It has been no secret that Sears is struggling. South of the border, the company’s American arm has had well-publicized issues for some time now. Sears Canada has also had its problems, though up until recently, the company has put on a brave front. In fact, the Sears here in Guelph just renovated its location and got a new sign. The company also launched its WTS (What the Sears?) campaign a few months back with banners and specials galore.
However, it all appears to have been for naught. CTV News reported today that Sears Canada is preparing to seek court protection from its creditors. The stock market reacted quickly and the company’s shares plummeted by 25% to 60 cents each. In April, Sears announced an operating loss of $321 million from 2016-2017.
For those of who grew up with department stores, it will be hard to imagine life without Sears. Eaton’s was another dominant force in Canadian retail that did not keep up with changing times and closed its doors a few years back. However, it seemed like that closure would benefit Sears as it now seemed to have that particular segment of the market to itself.
Of course, such thinking fails to take the internet into consideration. Shopping on your computer saves so much time and allows for such easy browsing and price comparison, fewer and fewer people have been making the trek out to their local malls in the past few years.
Where do you stand on the issue of department stores? Are you the type of person who likes to browse and try things on before you buy? Or are you happy with the convenience that online shopping provides? Click the comment button and let us all know!