Business

Macy’s accelerates plans to open smaller stores outside of malls


In 2020, Macy’s opened its first Marketplace at Macy’s location, in the Dallas-Fort Worth area.

Source: Macy’s

Macy’s is speeding up plans to open smaller stores not attached to suburban shopping malls, aiming to grow with customers’ shopping preferences. Covid pandemic.

The department store chain said Wednesday that it will open three stores this fall, each representing how Macy’s is thinking about how it looks to reposition its property in the future. . That includes:

  • Combine several of its different businesses under one roof
  • Closing one of its department stores at a traditional mall to open a smaller Macy’s store, called The Market by Macy’s, in a more populated part of town near there
  • Add another Market by Macy’s location in an area where it already has so many stores

“We want to be convenient and we want to make it easier,” said Marc Mastronardi, store manager for Macy’s. “Customer behavior is constantly changing. And the more nimble we have as an organization to change and react, the more this is like the next natural evolution.”

This aligns with a broader strategy that Macy’s launched to investors in February 2020, shortly before Covid-19 cases began to increase in the United States. At the time, the company said it planned to close 125 stores in lower-tier malls within three years and would explore forms outside of malls.

Since then, Macy’s has opened five stores under the Markets banner, is one-fifth the size of full-stock locations, and offers services like online shopping and in-store pickup. It will hit eight by the end of the year.

Going small and away from the mall has become a trend in the retail industry. It’s a blueprint that retailers from Distance arrive Nordstrom has been tracked. Kohl’s also said it is aiming to open 100 smaller locations within the next four years. Last year Macy’s opened its first small Bloomingdale’s store, called Bloomie’s.

Some American malls have lost their appeal – and tenants – as today’s consumers tend to seek a quick and convenient shopping experience. Shoppers are also less interested in spending hours browsing through large, multi-level stores, leading retailers to experiment with shrunken versions.

“There are malls that are underperforming and this is an opportunity to enter a market in the right place and in a new format,” Mastronardi said.

This fall, Macy’s will open its first Double Market and Macy’s Backstage store, which competes with discount chains including TJ Maxxin the Chicago metropolitan area.

Second, they plan to close one of the department stores with a mall in the Chesterfield area of ​​St. Louis to open a smaller Market on the location of nearby Macy’s, in an open-air shopping center called Chesterfield Commons.

And third, Macy’s will open a Market by Macy’s store in Johns Creek Town Center, in Suwanee, Georgia, marking the third such location in the metro-Atlanta area.

Mastronardi said the Atlanta market has proven to be a place where people show a love for the Macy’s brand, and it’s also a high-traffic area, giving Macy’s a reason to have a daily presence. more.

He also said Macy’s customers are spending three times more online on average, in markets where the retailer also has brick-and-mortar stores.

“When we can be close to a customer with a physical format, our digital business is significantly better,” he said.

Macy’s counted 511 locations of the same name, 55 Bloomingdale’s stores, and 160 Bluemercury makeup stores, as of April 30.



Source link

news7f

News7F: Update the world's latest breaking news online of the day, breaking news, politics, society today, international mainstream news .Updated news 24/7: Entertainment, Sports...at the World everyday world. Hot news, images, video clips that are updated quickly and reliably

Related Articles

Back to top button