US retailing icon, Macy’s will soon begin to sell consumer electronics after sealing a partnership with CE giant Best Buy. The deal is aimed at firstly, attracting a new breed of shopper and second, retaining existing customers who are “gravitating” to things outside of the merchandise categories offered at Macy’s.
Macy’s second-quarter sales were down 2.6% from the previous year and Macy’s CFO Karen Hoguet, (pictured) said one of the categories of greater consumer interest to the retailer is electronics.
“We are trying to bring products into our assortment that fit that need and also still explore opportunities vis-à-vis license partners,” Hoguet said in response to media questions about the options for bringing in items that better draw consumer dollars.
Kicking off with Samsung
The pact with Best Buy will test 300-square-foot consumer electronics departments in 10 Macy’s department store locations, starting November 2015. The stores will sell Samsung smartphones and tablets, among other gadgets. The test will continue through the holidays and into early 2016 at which point the retailer will decide their next step, according to a statement from Macy’s president Jeff Gennette.
According to Macy’s spokesman Jim Sluzewski, it has been “a number of years” since Macy’s, founded in 1858 has carried any sort of consumer electronics. However, the retailer is no stranger to licensed departments. Sunglass Hut has outlets in Macy’s stores nationwide, and the department store has deals with other companies, including Finish Line an athletic wear and accessories company. In June, Macy’s signed a deal with Men’s Wearhouse to provide tuxedo rentals in 300 stores.