NEW YORK (Bernama-Xinhua): Macy's Inc, the well-established US department store chain, has announced the closure of 66 underperforming locations as part of a larger restructuring plan to shut down around 150 stores over the next three years.
Both California and New York would have nine Macy's stores to cease to operation with another seven to be closed in Florida, according to Macy's announcement on Thursday.
This strategy was initially outlined in February 2024. Of the planned closures, 50 stores would cease operations by the end of 2024, with the remaining 100 slated to close gradually through 2026.
As a renowned and long-established retailer in the country, Macy's cutbacks reflect changes in the retail market. Some of Macy's department stores catering to the middle class are difficult to sustain with the economic pressures the middle class faces.
Also, several fast-emerging online shopping platforms are putting pressure on traditional offline department stores.
"Closing any store is never easy, but as part of our Bold New Chapter strategy, we are closing underproductive Macy's stores to allow us to focus our resources and prioritise investments in our go-forward stores, where customers are already responding positively to better product offerings and elevated service," said Tony Spring, chairman and chief executive officer of Macy's, Inc.
Macy's plans to use its luxury brands, such as Bluemercury, to attract more affluent shoppers in the future, as well as open more smaller stores with lower maintenance costs. - Bernama-Antara
