Well, insite tells me I should be happy that my store is in some pilot program for the introduction of backstage merch. This is the obvious precursor to my store getting a full on Backstage. And I'm in a flagship store in a nicer mall in the northeast.
This just took a very bad turn. Once you go backstage, you know your store is in the dumper and there's no way out.
Time to get out.
I work in a top 150 store in shoes. 2 of the stores in my city are going to Backstage. They have open sell in the shoe dept. They are selling the same shoes that I sell at full price for 50% off. And to make it worse, when they don't have a size in stock, they send the customer to my store which they are not supposed to do. Instead of transferring the shoes to stores that can sell them at full price, they are selling stuff below cost which makes no sense whatsoever. Transferring the merch would also eliminate buying the same shoes from the vendors, saving $$. Am I wrong with this thinking?
If you look at the earned income most of it comes from credit card debt not merchandise sales
I'm in a store with that has had a backstage for well over a year now. They were trying to do a take on Nordstrom Rack when they did this and it was all merchandise that Macys didn't carry at first. So it wasn't supposed to compete with Macys, but be an addition and an alternative for people to look at things the main stores don't have! Now, the home section is amazing as it it truly like a home goods, which people love. The shoes are ok and they have a really active skincare/cosmetics section. Over time though, we've started to see actually Macys product in there! We've actually found home items we are actually still selling in the main stores over there in the bedding sections at totally different prices! So, I don't know who is delegating merchandise for Macys and backstage, but they are definitely not cross referencing. Also, customers often get really frustrating because they walk into backstage from the main store (it's free flowing) and don't realize they are in a different business unit technically and get annoyed when they can't use coupons! I understand the concept. But they executed it in the worst way. They really should have done backstage as free standing buildings away from main stores. That way people who want to go to backstage would go there as their true destination point just like they do when going to TJMax/Marshalls. Trying to save money by using existing space in main stores only ended up costing more money in the long run as it decreased main store space for main store merchandise and confused customers. The executives who are making these decisions should have their positions cut honestly.
Yes, it is time to get out. The original thought behind the Backstage concept was to open freestanding stores and get into the off price business.....where Macy's could sell the damages and MOS merchandise instead of moving that merchandise to other off price retailers. Because of the current financial position of Macy's, I am guessing that the company has decided to not open as many free standing Backstage stores, and use existing real estate for this concept. That would save the company money. Macy's is carrying so much debt right now....billions and billions.....and there are interest payments on the debt. Internally, I think that the company is in a HUGE mess, far worse than what is being let on.......