery capabilities. For example, Walmart said last July that it would add five automated distribution centers to handle perishable foods. And last fall, Amazon added the ability for shoppers to buy items from Whole Foods, and its Amazon Fresh service in one order. The findings are based on a survey of 2,004 U.S. consumers Coresight fielded in April as well as polls of similarly sized groups the firm conducted annually over the previous seven years. Copyright 2025 Industry Dive. All rights reserved.
