Is Macy’s store closing in 2023? Macy’s locations are closing in the USA. Some buyers might need help updating their clothes in the coming months. Store closings have become frequent across the country since the pandemic began. But businesses will continue shrinking their retail footprints for a while. One of the most well-known clothing retailers, Macy’s, has already announced that certain stores will close in 2023.
A list of the selected department stores that Macy’s intends to close in 2022 was previously made public. According to the corporation, there are six full-line department shops, a Bloomingdale outlet, and a Macy’s store that was allegedly closed down in 2021 but still needs to be revealed to the public.
One of the most famous brands in the world is Macy’s. They are the eighth-largest retailer in the United States, with 39 locations. The business runs in 45 states, Guam, Puerto Rico, and China, and offers a vast selection of fashionable goods for the entire family.
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Is Macy’s going out of business?
With more than 800 locations around the country, Macy’s is the biggest department store in the world. It ranks among the top five clothing companies in the country. On October 28, 1858, Rowland Hussey Macy and George T. Adams established Macy’s. R. H. Macy Dry Goods was the name of the original shop, which was situated on Sixth Avenue in Manhattan, New York City.
Although the company has been around for more than 150 years, its future is still being determined. Despite the recent rumors that Macy’s is closing its doors, the corporation is also undergoing changes that could accelerate its downfall.
To survive, the corporation has been closing stores and laying off employees. Macy’s has closed 68 locations and laid off almost 3,900 people. Also, they recently announced the closure of all seven of their Boston-area outlets. More than 2,100 employees will be affected by the closures.
There have been issues with Macy’s before. The business recorded a loss in 2015 due to decreased sales at traditional brick-and-mortar retailers. The fact that many people are now purchasing their items online has also reduced sales.
Macy’s has previously declared bankruptcy, so they are no strangers to financial difficulties. They declared themselves bankrupt under Chapter 11 in 2003, paid off $1 billion of their debt, and closed 36 underperforming locations across the country.
According to Macy’s, affected employees at these sites will be given severance compensation or new jobs at adjacent stores. The company did not disclose how many people are employed at these locations.
Is Macy’s closing all stores?
The closures are part of Macy’s three-year plan to eliminate 125 stores or about one-fifth of its total. Before the coronavirus pandemic in February 2020, this was initially revealed. The pandemic forced Macy’s and other businesses to temporarily shut down their physical locations.
As part of the store streamlining plan, Macy’s announced opening the first closing stores in early 2020. Another round of closings was announced in January 2021.
The Macy’s stores involved in the most recent closing cycle are anticipated to shut down during the first financial quarter of the business in 2022. This was traditionally finished in late July or early August. By January 29, 2021, the conclusion of the third quarter of 2021, Bloomingdale’s is anticipated to close.
Macy’s said in mid-November that it would close around ten stores in January. Out of a batch of 125 closures, the company targeted to go out of business by 2023. The retailer had been on pace to close more sites, but it announced it was rethinking when to complete the 60 open stores still in operation.
According to Chief Financial Officer Adrian Mitchell, “the postponed closure of some locations allows us to keep a physical presence on the market, which is vital to our top-line growth.” “Markets with our stores have higher digital performance.”
In response to demands from activist investor Jana Partners to separate Macy’s stores from its e-commerce division, the retailer is also reviewing its operations with consulting company AlixPartners.
As part of its three-year strategy, Macy’s revealed a list of dozens of department store sites that would be closed in January 2021. However, as the corporation manages a reduced portfolio of locations, the pace of closures is reducing. There are 516 full-line Macy’s locations there. As it shutters its more significant sites anchored at conventional malls, Macy’s has also been trying relatively small and off-mall locations.
The list of store closings in 2022 is mentioned as follows:
- Alabama: Brookwood Village, 614 Brookwood Village, Mountain Brook
- California: Puente Hills Mall, 1600 S. Azusa Ave., City of Industry
- Colorado: Twenty Ninth Street Mall, 1900 28th St, Boulder, Streets at SouthGlenn, 6801 S University Blvd, Centennial
- Florida: Bloomingdale’s Outlet Store, Miromar Outlets, 10801 Corkscrew Road, Estero
- Missouri: Summit Fair, 900 NW Blue Parkway, Lee’s Summit
- Texas: San Jacinto Mall, 5000 San Jacinto Mall, Baytown
Macy’s site closure in 2023
Following the closures of Old Navy and Big Lots, Macy’s will also make some cuts. According to a December 12 article in The Coloradoan, the department store chain will close its location at the Foothills retail center in Fort Collins, Colorado, in 2023.
