Joann Fabrics declares nationwide store shutdown due to bankruptcy.
Joann Fabrics and Crafts Shutdown: A Sad Farewell for DIY Enthusiasts
In an unprecedented move, Joann Fabrics and Crafts, a 80-year-old go-to spot for fabric, sewing accessories, and home decor, plans to shutter all its brick-and-mortar stores nationwide. The decision comes after the retailer filed for Chapter 11 bankruptcy.
The news has sent a shockwave through the crafting community, leaving customers scrambling to use their remaining gift cards before they expire on February 28, 2025. tragedically, after this date, neither gift cards nor store credits will be accepted anymore, not even on the company's website or mobile app as they too are winding down operations.
Joann's demise can be attributed to several factors:
- The increasing dominance of e-commerce over traditional retail, as more consumers opt for online shopping.
- Rising operational costs and the impact of tariffs.
- Persistent financial issues, including filing for bankruptcy twice in a short span.
News of the closures is grim tidings for the estimated 19,000 employees who stand to lose their jobs. DIY enthusiasts too, will have to find new sources for supplies like fabric, yarn, and other crafting essentials.
The retail industry may be witnessing a larger shift, as brick-and-mortar stores struggle to keep up with digital competition and other external pressures.
However, all is not lost for crafters. They can explore online retailers such as Etsy, Amazon, and niche craft stores. Local alternatives, smaller stores or independent sellers, may also step up to fill the void left by Joann's absence. Crafters can also connect through online communities and forums to share resources and locate new suppliers. Specialty stores focused on specific craft supplies may become more popular options as well.
While there's no official final closure date yet, sources suggest that the process will be completed by mid-2025. So, if you're a Joann devotee, make sure to check out your local store for going-out-of-business sales before it's too late.
Further Reading
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- In the face of the growing dominance of e-commerce in the global retail industry, African logistics companies are developing strategies to improve the efficiency of their port operations to cater to this digital shift.
- The closure of Joann Fabrics and Crafts stores could potentially open up opportunities for smaller retailers and independent sellers in the craft supplies segment, especially in local African markets.
- As part of its growth strategy, an African e-commerce business has invested heavily in financing and modernizing port infrastructure to enhance the convenience and reliability of its import and export services.
- In response to the increasing competition from major international e-commerce players, local African retailers are focusing on offering unique, niche products and personalized customer experiences to attract and retain customers.
- The decline of traditional retail business and the surge of e-commerce are putting pressure on the finance sector in Africa to innovate solutions for small and medium-sized businesses seeking funding to expand their online presence.
