
Craft retailer Michaels is looking to woo the customers of former rival Joann, purchasing the bankrupt competitor’s brands and intellectual property.
Texas-based Michaels announced its acquisition on June 5, noting that it will add more than 600 products to its offerings, particularly in expanding its fabric, sewing and yarn assortment, according to a release. Company officials say it all is in service of becoming a go-to destination for creative people and those celebrating special moments.
“We’re honored to have the opportunity to welcome JOANN customers into our creative community and are committed to delivering the selection, value, and inspiration they are looking for at Michaels,” said David Boone, Michaels’ CEO, in a statement. “This acquisition allows us to better serve both new and existing customers, respond to rising demand across categories, and build on our momentum as the destination for creating and celebrating in North America.”
Michaels, which has a store in Kennewick, was founded in 1973 and has 1,300 stores in 49 states and Canada. The company has wasted no time reaching out to Joann’s former customers. All traffic to joann.com now redirects to a dedicated landing page on Michaels’ website with a banner reading “Welcome JOANN Customers. We’ve got your go-to essentials & so much more!”
The company said that searches for “fabric” and “sewing” on its website have increased 77% and 39%, respectively, over the past year. That’s led to decisions such as increasing fabric assortments in 680 stores in the coming months, with plans to do the same in 280 more stores.
The retailer also will introduce new Brother and SINGER sewing machines and other specialty sewing products as well as bringing the beloved Big Twist yarn brands from Joann to its shelves.
Michaels’ acquisition appears to not have included any of the roughly 800 Joann stores spread across the country, including its space at Columbia Center. All Joann stores have closed in recent months, including the Kennewick location.
Joann moved into a renovated space at the Columbia Center mall in Kennewick about two years ago, taking part of the store previously occupied by Sears.
Its closure resulted from Joann’s most recent bankruptcy filing, which was a year after the company first filed for bankruptcy protection and became a private company owned by some of its creditors.
In court documents, Joann officially blamed “unexpected” and “acute” inventory issues, which took a big bite out of sales and put the company’s $615 million debt in an “untenable position.”