Macy’s new Macy’s Backstage off-price format to open four pilot stores in fall

Cincinnati -- The outlet wars are heating up with the announcment that Macy’s will debut its off-price concept in fall 2015, opening four test stores in metro New York City. The new business, one of the department store giant’s major growth initiatives, will be called Macy’s Backstage. It puts Macy’s in direct competition with such other off-price players as TJX Companies’ T.J. Maxx and Marshalls, Saks Off Fifth and Nordstrom Rack.



The four pilot Macy’s stores will average about 30,000 sq. ft. each (approximaely one-fifth of a traditional Macy’s) and offer women’s, men’s and children’s apparel, shoes, fashion accessories, housewares, home textiles, intimate apparel and jewelry. Each store also will include free WiFi and large fitting rooms. One location will test a café concept.



Merchandise will include clearance goods from Macy’s stores, as well as special buys from well-recognized fashion brands – often between 20% to 80% off of original and comparable prices for similar merchandise.



“We believe we can deliver a whole new level of value to customers who appreciate fashion and love to hunt for a bargain,” said Peter Sachse, Macy’s chief innovation and business development officer.

“Backstage is a new retail concept that the Macy’s team has built from scratch over the past six months. It will be an exciting shopping experience supported with compelling marketing, both traditional and mobile. As with all of Macy’s innovations, we will test and learn to see what resonates most with customers so we can adjust before rolling out additional locations.”



The pilot store locations are:



• Sheepshead Bay (2027 Emmons Ave.), Brooklyn, NY

• Queens Place, Elmhurst (Queens), NY

• Lake Success Shopping Center, New Hyde Park, NY

• Melville Mall, Huntington, NY.



Macy’s Backstage stores will accept Macy’s charge cards, as well as other forms of payment. The business will not be driven by promotional events, and Macy’s coupons will not be accepted in the off-price locations.