13 Department Stores Every Small Town Used to Have

These 13 department stores were once staples in small-town America, but most are now long gone or unrecognizable.

  • Sophia Zapanta
  • 4 min read
13 Department Stores Every Small Town Used to Have
State Library of New South Wales collection on Wikimedia Commons

For decades, department stores shaped daily life in small towns across the U.S. They sold everything from clothes to tools, often serving as social and commercial centers. Over time, most faded due to changing shopping habits, big-box stores, or bankruptcy.

1. JCPenney

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JCPenney started in 1902 as a dry goods store in Wyoming. It quickly expanded into towns across the country, offering affordable clothing and household items. For many families, back-to-school shopping or Sunday outfits came from “Penney’s.” Though some stores still exist, most small-town locations have closed.

2. Sears

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Sears began as a mail-order catalog company and opened stores nationwide starting in the 1920s. It was once the largest retailer in the U.S., selling everything from socks to homes. Small towns relied on Sears for tools, appliances, and reliable service. The chain has drastically downsized and only a few stores remain.

3. Montgomery Ward

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Montgomery Ward pioneered mail-order retail and later opened brick-and-mortar stores in small towns. It was a trusted name for clothing, furniture, and electronics. The company filed for bankruptcy in 2000 and closed all physical stores. It now exists only as an online brand.

4. Woolworth’s

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Woolworth’s was a five-and-dime chain with lunch counters, toys, and school supplies. It was more than a store — it was often a gathering spot. Many small-town main streets had one. The last U.S. stores closed in the late 1990s.

5. Kmart

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Kmart opened in 1962 and quickly grew into thousands of locations. It often set up shop in small towns where it became the go-to for everything under one roof. Over time, competition and mismanagement led to closures. Only a handful of stores remain today.

6. Ben Franklin Stores

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Ben Franklin was a chain of variety stores named after the founding father. These stores were locally owned but part of a larger buying network. They offered everything from crafts to candy. Most are gone, though a few independent ones still operate.

7. Hills Department Store

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Hills was popular with families because of its toy section and snack bar. It was based in Ohio and expanded across the Midwest and Northeast. Many remember going there for Christmas shopping or Saturday errands. In the late 1990s, Ames acquired Hills and eventually disappeared.  

8. Ames

Aaron F. Stone on Wikimedia Commons Aaron F. Stone on Wikimedia Commons

Ames grew quickly by buying out other chains and filling the gap in small-town retail. It was a mid-tier store that sold clothes, home goods, and seasonal items. Many towns that lost Woolworth’s or Hills got an Ames. The company went out of business in 2002.

9. Zayre

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Zayre was a discount department store chain popular in the ’60s and ’70s. It offered low prices on clothing and housewares, often located near grocery plazas. The chain was sold and turned into part of what became TJ Maxx. The Zayre name disappeared by the late ’80s.

10. TG&Y

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TG&Y stood for the founders’ last names — Togers, Gosselin, and Young. It was known as a five-and-dime-style store with a wide mix of cheap goods. It had a strong presence in the South and Midwest. Most locations were shut down or converted by the early 1990s.

11. Shopko

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Shopko was based in Wisconsin and built its model around serving smaller towns that didn’t have big-box stores. It sold clothing, pharmacy items, and electronics. The company struggled with debt and closed all locations by 2019. For many small towns, losing Shopko meant losing their only local department store.

12. Alco

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Alco focused specifically on rural markets, filling in where larger chains couldn’t reach. It offered everything from groceries to hardware. Despite its niche strategy, it filed for bankruptcy and closed in 2014, leaving behind empty storefronts in towns that relied on it.

13. Gottschalks

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This California-based chain extended into smaller towns and cities in the West. It focused on middle-class families and was known for solid service and selection. It filed for bankruptcy during the 2008 recession and closed all stores. Many locals still remember shopping there for clothes and gifts.

Written by: Sophia Zapanta

Sophia is a digital PR writer and editor who specializes in crafting content that boosts brand visibility online. A lifelong storyteller and curious observer of human behavior, she’s written on everything from online dating to tech’s impact on daily life. When she’s not writing, Sophia dives into social media trends, binges on K-dramas, or devours self-help books like The Mountain is You, which inspired her to tackle life’s challenges head-on.

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