Macy's Marketing Mix (4Ps) & Marketing Strategy
Marketing strategy of Macy's through marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion).
Macy's Product Strategy:
Macy’s being a department store has a wide variety for products. They have apparel for men, women, juniors and kids including plus sizes. All these give an insight in the marketing mix product strategy of Macys. Macy’s also has Bed and Bath products like linen, bedding, sleep solutions, mattresses, shower curtains and home essentials. They also provide products for beauty, fragrances, hair and cosmetics for both men and women. Besides these they have Handbags and accessories, jewelry and watches. Best sellers, Luxury and Smart are the watch categories for both men and women. They even have strollers and gears for babies, backpacks, costume party wear, toys and games for kids. Macy’s also have furniture, kitchen essentials, home furnishings, dinnerware and luggage. Macy’s has a personal stylist service to find the perfect look for every occasion. This service gives women an altogether different experience and helps them connect with Macy’s thus increasing brand loyalty. All the products are of top featured brands like Calvin Klein, Michael Kors, Levi’s, Ralph Lauren, Nike, Adidas, etc.
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This concludes the product strategy in Macy's marketing mix & strategy.
Macy's Price/Pricing Strategy:
Below is the pricing strategy in Macy's marketing mix strategy:
Macy's has a diverse product offering hence has a varying pricing strategy as a part of its marketing mix. Products across their various categories have varying prices.
The prices of products available in countries are quite affordable. The prices for some developing markets are slightly on the higher end owing to shipping costs included. Their online as well as retail stores provide a lot of clearance sales, constant sales, deals of the day, discounts, coupons and specials. They launched a customer loyalty program with huge benefits for its largest customers. They issued credit cards for 14 million accounts which led to additional savings. Macy’s online store provides benefits to customers to shop apparel for juniors by price as per the various categories like under $15, $20, $25 and $30.
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Macy's Place & Distribution Strategy:
Following is the distribution strategy in the Macy's marketing mix:
Macy’s has visibility in more than 700 locations across United States with more than 800 stores. Macy’s store locations were divided into 4 divisions namely Macy’s North with headquarters in Minnesota, Macy’s East with headquarters in New York City containing 200 stores, Macy’s Central and South with headquarters in Atlanta containing 100 stores, Macy’s Midwest in Missouri containing 100 stores, Macy’s West with headquarters in San Francisco containing 200 stores, Macy’s Northwest with headquarters in Seattle containing 50+ stores and Macy’s Florida containing 50+ stores. Besides United States they have a store in Dubai and Paris, their flagship store. They are also present online and provide services to over a 100 other countries with a shipping cost. Macy’s provided store fulfillment to 500 stores.
They also provided a Buy Online Pick Up at store policy and same day delivery in certain inmarkets.
Macy's Promotion & Advertising Strategy:
The promotional and advertising strategy in the Macy's marketing mix is as follows:
Macy’s is promoted mainly through print media like magazines, television and radio advertisements. They have a strong presence on social media, YouTube as well as their website. They provide store catalogs giving customers an idea about the products currently available, any sales of discounts and other such benefits thus increasing customer satisfaction. These catalogs are available either online or in their stores. Macy’s provides store cards and every card holder gets daily and weekly circular about information that they need. Customers who make credit card purchases receive catalogs via emails based on purchase histories. These emails being personalized increased sales to a huge extent. They provide wedding and gift registry, credit services and Macy’s culinary council at My Macy’s to connect more with customers and get closer to them. Macy’s also conducts an annual thanksgiving parade. Through all these promotional activities Macy’s have a huge customer base wherever they exist.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Macy's.
People:
Macy's has over 150,000 people are a part of the employee workforce. Millions of customers are associated with the brand as loyal customers at their stores. But the customers are also accessing the online platforms to use Macy’s as medium for their shopping. The staff at Macy's are trained to offer the best customer services & provide any resolution that the customers are looking for.
Process:
Macy’s being a departmental store has developed products which involve different sections of customers. All their presence on social media also provides a platform for users to connect all over the world. They offer personal stylist services for women as well thus attracting women to buy their products. They also come up with new products or enhance the old ones to engage customers in their various target segments.
Physical Evidence:
Macy’s has a huge presence offline and online. They have stores in various countries. Macy’s also provides a Buy Online Pick Up at store policy and same day delivery in eight markets. Being a departmental stores they are widely present across various cross sections of customers. This covers the Macy's marketing mix.
About Macy's:
Macy’s Inc owns two divisions Macy’s and Bloomingdale’s, both of which are departmental stores. Macy’s was originally named RH Macy & Co after the founder Rowland Hussey Macy. Macy’s opened in 1858 as a small fancy dry goods store on the corner of a New York street. By 1877 it grew to be one of the largest departmental store of the world occupying 11 adjacent buildings’ ground space. Federated Department Stores Inc. now known as Macy’s Inc. acquired R.H. Macy & Co to become the largest premier Omni channel retailer in the world.
Macy’s kept acquiring new stores as well as expanding into new geographic markets throughout the United States. The annual revenue of the company is in the range of $20 billion.
Browse marketing strategy and 4Ps analysis of more brands similar to Macy's. The Marketing Mix & Strategy section covers 4Ps and 7Ps of more than 800 brands in 2 categories.
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