We will soon be saying goodbye to Bed Bath & Beyond in two Silicon Valley cities. The home goods and decor chain has just revealed the locations of 37 stores it will be closing in the coming month to try to help the company restructure itself in the wake of sagging sales. Those 37 stores are part of an overall plan created two years ago to eventually shutter 200 locations. The store on Hamilton Avenue in Campbell and the store at the Great Mall in Milpitas are part of the initial group of 37 that will be closing in February, according to the Mercury News.
The company sent this statement to SF Gate: "After careful consideration, Bed Bath & Beyond has decided to close the stores in Campbell and Milpitas in the coming months, as part of our previously announced store closure plans. We previously shared this information with our valued associates. While the decision to close a store is always a difficult one, Bed Bath & Beyond looks forward to serving area customers at other stores — such as in Santa Clara, San Jose, and Redwood City."
The most obvious reason for the closures is the rise of online shopping through Amazon, but analysts also say that Bed Bath & Beyond has also been losing brick and mortar customers to Target over the past few years. The road ahead for the company could get even bumpier before things level out, and the company just announced a nearly 30% drop in sales. CNBC reports that the company lost around $100 million dollars in sales in the third quarter because the popular items were not on store shelves for customers to buy. Much of their inventory had been wiped out and not replenished due to the logistical shipping nightmares playing out in ports due to the pandemic.
It’s possible we could start seeing changes at the locations staying open in Santa Clara, San Jose, and Redwood City. The Mercury News is reporting that Bed Bath & Beyond is in the process of remodeling 450 locations that are remaining open. The company has more than 1,500 locations in the U.S. and Canada. As for the locations closing in Campbell and Milpitas, they are now holding liquidation sales to get rid of their remaining inventory which may not be much due to the holiday rush and the supply chain issues.
