Elevated closures, steady openings expected as inflation eases, consumer sentiment improves, and likely tax cuts go head-to-head against potential tariff impacts

Coresight Research, the leading research and advisory firm specializing in retail and technology, issued its predictions for store openings and closures by sector in the US for 2025 today. Following a spike in stores closures in 2024, Coresight Research expects closures to escalate further this year, to approximately 15,000. Coresight Research projects store openings will remain steady with about 5,800 stores opening nationwide this year. US store closures totaled 7,325 in 2024, the highest number of store closures seen since 2020 when Coresight Research tracked almost 10,000 closures. Store openings totaled 5,970 in 2024, the highest number of store openings since 2012 when Coresight Research began tracking this data. Overall, store closures outpaced openings in 2024 with a net loss of 1,355 stores (as of January 10, 2025).

“Inflation and a growing preference among consumers to shop online to find the cheapest deals took a toll on brick-and-mortar retailers in 2024,” said Coresight Research CEO Deborah Weinswig. “Last year we saw the highest number of closures since the pandemic. Retailers that were unable to adapt supply chains and implement technology to cut costs were significantly impacted, and we continue to see a trend of consumers opting for the path of least resistance. Not only do they want the best prices, but they also have no patience for stores that are constantly disorganized, out of stock, and that deliver poor customer service. We have seen Shein and Temu capture market share as consumers choose to shop online to save time, money, and avoid frustration. Retailers need to embrace technologies like artificial intelligence to deliver a better customer experience and to optimize pricing to remain relevant and avoid ongoing closures.”

Supporting expectations of a higher number of store closures in 2025, year to date, Coresight Research has already tracked over 2,000 planned closures. Major US retailers have announced 29.6% fewer openings and 334.3% more closures when compared to the year-ago period (as of January 17, 2025). Closures announced late in 2024/early in 2025 by Party City, Big Lots, Kohl’s, and Macy’s that are planned for 2025 are causing the elevated closure numbers early this year.

Coresight Research sees major store closure programs falling into three broad categories: liquidations resulting in all stores closing; distressed retailers closing large swathes of stores, often under Chapter 11 bankruptcy restructuring; and legacy retailers reshaping their store footprints due to a changed retail context.

For updates on store openings and closures in the US, Canada and the UK, follow the Coresight Research weekly Store Tracker reports here: https://coresight.com/coresight-research-store-trackers/. Historic data and detailed insights can also be found in the US and UK Store Tracker Databank.

About Coresight Research

Coresight Research is a research and advisory firm specializing in retail and technology. Established in 2018 by leading global retail analyst Deborah Weinswig, the firm is headquartered in New York, with offices in London, Lagos, Hong Kong, Shanghai and Mangalore (India). The firm provides data-driven analysis and strategic advisory to clients including retailers, brands, real estate owners, enterprise technology companies, accelerators and more.

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