Have no fear, consumers are still able to shop on Thanksgiving, and retailers can still make a profit. Here are the details:
WHO: Who are the retailers closing their stores?
Right now there are 72 known shopping centers that plan to close on Thanksgiving Day. CBL associates, the mall operator owning 89 malls, Nordstrom Rack, Marshalls, TJMaxx, and more will be closed for the holiday.
WHAT: What happens to Black Friday?!
Have no fear, the stores plan to re-open for Black Friday at 6:00am!
WHEN: When is this occurring?
Thanksgiving, of course! Mark your calendars: November 24th 2016.
WHERE: Where is this all happening?
As of now, stores that will be closing are located in Colorado, Wisconsin, Ohio, Kentucky, South Carolina, Arkansas, Missouri, and North Carolina.
WHY: Why are retailers doing this?
Retailers are doing this for multiple reasons. To start, they want their employees to be able to spend time with family and enjoy their holiday. One would think that closing a store wouldn’t help the retailers, but their strategy behind this is indeed beneficial. They believe that closing will “refocus” the sales for Black Friday. Every year, holiday shopping starts earlier and earlier, causing less of an excitement for the specific shopping holiday, Black Friday. Now that the stores will be closed on a typical shopping day, customers will be celebrating this Black Friday as the true start to the holiday season.
HOW: How can retailers benefit from closing their stores?
- It’s 2016. Tablets, smartphones, computers and all other mobile devices are consumers’ golden ticket to holiday shopping on Thanksgiving. According to a study by Deloitte, e-commerce sales should grow by 17-19% compared to last year’s holiday season. More specifically, they predict a 42% mobile commerce growth. NPD Group reported that on average, 38% of holiday shopping is done online. And since e-commerce sales are up, there is less pressure for in-store sales, and consumers don’t need to physically be in the store for a successful holiday shop. Because of this, retailers will still be successful even when their stores are closed.
- In addition to the benefit of online sales, retailers don’t have to pay the heavy costs of their employees’ salaries, store security, etc. During the busy holiday season, retailers hire more employees to support the increased store traffic. According to NRF Study, retailers are expected to hire between 640,000 and 690,000 seasonal workers this holiday season.
- A third benefit to closing the stores is, according to CNBC, the closing of these stores will allow 1,500 employees to celebrate this holiday. Retailers will thus not only have more excited shoppers on Black Friday but also positive press for honoring the holiday for their employees.