The Macy’s at the Ohio Valley Mall operated as Kaufmann’s from 1979 until a 2005 corporate merger led the company to change the store’s name. “We recognize that these locations do not yield an adequate return on investment and often do not represent a customer shopping experience that reflects our aspirations”.
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Chief Executive Officer Terry Lundgren is looking to secure his legacy before handing the reigns over to his successor, Gennette, in 2017.
Macy’s department store at West Valley Mall. “It shouldn’t be surprising that in some markets, we don’t need as many stores as we have”.
After a tough start to the year, Macy’s, Kohl’s and Nordstrom all reported second quarter results Thursday that showed an improvement.
Sports Authority, once the nation’s largest sporting goods retailer, is shutting all 450 of its stores after failing to find a buyer for them as part of its bankruptcy filing.
The declines result from Americans’ changing shopping habits. Shoppers are shifting their money away from clothing toward experiences like beauty treatments and furnishing their home. The retailer’s revenue was $5.87 billion in the quarter, down 3.9 percent from the same period past year.
Millennial consumers, at their peak years of spending, are certainly buying clothes, but they’re doing so mostly at discount stores like T.J. Maxx or fast-fashion chains like H&M. Some forecasts expect Amazon to surpass Macy’s as the largest online retailer of clothing next year, the AP reports. The Fort Wayne location is one among 728 Macy’s stores, according to the company.
“We made a decision to close a larger number of stores proactively so we can invest in a winning customer experience in our most productive and highest-potential locations”, he said in a statement. It opened six off-price Macy’s Backstage stores in 2015 and is also expanding the footprint for its Bluemercury beauty chain. “For most of the 100 locations, it will be announced closer to the end of our fiscal 2016”. “There has to be a rationalization and we’re not waiting anymore”, Lundgren told CNBC.
Macy’s sales fell almost 4.0 percent during the second quarter, it said on Thursday, but that was better than analysts had expected and helped to send its shares and those of other department stores higher.
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Shares, up 27% over the past three months, rose 1.1% to $10.05 in premarket trading, as the company’s loss was narrower than analysts expected.
