Macy’s To Go Hyphen-less
By George Anderson
Say goodbye to Bon-Macy’s, Burdines-Macy’s, Goldsmith’s-Macy’s, Lazarus-Macy’s and Rich’s-Macy’s and hello to just plain Macy’s.
Federated Department Stores announced it was doing away with its hyphenated regional department store banners and turning its attention to building the Macy’s brand. Federated also operates the Bloomingdale’s chain.
Terry Lundgren, chief executive of Federated, said, “By focusing all of our efforts on Macy’s and Bloomingdale’s, two of the world’s best known and most formidable retail nameplates, we will be able to maximize the incredible potential inherent in both of these brands through distinctive, consistent and far-reaching marketing initiatives.”
The retailer expects the move to a single banner to cost it about $600 million as it changes signage, shopping bags and other items carrying the currently hyphenated names.
It does expect the move to help it realize efficiencies in the long run. According to a report on the CBS.MarketWatch.com Web site, “Federated hopes to launch more cost-effective national advertising campaigns under the iconic Macy’s name.”
There will be 423 Macy’s operating across the country after the name change has taken place.
Federated’s Lundgren said that, while the company may be doing away with the regional names associated with the department stores, it intends to continue focusing on delivering products unique to the individual markets in which it operates.
“This traditionally has distinguished Federated from other department-store retailers, and we believe this approach represents a clear competitive advantage for us,” he said.
Moderator’s Comment: Will the removal of the original department store names in front of the Macy’s banner be viewed positively or negatively by consumers
in those markets? What impact will the name change have on how Macy’s operates/markets its business and how consumers view it?
What’s in a name? Perhaps, we’ll find out with Federated’s conversion of the hyphen Macy’s. As the CBS.MarketWatch.com article pointed out, all of
the names being replaced were regional stores with “long histories of their own.” –
George Anderson – Moderator