Disney has just announced it will close 20% of it’s Disney Store locations in favor of their “e-commerce” based site.

This means that about 60 North American locations will close and about 300 stores will close worldwide. With Europe being a focus for closures. Disney is saying the reason is because people prefer to shop online. If I had a Disney Store location close to me I wouldn’t bother with the online store.

Stephanie Young, President of Consumer Products, Games and Publishing explained that “While consumer behavior has shifted toward online shopping, the global pandemic has changed what consumers expect from a retailer.”

I think Disney is just using this as a reason to shut down more stores to eliminate more overhead. Bob Chapek just talked about making the company more “nimble” during his stream with Morgan Stanley.  “Nimble” is just another way of saying that they got rid of people or overhead.

The “upside” is that now Disney says they can improve their Shop Disney website and experience according to CNBC.

“The company says it will improve its current ShopDisney website and increase its product assortment to include more adult apparel collections, streetwear, premium home products and collectibles. Disney Stores tended to be a curated selection of children’s apparel, toys, plush and games. Online Disney will be able to cater to a wider demographic and expand its offerings.”

Funny how they could improve their site now. People have been complaining about issues for years, but now we can shut down brick and mortar stores and somehow “improve” the website. I doubt that we will see improvements, but I hope I’m wrong. I would love to see more choices and a website that works beautifully. I’m just sad for all the employees that will be let go and all the areas that won’t have a Disney Store.

What do you think? Comment and let us know.

Source: CNBC