A GROWING rival to major retailers like Walmart and Costco will close several stores.
Its rival, Sprouts Farmers Market, has several new closures in several states in the coming weeks.
3
3
As The US Sun previously reported, Sprouts Farmers Market has 350 outlets across the United States – available in 23 states and 386 outlets.
The chain’s net sales are also expected to increase between four and six percent in 2023.
Despite this, Lawrence Molloy, the chain’s chief financial officer, revealed that 11 of its underperforming stores would close in the coming months, according to Winsight Grocery Business.
Sprouts Farmers Market executives said they do not expect to open new stores in the cities affected by the impending closures.
Now, the grocer has revealed more information about which Sprouts Farmers Market locations across the country will be closing, per Eat This, Not That.
Only two of the 11 specific locations were named, including one in West Hollywood, California, and another in Wellington, Florida.
Other states were cited for more closures, including Texas, Georgia and Washington, though no store locations were specified.
Company officials told the publication that larger retail models were closing in favor of “smaller, more productive” locations.
Jack Sinclair, CEO of Sprout Farmers Market, also explained that some stores were built in areas that were not favorable.
“You’re not going to see direct replacements coming into those regions in the future because they’re probably in the wrong place,” he said.
Even with the closures, Sprouts Farmers Market still plans to open 30 more stores by the end of the year.
This makes the retailer a constant threat to Walmart and Costco.
It seems no retailer is safe from what has been dubbed the “retail apocalypse,” which began in late 2022 and carried over into this year, according to Reuters.
Walmart, for example, has nearly 5,000 stores in the United States, but admitted that some have failed to meet “financial expectations,” according to local Chicago CBS affiliate WBBM.
The retail giant closed its supercenters in Plainfield and Homewood, Illinois, on March 10.
Supermarkets in Albuquerque, New Mexico, and Milwaukee, Wisconsin also closed on the same date.
Bed Bath & Beyond also suffered significant financial losses, narrowly avoiding bankruptcy.
Liquidation sales have even begun at the company’s brick-and-mortar retail locations amid the ongoing problems.
CVS, Piggly Wiggly and Stop & Shop are just a few others that will close several locations this month.
Macy’s is arguably more affected than some others, closing more than 100 department stores by 2023.
For more retail information, check out The US Sun’s coverage of a final liquidation sale at a storied bookstore.
The US Sun also has the story of eight states making major changes to their Walmart locations.
3