JD Sports has announced plans to close approximately 175 Hibbett stores across the United States over the next three years. The strategic decision is part of a major shake-up aimed at consolidating operations into fewer, larger, and more profitable locations.
Background of the Acquisition
The British sportswear retailer acquired Hibbett for about $1.1 billion in 2024 as a key move to expand its footprint in the North American market. Since then, the company has been evaluating its store portfolio to optimize performance amid intense competition.
Competitive Landscape
The closure plan comes as JD Sports faces increasing pressure from rivals such as Dick's Sporting Goods, which has successfully implemented larger, experience-focused stores. These competitors have been drawing customers with enhanced in-store experiences and advanced technology integration.
Strategic Focus on Larger Stores
Company leaders believe that concentrating on bigger stores will allow for greater investment in technology and an improved customer experience. While some smaller Hibbett locations have reported strong sales, the overall strategy is to shift resources toward high-performing sites that can better compete in the evolving retail environment.
Implementation Timeline
The closures will be phased over three years, with specific locations yet to be announced. JD Sports aims to minimize disruption by reassigning staff where possible and ensuring a smooth transition for customers.
This move underscores the ongoing transformation in the US sportswear retail sector, where scale and experiential shopping are becoming increasingly important for success.
