Now, let’s think about what is Macy’s missing at this moment?
A brand that can satisfy younger generation’s need for fashion.
Overtime, Macy’s becomes a go to place for families’ holiday shopping, but not a place that younger generation will put in list. Young people have massive demands for everyday wearing. These demands from college and high school students are untapped sources for Macy’s.
Also, Macy’s is missing a brand that provides affordable high quality clothing for all genders. Going on social medias and different survey results online, you can easily find out and experience how tight the budgets college students have. Macy’s does an excellent job expending high-end products, but it needs a brand that is less expensive to attract customers with limited budgets.
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Peak is a clothing brand that carries a product line of affordable high quality outdoor wearing for all genders. It reaches an entire generation that Macy’s currently does not attract. We focus on the online market where students and younger generation spend more time on. Peak has its own website that customers can go to from the Macy’s website and also directly search on the internet. It is a user-friendly website that contains Peak’s brand stories, newest updated products, online customer services and an online fitting room function that customers can upload their pictures and have 2-D version of how they look in the clothes.
As I mentioned earlier, Peak’s primary target market will be all genders high school and college students age from 14-24. We have a series designs and marketing strategies to attract these groups to Macy’s. Peak’s secondary market will be young adult who just graduate from college. People in this period are easily ignored by market. They are under pressure of getting nice formal and casual outfits for their interviews, jobs and daily wearing within limited
As mentioned earlier about the type of customer that shops at the retail store, Kohl’s target market had always been a woman shopping for their family for a discounted price. However, the times have changed and it is not always the mom that does the shopping. There are now several stay-at-home-dads as well as independent Kohl’s customers that like to shop there for the amazing deals. Thus, the marketing methods of Kohl’s have changed dramatically within the past couple of years with their advertisements focused on attracting everyone in the family to the
JCPenney is a chain of American mid-range department stores that is based out of Texas that started over 100 years ago. JCPenny has been successful for most of its time up until the last three to four years. The company is trying relentlessly to overcome the lingering effects of the makeover that former CEO, Ron Johnson, had implemented in order for the company to take a new direction in hopes of increasing sales. The new CEO, Myron Ullman, has taken a close look into the markets demographic segmentation along with the income segmentation in order to attempt to return the retailer back to its old self, which is to appeal to middle-market customers. A couple issues of major concern for the company are the dissolving of Johnson’s Boutiques, the price of their products, and overall revenue.
After co-branding the Macy’s name with local Federated stores in 2003, the Macy’s division became the central focus for revamping. Federated descri...
Nordstrom retail stores have large hallways, and everything is presented in a very classy manner. The color scheme includes pale yellows, whites, and gold, to provide a more elegant appearance in the store in order to make the shopped feel special. The design is also seen through product organization. Compared to stores like Macy’s, which organize their products based on brand, Nordstrom organizes their products based on lifestyle. Because of this, it is easier for shoppers to find clothes similar to their style as opposed to by brand. In effect, shoppers will purchase more products. This also is a type of experiential retailing, where Nordstrom customers are able to experience the elements of their lifestyle within one section. More so, the product presentation will draw people’s eyes to products, even if they are not looking for it. This gives Nordstrom a competitive advantage in relation to other similar retail stores because it makes their store look more glamorous and high-end. While other stores may focus on value, Nordstrom utilizes the retail positioning strategy to make a customer feel more high-end and
Nordstrom is one of the top retailers in the United States. With a solid brand image and a sound financial situation, Nordstrom is relentless in their expansion in the US, and are beginning to expand into international markets. Nordstrom takes pleasure in providing state of the art client support and having experienced sales people. In order to hold their position as the most successful high-end retailer in the United States, Nordstrom must continue to figure out ways to improve their brand image and customer satisfaction. Nordstrom’s current business working strategy is successful but I believe there are a few ideal solutions that the organization could apply to further enhance the organization. Due to the aggressive characteristics of the fashion retail store market, it is crucial that Nordstrom preserves an aggressive advantage providing the highest level of customer support as possible.
In my review of the JC Penny case, I focus on understanding the main reasons for the decline of the JC Penny brand as well as ways to stabilize and revive it. First, I assert that the main causes for the brand decline were caused by the actions of then CEO Ron Johnson who misunderstood what the JC Penny brand was about, which caused the company to lose sight of its target market. From there, I suggest that the company bring back popular private label brands, begin listening to their customers, and embrace the growth of online retail. Finally, in order to ensure long-term success and stability, JC Penny must be repositioned as a modern brand that truly cares about meeting the needs of its customers by striving to inspire them in their everyday lives.
