TJ Maxx's Parent Plans Expansion with 1,300 New Stores
Image Credit - TJX Companies
07 June, 2024

TJ Maxx's Parent Plans Expansion with 1,300 New Stores

While many retailers are closing hundreds of stores- Macy's alone is shutting down 150 locations - TJX Companies, the parent of TJ Maxx, Marshalls, HomeGoods, Sierra, and Homesense, has big growth plans. During a recent earnings call, TJX CEO Ernie Herrman announced the company could open over 1,300 additional stores across the U.S., Canada, Europe, and Australia.


According to Herrman, this expansion capitalizes on TJX's flexible "off-price" business model and broad customer appeal. "We are convinced that significant market share opportunities remain...over the long term," he stated. "We see the potential to further expand our store footprint by at least another 1,300-plus with our current retail banners in our existing countries."


TJX's "treasure hunt" shopping experience gives it an edge. "We are the only retailer offering a treasure hunt format with good, better, best merchandise across all income and age groups," Herrman said. By sourcing surplus inventory from higher-end stores at discounted prices, TJX provides a constantly refreshed selection of brand-name goods at steep savings.


Herrman also highlighted TJX's growing popularity with Gen Z shoppers: "We continue to attract new Gen Z and millennial shoppers to our stores, which we believe bodes well for our future growth." The retailer strives to cater to customers across demographics with its "good, better, best" pricing structure.


While no specific timeline was provided, Herrman expressed confidence in TJX's expansion potential, saying its "value leadership and ability to capitalize on excess inventory from other retailers gives us confidence in continued market share gains."


Some new store openings are already in progress. Back in February, TJX announced plans to add 45 combined TJ Maxx and Marshalls locations, 40 HomeGoods and HomeSense stores, and 26 Sierra stores in the U.S. Currently operating over 4,900 stores globally, the discount chain clearly has its sights set on aggressive growth through this proposed 1,300-store expansion over the long haul.