Macy’s is moving forward with significant downsizing as part of its “A Bold New Chapter” initiative, with plans to close 66 stores and begin liquidation sales in January 2025. This move is a continuation of the retailer’s long-term strategy to address declining sales and adapt to a rapidly changing retail landscape. By focusing resources on its most profitable locations, Macy’s aims to remain competitive amid challenges in the department store sector.
Macy’s Downsizing Strategy: What’s Behind the Closures?
The closures come as part of Macy’s ongoing efforts to streamline operations and invest in its “350 go-forward stores,” which include its most profitable and strategically located properties. CEO Tony Spring stated that closing underperforming stores would allow the company to prioritize these investments and better serve customers.
This marks another step in Macy’s broader plan announced in February 2024 to shutter 150 stores by the end of 2026—representing about one-third of its locations. These efforts are part of a larger industry trend, as traditional department stores struggle to compete with e-commerce giants, fast-fashion retailers, and big-box stores.
Key Details of the Closures
Scope of the Closures
The 66 stores slated to close in 2025 include a mix of full-line department stores, furniture galleries, small-format Market by Macy’s, and stand-alone Backstage locations.
Timing
- Clearance Sales: Liquidation sales will begin in January for most full-line and small-format stores and will last 8–12 weeks.
- Furniture and Backstage Stores: Sales will begin in February and run for approximately six weeks.
Affected States
The closures impact numerous states across the U.S., including prominent locations in New York, California, Florida, and Texas. Key closures include Macy’s stores at Philadelphia’s Center City, Brooklyn Downtown, and Los Angeles’ Downtown LA Plaza.
The State of Department Stores
The department store industry has faced long-term challenges, including the bankruptcy of major chains like Sears, JCPenney, and Neiman Marcus. Macy’s itself has struggled, with previous plans in early 2020 to close 125 stores falling short, as only 80 were closed. This latest round of closures underscores the ongoing difficulties faced by legacy retailers.
Macy’s competitors are also downsizing:
- Kohl’s recently announced it would close 27 stores by April 2025.
- Nordstrom and other department store chains have also scaled back operations in recent years.
A Focus on Premium Brands and Smaller Formats
While downsizing, Macy’s is simultaneously pivoting toward high-end brands and smaller, localized stores to enhance customer experiences. Its “350 go-forward locations” strategy emphasizes stores with strong revenue potential, updated formats, and integration with digital operations.
This shift aligns with broader retail trends, as consumers increasingly prefer a combination of premium shopping experiences and the convenience of e-commerce.
Complete List of Macy’s Closures in 2025
Below is a summary of notable closures:
| State | City | Location |
|---|---|---|
| Arizona | Mesa | Superstition Springs Center |
| California | Los Angeles | Downtown LA Plaza |
| Florida | Tampa | West Shore Plaza |
| New York | Brooklyn Downtown | 422 Fulton St. |
| Texas | Houston | Almeda Mall |
| Pennsylvania | Philadelphia | Center City |
For the full list, refer to Macy’s official announcements or local news.
What’s Next for Macy’s?
The retail giant remains committed to evolving its business model. Investments in e-commerce, premium product lines, and store remodels are central to its strategy moving forward. Macy’s is betting that a more streamlined and focused operation will help it maintain relevance and profitability in a challenging retail environment.
FAQs:
Why is Macy’s closing so many stores?
Macy’s is closing underperforming stores to focus on its most profitable locations and adapt to declining sales and changing consumer behavior.
When will the liquidation sales start?
Clearance sales for most stores will begin in January 2025 and last 8–12 weeks.
Are all Macy’s locations closing?
No, Macy’s is focusing on its “350 go-forward locations,” which represent its most profitable and strategically valuable stores.
