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Bed, Bath & Beyond To Close 40 Stores

Bad news for fans of deals on household products

April 15, 2019 - 7:52 am
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(WWJ) Bad news for fans of deals on household products --  Bed Bath & Beyond's new turnaround plan includes shuttering about 40 locations this year.

That news came after the company reported earnings where sales at stores open at least a year fell 1.4% from the year earlier. 

They have not outlined which stores could face closure. The company has 1,024 stores in the United States, Puerto Rico, Canada and Mexico.

To boost its sales, the company said it would continue to reduce clutter from its stores, add private-label brands and introduce lower-priced products, per a report on CNN.

On the positive side, while it closes underperforming stores, they're holding steady with plans to open 15 new locations. And CEO Steven Temares told investors Bed Bath & Beyond is experimenting with 21 "next-generation lab stores."

The lab stores have "a greater emphasis on home decor, food and beverage, and health and beauty care," Temares said. Different layouts that aim to give shoppers better views of the merchandise.

Sales in the experimental stores were 2.2% higher than comparable Bed Bath & Beyond stores over the past four weeks, Temares said on Wednesday. Customers spent more, and the company earned higher margins.

What it learns at those stores will make its way to locations across the country.