Independent retailers in the hardware and home improvement sector have faced economic issues since the Covid-19 pandemic that have led many shops to close down permanently.
Certain hardware and home improvement stores reported an increase in business initially during the pandemic as “shelter-in-place” directives issued at the time led many consumers to launch home refurbishing projects until Covid subsided.
Once people began returning to work and life began to normalize again, hardware and home improvement retailers began to see a dropoff in business.
Shutterstock
Wright City Hardware closes its business
That was the case for 89-year-old Wright City Hardware & General Store in Wright City, Mo., which closed its doors permanently on June 19, after it could no longer survive an annual decline in customers and fierce competition from Amazon and big-box retailers like Home Depot.
“To put it simply, big box stores, chains and online shopping are able to saturate the market and conveniently ship to your front door,” the company said in a June 15 Facebook post.
“Quite literally, they take all the customers away from your mom and pop shops all over the United States every day. Shops like us, right here on North Elm Street in Wright City, since 1937. Stay tuned. Discounts ahead,” the post concluded.
The hardware store’s owner said business was booming for three years before the pandemic, but after the pandemic, business declined.
“People started shopping less,” Owner Aaron Holloway, who bought the business about 10 years ago, told KSDK-TV5 in St. Louis.
Store’s foot traffic plummeted
“We started to see 1,200 less (customers) in one year, then another 1,200 less the next year. The biggest jump was last year to this year. It was like 4,000 less,” Holloway said.
The decline in business was a result of the stores inability to compete against big-box retailers like Home Depot, he said.
“We got three Dollar General’s in our zip code. Amazon is huge. People will just say, ‘I’ll get it tomorrow.’ If not, they’ll run to Home Depot,” Hollway said.
“It’s very tough. We made a lot of friends here. It’s been kind of a struggle keeping it all going,” he said.
Holloway’s attempts to sell the business were not successful, he said.
Owner couldn’t sell business
“We tried to sell it and find the right owner. People aren’t willing to stick their neck out,” Holloway said.
Wright City Hardware unveiled its closing plans on Facebook on June 15, revealing that its last full day of operation would be June 19, and it would liquidate all inventory and fixtures over the next few weeks.
The owner posted a final message on Facebook on June 21, asserting that the liquidation sale was postponed until further notice, since people were interested in buying the store’s entire inventory.
Shop no longer operating
The store was no longer operating on June 26, based on a phone message stating that the owners would no longer answer messages on its business phone line.
Home Depot dominated the home improvement sector, capturing 28% of the market in 2025, with Lowe’s owning 17% of the market and Amazon generating 11% of the sector’s sales, according to the Numerator Home Improvement Tracker.
Even the sector’s largest retailer is facing a reduction in business related to a downturn in the housing market.
Home Depot’s Chief Financial Officer Richard McPhail discussed problems with the housing market during a February 2026 earnings call.
“The housing turnover has remained at historic lows since 2023, which has significantly reduced demand for projects and other purchases associated with buying and selling a home,” McPhail said in the company’s quarterly earnings call in February 2026, according to MarketBeat.
Top home improvement retailers:
- Home Depot held 28% of home improvement market share in 2025.
- Lowe’s had 17% of the home improvement market share in 2025.
- Amazon held 11% of the home improvement market share in 2025
- Source: Numerator Home Improvement Tracker
Related: Bankrupt fried chicken chain franchisee closes more locations
