3 Ways Macy's Is Reacting to COVID-19
The COVID-19 pandemic crushed Macy's (NYSE: M) business earlier this year, and while the worst appears to be over, sales trends remain weak by historical standards. The department store giant is suffering from a combination of weak demand for some of the products it sells, low mall traffic, and the unwillingness of some consumers to visit stores in person.
During Macy's recent second-quarter earnings call, management highlighted several ways it is adapting to the abrupt change in the consumer environment.
Macy's had already made off-price retail a key part of its growth strategy before the pandemic struck. At its investor day in February, the company said it planned to continue adding more Backstage store-within-a-store locations to its full-line Macy's fleet while also opening new freestanding Backstage stores. During 2018 and 2019, existing Backstage stores -- even those attached to struggling full-line stores -- posted consistent comparable-store sales growth.
Source Fool.com
