Georgia, October 23, 2025
News Summary
The retail landscape in Georgia faces a major transformation as numerous stores prepare for permanent closures, highlighting the ongoing impact of e-commerce competition. Major retailers like Forever 21 and Joann have already shut down, while Advance Auto Parts and Claire’s plan to close more locations in the state. Analysts project that thousands of stores could close nationwide, signaling a shift from brick-and-mortar to e-commerce priorities. Despite these closures, some larger retailers are expanding their footprint, indicating a complex retail environment.
Atlanta, Georgia – The retail landscape in Georgia and across the United States is undergoing significant transformation as numerous stores brace for permanent closures. With the holiday shopping season fast approaching, this reflects a trend that has evolved over the past year. Major retailers such as Forever 21 and Joann have closed all their locations, while Rite Aid has ceased operations entirely, prompting concerns about the sustainability of brick-and-mortar stores in the age of e-commerce.
Approximately 2,700 stores have shut down or are set to close throughout the United States in 2025, driven largely by intensified competition from e-commerce platforms. A analysis by Business Insider identifies e-commerce competition as a leading factor contributing to this decline, with a projection from UBS analysts suggesting that as many as 45,000 stores might close by 2029. This shift in retail strategy is pushing companies towards prioritizing fulfillment and distribution centers over traditional storefronts.
Retailers Closing Stores
Recent announcements detail that Advance Auto Parts plans to close 523 corporate stores and four distribution centers by mid-2025, with 48 Georgia locations already shuttered this year. Similarly, At Home entered Chapter 11 bankruptcy and is set to close 26 stores, although it has spared all locations in Georgia. Best Buy is also looking to downsize by closing an additional 10 to 15 stores in 2025, yet all 29 Georgia locations will remain operational.
More notable closures include Big Lots, which has emerged from bankruptcy and plans to sell leases for 480 stores, while Variety Wholesalers has taken over 219 Big Lots stores and announced 14 new openings in Georgia. Claire’s has filed for Chapter 11 bankruptcy and is slated to close 700 stores, including eight in Georgia. On the lower end, Dollar General intends to shutter nearly 100 stores and 45 Popshelf stores by year’s end, while maintaining its substantial presence of 464 locations in Georgia.
Additional Shifts in Retail
Retail environments continue to evolve as stores adapt to changing consumer behaviors. For instance, the Gap announced plans to reduce the number of its locations by 35 net stores in 2025, having already closed a total of five Gap and three Banana Republic locations since 2020. JCPenney has also shut down eight stores this year but reassured that these closures represent an overall strategic focus rather than a broad reduction in store count.
Economic pressures are further complicating the situation. Factors such as rising tariffs, inflation, and high credit card interest rates are influencing consumers’ purchasing behaviors. A recent Bankrate survey indicated that nearly half of consumers plan to begin their holiday shopping early due to these concerns about future price increases. Nevertheless, about 70 percent of surveyed consumers expect their spending to remain the same or increase, which could still present opportunities for retailers as the holiday season approaches.
Continued Expansion by Larger Retailers
Despite the wave of closures, larger retailers are planning expansions. Walmart, Costco, Target, and Home Depot are all gearing up for store openings while small businesses find it increasingly difficult to compete due to the advantages larger corporations hold, such as absorbing high costs and securing better deals.
The retail landscape continues to rapidly shift, creating uncertainty in brick-and-mortar establishments while e-commerce platforms thrive amid changing consumer preferences. The outcome of this shift will shape the future of retail in Georgia and across the nation.
FAQ
What are the major retail closures occurring in Georgia?
Major store closures in Georgia include Forever 21, Joann, and Rite Aid. Additionally, Advance Auto Parts is closing 48 locations, and Claire’s is shutting down eight stores.
How many stores are projected to close nationwide in the coming years?
Approximately 2,700 stores have closed or are planning to close across the U.S. in 2025. UBS analysts predict that up to 45,000 stores may close by 2029 due to shifts in retail focus.
What factors are contributing to these retail closures?
E-commerce competition is a primary reason for these closures, as reported by a Business Insider analysis. Additional economic pressures such as tariffs, inflation, and high credit card interest rates are also influencing consumer spending behavior.
Are any major retailers expanding despite these closures?
Yes, larger retailers like Walmart, Costco, Target, and Home Depot are planning store expansions while smaller businesses face challenges in competing.
How is consumer spending expected to change during the holiday season?
A Bankrate survey found that nearly half of consumers planned to start their holiday shopping early due to tariff concerns and anticipated price increases. However, about 70 percent of consumers expect their spending to remain the same or increase.
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Additional Resources
- Patch: Retailers Permanently Closed in GA 2025
- Wikipedia: History of Retail
- WDSU: Louisiana Winn-Dixie Store Closures
- Google Search: Winn Dixie Closures
- Ledger-Enquirer: Retail Business News
- Google Scholar: Retail Closures 2025
- Fast Company: Winn-Dixie Store Closures
- Encyclopedia Britannica: Retail
- 11Alive: Claire’s Georgia Store Closures
- Google News: Retail Bankruptcy 2025
Author: STAFF HERE ATLANTA WRITER
The ATLANTA STAFF WRITER represents the experienced team at HEREAtlanta.com, your go-to source for actionable local news and information in Atlanta, Fulton County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as vibrant music festivals like Shaky Knees and Music Midtown, major cultural celebrations including Dragon Con and the Atlanta Film Festival, and iconic sporting events like the Peachtree Road Race. Our coverage extends to key organizations like the Metro Atlanta Chamber of Commerce and the Atlanta Convention & Visitors Bureau, plus leading businesses in logistics, beverages, and retail that power the local economy such as Delta Air Lines, The Coca-Cola Company, and The Home Depot. As part of the broader HERE network, including HEREAugusta.com and HERESavannah.com, we provide comprehensive, credible insights into Georgia's dynamic landscape.
