Coin Department Store Closure Signals Shifts in Milanese Retail

The impending closure of the Coin department store on Corso Vercelli in Milan on July 31st marks a significant moment for the area, impacting 28 employees and prompting reflection on the evolving retail landscape. While the closure is viewed as a blow, analysis suggests it reflects broader trends in the department store model rather than a crisis within the shopping district itself.

Impact on Corso Vercelli

For many Milanese residents, Coin on Corso Vercelli was a landmark. A child familiar with the street’s shops readily identifies Coin, highlighting its prominence in the local urban fabric. The closure represents the loss of a well-known institution, formerly the site of the Grande Cagnoni emporium before 2001.

Local Business Reactions

Local business owners express a mix of concern and acceptance. Massimo De Molfetta, owner of a shirt factory, acknowledges the closure as a loss but notes the cyclical nature of retail. He emphasizes the increasing importance of technology and social media presence for businesses to compete with international giants and attract tourists. Luciano Pizzuto, owner of Torrefazione Vercelli, observed a decline in foot traffic since the pandemic, linked to the rise of remote work.

Broader Retail Trends

Alessandro Colombo, president of the local merchants association, and Gabriel Meghnagi, vice-president of Confcommercio Milano, suggest the closure is indicative of a broader shift away from the traditional multistore department store model. Meghnagi points out that the rent on Corso Vercelli, averaging 1,500 euros per square meter, is relatively high, contributing to the challenges faced by large retailers. He notes that vacant storefronts are rare in the area, and the surrounding streets are also generally healthy.

Future Prospects

Despite the closure, there is optimism for the future of Corso Vercelli. Reports indicate that four businesses are already considering taking over the space previously occupied by Coin. This suggests continued interest in the location and a potential for revitalization. The changing retail landscape, symbolized by the presence of an Aston Martin Db5 alongside an e-bike delivering for Glovo, underscores the require for adaptation and innovation.