Macy’s 2020

BillyGr
Veteran Member
Veteran Member
Posts: 643
Joined: October 5th, 2010, 7:33 pm
Status: Offline

Re: Macy’s 2020

Post by BillyGr »

Not sure about all areas, but using this local area (Albany, NY) as an example:

When Colonie Center first opened in 1966, it featured a Macy's store (2 levels), which was later rebuilt (with an addition to the mall, including the original Macy's space) into a 3 story store, as it still exists today.

At that time, and for many years (until they started merging with other chains), that was the only Macy's in the area - even the only one in the entire upstate NY area (outside the metro NYC markets).

As they went along, with all the mergers, there was a point where there was one in just about every mall in the area.

So one has to wonder if their overall business jumped that much to support all those stores, or just spread out those who used to travel to Colonie Center and were now going to the other stores - that may be why they are frequently closing stores, figuring they will still get most of the customers in the few(er) stores and at the same time save the costs of the additional locations.

kr.abs.swy
Silver Member
Silver Member
Posts: 191
Joined: March 17th, 2009, 5:32 pm
Status: Offline

Re: Macy’s 2020

Post by kr.abs.swy »

Interesting to note that Helena used to have a Dillards and a JC Penney in an older mall. The Dillard's has been closed for about 10 years and the Penney's closed more recently. With the Macy's closing, Helena won't have any traditional department store chains (at least that I can think of).

Meanwhile, Macy's will have closed more stores in Idaho than it operates in Idaho. Macy's will be down to stores in Boise, Idaho Falls and Coeur d'Alene after closing stores in Lewiston, Nampa, Downtown Boise, Twin Falls and Pocatello.

storewanderer
Valued Contributor
Valued Contributor
Posts: 5896
Joined: February 23rd, 2009, 3:54 pm
Been thanked: 17 times
Contact:
Status: Offline

Re: Macy’s 2020

Post by storewanderer »

kr.abs.swy wrote: January 9th, 2020, 9:32 pm Interesting to note that Helena used to have a Dillards and a JC Penney in an older mall. The Dillard's has been closed for about 10 years and the Penney's closed more recently. With the Macy's closing, Helena won't have any traditional department store chains (at least that I can think of).

Meanwhile, Macy's will have closed more stores in Idaho than it operates in Idaho. Macy's will be down to stores in Boise, Idaho Falls and Coeur d'Alene after closing stores in Lewiston, Nampa, Downtown Boise, Twin Falls and Pocatello.
It appears the purchase of Meier and Frank was a real turkey for Macy's. Given they hardly have any competition in the NW, I'm not really sure what went wrong... a lot of those rural stores were pretty run down and not really what I'd consider to be Macy's level stores.

Dillards isn't even in OR/WA.

I was a little surprised to see Macy's closing its 15 year old new build store in Antioch. This was a nice store, physically. Operationally, I think there were some pretty significant challenges given the crime situation in that town and the surrounding town Pittsburg. Sears left that mall recently, not a surprise. JCP left it a decade ago and Macy's sits where JCP was. I guess co-anchoring a mall with Fallas and Smart & Final wasn't quite up to Macy's image.

Alpha8472
Valued Contributor
Valued Contributor
Posts: 1736
Joined: February 24th, 2009, 8:55 pm
Been thanked: 3 times
Status: Offline

Re: Macy’s 2020

Post by Alpha8472 »

Antioch was once a booming city in the late 90s. Thousands of new homes were built and people were moving there from expensive areas of the San Francisco Bay Area for the affordable housing and suburban living. Then the dot com bust came. The real estate meltdown left thousands of homes in foreclosure. There are empty homes and blight everywhere. It looks like a ghost town in some areas.

The people who could not keep their houses fled and now the area is low income with Section 8 housing. Those people do not shop at Macy's. Crime has skyrocketed and the area is a desolate wasteland. Empty retail stores are all over. I went exploring entire strip malls of empty chain stores and empty chain restaurants. It looked as if the restaurants closed up and left everything behind including the utensils and chairs. It is a very creepy city.

Macy's is wise to leave this place as there is nothing here for them except to be shoplifted on a daily basis.

Super S
Valued Contributor
Valued Contributor
Posts: 1906
Joined: April 1st, 2009, 9:27 pm
Has thanked: 4 times
Been thanked: 9 times
Status: Offline

Re: Macy’s 2020

Post by Super S »

storewanderer wrote: January 9th, 2020, 11:10 pm
kr.abs.swy wrote: January 9th, 2020, 9:32 pm

