Macy’s recently celebrated the grand opening of its new Market by Macy’s store in Southlake, Texas. The 20,000-square-foot retail space is about one-tenth the size of a regular Macy’s store and was designed to act as a localized social gathering space for the Southlake community.
When designing the space, the Macy’s brand experience team aimed to meet the needs of current consumers who often want more personal shopping experiences. Alongside fashion brands that are typically available in Macy’s full-line stores, like Levi’s and Tommy Hilfiger, Market by Macy’s offers a curated selection of products from local Texas brands as well as direct-to-consumer labels aimed at making the shopping experience more intimate. Local brands include Criquet and Texas Standard, while Bombas is a standout direct-to-consumer offering.
“We’re taking a community-centric approach to the merchandising,” noted Rachel Shechtman, Macy’s brand experience officer. To achieve the level of product curation Macy’s targeted for the project, Shechtman’s team worked with over 50 local partners in the men’s, women’s, kids, home and gifts categories. About 30% of Market by Macy’s offerings will be local products.
In addition to a paired down merchandising strategy, Market by Macy’s includes a full café that serves breakfast, lunch and alcohol, as well as a modern beauty counter. Both activations also feature local products and were designed to be gathering places for customers.
Macy’s announced promising Q4 results last week that detailed $8.34 billion in revenue, ahead of analysts’ $8.32 billion prediction. The company is currently undergoing a three-year turnaround plan that includes restructuring its offices, shutting down 125 stores and implementing a new retail strategy.
“Market by Macy’s will play an important role in our off-mall expansion,” says Jeff Gennette, Chairman and CEO of Macy’s, Inc. “Our vision for Macy’s is to build an ecosystem that gives our customers easier and more convenient access to the fullness of the Macy’s brand, from online to offline, on-mall to off-mall, flagship to off-price.”
Macy’s has confirmed that it will continue to explore the Market by Macy’s concept with the opening of new locations throughout 2020 in Fort Worth, Texas; Atlanta and Washington, D.C.
It joins other traditional players, notably Nordstrom, that have recently taken a more localized approach to retail by launching highly curated, small-format stores.