These 7 Online Retailers Are Most Likely To Go Bankrupt and Close In 2024

SAVING & SPENDING - SHOPPING
Your favorite online retailers may end up on the chopping block this year.
Updated March 27, 2024
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Shopping online can be an easy way to save money shopping, get the products you need, and have them delivered to your door.

But not every online retailer achieves success. In fact, some are now struggling, and others are showing signs of impending doom.

Here are seven online retailers that might not make it to the end of the year.

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Stitch Fix

Timon/Adobe stitch fix logo on smartphone

Stitch Fix customers receive boxes with everything they need for the perfect outfit — including shirts, pants, and even shoes.

But sales are fading at the subscription clothing retailer, and customers are disappearing. There is some hope that new CEO Matt Baer — who has worked at Walmart and Macy’s — will turn things around.

Wayfair

piter2121/Adobe wayfair company logo

Online home goods retailer Wayfair is going through some tough times. In January, the company announced it was laying off 1,650 employees.

Wayfair CEO and co-founder Niraj Shah told employees the company may have hired too many people during the COVID-19 pandemic and that cuts were necessary to save almost $300 million.

Rent the Runway

Rafael Henrique/Adobe rent the runway logo

A decline in runway rentals might be weighing down Rent the Runway.

The retailer — which allows customers to rent looks and return them — announced layoffs earlier this year, with 10% of its workforce getting pink slips.

Anushka Salinas, chief operating officer and president of the company, resigned from Rent the Runway in January.

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Marley Spoon

Daria Nipot/Adobe marley spoon meal kits

Meal kit services such as Blue Apron or HelloFresh allow customers to make fresh home-cooked meals with ingredients and recipes that are sent directly to the customer’s home.

But meal kit retailer Marley Spoon has struggled. It recently sold some of its assets to decrease costs in hopes of staying competitive in the online meal delivery market.

Groupon

Nicole Lienemann/Adobe close up to groupon app

Groupon has long been a place to get deals on products or experiences. But the company has found itself hitting a rocky patch lately.

Last year, Groupon laid off employees, and executives acknowledged deep financial problems.

Farfetch

Wayhome Studio/Adobe delivery and online shopping concept

Online retailer Farfetch has been a great place for customers shopping for high-end luxury options for women, men, and kids.

But the company struggled last year and was on the verge of bankruptcy before being bought for $500 million in mid-December.

The sale of the retailer to Coupang, which is based in South Korea, could keep Farfetch afloat. But the future is far from certain.

Parts ID

baranq/Adobe car mechanic repairs brake pads

Parts ID recently filed for bankruptcy. The online retail site sells parts for cars, trucks, and campers.

The company cited supply chain issues and other economic woes as reasons why it had to declare bankruptcy.

Bottom line

insta_photos/Adobe business technologies concept

Shopping online is a great way to save on groceries, electronics, clothes, and countless other goods. Savvy shoppers use the internet to find the best deals by comparison shopping.

But some of your favorite retailers might not make it to the end of the year. Throughout 2024, keep an eye out to see whether the retailers on this list muddle through or end up disappearing deep into cyberspace.

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Author Details

Jenny Cohen Jenny Cohen is a freelance writer who has covered a bit of everything, from finance to sports to her favorite TV shows. Her work has been featured in The Wall Street Journal, USA Today, and FoxSports.com.

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