Meanwhile, Macy's will have closed more stores in Idaho than it operates in Idaho. Macy's will be down to stores in Boise, Idaho Falls and Coeur d'Alene after closing stores in Lewiston, Nampa, Downtown Boise, Twin Falls and Pocatello.
It appears the purchase of Meier and Frank was a real turkey for Macy's. Given they hardly have any competition in the NW, I'm not really sure what went wrong... a lot of those rural stores were pretty run down and not really what I'd consider to be Macy's level stores.
Worth noting is that the Idaho stores were Bon Marche locations, not Meier & Frank. It is worth noting that The Bon Marche and Meier & Frank both operated in Washington and Oregon, in some cases competing in the same towns, such as Salem. Meier & Frank oddly enough had some far flung locations in Utah though after taking over ZCMI.

babs
Gold Member
Gold Member
Posts: 264
Joined: December 20th, 2016, 3:08 pm
Been thanked: 4 times
Status: Offline

Re: Macy’s 2020

Post by babs »

Super S wrote: January 10th, 2020, 4:05 pm
storewanderer wrote: January 9th, 2020, 11:10 pm
kr.abs.swy wrote: January 9th, 2020, 9:32 pm

Meanwhile, Macy's will have closed more stores in Idaho than it operates in Idaho. Macy's will be down to stores in Boise, Idaho Falls and Coeur d'Alene after closing stores in Lewiston, Nampa, Downtown Boise, Twin Falls and Pocatello.
It appears the purchase of Meier and Frank was a real turkey for Macy's. Given they hardly have any competition in the NW, I'm not really sure what went wrong... a lot of those rural stores were pretty run down and not really what I'd consider to be Macy's level stores.
Worth noting is that the Idaho stores were Bon Marche locations, not Meier & Frank. It is worth noting that The Bon Marche and Meier & Frank both operated in Washington and Oregon, in some cases competing in the same towns, such as Salem. Meier & Frank oddly enough had some far flung locations in Utah though after taking over ZCMI.
Meier & Frank stores had the highest sales per square foot of any chain when they were part of May. So they were very good stores back in the day. The Bon basically ran two separate chains. The metro Seattle stores were full line stores that were on par with Macy's in SF or NYC. The Bon stores outside Seattle were a lot more like Kohl's in product assortment. They did a decent job of matching the store to what would work in the local area. Macy's one size fits none is the issue...as well as the overall problems hitting apparel retailing.

BreakingThrough
Bronze Member
Bronze Member
Posts: 25
Joined: September 6th, 2017, 12:25 pm
Has thanked: 1 time
Status: Offline

Re: Macy’s 2020

Post by BreakingThrough »

Regarding Macy's "top tier" stores, I was in the recently renovated Manhattan Beach, Calif. location on Friday evening.

This store was a former Bullock's (early 1980s build) that became a Macy's in the '90s. Until this latest renovation, this former Bullock's housed the women's store, while a smaller, former Buffums on the other end of the mall housed men's and home. This latest renovation, completed sometime in 2019, expanded the larger women's store and consolidated all departments into this one expanded, renovated box.

That said, I was pretty impressed with the new store. Clean, vast, well-stocked...it felt much nicer than any Macy's I've visited on the West Coast. It almost felt...a bit high end (!). The men's department is completely reborn and rejuvenated, with a vastly wider selection and a section catering to local tastes that I feel was appropriately curated for the area.

This particular Manhattan Beach Macy's also had significant signs of life at 6:30pm on a Friday in terms of shopping traffic, which I was surprised by. It likely helps that the mall itself is undergoing a massive renovation, with a new parking garage that connects to the Macy's complete with a Tesla supercharger on one level (HUGE eyeroll on that, but it appears to draw lots of traffic).

This was the first time I was in a Macy's on the West Coast that I felt lived up to what my impression of Macy's was way back before they entered the Socal market via acquisition and the Macy's name had some glamour and...magic. They are doing a good job on these flagship "core" stores (I hear Century City is just as nice if not more so; have not had a chance to visit that new-build yet). It's such a different experience from "non-core" stores that they might as well badge all non-core stores "Macy's Backstage" to indicate the difference because they are absolute dumps compared to these newer stores.

Bagels
Gold Member
Gold Member
Posts: 266
Joined: August 20th, 2018, 11:54 pm
Been thanked: 3 times
Status: Offline

Re: Macy’s 2020

Post by Bagels »

BreakingThrough wrote: January 13th, 2020, 1:48 pmThis was the first time I was in a Macy's on the West Coast that I felt lived up to what my impression of Macy's was way back before they entered the Socal market via acquisition and the Macy's name had some glamour and...magic. They are doing a good job on these flagship "core" stores (I hear Century City is just as nice if not more so; have not had a chance to visit that new-build yet). It's such a different experience from "non-core" stores that they might as well badge all non-core stores "Macy's Backstage" to indicate the difference because they are absolute dumps compared to these newer stores.
I wouldn't necessarily label them as "core" stores. Only a small number of locations have received major remodels; Macy's prefers light refreshes and only performs major when it's necessary. The Ala Moana location is thought to be its most profitable location, but it hasn't seen a major remodel since its Liberty House days. Macy's has spent small amounts of money refreshing the store through the years -- much of it on cost-saving new lighting and replacing worn mobile fixtures -- which is consistent with most other locations I've been in. Macy's has outright closed numerous stores in recent years that needed a major remodel.

