HBC is closing its home furnishing chain Home Outfitters across Canada by the end of the year.
Hudson’s Bay Co. announced Thursday it will close its housewares chain Home Outfitters in Canada.
The company also says it will conduct a “fleet review” of another one of its retail chains, Saks OFF 5th, which has 133 locations in the U.S. and Canada. The review will likely see the company close 20 stores in the U.S.There are 37 Home Outfitters locations across Canada. All will be closed by the end of 2019. Almost all of the areas losing a Home Outfitters store have a regular HBC store nearby, a spokesperson for the company told CBC News.
Home Outfitters employed less than 700 people.
The chain did not provide details on possible job losses, but thanked employees in a statement.
“Further streamlining our retail portfolio enables even greater focus on our businesses with the strongest growth opportunities,” CEO Helena Foulkes said. “We know this news is difficult for our associates. We are grateful for their ongoing efforts to serve our customers and we will work to find opportunities within HBC for impacted team members where possible.”
The company said the review will allow it to focus on its “best locations” and on its e-commerce offerings.
Retail expert Brynn Winegard said the demise of Home Outfitters is the product of the challenge of maintaining margins and foot traffic where consumers are comfortable searching, comparing, and transacting online.
Winegard said in an email to The Canadian Press that HBC needs to focus on having well-trained floor staff “who provide advice, guidance shoppers need and can’t Google themselves,” and on creating an experience for consumers that includes activities like eating.
“That usually requires real estate and a price point that warrants this extra experiential space,” she said. “Home Outfitters does not service a target consumer willing to pay these higher prices, however.”
