Iconic department store chain Macy’s is making major changes. The company plans to permanently close a significant portion of its stores–150 locations in total by the year 2026. This represents a 30% reduction in its nationwide store footprint. The first wave of closures, affecting 50 stores, will occur by the end of this fiscal year.
Why the Change?
Macy’s frames this as a strategic decision, terming it a “Bold New Chapter” aimed at strengthening the company’s overall brand position. By closing underperforming locations, Macy’s can redirect resources to improve the shopping experience, product selections, and overall value at its remaining 350 “go-forward” stores. This strategy aims to “reinvigorate relationships” with customers and boost growth and profitability.
Macy’s Shifts Focus to Luxury Market
Interestingly, while Macy’s is downsizing its namesake brand, it’s simultaneously investing heavily in its luxury brands. The company has plans to open roughly 15 new Bloomingdale’s stores and at least 30 new Bluemercury locations over the next three years. This signals a calculated move towards upscale retail.
What This Means for Shoppers
Macy’s fans should be aware of potential changes in their area. While a specific list of closing stores hasn’t yet been released, it’s likely to become public soon. This downsizing, combined with a luxury focus, could significantly change how and where the average customer shops at Macy’s.
