GNC Holdings Inc (NYSE:GNC) is keeping all of its 4,464 stores closed today as it prepares to reset its business.
GNC Holdings Inc will reopen its stores on Thursday and there will be some changes. The retailer is doing away with its Gold Card rewards program and is introducing a new one called My GNC Rewards. It will also be reducing prices on some of its products and increasing prices on others.
The decision to close for a day and reset its business comes and GNC Holdings Inc struggles to make sales. Slow mall traffic has also been hurting its business and competition from online retailers is also tough.
“The New GNC leaves the old, broken model behind,” Robert Moran, GNC Holdings Inc Interim CEO, told TheStreet.com. “We’re confident it will have a positive impact on the business, but it will take time for the changes to take hold and translate to improved financial results.”
The biggest change that customers will see when GNC Holdings Inc reopens its stores are the prices. The company’s own executives said that the old pricing model it was using no longer works in today’s market. This included selling items online at higher prices than in store.
When GNC Holdings Inc reopens stores on Thursday, online items will have the same prices as those in store. The company is also launching a mobile app to make online shopper easier for customers.
GNC stock was down 3% as of Wednesday afternoon and is down 64% year-to-date.
