Plus-Size Fashion Retailer Torrid to Close 180 Stores This Year Following a Drop in Sales

Plus-Size Fashion Retailer Torrid Announces Closure of 180 Stores in Response to Decline in Sales

A significant development has hit the fashion industry as renowned plus-size retailer Torrid reveals plans to shut down 180 of its retail stores this year. The decision comes as a response to a noticeable drop in sales for the company.

Torrid has been a popular choice among celebrities, with notable figures like Ashley Graham, Gabourey Sidibe, and Rebel Wilson endorsing and wearing the brand’s clothing. However, despite its celebrity backing, the brand has experienced a decline in net sales from $279.8 million to $266 million, a decrease of 4.9% compared to the first quarter of 2024.

In a statement addressing the store closures, Torrid CEO Lisa Harper highlighted the company’s shift towards a more digital-centric business model. This strategic move includes streamlining the retail footprint by closing underperforming stores to reduce fixed costs and focus on areas that drive long-term growth, such as customer acquisition and omnichannel enhancements.

The company’s decision to close a substantial number of stores aligns with its efforts to adapt to an evolving retail landscape where digital platforms play a crucial role. With digital channels accounting for 70% of the brand’s overall demand, Torrid aims to meet the changing consumer preferences and shopping behaviours.

In addition to the decline in net sales, Torrid also noted a decrease in gross profit margin from 41.3% to 38.1%. The brand, which had a total of 658 stores in May 2024, currently operates 632 stores. The company’s restructuring plan underscores a shift towards prioritising digital strategies to better connect with customers and sustain long-term growth.

Despite the store closures, Torrid remains optimistic about its future prospects and affirms its commitment to delivering innovative products, fostering deeper customer relationships, and building a more adaptable and resilient business model. Harper expressed pride in the team’s dedication to navigating these changes and positioning the brand for future success.

Established in 2001 at the Brea Mall in California, Torrid has catered to women sizes 10 to 30 and bra sizes 36C to 54D. In the 2010s, the brand surged in popularity as celebrities like Gabourey Sidibe, Rebel Wilson, Ashley Graham, and Adrienne C. Moore endorsed and wore Torrid’s clothing, solidifying its position in the plus-size fashion market.

As the fashion industry continues to evolve, Torrid’s strategic restructuring reflects a broader trend towards digital innovation and enhanced customer engagement strategies. While the closure of 180 stores marks a significant shift for the brand, it signals a proactive approach to adapting to changing market dynamics and ensuring sustained growth in the competitive retail landscape.