The DEATH of Retail
So many major retail store brands have filed for bankruptcy over the last 2 years including brands like Sears, Toys R Us, Mattress Firm, Claires, etc. Is the retail store model dead? What is causing so many of these once iconic brands go bankrupt or close down massive number of stores?
2018 and the start of 2019 has seen announcements from stores like The Gap, H&M, and PetSmart indicating massive store closures and initiatives to restructure debt. Perhaps too much debt is the issue? Amazon is also mentioned heavily when it comes to the traditional retail model suffering.
In our video (click above) however, we discuss why this may not be the doing of Amazon, but more so, the new business model of retail sales that Amazon has proven and scaled over the last 5 years. That is, the model that proves that consumers are more and more willing to move their purchasing online. In addition, more of the baby boomer generation are willing to adapt to the online retail model to make their lives easier.
What brand bankruptcies surprised you last year? Do you think more bankruptcies are on the way in 2019? Leave us your comments and we hope you enjoy our discussion!