A couple of months in the past, I went into a preferred tuxedo rental chain to lease a tux for a marriage. I instructed the clerk what I wanted, and the preliminary jacket he introduced out match, however wouldn’t button.
He then proceeded to inform me that the road I used to be taking a look at was not accessible in a bigger dimension, and that I would wish an identical jacket from the retailer’s “husky” line.
Sure, he mentioned “husky,” though the road’s precise identify, which he ought to have used, is “govt match.” Though he corrected himself after I mentioned, “That may’t presumably be the right time period,” the harm was already finished.
I had gone into the shop feeling good about having misplaced a bunch of weight on a GLP-1 drug, and really felt that I may have made the non-husky jacket work, since I wasn’t going to button it anyway. However feedback just like the one made by my younger, skinny salesperson could clarify why some Individuals favor the anonymity of procuring on-line.
That shift towards on-line procuring has additionally affected specialty retailers similar to Torrid, which has closed almost 200 shops.
“Digital continues to be our clients’ most popular channel, now approaching 70% of complete demand. We’re accelerating our transformation to a extra digitally-led enterprise, which incorporates optimizing our retail footprint,” CEO Lisa Harper mentioned in the course of the chain’s first-quarter earnings launch.
Now, Vacation spot Xl, an identical chain that sells to “massive and tall” males, has determined to shut just a few shops and look at its whole portfolio of retail areas.
Vacation spot XL closing shops, examines fleet
CFO Peter Stratton made it clear in the course of the chain’s second-quarter earnings name that the corporate was taking a deep have a look at its shops.
“We proceed to look very rigorously at SG&A throughout the group, decreasing company bills the place acceptable and rationalizing our retailer base over the following a number of years as leases expire or kickout rights grow to be accessible. The punchline right here is we have to enhance our return on belongings. Focusing on shops which have a excessive chance of transferring quantity to a different retailer permits us to make the full retailer portfolio extra productive,” he mentioned.
That may probably result in the chain stepping up its tempo of shutting down a few of its retail areas.
“In sure markets, we consider there are alternatives to rationalize excessive occupancy shops and redirect clients to different shops out there. The shop rationalization work may have restricted affect in 2026, however it’s anticipated to scale back occupancy and retailer working prices starting in 2027 and past,” he added.
This may not occur rapidly, however it is going to affect Vacation spot XL’s backside line.
“This can be a multiyear undertaking that ought to enhance gross sales per sq. foot and 4-wall revenue over time,” Stratton mentioned.
The corporate closed three shops in 2026 and has a “few dozen” leases arising in 2027.
That offers DXL dozens of areas to guage because it decides which shops nonetheless justify their prices.
“Now these should not all closing. We’re going to be taking a look at these on a case-by-case foundation, and we’ll be creating these plans actually over the following 6 months to determine what number of extra we’ll be closing,” the CFO mentioned.
Vacation spot XL will rationalize its retailer base over the following a number of years as leases expire or kick-out rights grow to be accessible.Shutterstock
Vacation spot Xl serves a necessity
David Lane, who’s 5-foot-10, with a 52-inch chest and 48-inch waist, instructed The Wall Avenue Journal that he outlets on-line as a result of conventional retailers do not inventory his dimension.
“I have been an enormous man my entire life,” mentioned Lane. “At most shops, it is not possible to seek out gadgets that match. I all the time should dimension up by two or three sizes to get the chest to suit, and after I get to that, it is for a man who’s 6-foot-4, so I will find yourself with further [fabric] within the sleeve, virtually assured,” he mentioned.
Peter Nguyen, a New York Metropolis stylist, instructed The Journal that many males wrestle to seek out their sizes in shops.
“Most likely about 10% of my shoppers can store off the rack and don’t have any points,” he mentioned.
Even a retailer like Vacation spot XL, devoted to males who want bigger sizes, can provide an expanded choice on-line.
Vacation spot XL noticed its in-store comparable gross sales fall 4.3% in Q2, whereas its on-line enterprise, which it calls “direct,” declined simply 1.6%.
“In direct, we noticed enchancment in conversion pushed by enhancements to the app and general website expertise, and we additionally benefited from strong efficiency in clearance product, primarily by means of the direct channel,” Stratton shared.
“Extra broadly, the direct enterprise generated demand by means of paid search, paid social and programmatic advertising, whereas ongoing enhancements in app efficiency, website expertise and pace supported higher conversion.”
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GLP-1 medicine create one other drawback for big-and-tall retailers
I am not the one shopper whose clothes wants have modified after taking a GLP-1 drug.
RTM Nexus CEO Dominick Miserandino sees the weight-loss medicine as a drag on Vacation spot XL’s prospects.
“DXL closing shops is the direct results of a category-specific headache: Ozempic. When your whole enterprise mannequin is constructed on big-and-tall sizing, mass adoption of GLP-1 weight-loss medicine places your core buyer base in a buying holding sample,” he instructed TheStreet.
There are indicators that the shift is already affecting attire retailers.
“Measurement curves, lengthy handled as a secure planning enter, are starting to float. Not dramatically, however persistently. Smaller sizes are gaining share,” in response to Affect Analytics’ The $5B Measurement Curve Shift: How GLP-1 Is Rewriting Retail Demand.
Retailers, the report famous, have adjusted to sizing shifts previously, however this one has been transferring rapidly.
“The importance for retail lies within the pace of change. Planning techniques are designed round seasonal cycles and gradual demographic evolution. GLP-1 adoption compresses that timeline. Prospects can transfer between dimension bands inside a single planning horizon, whereas stock commitments are nonetheless anchored to historic distributions,” the examine shared.
This story was initially revealed by TheStreet on Sep 13, 2026, the place it first appeared within the Retail part. Add TheStreet as a Most popular Supply by clicking right here.
