Sears is closing its downtown Chicago flagships outlet in April. The latest moves by the retailer are a result of focusing more on online promotions.
The store has lost millions of dollars since opening in Chicago in 2001, a Sears spokesman said on Tuesday. The closing of the downtown Chicago outlet will leave Sears without a chain store in its hometown. Sears headquarters is located in suburban Hoffman Estates, Illinois. Sears also has three other stores in the Chicago area as well.
Hedge fund manager, Sears CEO Edward Lampert said, “store closings are necessary because shoppers habits are changing as they buy more online. The consensus about decreased store traffic also highlights another decision that has steered our work, we very often need less space to serve our members better and we may need fewer locations as well.”
Lampert added, “as difficult as these changes are, we believe the alternative of failing to plan for or even see where the retail industry is heading would be far, far worse.”
During the holiday season at its chain store Sears reported a 9.2 percent decline in comparable sales. It’s the latest poor showing by the retailer. Sears also operates Kmart discount chain as well. Sears has closed about 300 stores since 2010 and the company has about 2,000 Sears and Kmart locations in the United States.
Other retailers are closing stores as well such as J.C. Penney and Macy’s. J.C. Penney announced last week their going to be closing 33 of its 1,100 stores. Macy’s is closing five stores, however there planning on opening eight new locations.