The Fort Collins Macy’s will permanently shut down in March 2023. This was according to Stenn Parton, president of Prism Places, the company that now owns the mall.
According to The Coloradoan, Macy’s has been a part of the Foothills retail mall for nearly 50 years. It is also the center’s final surviving department store. Parton informed the newspaper that the mall would go through a rehabilitation project due to Macy’s decision to shut down the store rather than move it completely.
That, he continued, “is the paradox of retail today.” For a long time, “many of these department stores supported these projects.” Best Life contacted Macy’s for more details about the closure but has yet to receive a response.
In February 2020, Macy’s declared that it would be closing 125 of its department stores by 2023. Macy’s CEO Jeff Gennette told CNBC at the time, “We are pushing the company through major structural changes to save expenses, bring teams closer together, and eliminate duplication of effort.”
Old Navy’s owner, Gap Inc., recently disclosed widespread closures for several other brands. The holding company of the chain announced its intention to close 350 Gap and Banana Republic locations in North America by 2023.
Macy’s and Pure Beauty Salons “discontinue their partnership”
The most recent victim of retail store closures in 2022 is a chain called Pure Beauty Salons, which runs several of its sites in Macy’s stores across the country. A spokesman for Macy’s Inc. announced Pure Beauty Salon would stop operating in its shops in 2023 in a statement to WWD.
“Macy’s and Pure Beauty have chosen to end their collaboration in about 20 locations after giving it some thought. Even though these choices are never easy, Pure Beauty at Macy’s is honored to have helped Macy’s customers and communities.
A Pure Beauty Salons outlet at Macy’s Ala Moana Center in Honolulu, Hawaii, announced on Instagram on December 22 that it would close on December 31. Macy stated, “We regret to inform you that, effective December 31, 2022, all Macy’s Salons will be permanently closed.”
When Pure Beauty Salons closed a site in Michigan’s Birchwood Mall in 2018, it started a chain reaction of store closures. Like Macy’s, Saks Fifth Avenue, Neiman Marcus, and other significant malls also include Pure Beauty Salons in rented locations.
What Macy’s locations are closing in 2023?
By the end of December 2022, the business intends to close 33 locations throughout the country. It is to be noted that the store closings will impact 18 different states throughout the country.
Three locations in California and Washington state will be permanently closed. New Jersey, Florida, Texas, Hawaii, Florida, North Carolina, Georgia, Connecticut, Massachusetts, Maryland,
New York, Illinois, Kentucky, Ohio, Pennsylvania, and Indiana are the other 16 states where Macy’s stores have closed. According to Macy’s, “shops remain an important component of our multichannel retail world.”
By the end of the third quarter of 2022, 3 Macy’s Corporation locations had closed, leaving 722 locations in its retail inventory. The company needs to complete about 70 shops to accomplish the declared objective.
Sales have been shifted to put a greater emphasis on online fulfillment. Macy’s knows that their online sales are typically better in locations with shops. In a conference call discussing earnings, CFO Adrian Mitchell stated that “digital profitability is greater in the markets in which we operate stores.”
Executives are upbeat about the future of the business and feel that the store closings have improved the company’s financial situation.
Conclusion:
There are many rumors and speculative claims about Macy’s, but there isn’t any solid proof to support them. Employees at Macy’s and other stores would be impacted if the company went out of business. Experts have predicted that Macy’s may close stores soon because the corporation has been struggling for years.
References:
- https://www.the-sun.com/money/7026690/ macys-store-closures-locations-retail/
- https://bestlifeonline.com/ clothing-chains-closing-stores-jan-2023-news/
- https://wwd.com/eye/scoops/ macys-pure-beauty-salons-closing-1235458559/
- https://www.usatoday.com/story/money/shopping/2022/01/05/ macys-store-closing-list-2022/9077212002/