Joann, a beloved fabrics and crafts retailer, has announced that it will be closing more than half of its 800 stores across the United States in the coming months. This decision is part of the company’s efforts to navigate the challenges of bankruptcy and ensure a sustainable path forward. Approximately 500 stores will be shuttered, with locations in all 50 states affected. Among the hardest-hit areas are California, Florida, Indiana, Michigan, New York, Pennsylvania, and Washington. While the exact list of closures has not been publicly shared, court filings provide insight into the widespread impact of this move.
The closure of such a significant number of stores is a devastating blow to the communities that have long relied on Joann for crafting supplies, creative inspiration, and employment opportunities. A spokesperson for the company acknowledged the difficulty of this decision, stating that it will deeply affect team members, customers, and the communities Joann has served for decades. The retailer emphasized that “right-sizing our store footprint” is a critical step in securing its future, but the emotional and financial toll on those impacted cannot be overstated.
This latest development comes after Joann filed for bankruptcy for the second time in less than a year. The first Chapter 11 filing occurred in March 2024, but the company managed to emerge from bankruptcy just weeks later as a private entity, keeping all its stores open at the time. However, the challenges persisted. In its second bankruptcy filing, Joann cited “acute and unexpected” inventory issues as a major factor. The company revealed that some critical products had seen a sudden and dramatic reduction in production, creating significant operational challenges. Court documents also indicate that Joann has been seeking a buyer, but as potential bids were refined, the company identified a number of underperforming stores that were unlikely to be part of any successful sale.
Joann’s struggles are not unique in the retail landscape. Many brick-and-mortar stores are grappling with the shifting tides of consumer behavior, exacerbated by economic pressures such as inflation. As Americans tighten their belts and reduce discretionary spending, retailers that rely on in-person sales are finding it increasingly difficult to remain financially viable. This trend is part of a larger wave of store closures sweeping the retail industry. According to Coresight Research, more than 15,000 stores are expected to close in 2025—more than double the number from the previous year. Other major retailers, such as Kohl’s and Macy’s, are also shuttering locations as they strive to adapt to these changes.
The pandemic and post-pandemic era created a unique dynamic in retail. Some brands that were struggling before 2020 experienced a temporary boost as consumers shifted their spending habits during lockdowns and sought comfort in home-based activities like crafting. However, as life begins to return to normal, many of these retailers are now facing renewed challenges. For Joann, this perfect storm of inventory disruptions, declining sales, and financial instability has proven particularly challenging. The company’s commitment to its customers and employees remains evident, but the path ahead is undeniably fraught with uncertainty.
As Joann works to redefine its business model and emerge from this difficult chapter, the impact on its loyal customer base and dedicated workforce cannot be ignored. Crafters who have long turned to Joann for fabrics, yarns, and other supplies are losing a trusted resource, while employees are facing the loss of their livelihoods. The closure of these stores leaves a void in many communities, where Joann has been more than just a retailer—it has been a hub for creativity, connection, and shared passion. While the company holds onto hope that its remaining stores will thrive, the road ahead will require resilience, innovation, and a deep understanding of the evolving needs of its customers.
In conclusion, Joann’s decision to close hundreds of stores is a stark reminder of the challenges facing the retail industry today. As consumer preferences shift and economic pressures mount, many beloved brands are being forced to reevaluate their business models and, in some cases, drastically reduce their operations. For Joann, this chapter is marked by both sorrow and determination. While the future remains uncertain, the company’s legacy as a cornerstone of creativity and craft continues to inspire hope for its resilience and renewal.
