Today, retailers face a considerable amount of competition, more than before. The Internet has allowed many new startup retailers to help launch with minimal strategies. Some of these new Internet retailers never even warehouse their personally own products, they simply drop ship other retailers products and solutions, making it much easier for them to keep their resources poor and use their revenue manufactured from sales to put back into marketing of their web sites.
So as all these new retailers are blessed, how does this affect the bigger retail department stores for example Macy’ s, Sears, Nordstrom, JC Penny, and Bloomingdale’ s? Well according to an article I found on the Denver Post website, “ Researchers say department stores are losing customers -- particularly younger ones, who tend to favor big-box discounters, specialty boutiques and the Internet - because their merchandise is accessible elsewhere and service tiers have slipped. ”
So what does this mean for these major stores like Macy’ s? Well in my option, it means that they need to reduce their prices in an effort to compete. If the more radiant generation is moving a lot more towards making purchases via the internet, then these department stores need to cut their prices in order to become competitive players once once. Everyone would rather put on a new pair for jeans, rather than produce blind purchase off online; however, if it usually means saving $30, I and many others, would rather make the invest in an online retailer and if it doesn’ t in good shape, we will merely gain it… no biggie.
These department stores are also beginning to compete while in the sense of aesthetics. In these highly competitive situations, retailers are embracing good looks and design with restored emphasis. Some of the main names in retailing include poured millions into stash makeovers, including Macy’ s, which just completed a conversion of six original area Jones Stores. An article on The Kansas Location Star, explains how these large stores are changing their designs in order to draw in more folks and increase sales for their stores once again.
So as you can see, this is an extremely volatile time for section store retailers like Macy’ s, Sears, Nordstrom, JC Penny, and Bloomingdales. The Internet has grown to become so competitive that the major stores are losing money at an increasing rate. Even the prices on their websites cannot compete with some of these other online retailers, especially the ones that drop ship. The time currently is for these department stores to swap their design, revamp your image, compete in aesthetics, and reduce their selling prices once and for all… for survival is on the line.
