Avenue Stores
Plus-size women's apparel retailer specializing in sizes 14-32.
PE-OWNED
Acquired by Sun Capital Partners2012-07-11
What Made It Great
Leading plus-size fashion retailer with trendy styles for larger women
What PE Will Likely Do
Avenue Stores will likely reduce the quality and selection of their plus-size women's apparel, including thinner, less durable fabrics, fewer trendy styles, and a smaller overall inventory
Avenue Stores will likely close underperforming retail locations, leading to a reduced physical retail presence and fewer convenient shopping options for their target customers
Avenue Stores will likely defer maintenance and renovations on their remaining retail stores, leading to a decline in the overall store atmosphere and shopping experience
Expected Timeline
“0 to 6 months months”
Announcements about 'transformation' and 'optimization' efforts, potentially hinting at upcoming changes
“6 to 12 months months”
First round of store closures, staff reductions announced, leading to a reduced retail footprint
“12 to 24 months months”
Noticeable decline in the quality and selection of Avenue Stores' apparel offerings, with thinner fabrics, fewer trendy styles, and a smaller overall inventory
“24 to 48 months months”
Continued store closures, further reductions in staff and maintenance, potentially leading to bankruptcy rumors and more aggressive cost-cutting measures
“48 to 60 months months”
Potential restructuring, liquidation, or fire sale of Avenue Stores assets
Similar Cases
Other companies that followed a similar path after PE acquisition
What You Can Do
Actions
Consumers should expect a decline in the quality and selection of Avenue Stores' plus-size apparel offerings, with thinner fabrics, fewer trendy styles, and a smaller overall inventory
Customers should be prepared for a reduced retail footprint, as Avenue Stores is likely to close underperforming locations, making it harder to access their products
Shoppers should be aware of a potential decline in the overall store atmosphere and shopping experience, as Avenue Stores may defer maintenance and renovations on their remaining retail locations
Alternatives
Employee-owned warehouse retailer
Publicly traded retailer with strong values