Owner Jim Troxler sent an email Friday afternoon to the store's customers saying that it was the last day for the Main St. Deli.
"Our deli has never been profitable and, in fact, has been very costly to operate," he wrote. "Closing the deli is one of the many changes I need to make in order to continue in business."
The Village Green opened in 1979. Troxler moved into his current building on West Main Street in 1998.
The store is known for its selection of books, gift items, Christmas decorations and artificial Christmas trees, but Troxler is liquidating the store's inventory.
"I am in the process of reworking our business model here at the Village Green in an attempt to return our business to profitability," he wrote in the email. "It is my hope that I can liquidate as much of our current inventory as possible and reinvest in new product categories that will make our business viable for years to come."
The store will continue to carry Christmas items, which is a category Troxler said is growing.
After the reworking - slated for around Jan. 1 - books will go from about 50 percent of the store to 15 percent to 20 percent.
"Even if we didn't have an oversaturation of booksellers in Tupelo, we have to compete with electronic books," Troxler said.
Sales of collectible items have taken a hit as well. Troxler cited reduced discretionary spending on things consumers don't need. The category will go from about 30 percent of the store to about 15 percent.
Troxler said he is investigating filling the extra floor space with children's products such as nursery furniture and clothes.
"You have to change," he said. "You can't keep doing the same thing year in and year out, especially in this economy. ... It's long overdue for me."
Contact Carlie Kollath at (662) 678-1598 or firstname.lastname@example.org.