Macy’s “Backstage”: Who’s the target customer?

Macy’s is apparently pleased enough with the introduction of its off-price division (“Backstage”) to roll out more locations. Meanwhile, the company is telling investors that the vehicle is aimed at the “Millennial Mom” who is not shopping in its department stores today, in hopes of trading them up someday. My RetailWire comment expresses some skepticism:

Maybe Macy’s research indicates that the “Millennial Mom” is more likely to shop at Backstage than at its traditional stores—but if so, they have a different problem that they need to address. Simply hoping that the “Backstage” customer will eventually shift her loyalties to a full-line Macy’s store ignores the reality that fast fashion and off-price stores are changing shopping habits on a long-term basis. How does Macy’s make its hundreds of mall anchor stores more appealing and relevant to the fastest growing (and eventually biggest spending) segment of the population?


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