What: 20 000 to 25 000 stores are likely to shut in the U.S. this year.

Why it is important: Companies will need to make tough choices to improve their ROI.

Many retailers have embarked on strategic reviews of their store networks and launched initiatives to improve the productivity of remaining stores, leveraging digitisation, automation and more flexible working practices. They are both cutting staff costs to align with lower turnover and training staff across diverse skill sets. These kinds of decisions are often accompanied by budget and capital reallocations across channels to better reflect revenue potential. Digital is often the beneficiary.

The Year Ahead: Rethinking Retail ROI