Across all channels, J Crew works to target those that are college-educated men and women who are fashion conscious and enjoy high-end fabrics. Their customer base is parallel to that of a Ralph Lauren or Ann Taylor shopper. J. Crew’s target market also varies across different channels. While they like to target a middle age, professional working class of both men and women, they have now also extended their pool of target customers to young adults through their affiliate store, Madewell. The e commerce segments of J Crew plays a big role as customers who engage with their social media outlets are likely to spend 2 times more according the 2014 Annual Report. This motivates J Crew to stay very active on all social media accounts including Facebook, Twitter, Instagram, and Pinterest. With store openings expanding throughout the country, J Crew targets those who shop in store with the eye-catching merchandising and the mixing of prints and
“Macy’s operating margin in 3Q15 fell to 4.4% from 6.8% in 3Q14, mainly due to asset impairment charges of $111 million related to the plans to close 35 to 40 stores in early 2016 (Bailey).” This decline was a result from not only lower sales but the company’s investments in digital growth in its Bluemercury expansion, as well as cost of entry into the China market and additional investment in the Backstage stores (Bailey). These factors could have appeared more detrimental if it had not been for the lower marketing expenses, restructuring initiatives, and a reduction in bonus accrual that were intended to counteract weak sales performance (Bailey). Higher digital growth helped to offset the decrease in earnings ("Macy 's Earnings Fall for
Does Macy’s have the right resources and capabilities for their current strategy? Why or why
Their targeted customers are “Modern Spenders” and “Starting Outs”, who shop for apparel, accessories, and home furnishings through the centers where JCPenney is located and through the convenience of catalog and the Internet.
Target markets their products to a variety of market segments when speaking about their clothing lines. The top three segments are Age-Related Segments and Gender-Related Segments. Targets approach to development, marketing and advertisement is based on seasons, genders, age in the terms of wants and needs and styles while also staying true to their brand imagine. Target has positioned itself as one of the biggest retailers with a brand imagine that can connect to the consumers, and the ability to develop and deliver high end products that come at an affordable price.
The company 's stores under the Bloomingdale 's brand offer high-end customers an assortment of established brands such as Armani, Burberry, Christian Dior..." (Bailey, 2015). "Macy 's target consumers include Millennials (and) the company has launched several collections aimed at Millenials" (Bailey, 2015). Macy 's plans to shape its products according to customer 's ethnicity and race. The company plans to enter the Hispanic fashion market, as "Hispanics account for about 17% of the US population" (Bailey, 2015). Macy 's launched a strategy known as the My Macy 's strategy. Through the My Macy 's strategy the company styles products at each of its current stores to the needs of its customers. The My Macy’s localization strategy is a focus strategy used by Macy’s, Inc. Through this strategy the company targets specific consumers by tailoring its products and inventory to the customer’s needs. "It is a localization tactic which accelerates the sales of its stores" (Schoneberger, 2012). Analysts at Boston Consulting Group have advised that Millennials, individuals between the ages of 16 and 34, will account for $1.3 trillion in annual
However, despite their success, all the negative press and controversies has lead to Abercrombie coming under pressure from activist investors to shake up management, who this month said they want to see more dramatic changes at the company, saying the retailer needs a new strategy after four straight quarters of declining sales. Bloomberg News reported“As part of its turnaround effort, Abercrombie is repositioning its brands… aimed at shoppers with more money to spend, rather than teens. The Hollister brands… will use low prices and rapidly changing styles to recapture customers who’ve turned to chains like Forever 21.” (Bloomberg, 2014)
This is how Ross Stores has maintained successful and has expanded their many stores throughout the states. Ross stores maintains successful by constantly targeting all potential customers who are savvy shopper and earn moderate salaries. This is the reason Ross Stores works hard on getting their commercials seen by adding various styles and products they have. Ross does not concentrate on only one group of people but they always have something for every group of people such as products for men, women, kids, and pets. With this many products to offer their customers, Ross is always looking to grow and open more stores near their
“To become a top performing international retailer”, Mr. Price strives to add value to their customers and worth to their partners’ lives. Since the opening of the first Mr. Price store in 1987, the company has pulled out all the stops to make it as successful as it is today. It offers on trend clothing, footwear and accessories at competitive prices. Mr. Price’s apparel is pitched to 16-24 year olds who want to ‘keep abreast of the latest international trends at exceptional prices”; it is no surprise that they have many competitors like Jay Jays and Cotton On.