Jeff Gennette, CEO of Macy’s, is determined that the retailer shop will return to the same-store sales growth this year. This after the company came from a strong end last year.
Meanwhile, department stores have been struggling to hold their place in the retail industry. Since more sales have move online and some brands increasingly choose to sell directly to consumers. That is why businesses like Macy’s have to change their store counts and merchandise mixes to meet consumers need.
“The customer is shopping, and we are committed to winning her business,” Gennette stated in an interview. “We are executing better. … We are committed to getting this right.”
According to Gennette, same-store January sales went up 3 percent.
For the fiscal year, the American department store is calling for same-store sales to be 1 percent flat.
On Tuesday, the shares of Macy’s increased more than 12 percent. Meanwhile, the company’s stock was last seen 5 percent.
The recent initiatives of Macy’s to grow its sales is to close its unprofitable stores, reduce promotional activity, to open more off-price shops under its Backstage banner and to grow its beauty business, Bluemercury.
Gennette also said that the new U.S. tax legislation has given the department store a “flexibility” to accelerate those plans.
By the end of this year, Macy’s will be opening 100 Backstage locations, some of which are planned to open inside the current stores of the company in “premium malls.”
Walmart to Launch New Apparel
In other news, Walmart announced on Tuesday its plans to launch new apparel and home brands this year.
The move of the retailing giant is to make a larger splash online and to give consumers some exclusive merchandise.
According to some reports, Walmart would develop four new apparel lines and one new line of mattresses and bedding, which is known as Allswell.
Walmart stated that Allswell would mark the first digital brand of the retailing giant. The mattresses and beddings will be sold via Allswell website, AllswellHome.com.
Meanwhile, the new apparel lines will be available nationwide by Thursday through Walmart stores and online.
In its stores, Walmart also stated that its “making improvements to its apparel departments to help customers find style inspiration and shop new looks.”
The retailing giant also added that by the next month, customers would see new signage for the apparel brands.
This fall, the apparel displays will be upgraded and fitting rooms will also be renovated, according to Walmart.
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