Subscribe
The Latest
2 minute read

Why is Lowe’s closing 50 stores?

Emily
Total
0
Shares
0
0
0

It’s been a tough year for the retail industry. Department store chains Macy’s and J.C. Penney have both announced plans to close dozens of stores, and now home improvement retailer Lowe’s is following suit.

Lowe’s announced today that it is closing 50 underperforming stores in the U.S. and Canada. The move is expected to save the company $550 million, which it will invest in other areas of the business.

“We believe our people are our biggest competitive advantage, and this action will allow us to redeploy them to serve our customers better,” said Lowe’s CEO Robert Niblock in a statement.

The closings represent about 2% of Lowe’s total store count, but they come as the company has been struggling to keep up with its larger rival Home Depot. Lowe’s same-store sales have lagged behind Home Depot’s for the past four years, and its stock price is down about 20% since 2013 while Home Depot’s has soared.

It’s not clear yet which stores Lowe’s will be closing, but the company said it will provide more details when it reports earnings on November 20. In the meantime, employees at the affected stores will be notified and given the option to transfer to other locations.

Lowe’s isn’t the only retailer feeling pressure from Home Depot. Macy’s, J. Penney, Sears, and Kohl’s have all seen their sales decline as shoppers increasingly head to Home Depot and other big-box stores for their home improvement needs.

The trend has been especially pronounced in recent months as consumers spend more money on home improvements and repairs in the wake of hurricanes Harvey and Irma. Home Depot reported a 6% increase in same-store sales in its most recent quarter, while Lowe’s saw a 3% decline.

It’s no surprise then that Lowe’s is following Macy’s and J. Penney in announcing store closings. Like those companies, Lowe’s is trying to cut costs so it can invest in other areas of its business and compete more effectively against its larger rival.

Why is Lowe’s closing 50 stores?

It’s due to heavy competition fromHome Depot as well as department stores like Macy’s and JC Penny’s who are all struggling to keep up with customer demands. This move by Lowe’s is an attempt to save money so they can reinvest elsewhere and try to catch up to their opponents.

6 Related Question Answers Found

Is Lowe's closing in 2020?

There has been much speculation about the future of Lowe’s, with some reports indicating that the company may be closing its doors for good in 2020. While nothing has been confirmed by the company, the rumors have caused many to wonder if Lowe’s is indeed facing closure. Lowe’s has been struggling in recent years, with declining sales and profit margins.

Does Lowe's have a no chase policy?

As one of the largest home improvement stores in the United States, Lowe’s has built a reputation for having a wide variety of merchandise at competitive prices. In addition to offering products from name brand manufacturers, Lowe’s also has its own line of private label products. While Lowe’s offers a variety of services and products, one thing it does not offer is a no-chase policy.

Is Lowe's closed on Thanksgiving 2020?

As the COVID-19 pandemic continues to surge across the United States, many retailers are making the difficult decision to close their doors on Thanksgiving Day. Lowe’s is one of those retailers. Lowe’s announced in October that it would be closed on Thanksgiving Day 2020 “out of an abundance of caution” for its employees and customers.

Is Lowe's Home Improvement closing?

As the second-largest home improvement retailer in the United States, Lowe’s Companies, Inc. (NYSE: LOW) is an important player in the home improvement industry. Therefore, when rumors start circulating that the company might be closing its doors, it’s important to take a closer look at the situation. So, is Lowe’s Home Improvement closing?

Does Lowe's sell used appliances?

Lowe’s is a home improvement and appliance store that sells a wide variety of new and used appliances. While they don’t have a dedicated section for used appliances, they do occasionally have some gently used items in stock. To find out if Lowe’s has any used appliances in stock, it’s best to give them a call or visit the store in person.

Does Lowe's still sell Katrina Cottages?

Yes, Lowe’s still sells Katrina Cottages. The cottages are small homes that were designed by Architectural Aid to Disaster Areas (AATA) after Hurricane Katrina hit the Gulf Coast in 2005. AATA was founded by two architects, Marianne Cusato and Gregory Kloehn, who were working on a project in New Orleans when the hurricane hit.
Total
0
Shares
Share 0
Tweet 0
Pin it 0
Emily
Emily is a content researcher who is passionate about finding and sharing information. She has a keen eye for detail and enjoys delving into the depths of a topic to find the most interesting and relevant information.
Previous Article

What is better DoorDash or Grubhub?

August 10, 2022
Next Article

Does Albertsons have double coupons?

August 10, 2022
Related Posts