Allbirds to Close Last San Francisco Store

Shoe brand cuts costs by exiting remaining unprofitable brick-and-mortar locations.

Jan. 28, 2026 at 11:31am by Ben Kaplan

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Allbirds, the once-popular shoe brand among San Francisco tech workers, is closing almost all of its physical stores by the end of February, including its last remaining location in the city. The company says this is an important step in its turnaround strategy to drive toward profitable growth, as it reduces its brick-and-mortar portfolio and exits unprofitable doors to lower costs and support the long-term health of the business.

Why it matters

Allbirds' store closures mark the end of an era where the brand was seen as a symbol of the mid-2010s San Francisco tech scene. The company's struggles reflect broader challenges facing tech startups that once enjoyed inflated valuations and rapid growth, but now must focus on profitability amidst economic uncertainty.

The details

Allbirds will be left with just two outlet stores in the U.S. and two full-price stores in London after the closures. CEO Joe Vernachio said the move is 'an important step' in the company's 'turnaround strategy' to drive toward profitable growth by reducing its unprofitable brick-and-mortar footprint. The typical Allbirds customer, often a San Francisco tech worker, embraced the brand's comfortable but 'ugly' shoes that exemplified the casual style of the era.

  • Allbirds was founded in San Francisco in 2015.
  • Allbirds went public in 2021.
  • Allbirds will close almost all of its physical stores by the end of February 2026.

The players

Allbirds

An American shoe brand that was once popular among San Francisco tech workers, but is now closing almost all of its physical stores as part of a turnaround strategy.

Joe Vernachio

The CEO of Allbirds who announced the company's store closures as an important step in driving toward profitable growth.

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What they’re saying

“This is an important step for Allbirds, as we drive toward profitable growth under our turnaround strategy. 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.”

— Joe Vernachio, CEO (TechCrunch)

The takeaway

Allbirds' store closures, including its last location in San Francisco, symbolize the end of an era where the brand was seen as a status symbol among the city's tech workers. The company's struggles reflect broader challenges facing tech startups that must now prioritize profitability over rapid growth.