New York -- Macy’s on Wednesday outlined a new initiative to grow its business with the Millennial generation (ages 13 to 30). The group spends an estimated $65 billion each year for the type of goods sold at Macy’s.
The plan, to be implemented in progressive stages over the next three years, includes steps to enhance Macy’s assortment and shopping experience in mstylelab (the merchandise area primarily serving customers ages 13 to 22) and Impulse (primarily serving customers ages 19 to 30). As part of the strategy, the chain will undertake a number of in-store improvements, including using adjacencies, signage and technology to make it easy for customers to find what they are looking for. Visual merchandising will be refreshed more often, with presentations and displays that emphasize brands and lifestyles.
Other key elements of the strategy include:
- Relevant omnichannel environments: Macy’s will engage Millennials through mobile and digital channels, including social media. The use of QR codes, tablets, texting, tap-and-go transaction processing and offers delivered via mobile will be refined. Local events will appeal to the sense of style and fast fashion that Millennial customers seek. The retailer will continue to add functionality to its website. Microsites within macys.com will highlight key fashions, tips and events. Plans also call for more expert bloggers on macys.com providing direction and advice to Millennials, as well as other customers.
- Enhancing and localizing merchandise assortments: Macy’s will further develop its assortments of brands that appeal to each of the customer lifestyles for women and men in mstylelab and Impulse. In addition, the buying and planning organization will be working with its private brands organization and market vendors to bring new brands and lines to the Millennial customer at Macy’s in apparel, accessories, beauty and home.
- Organizational structure: Macy’s is adjusting its organizational structure to support the Millennial strategy with speed in decision-making and product development, and to ensure that all thinking and resources are aligned.
"We believe we have great opportunity to accelerate sales growth among customers in this generation. Doing so requires us to think from the customer’s point of view about our assortments and store experience, and to align our internal resources so we can move quickly and with focus,” said Jeffrey Gennette, Macy’s chief merchandising officer.