Call it a big box institution, but Bed, Bath and Beyond will be no more. This signals a trend as giant big box retail seems to be dying a very slow but sure death.
The chain tried to hold on in a string of bad business moves that only made things worse. It spent almost 12 billion dollars in stock buybacks trying to save itself amidst shaky profits. They’d been doing that since 2004. They were awesome hoping for some buyout, some savior, but it never came.
They couldn’t buy inventory, and in a few years the stores had a reputation for Venezuelan like shelves in certain regions. They remained in deep debt due to the buybacks.
Last year, their stock plummeted by 83%. This year it’s projected to be down 87%.
It shows a trend that big box retail is dying. First it was the mall. There are now just 700, at its peak in the 80’s there were 2,500 in the USA. The projected number of malls to exist before decade’s end sits at 150. So already, there are limited places for these types of stores to go into.
And big box retail specifically is dying a slow death. Big Lots, Bloomingdales and Macy’s are facing frequent closings. Macy’s overhauled their business plan in a risky and desperate attempt to turn some profit.
Looks like the Amazin Mafia cut another one down.
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