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Macy's to open new outlet concept at local shopping center

March 23, 2018

Retailer Macy’s Inc. is bringing its outlet-store concept to Indianapolis next month with a location set to open April 14 at Greenwood Park Mall.

The 17,500-square-foot shop, called Macy’s Backstage, will be a store-within-a-store space on the first floor of Macy’s existing 154,900-square-foot store in Greenwood.  

The retailer describes Backstage’s inventory as “a constantly changing assortment of on-trend merchandise at 20 to 80 percent off traditional department store prices.”

Macy’s says the concept isn't just a way to repackage its in-store clearance items. Company spokeswoman Emily Workman told IBJ in an e-mail that Macy’s Backstage will sell “a combination of overstock from other stores, deals from vendors and new connections in the marketplace.” 

Macy’s launched its Backstage concept in 2015 with four sites in the New York City area. By the end of 2017, the retailer had 52 Backstage stores—seven freestanding sites, and 45 within its existing portfolio of 670 Macy’s stores.

Macy’s also is opening a Backstage in its Tippecanoe Mall store in Lafayette on April 14. It opened its first Indiana Backstage last year in Merrillville.

The Backstage shops will carry some categories of merchandise that Macy’s already sells--men’s, women’s and children’s apparel, beauty items, jewelry, and handbags. But Backstage also will carry some new categories of items, including gourmet foods, home decor, pet supplies, toys, children’s shoes and electronics.

“Macy’s will still have ‘Last Act,’ our clearance sections, within the full-line store,” Workman said.

Cincinnati-based Macy's last month reported a same-store sales increase of 1.4 percent in its fiscal fourth quarter, which included the all-important holiday season. The results ended an 11-quarter decline in same-store sales. CEO Jeff Gennette, who took the position last year, gave credit to Backstage for boosting sales and vowed to open more locations.

Gennette said Macy's locations containing Backstage stores have seen sales rise by 7 percentage points over traditional Macy's stores.

Workman said Macy’s plans to open another 100 Backstage shops this year, including the Greenwood and Lafayette locations. There are no current plans to open them at Macy's stores in Castleton Square and Glendale Town Center.

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