Macy’s will close between 35 and 40 underperforming stores in early 2016 as part of its omnichannel optimization strategy. The stores that will be closed represent only 1% of the retailer’s total annual sales, or approximately $300 million. Macy’s will announce the specific locations of the store closures at a later date.
“Physical stores remain absolutely vital to our omnichannel strategy, which provides local touch points and tailored merchandise assortments for shoppers in nearly every major market,” said Terry J. Lundgren, Macy’s, Inc. chairman and chief executive officer. “As new shopping centers are opened, however, many customers change their shopping habits and often the sales volume of a store gets divided among the new and nearby, existing centers. Each year, we prune some stores that are our weakest performers so that we can concentrate our resources on the best locations and maintain a strong physical presence. At the same time, we open a small number of new stores to fill gaps in our market coverage or where we have outstanding real estate opportunities.”
Since 2010, Macy’s has closed 52 stores and opened 12 new locations. By the end of fall 2015, the retailer will open six new low-price Backstage locations.
Advertisement
