Macy’s to Close Stores in La Mesa and Tracy
Macy’s has announced plans to close 14 stores across the nation, including two locations in California: La Mesa and Tracy. These closures are part of a strategic initiative to streamline operations and improve the customer experience.
Macy’s Store Closures in California
Clearance sales in the affected Macy’s stores will commence around mid-January and last an estimated 10 weeks. This decision reflects the company’s ongoing effort to refocus its business strategy.
Nationwide Impact
In addition to the closures in California, Macy’s will shut down 12 other stores in various states, including:
- Georgia
- Maryland
- Michigan
- Minnesota
- North Carolina
- New Hampshire
- New Jersey
- New York
- Pennsylvania
- Texas
- Washington
Macy’s spokesperson, Orlando Veras, emphasized that closing a store is a difficult decision. However, the company believes that this approach will create a stronger and more consistent Macy’s shopping experience for the future.
Future Plans and Performance
The retail giant has previously set a goal to close 150 stores by 2027, aiming to reduce its physical footprint by 30%. This follows a recent report indicating better-than-expected performance in the last fiscal quarter, showcasing its strongest sales growth in three years.
Chief Executive Tony Spring stated that the closures of “underproductive stores” are part of a larger strategy. This strategy includes reimagining stronger locations and enhancing the supply chain to meet customer needs effectively. It also allows Macy’s to invest in expanding its luxury business segment, which has shown promising results.
Bloomingdale’s, a subsidiary of Macy’s, has performed particularly well in recent quarters, contributing positively to the company’s overall performance.
Industry Context
This trend of closing retail locations is not unique to Macy’s. Other notable closures include Kroger, which shut down over 60 stores nationwide amid labor challenges. Similarly, At Home closed 26 stores as part of its bankruptcy proceedings, and Marshalls recently closed two locations in California.
As the retail landscape continues to evolve, Macy’s remains committed to optimizing its store portfolio to cater to modern consumer demands while navigating the challenges faced by the industry.
