The economic disaster caused by the pandemic COVID-19 left another victim – the Belgian chocolate maker Godiva.
The Turkish-owned chocolatier has announced that it will close all 128 physical stores, including cafes and retail boutiques, across North America by spring.
Two years ago, the company established an ambitious plan to open some 2,000 cafes worldwide by 2025.
But on Wednesday it was announced that the company would try to sell its locations or simply close them.
In April 2019, Godiva opened his first coffee concept in New York City. In the 12 months that followed, the company opened dozens of other locations.
Godiva coffees offer a variety of baked goods, including Belgian waffles and chocolate-inspired biscuits, according to Food Business News.
The company said the coronavirus pandemic kept people from shopping in person at their locations.
Godiva, a Turkish Belgian chocolate maker, will close all 128 physical retail stores in North America, the company announced. A Godiva store is seen above on Seventh Avenue in New York
“Our physical facilities in North America have had a clear purpose since we opened our doors in this market – to provide a personal experience for consumers to enjoy the most exquisite chocolates in the world,” said Godiva Chocolatier CEO Nurtac Afridi.
“We have always been focused on what our consumers need and how they want to try our brand, that’s why we made that decision.
‘Of course, this decision was difficult because of the care we have with our dedicated chocolatiers and workers, who will be affected.
‘We are grateful for all that they have done to provide wonderful moments for our consumers and spread happiness through incredible customer service and experiencing our values and behaviors.’
While Godiva closes its stores, it will still maintain a presence in North America.
Afridi said the company will put its products on sale through food, medicine and large retailers, as well as online stores.
“We are making it even easier for our consumers to enjoy Godiva, whether treating or giving, so that everyone can have access to our premium chocolate,” said Afridi.
‘Godiva is already available at many retailers in North America and we will continue to increase our presence there, while always upholding the premium quality, flavor and innovation that we have been known for since we were founded in Brussels in 1926.’
Godiva chocolates are seen above, in a boutique in Los Angeles, in this undated archive photo
Godiva owns and operates more than 600 stores in the United States, Canada, Europe and Asia.
The company plans to keep its locations outside North America.
Last week, the government said Americans cut spending in December for the third month in a row, as an increase in virus cases kept people away from stores during the critical holiday shopping season.
The Commerce Department said last Friday that retail sales fell 0.7 percent seasonally adjusted in December from the previous month, a drop that Wall Street analysts did not expect.
Sales also fell in October and November, even as retailers tried to get people to buy Christmas gifts earlier by offering offers before Halloween.
Friday’s report covers only about a third of overall consumer spending.
Services like haircuts and hotel stays, which have been severely affected by the pandemic, are not included.
The unexpected decline highlights the economy’s problems with the worsening of the pandemic this winter.
Employers laid off jobs last month for the first time since April.
And the layoffs seem to continue, as the number of people seeking unemployment insurance jumped last week to the highest level since August.
This left many Americans with less to spend.
But the recent $ 600 stimulus checks sent to most Americans are expected to boost the economy in the coming months.
And as vaccines are more widely distributed, economists expect the economy to recover at a healthy pace in the second half of this year.
While Godiva is closing its stores, it will still maintain a presence in North America, offering its products for sale in food, medicine and mass retail stores, as well as online stores.
So far, retailers have reported mixed results for the holiday season.
The large retailer Target, which sells groceries, clothing and cleaning products under one roof, said sales increased during the holiday as people concerned about the virus sought a one-stop shop.
Meanwhile, chains normally found in shopping malls, such as Nordstrom, Victoria’s Secret and Urban Outfitters, reported a drop in sales.
The Commerce Department said that even online sales fell, almost 6% after a 19% increase in the year.
This may be due to Amazon, which held its annual sales event on Prime Day in October this year for the first time, which probably led people to buy earlier in the season and spend less in December, analysts at Wells Fargo Securities said.
Walmart, Target and Best Buy followed Amazon’s example, offering competing discounts to coincide with Prime Day.
In restaurants and bars, sales fell 4.5 percent in December, as states restricted face-to-face meals, ending the year with a 21 percent drop.