Alarm Bells Ring in the Us: the Famous Fashion Chain That Will Close Stores in 22 States

One of the most well-known department store chains in the United States has decided to make a radical shift in its commercial strategy. With decades of market presence, it has announced the closure of dozens of stores across the country. This measure has been taken as part of a plan called "A Bold New Chapter," designed to address the challenges the company faces.

The news has caused a great stir in the retail sector, especially because it involves one of the country's most iconic firms. Although Macy's has been a key player in American commerce, the chain has faced a decline in sales in recent years. This closure plan seeks to adapt to a market that has changed significantly.

Macy's Recognizes That These Closures Are Just the Beginning

According to company statements, the closure of these 66 stores is just the beginning of a larger restructuring. The goal is to reduce its physical presence to focus on the most productive stores. According to Macy's, the closures will affect stores of different formats, including those dedicated to furniture and the Backstage stores, which are part of its more affordable sales strategy.

Macy's has stated that this decision will allow for improved operational efficiency and profitability. The company will continue to focus on its top-level brands, with the intention of strengthening the 350 sales points they consider most profitable. This change in focus is presented as a response to growing competition, especially from fast fashion retailers and online stores.

This type of restructuring is not new for Macy's; in the past, the company had already closed some of its stores as part of a similar strategy. The last major round of closures, which occurred before the pandemic, resulted in the reduction of approximately 20% of its stores. However, over the years, the challenge of remaining relevant in a changing market has become even more complex.

The Situation of the Department Store Sector

This adjustment in Macy's operations is not an isolated case within the sector. Major names in American department stores have struggled to stay afloat in the face of new consumer trends. Changes in buyer preferences and the increase in online shopping have pressured many traditional stores to rethink their business model.

Over the past few years, several historic chains, such as Sears and JCPenney, have also closed their doors. The department store industry has experienced a general restructuring, with a growing number of bankruptcies and closures. Macy's has been one of the latest to join this trend, seeking to adapt to market changes and remain competitive.

In addition to the closures, Macy's has announced that it will begin liquidating its products in the affected stores starting in January. The sales will last between 8 and 12 weeks and will apply to all stores. Except for those dedicated exclusively to furniture and those operating as Backstage, where discounts will begin in February.

This restructuring comes at a delicate time for the chain, which needs to redefine its presence to survive and thrive in a competitive environment. However, the firm is confident that this renewed focus, which prioritizes its most profitable sales points and top-level offerings, will allow them to remain a relevant brand.