The past five or so years has brought chaos and volatility to the retail industry.
It’s hard to believe that it’s been half a decade since the mark of the beginning of the covid pandemic. But that’s what accelerated so many retail trends that are still with us today.
Related: Bankrupt retail chain suddenly closing all stores
It also halted plenty of norms we’d been used to.
Before early- to mid-2020, most of us shopped in person for plenty of common items and essentials.
The vast majority of us went in person to a supermarket to get our groceries. We picked up our prescription medications and over the counter drugs from brick and mortar pharmacies.
And some of us even went into the odd mall or two for apparel and accessories.
But all of that has changed.
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More people than ever before are getting their groceries and prescriptions delivered.
And mall foot traffic continues to decline as folks choose to shop at discount retailers to save money or stay at home and do their online shopping from their sofas.
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Drugstores have an outsized struggle
Pharmacies and drugstores were hit especially hard by this trend.
Retail theft, which also increased in both severity and frequency during covid, targeted many drugstores. That’s because they tend to carry high interest and essential items items for theft (like razors and snacks) and are located in high foot traffic areas.
More closings:
- Iconic retail chain closing nearly 500 stores
- Another discount retailer closing over 1,000 stores
- Another struggling mall retail chain closing more stores
Plus, fewer paying customers were stopping in. Instead, they were buying shampoo, travel essentials, and cosmetics online. Some were even getting their prescriptions delivered, which completely eliminated the need to go in-person to a drugstore.
But unlike other retailers which could just completely close up shop and move business online, many pharmacies need to stay open to serve their communities. It’s a double edged sword that is terrible for profitability and ends up pleasing nobody — shareholders included.
Walgreens makes a tough decision
Walgreens has struggled especially during and following covid.
It’s currently preparing to go private in an effort to turn around the business and cut costs.
“We remain in the early stages of our turnaround plan, and continue to expect that meaningful value creation will take time, enhanced focus and balancing future cash needs with necessary investments to navigate a changing pharmacy and retail landscape,” Walgreens CEO Tim Wentworth said of the plan.
Related: Another discount retailer closing over 1,000 stores
And part of the plan also means closing stores around the country. It’s planning to close about 1,200 stores over the next three years.
And it will shutter seven in Connecticut alone over the next two months. Those locations are:
- Milford: 1083 Boston Post Road
- Closed on April 21.
- Waterbury: 11 Meriden Road
- Closed on April 22.
- Middletown: 311 E Main St.
- Closed on April 23.
- New Britain: 1350 Stanley St.
- Closed on May 19.
- Prescriptions transferred to 102 Washington St. in New Britain
- East Hartford: 922 Silver Lane
- Closed on May 20.
- 173 Danbury Road 173 Danbury RoadPrescriptions transferred to 20 Connecticut Boulevard in East Hartford
- New Milford: 173 Danbury Road
- Closed on May 21.
- East Haven: 157 Main St.
- Closed on May 22.
- Prescriptions transferred to 87 Foxon St.in New Haven
“Increased regulatory and reimbursement pressures are weighing on our ability to cover the costs associated with rent, staffing, and supply needs,” Walgreens said of the closures in a statement.
