Written by Amanda Coers – J.C. Penney has released the list of 138 stores it plans to close in an effort to cut costs as the rise in online commerce challenges traditional retail shopping. The store location inside Heartland Mall in Early, Texas, is listed on the chopping block.
The J. C. Penney store in the Heartland Mall was one of nine Texas stores on the list.
“We believe closing stores will allow us to adjust our business to effectively compete against the growing threat of online retailers,” J.C. Penney CEO Marvin Ellison said in a public statement in February.
[adrotate group=”8″]
A list of all the store closings for the chain can be found here: www.cnbc.com
An employee who wished to remain anonymous told KTXS that executives from J.C. Penney visited the Early location earlier this week, notifying the store manager of the closing. The manager told the Early location’s nearly 30 employees about corporate’s decision on Wednesday, just days before the official announcement.
The store’s closing is a coal mine canary for the effect of online shopping. A recent study conducted by comScore for UPS has tracked a gradual rise in the percentage of purchases being made online. In 2015, almost 50 percent of overall purchases were made online, up from 47 percent in 2014.
Brownwood Mayor Stephen Haynes addressed some local concern with businesses closing in his 2017 State of the City Address.
“It is concerning, but it is a trend,” explained Mayor Haynes. “The type of businesses in the retail sector that are going to change, due to internet shopping.” Mayor Haynes stated grocery stores and restaurants were booming, while “soft goods” were in decline, because of the ease of online shopping.