Joann Fabric, a beloved name in the American craft and fabric industry for over 80 years, is officially closing all its remaining stores. After a second Chapter 11 bankruptcy filing within a year, the company is winding down operations, marking the end of an era for sewing, quilting, and crafting enthusiasts.
A Rich History of Crafting Excellence
Joann Fabric was founded in 1943 in Cleveland, Ohio, by German immigrants Hilda and Berthold Reich, along with Sigmund and Mathilda Rohrbach. Originally known as Cleveland Fabric Shops, the store catered to a growing community of sewing and craft lovers. The name “Jo-Ann” was later inspired by the founders’ daughters, Joan Zimmerman and Jacqueline Ann Rosskamm. Over the years, Joann expanded to nearly 850 stores across 49 states, offering fabric, sewing materials, home décor, and various crafting supplies.
Struggles and Bankruptcy Filings
Despite its strong legacy, Joann Fabric struggled to keep up with the evolving retail landscape. The rise of e-commerce and shifting consumer shopping behaviors led to declining sales. The company briefly thrived during the COVID-19 pandemic when interest in DIY projects surged. However, by 2023, sales plummeted, leading to its first bankruptcy filing in March 2024. Efforts to restructure and cut down on debt proved futile, forcing Joann to file for Chapter 11 bankruptcy protection again in January 2025.
Closure Announcement and Store Liquidation
Initially, Joann planned to close about 500 of its 800 stores to stabilize operations. However, on February 24, 2025, the company announced that all remaining 300 stores would close permanently due to financial struggles and the inability to secure a buyer. Store liquidation sales are now underway, offering discounts on remaining inventory before doors close for good.
Impact on Employees and Customers
The closure of Joann Fabric has led to massive layoffs, with thousands of employees losing their jobs. For example, the shutdown of the Visalia, California distribution center alone resulted in over 200 job losses. Beyond employment, Joann stores were community hubs where crafters gathered for workshops, classes, and events. Their disappearance leaves a significant gap for many hobbyists who relied on in-person experiences and hands-on learning.
The Retail Landscape: The Shift to Online Shopping
Joann Fabric’s downfall reflects a broader trend in the retail industry. Traditional brick-and-mortar stores are struggling as online shopping continues to dominate. Competitors like Amazon and specialized online retailers provide convenience and competitive pricing, making it difficult for physical stores to survive. Other major retailers, such as Party City and Big Lots, have also announced significant store closures in recent months.
What’s Next for Crafting Enthusiasts?
With Joann Fabric closing, customers will need to explore alternative options for their crafting supplies. Some well-known alternatives include:
- Michaels: A top competitor offering a wide range of crafting and art supplies.
- Hobby Lobby: Known for its extensive fabric, home decor, and craft materials.
- Online Retailers: Amazon, Fabric.com, and Etsy provide a vast selection of crafting goods.
- Local Fabric Shops: Many independent stores offer unique and high-quality fabrics with personalized customer service.
Final Thoughts
Joann Fabric’s closure marks the end of a significant chapter in the crafting world. While it is a sad moment for many, the passion for DIY projects, sewing, and creativity will continue to thrive through alternative retailers and online communities. For now, customers can take advantage of store liquidation sales before Joann Fabric officially shuts its doors forever.