Footwear Brand Allbirds Exiting Physical Retail

Allbirds (San Franciso) is closing its last store in its home city as part of a broader retreat from brick-and-mortar retail, the San Francisco Chronicle reports. That closure reflects the company’s overall plan to shutter all remaining retail stores in the United States by the end of February, leaving two outlet locations nationwide and two retail stores in London.

“This is an important step for Allbirds, as we drive toward profitable growth under our turnaround strategy,” CEO Joe Vernachio said in a statement. “We have been opportunistically reducing our brick-and-mortar portfolio over the past two years. By exiting these remaining unprofitable doors, we are taking actions to reduce costs and support the long-term health of the business.”

Founded in 2015 and noted for its shoes made of regenerative wool, Allbirds quickly became a staple among the Bay Area’s startup employees and venture capitalists apparently drawn to its minimalist design and sustainability-focused sales pitch, the Chronicle noted.

At its peak in three years ago, Allbirds operated 60-plus stores globally, including 45 in the U.S. Since then, it has steadily shrunk that footprint; closing 14 U.S. stores in 2024, followed by nine more in the first half of 2025, as sales slowed and operating costs climbed, according to the brand’s most recent earnings report.