WHSmith, a well-established name on British high streets for over 200 years, is set to close 20 of its retail outlets in the UK as part of a strategic shift towards more profitable locations such as airports and train stations. This decision comes as the company grapples with changing consumer habits and a marked increase in online shopping, which has significantly impacted traditional retail operations.

The closures are particularly significant following a reported 6% decrease in high street sales during the critical Christmas period ending January 25, with like-for-like sales declining by 3%. This shift reflects a broader trend affecting many high street brands, many of which are either scaling back or halting operations entirely amidst ongoing challenges within the retail sector. WHSmith’s decision to shutter locations, some of which have been integral to their communities for decades, stems from factors including rising operating costs and reduced foot traffic.

Among the impacted branches is the WHSmith store located in the Frenchgate Shopping Centre in Doncaster, which has been in operation for 57 years. Other branches that have either already closed or are scheduled to close in the coming months include stores in Bournemouth, Luton, Basingstoke, and several others spread across the UK. According to reports from the Mirror, there are indications that all of WHSmith’s 500 high street stores might be up for sale as the retailer reconsider its presence in this sector.

In light of the closures, WHSmith is redirecting its focus to travel locations where retail outlets have continued to perform strongly. This includes a significant presence in major UK airports, such as Heathrow and Gatwick, where foot traffic remains high. The travel division is reportedly thriving, bolstered by increased demand for convenience shopping among commuters and travellers.

Additionally, discussions are reportedly ongoing regarding potential buyouts of the high street stores. Doug Putman, the owner of HMV, is said to be among the interested parties in talks about acquiring the high street portfolio. However, a WHSmith spokesperson commented on the speculation, stating, “There can be no certainty that any agreement will be reached, and further updates will be provided as and when appropriate.”

As the retail landscape continues to evolve, WHSmith remains committed to reinforcing its presence in transport hubs, aiming to leverage the high passenger volumes and changing shopping behaviours characteristic of today’s consumers.

Source: Noah Wire Services