With lagging sales and consumer demand for discounts, Michael Kors to close up to 125 of its full-price stores

Aaron Schrank May 31, 2017
HTML EMBED:
COPY

With lagging sales and consumer demand for discounts, Michael Kors to close up to 125 of its full-price stores

Aaron Schrank May 31, 2017
HTML EMBED:
COPY

In yet another blow to the brick-and-mortar retail business, luxury retailer Michael Kors announced it will close up to 125 of its full-price stores. The company and its competitors have been facing slowing sales as more customers shop online and spend less on apparel.  Michael Kors CEO John Idol announced the store closures in today’s earnings call, and said the brand needs to “further enhance our store experience in order to better engage and excite consumers.”  Among other things, the brand has struggled to sell its handbags at full price, because shoppers have gotten used to serious discounts at department stores and competitors.

Click the audio player above to hear the full story.

We’re here to help you navigate this changed world and economy.

Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.

In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.

Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.