"Macy's Backstage" refers to Macy's TJ Maxx-type concept and is largely comprised of merchandise that's otherwise unique to the retailer. The few times I've strolled through it, it's been comprised largely of mid-range brands like US Polo Assn, Arrow, Champion and other brands that previously heavily relied on Sears.

BreakingThrough
Bronze Member
Bronze Member
Posts: 25
Joined: September 6th, 2017, 12:25 pm
Has thanked: 1 time
Status: Offline

Re: Macy’s 2020

Post by BreakingThrough »

Bagels wrote: January 13th, 2020, 4:44 pm I wouldn't necessarily label them as "core" stores. Only a small number of locations have received major remodels; Macy's prefers light refreshes and only performs major when it's necessary. The Ala Moana location is thought to be its most profitable location, but it hasn't seen a major remodel since its Liberty House days. Macy's has spent small amounts of money refreshing the store through the years -- much of it on cost-saving new lighting and replacing worn mobile fixtures -- which is consistent with most other locations I've been in. Macy's has outright closed numerous stores in recent years that needed a major remodel.

"Macy's Backstage" refers to Macy's TJ Maxx-type concept and is largely comprised of merchandise that's otherwise unique to the retailer. The few times I've strolled through it, it's been comprised largely of mid-range brands like US Polo Assn, Arrow, Champion and other brands that previously heavily relied on Sears.
Right, I'm familiar with the differences between the Macy's / Backstage concepts (though I've personally never seen or been to a Backstage location; have only seen the pics that a writer posted of a Backstage location on I believe Business Insider). The point that I was (poorly) trying to communicate is that these new, heavily remodeled stores (like Manhattan Beach and Century City) are so much impressively nicer than standard Macy's locations that they make all standard Macy's look like a step below the remodeled stores.

I suppose these remodeled stores can be classified as "flagships" vs. "core" stores. And it's quite possible that the only two remodeled "flagships" in existence are the two I mentioned: Manhattan Beach and Century City. Perhaps there are more across the country; I'm not sure, but I'm sure if there are, there are few.

Either way, I think to be competitive and actually get people into the stores, ALL Macy's locations need to be as nice as these flagships. The flagships are worthy of the mythical Macy's name from eons ago. But I think we all know that's not going to happen, so likely the list of dumpy "core" stores will continue to slowly shrink to nothing over time.

Though I do have to say that Macy's has stepped up their BOPIS process (which is what got me into the Manhattan Beach store in the first place), so perhaps there is hope. I root for Macy's; I feel like there is still a ton of brand equity in the name.

Bagels
Gold Member
Gold Member
Posts: 266
Joined: August 20th, 2018, 11:54 pm
Been thanked: 3 times
Status: Offline

Re: Macy’s 2020

Post by Bagels »

BreakingThrough wrote: January 15th, 2020, 9:41 am Right, I'm familiar with the differences between the Macy's / Backstage concepts (though I've personally never seen or been to a Backstage location; have only seen the pics that a writer posted of a Backstage location on I believe Business Insider). The point that I was (poorly) trying to communicate is that these new, heavily remodeled stores (like Manhattan Beach and Century City) are so much impressively nicer than standard Macy's locations that they make all standard Macy's look like a step below the remodeled stores.

I suppose these remodeled stores can be classified as "flagships" vs. "core" stores. And it's quite possible that the only two remodeled "flagships" in existence are the two I mentioned: Manhattan Beach and Century City. Perhaps there are more across the country; I'm not sure, but I'm sure if there are, there are few.

Either way, I think to be competitive and actually get people into the stores, ALL Macy's locations need to be as nice as these flagships. The flagships are worthy of the mythical Macy's name from eons ago. But I think we all know that's not going to happen, so likely the list of dumpy "core" stores will continue to slowly shrink to nothing over time.

Though I do have to say that Macy's has stepped up their BOPIS process (which is what got me into the Manhattan Beach store in the first place), so perhaps there is hope. I root for Macy's; I feel like there is still a ton of brand equity in the name.
I understood your point; I'm pointing out that Macy's prefers light remodels -- which it claims range from $1M to $3M, depending on the condition of the store, and focus on cost-saving measures like lighting, electronic signage, removing check-out islands and fitting rooms, etc. -- over major remodels. Macy's is notoriously quiet about specific per store costs, but big boxer retailers including Target, Walmart and Meijer typically spend $7M+ on major remodel projects. And the amount Macy's spent on the aforementioned stores was likely much higher than that. But you have to remember that both stores were in shopping centers that underwent a transformation, and Macy's likely received incentives for upgrading its stores. Alas, we can't expect that from every location.

Post Reply