I visited The Container Store to see why sales are down. The selection was incredible, but the prices were higher than I expected.

• I visited The Container Store, a home storage and organization chain, in New York City.
• The company's sales were down 12.2% in the first quarter of 2024 compared to the same period in 2023.
• I loved the wide variety of options, but I concluded I'm not the store's target customer … for now.

Before I moved to New York City , everyone warned me about the shoebox apartments I'd have to get used to.

They weren't wrong.

Living in a one-bedroom apartment definitely requires some innovative storage solutions. In the past nine months, I've looked to stores like Target , Ikea , Walmart , and Amazon for homeware items, but I can't stop my Type-A mind from searching for options to make my space more efficient.

Enter The Container Store , a home storage and organization retailer founded in 1978 in Texas. The company now has 102 stores across the US.

However, while the company boasts a cult-like following, sales appear to have struggled recently.

In June, the company reported that first fiscal quarter sales were down 12.2% compared to the first fiscal quarter of 2023, at $181.9 million in consolidated net sales. The following month, Modern Retail reported that the company "hasn't posted a full-year profit" since 2021.

On the decline, CEO and president Satish Malhotra said in August, "Our first quarter sales results continued to be impacted by ongoing macro-related headwinds though we were encouraged by sequential monthly improvement over last year in general merchandise and Custom Spaces."

He added, "While we cannot control the current macro environment, we are pleased with the progress we are making on our initiatives and continue to believe in the opportunities ahead as more and more customers realize the power of organization."

It comes amid challenges from major e-commerce platforms like Amazon — which finished Q1 of 2024 with $143.3 billion in net sales, an increase of 13% compared to Q1 of 2023 — the state of the housing market, inflation, and sluggish consumer spending.

The Container Store did not reply to a request for comment from Business Insider.

With all this in mind, I decided to visit The Container Store's Sixth Avenue location in Manhattan to see if the storage solutions were right for me and if I could understand the brand's sales decline.

Here's what I found.

When I entered the Manhattan store, I was happy to see it lived up to its name, with aisles and aisles of — you guessed it — containers.

As soon as I stepped inside, I was shocked at how massive the space was. According to the retailer's website, stores have "an average size of approximately >24,000 square feet (18,000 selling square feet)."

Though this location spanned just one floor, all I could see were aisles and aisles of items lining its perimeter and throughout its center.

The store was largely sectioned by the room you're looking to organize, such as the closet, bathroom, kitchen, garage, office, and more.

I started with the closet section and loved the look — but not the price — of these Drop-Front Shoe Boxes.

During my visit, a case of six was on sale for $59.99 , but even with the sale, I couldn't justify purchasing these, given that my boyfriend and I easily have about 30 pairs of shoes.

Even with the sale, that would cost us about $300 at a minimum. But even if we were comfortable justifying the price, I wouldn't expect these boxes to be very apartment-friendly given their size; one case of six measures 11 1/16 inches by 14 7/16 inches by 7 1/4 inches.

As much as I would love to include these in a future dressing room, I had to pass.

As to be expected, there were plenty of decorative bins, like this Scalloped Maize Storage Bin.

The one was a good size at 11 inches by 15 inches by 8 1/2 inches and retailed for $29.99.

There was no shortage of hangers.

My favorite were the Non-Slip Velvet Suit Hangers, which retailed for $9.99 for a 10-pack.

Though I didn't need any more hangers, I would definitely consider purchasing from here in the future thanks to the wide selection of colors and materials.

I loved these jewelry boxes by Stackers.

There were plenty of drawer options customers could "stack" to build their perfect custom jewelry box, which I loved.

However, I did have a hard time locating the prices of each drawer type on the shelves.

The Stackers Belt Organizer seemed like a great practical gift for the holidays.

This belt organizer, which retailed for $24.99, could sit on a closet shelf or in a drawer next to other similar organizers.

Moving on to bathrooms, there were plenty of countertop organizers.

From soap dispensers and toothbrush holders to apothecary jars and trays, there were plenty of decorative storage options.

But I don't understand the appeal of acrylic.

The Luxe Acrylic Large Tray pictured above satisfies an itch in my brain that loves the aesthetically pleasing bathrooms I see on Pinterest and TikTok.

But, having been fooled by acrylic pieces in the past, I think these dishes seem like more trouble than they're worth. Given the likelihood of dried water, toothpaste, and soap drips, this tray could easily become an eyesore, just like my old acrylic toothbrush holder did.

To me, these pieces don't appear to serve much purpose, especially at a cost of $24.99.

I was shocked to see this makeup organizer retailing for $60.99.

As smart as this storage kit looked, I would never spend this amount when similar options on Amazon are sold at fractions of the price.

And I'm not sure how useful a toilet-roll dispenser could really be.

Maybe I'm missing out — and maybe it speaks to the space I have in my bathroom — but for $49.99, I'd rather just grab a new roll of toilet paper from the pack when I need it.

However, I really liked these hair tool storage options.

My hair dryer and diffuser attachment have a bad habit of getting tangled under my sink, so I could see this being a great addition to my bathroom that would be worth the $25.

And I enjoyed browsing the mock closets by Custom Spaces.

One thing I didn't know about The Container Store before my visit was that it has staff designers available to help curate "Custom Spaces."

