Macy's Marketing Strategy

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Macy's Distribution and Marketing Plan In the ever-evolving realm of retail marketing, the recent trend has big Brick and Mortar retail stores such as J.C. Penny and Macy’s switching gears and incorporating online sales known as Brick and Click. Brick and Click refers to the marketing strategy in which a retail corporation sells their products both an online store (clicks) and a walk-in store (bricks) and integrates the two into a single operation. The goal of this retail strategy is to allow the customer base a multi-channel shopping experience whereby access is granted to the products through either physical in-store experience or an online purchase. The purpose of this report is to discuss department store mogul Macy’s approach to multi-channel…show more content…
69). An example of this adjustment in marketing through digital technology can be seen in 158-year-old department store Macy’s. Launching this marketing strategy in 1998, Macy’s led the development in the E-commerce sales industry by opening the website from California while continuing its traditional physical store headquarters in New York City. This marketing evolution took another 12 years before Macy’s started to show advancements in digital retail marketplace by announcing an all-inclusive multi-channel marketing (omni-channel) strategy, focusing on the creation and integration of the now dual approach to retail shopping across the physical and digital stores. Along with the traditional store experience the shopper has been accustomed to, Macy’s expanded its shopping experience through two different online shopping opportunities. First, the typical online purchase uses 868 of its retail stores to act as distribution centers, filling online orders as they are processed. By using the ship from store online order placement system, Macy’s concurrently used its already established in-store inventory management system and its customer…show more content…
Amazon’s online clothing sales are expected to grow nearly 30% next year, reaching $28 billion, while Macy's clothing sales are calculated to drop 4%, down to $22 billion, in the amount of time (Petersen, 2017). Amazon appears to be dominating the brick and mortar retailers, but the rapid expansion of this retailer could give companies such a Macy’s and Sears a chance to get back into the competition. Recently, Amazon has put a majority of its focus and attention on the purchase of Whole Food Markets. This acquisition will have Amazon focused on the processing and distribution strategies involved with online grocery shopping. The best recommendation for Macy’s would be to take full advantage of this distraction. Fist, Macy’s could begin to find areas with limited retailers in a well populated area. This exposure would allow Macy’s to use its brick and mortar store as well as one of its online shopping techniques discussed earlier to lure new customers into either physically or online shopping with them. Furthermore, Macy’s should explore options in social media exploitation. Using one or more of the many social media sites will give Macy’s another avenue to accumulate more customers and raise brand awareness for their
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