Teen brand Rue21 has 1,179 stores across the country, of which 400 were on the route to closing last month. The brand says it is considering closing another 400. So far this year, The Limited, Wet Seal, BCBG, and RadioShack have been among the 10 retailers that have filed for bankruptcy.
Many of these brands have been catering to the lower end of the market. Luxury mall brands appear to be doing well. So the issue is not so much that customers are shopping online rather than in-store, but that these less expensive brands haven’t invested in making the brick-and-mortar shopping experience engaging.
[Photo: Michael Rivera via Wikimedia Commons]