In collaboration with acquisitions Elfa and Closet Works, "Custom Spaces" is intended to be a key part of the company's growth strategy.

Launched in November 2022 as a rebranded expansion of the company's "Custom Closets," The Container Store's Custom Spaces "is defined by three areas of the home: Closet Spaces, Living Spaces, and Garage Spaces," the company said at the time.

As part of this effort, The Container Store launched a new "Garage + Elfa" line in October 2023 and expanded its "Decor+ by Elfa" line in June.

The company's fiscal Q1 earnings report found that Custom Spaces sales were up 1.9%, but the brand has big hopes for the endeavor.

Malhotra said in June, "Expanding our assortment so that we are meeting the needs and desires of today's consumer is one of the key elements to increasing our Custom Spaces business to 60% of annual sales and capitalizing on the $6 billion addressable Custom Spaces market over time."

My favorite section to explore was all of the aisles dedicated to kitchens.

Look at all these storage options!

These Montana Jars were added to my holiday wish-list immediately.

These jars appeared straight out of my Pinterest dreams and seem perfect for holding baking ingredients like flour and sugar.

The collection includes three jar sizes: 1.5 quarts, 2 quarts, and 3 quarts, retailing for $19.99, $21.99, and $26.99, respectively, making the full collection about $69.

Plastic and stainless-steel scoops were also available on another shelf nearby.

This water bottle organizer also deserves a spot in my cabinets.

YouCopia's Upspace Bottle Organizer 2-Shelf holds eight to 10 bottles and costs $24.99.

This bakeware organizer makes a lot of sense, especially in a small living space.

Even if I'm not happy with its $65.99 price tag.

I also appreciated this shopper-friendly display for mapping drawer organizers.

If you're looking for something specific, visit the store with measurements in mind so you don't have to guess what product would best fit your space.

However, I wasn't sold on this $45 spice rack.

Call me picky, but I wouldn't like having to pick through the bottles to find the spice I'm looking for, and I'm not a huge fan of labels.

But if you are a fan of labels, they have plenty.

Near the crafting section, there were packs of labels fit for kitchens, laundry rooms, bathrooms, playrooms, and more.

Each pack from the "Everything Organizer Collection" retailed for $12.99.

I moved on to more storage options for clothing.

This section included plenty of laundry baskets to choose from.

I have closet organizers like these and they've been a lifesaver for small spaces.

They're perfect for maximizing closet space when there isn't much room for dressers.

I also found a few kid-friendly storage options.

These animal-themed bins seemed perfect for a child's bedroom or an elementary school classroom, but I was a bit surprised by the cost.

For example, the peacock storage cube was listed for $19.99 but another unpictured sloth cube was listed for $26.99.

There were also sets of rainbow-colored storage bins and rolling chests.

I was surprised to see Jason and Kylie Kelce while walking through the garage section.

Malhotra told Modern Retailer in July that the brand is "starting to do more collaborations."

"I think the partnership we did with the Kelces was really encouraging for customers to see," he said. "Oftentimes, they think that expense is a reason why things are not done, and they look at someone like the Kelces and they go, 'Obviously money is not an issue for them.' Their issue was knowledge, time, and solutions, and that's why they wanted to work with The Container Store."

There were plenty of options for trash cans, too.

Ranging in size, color, and material, I loved the variety available.

I also enjoyed browsing the office and stationery sections.

There were so many trinkets, pens, and notepads to choose from.

There were fun options, like this candy-themed highlighter pack.

I would've loved having these in my pencil pouch when I was in elementary school.

I liked the simplicity of this to-do list by Ramona & Ruth.

If I didn't already own four different notebooks and calendars, this would've been a very easy $15.99 out of my wallet.

I was also surprised by the number of seemingly random trinkets available.

Like this beginner crochet kit.

Here's another example: mushroom bookmarks.

I'm still not sure if this design makes much sense, but it certainly is cute.

At this point, I started losing track of what aisles I'd already toured.

There was just so much choice.

Here are some more options in case you haven't seen enough.

The Weathertight Clear Totes looked like a great choice for reusable moving boxes and basement storage.

Prices ranged from $14.99 for a 6.5-quart tote to $34.99 for a 74-quart tote.

And who doesn't love a clearance section?

The store's clearance options were pretty robust, with different plates, bowls, glassware, decor pieces, and more.

My favorite clearance item was this marble wine chiller.

Though this definitely wasn't a need, I'm disappointed I didn't snag one while it was on sale for $29.40.

Overall, my trip to The Container Store made me realize that I'm probably not the brand's target audience ... for now.

Malhotra told Modern Retail, "There will always be a cheaper alternative to a plastic bin. Our objective is not to compete there because we don't have the scale and buying power to do so."

Instead, he said it's about offering "a white glove experience" through Custom Spaces and the brand's merchandise. He added that The Container Store differentiates itself from the Walmarts and Targets of the world by spending time with customers to help them choose the right products for their space.

Therefore, it seems that The Container Store is looking to target shoppers who not only have an established home base but also plan to invest in it for years to come.

As a 20-something-year-old who plans to bounce from rental to rental for the next few years, I'm nowhere near that phase of my life. So, buying more expensive organizers that may only fit my current apartment just isn't worth it for me.

However, if you have the money, space, and time, I completely understand falling in love with The Container Store. But for now, my visits will simply remain sources of inspiration.

Read the original article on Business Insider