Kohl’s is trimming part of its store footprint, a move that could change where some customers shop, how employees are affected, and how the retailer invests in the locations it keeps open.
The department-store chain has announced plans to close 27 underperforming stores across 13 states. The decision is part of a broader effort to focus on stronger markets and improve the performance of its remaining store network.
For shoppers who rely on a nearby Kohl’s, the change may be inconvenient. For the company, it reflects a larger challenge facing traditional retailers: keeping physical stores profitable while customers continue to shift between in-store shopping, discount competitors, specialty retailers, and online marketplaces.
Why Kohl’s Is Closing Some Stores
Running a large store network is expensive. Rent, staffing, utilities, inventory, maintenance, and local operating costs can add up quickly, especially at locations that are not bringing in enough sales.