The Container Store may be the next home goods chain to file for bankruptcy as a weak housing market and inflated prices hurt sales, according to a report.
“I don’t see any dramatic increase in holiday sales that will change the situation,” Hynes said. “They are already pretty far down the line.”More stores are expected to close this year than any year since the pandemic, according to Coresight Research. The company was set to receive a Hail Mary in the form of a $40 million deal with Beyond, the owner of Bed Bath & Beyond and Overstock.com, to stock Bed Bath & Beyond products on the flailing stores’ shelves.
“When people move, they buy a heck of a lot of things related to storage and organization. Without this impetus, Container Store has struggled,” GlobalData Retail analyst Neil Saunders told CNN. “The weakening of the housing market has pushed down demand for most of the products the Container Store sells.”