After the widespread closure of Joann locations, Michaels has greatly expanded its fabric selection, now stocking fabric in almost 90% of its stores nationwide. In celebration of National Sewing Month, Michaels has grown its Knit & Sew Shop initiative and is offering a variety of customer events throughout the month.
Following Joann’s Bankruptcy and IP Acquisition
The craft retail environment changed significantly when Joann filed for bankruptcy at the beginning of 2025. By June 2025, Michaels had secured Joann’s intellectual property and private labels, setting the stage for newly co-branded store experiences between Michaels and Joann.
The updated Knit & Sew Shop concept was launched by fall 2025 in more than 1,200 Michaels locations. Through this nationwide launch, customers were introduced to a selection of over 1,600 new products spanning yarn, fabric, sewing, and needlecraft categories.
Among the most notable changes, Michaels added over 400 new fabric products for hobbies ranging from quilting to cosplay and specialty projects.
Community Engagement and In-Store Activities
For National Sewing Month, Michaels has planned a slate of activities, inviting customers to participate in in-store demonstrations, free sewing sessions, group meetups, and virtual classes catering to crafters of every skill level.
Stacey Shively, Michaels’ chief merchandising officer, expressed, “We’re investing in The Knit & Sew Shop to give today’s shoppers more of what they love, while making these crafts more approachable for anyone who wants to learn.”
With additional shop-in-shop destinations, Michaels is also highlighting popular brands such as Big Twist and DMC Embroidery Threads, encouraging customers to try new creative outlets.
Strategic Growth in a Changing Retail Market
During the ICR Conference in January, Michaels CEO David Boone discussed the company’s focus, noting, “The first thing that we concluded was there was tremendous disruption in the marketplace with the exit of Joann Fabric and the exit of Party City — and that job one was to go after that.” This move enabled Michaels to quickly expand and capture customers following the departures of Joann and Party City from the marketplace.
Pushing forward with its retail development, Michaels recently introduced new store layouts in three locations, featuring redesigned departments, reward member-only self-checkout options, and new services for personalization. More of these concept stores are set to roll out later this year.
Future Outlook
Michaels is poised to serve customers affected by Joann’s store closures, aiming to bring in new crafting enthusiasts through broadened fabric and sewing offerings and dynamic community programming. Its rapid expansion has positioned it to become the premier nationwide destination for crafters seeking a comprehensive selection of supplies and experiences.