If you type “Is Burlington going out of business?” into Google, you’ll see a bunch of confused posts, social comments, and a few outdated rumors. Let’s get this out of the way: Burlington, as in Burlington Stores (formerly known as Burlington Coat Factory), isn’t closing up shop. In fact, if you pay attention to retail news or just stroll by a shopping plaza, you might notice the exact opposite happening.
Why The Rumors Won’t Go Away
There’s always gossip swirling whenever big retailers make changes—whether that’s rebranding, closing a few under-performing stores, or updating their merchandise. Some reports have mistakenly linked Burlington Stores to a bankruptcy, but that’s a mix-up with Burlington Industries. Burlington Industries was a textile manufacturer, and it’s not related to the store where you’d go for clothes, shoes, or a cheap set of throw pillows.
People see a store close or a name change and take to the internet. But retail’s a rough business, and closures don’t always mean the whole chain is in trouble.
Where Burlington Actually Stands Right Now
Let’s talk facts: Burlington Stores is growing, not shrinking. In the past year, Burlington’s leadership has talked openly about plans to expand. They’ve been opening new locations at a pace of around 100 net new stores per year. The goal? Push past 2,000 stores nationally. That isn’t what companies on life support do.
This push isn’t just happening in the usual strip malls either. Burlington is trying out smaller stores—sometimes up to 80 percent smaller than previous locations. The idea is basic: smaller stores can squeeze into busier, higher-rent neighborhoods and get closer to more shoppers.
Why Smaller Might Actually Be Smarter
Burlington used to open huge stores—the ones you could almost get lost in if you weren’t paying attention. But retail real estate isn’t cheap, and a lot of those big boxes had dead space. So, they’re downsizing footprints by more than half in many cases.
Smaller means cheaper rent, leaner staff numbers, and surprisingly, higher sales per square foot. The new layouts focus on the stuff people want most, not just racks of old outerwear. It’s about trimming the fat and showing up where people are shopping now.
Don’t Call Them Just a Coat Store
If you still call it “Burlington Coat Factory,” you’re not alone. For decades, they were the spot for cheap outerwear, but times have changed—and so has Burlington. Outerwear is now less than 5 percent of what they sell. Instead, the stores are loaded up with categories that shoppers hunt for year-round: beauty, home goods, casual clothing, shoes, and a surprising amount of baby gear.
This pivot isn’t a fluke. Off-price retail—think “treasure hunt” shopping with ever-changing inventory at low prices—is more resilient than other sectors. Burlington’s competitors like TJ Maxx and Ross have proven this works, especially when shoppers are feeling the pinch on their wallets.
How Burlington’s Strategy Connects To Shopper Habits
The playbook is clear: lean into variety, update inventory often, and keep prices way below department stores. If you walk into a Burlington now, you’ll almost always find something unexpected. That “I might as well see what’s there” feeling is what brings people back, especially with more folks tightening budgets in uncertain times.
Home goods, personal care products, and everyday clothing have all kept shelves busy. So have seasonal shifts as people seek out deals on décor or casual essentials. The point is, the company isn’t hanging its hopes on one product line or time of year anymore.
Financials: What Do The Recent Numbers Actually Say?
If you want to know the real health of a retailer, don’t just look at what’s happening in local stores—look at their financial reports. For Burlington, things are looking solid. Their most recent results showed a 14 percent jump in sales for Q4 2024. Profits are healthy, and store traffic is trending up.
Burlington also tends to shine in tough economic times. Off-price chains like theirs tend to attract even more customers when wallets are feeling light. When consumers worry about spending, they look harder for deals. That’s prime territory for a store like Burlington, where the business model is based on offloading brand-name products at a big discount.
Capitalizing on Economic Shifts and Competitor Closures
It seems harsh, but retail is a dog-eat-dog world. When a rival stumbles or closes, Burlington is quick to pounce. A good example: When Bed Bath & Beyond declared bankruptcy, Burlington swooped in and took over some of its old leases. They’ve done the same in other cases, using these opportunities to pick up spots in high-traffic shopping centers without the hassle and expense of building from scratch.
This real estate shift helps them reach new markets and fill gaps from other retail closures. So, rather than a shrinking chain, they’re expanding by filling spaces left empty by competitors.
What Industry Insiders Are Watching?
Retail experts are paying close attention to Burlington’s aggressive expansion and their shift to smaller stores. This is a pivot away from the department store model and toward something more nimble and responsive. There’s also interest in how they’re managing inventory—keeping it fresh, moving out slow sellers, and always chasing categories that matter most to budget-conscious shoppers.
If you look at retail news sources like Business Republic Mag, you’ll often see Burlington mentioned alongside other thriving off-price chains. They’re cited as an example of how to survive—even grow—during retail shake-ups.
The Short Answer
So, is Burlington going out of business? No. The chain is opening more stores, testing new layouts, and expanding into new product categories. Their finances are strong, they’re adding stores faster than most competitors, and industry watchers expect them to stick around.
Like many chains, they’ll continue to tweak things as the market shifts. There’s no sign that Burlington Stores is headed for trouble. If anything, they’re better positioned than most for whatever the next few years throw at retail. So, don’t expect to see “Going Out of Business” signs at Burlington anytime soon. You’re more likely to see an “Opening Soon” banner in your area.
Also Read:
