Walmart is Closing Stores
Posted on Monday, February 1st, 2016 at 6:34 pm
The main reason why many people shop at Walmart is because their prices are low. It is always nice to save some money, especially when your budget is tight. Be aware that Walmart is planning to close some of its stores. Will the Walmart you shop at remain open?
Bloomberg Business reports that Walmart plans to shutter 269 of its stores, the most in at least two decades. This will affect about 10,000 jobs in the United States at 154 locations around the country. Outside of the United States, closed Walmart stores will eliminate 6,000 jobs. A total of 60 Walmart stores will close in Brazil.
Walmart has decided to end its pilot program of Walmart Express stores. Those stores were smaller than typical Walmart stores, and were intended to compete with dollar stores and drugstores.
In addition, Walmart is going to close 23 of its medium sized Neighborhood Market stores (more specifically, it will close the 23 poorest-performing stores in that chain). Overall, the company is dropping its Walmart Express stores in favor of putting more effort into (most of ) its Neighborhood Market stores.
It isn’t just the smaller versions of Walmart that will be closing. Walmart has already started closing 12 of its Supercenter stores (the biggest version in the Walmart chain of stores). This doesn’t necessarily mean that Walmart is on its way out. Instead, it means the company is doing some restructuring in order to cope with less sales than they anticipated.
There is a complete list of the Walmart stores that will be closing (or that have already closed). The list was posted on the Walmart official website, so there is good reason to believe that it is a reliable list.
The list of stores that are now closed (or that soon will be closing) include many Walmart Express stores, and about 6 “regular” Walmart stores. The list also includes Supercenter stores and Neighborhood Market stores that are closing (or have already closed). Some Amigo stores and Sam’s Club stores are on the list of closures as well.
According to The Motley Fool, the closing of the Walmart Express stores was due to a failed effort to increase sales by competing with a slightly different market than usual. Things didn’t work out as the company had hoped.
The Motley Fool suggests that Walmart is having difficultly competing with Amazon, and that this is a big reason why sales are slowing at Walmart. It also appears that Walmart’s international expansion of stores are underperforming.