Sales Not so Bright for Macy's

The closing of hundreds of Robinsons May department stores came as a surprise and upset to many Robinsons customers. After Federated made the purchase in 2005, the final stages of the purchase become apparent this past May when more than 400 Robinsons May stores became Macy's stores.

However, Federated only posted a loss in the third quarter blaming the purchase as the reason for the loss. Executives said it was too soon since the purchase to make any rash conclusions that the majority of Robinsons May customers may have defected to other shopping outlets rather than shop at Macy's. However, some in the industry speculate some Robinsons May customers have been lost to Kohl's or Target as a result of the purchase.

In an effort to boost sales for the next quarter, Macy's stores are expected to carry more gift-like pieces of merchandise such as electronics, but will this be enough to take back the entire lot of Robinsons May customers, or at least a good amount of them? Some say no.

After the closing of Robinsons May, none of the existing department stores have come in to take the company's spot.  Robinsons May was always known as the middle of the road department store. It wasn't overly expensive like Nordstroms or Bloomingdales. However, it carried many quality pieces that were relatively trendy without being tacky.

In addition, Robinsons May was known for its stores' sales. Rarely were there times when customers went in and would have purchase an item of clothing at full price, which is an occurrance yet to be seen at Macy's stores.

Macy's has always been known for stocking clothing on the higher price end carrying mostly conservative clothing styles, and it is hard to say that much has really changed since Macy's parent company, Federated purchased Robinsons. With the potential of gaining customers, one would have thought Macy's would have made an attempt to cator to the Robinsons May customers without making such drastic changes as to turn away the typical Macy's customer.