Macy’s is coming to an end. Many popular stores in the United States are closing due to the rise of the online shopping experience. Macy’s will not close all of its stores, but the ones making less profit. If you are a Macy’s fan, you should keep reading to know whether the brand will completely disappear or not.
Macy’s life
Macy’s was founded in 1858 in New York by Rowland Hussey Macy and it was located in Manhattan. This store was quickly seen in more cities around the United States as a representation of the American retail market, offering a huge range of products from clothes to home items. This store was praised for its quality and the variety of products.
Data is the proof of this popularity as in 2023 Macy’s earned $23 billion and the majority of the stores were making a lot of money, enough to be maintained. However, these numbers are lower than in 2022 predicting an ounce of what its future holds.
Macy’s Thanksgiving Day Parade
Marketing and publicity team was very clever at the time because they saw an opportunity to organize a Thanksgiving day parade to show cultural diversity and the spirit of Christmas in the United States of America with a bit of the presence of the retail market. It was first launched in 1924 and it is now broadcasted by NBC channel every year. The event is watched by more than 40 million people and considered a family tradition before the Thanksgiving day dinner.
Apart from being a marketing strategy for the brand to be seen by millions of people, it is a beloved tradition that has never disillusioned the audience with many broadway performances, Santa Claus appearance and many popular characters for kids like Sonic, Pikachu or Sponge Bob, among many.
Even though this parade is organized by Macy’s, it does not mean it is the only brand present in the parade. This event is a shout out for the retail market so other brands appear in the parade although, as you will see, they are not as local businesses as you would expect. The more popular the parade got, the more brands were interested in making an appearance. Some of these companies are: Coca-Cola, Kellogg’s or even Netflix.
Decline
The arrival of online shopping was a plus for stores as they could reach more people without needing to move to the stores. However, everything evolves and the Internet was not going to be out of this. Online shopping was increasing with time and stores saw a decline in their store visits as customers were able to buy the products from the comfort of their homes. This was the main reason for creating the ‘A Bold New Chapter’ project, this means closing 66 stores which are not worth maintaining in the United States before the end of 2025. So, the company focuses on the ones which are getting enough income.
Up next
Many companies experience an economic crisis, but Macy’s is so powerful and popular that they have not become bankrupt. Nonetheless, Macy’s is getting into the new technology world and the new market strategies to improve clients’ experience when shopping online. They predict this will mean an established situation of the company in the retail market world in the future.
Everytime we hear of a similar story like Macy’s we should take into account the effort of new businesses and support them if we like the product they sell. It is true we look for convenience, but the experience of feeling the product or even trying it on is totally different. We can try and make use of both online shopping and going to the stores. We could have the best of both worlds!