Macy's and Dillard's

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This report presents data describing the differences amongst the two department stores, their fundamental visions, and comparative statistics. Macy’s or Dillard’s: Differences amongst these competitors There are several aspects you can analyze from each department store. Major pieces do set each one apart from the other. Brand names carried by Macy’s and Dillard’s from an average shoppers point of view can go completely unnoticed unless price is involved. For trend shoppers brand names can either make or break a retail store. It can easily determine if he or she will walk to Macy’s or Dillard’s because they already know the store does or does not carry that brand. This is consistent with each department throughout both stores and affects revenue significantly. Macy’s currently has 15 private labels which include: Alfani, American Rag, Charter Club, Club Room, First Imoressions, Green Dog, Hotel Collection, I-N-C International Concepts, JM Collection, John Ashford, Material London, Style & Co, Taso Elb, The Cellar, and Tools of the Trade. Dillard’s brand names include: Cypress Links, Lawton Harbor, Oak Creek, Roundtree & Yorke and St. Durand, Bechamel, Cabernet, Copper Key, Preston & York and Westbound, Class Club, Brioso and Simply Comfort. Store appeal is another difference between the two retail stores. Macy’s has recently revamped all of their stores with a new trendier design and customer friendly use. Dillard’s is still conservative and plain when you walk into one of the department stores. The younger crowd would gear more towards Macy’s as a first choice of shopping. Elements that Macy’s brought into play were minor, but important customer satisfactions such as wider fitting rooms with waiting areas, international visitor centers and a dining experience in select stores. Macy’s also integrated the self-price check throughout their stores which relieves a lot of customer service, when you have the famous, “How much is this?” question. Dillard’s is trying to keep there upscale appeal. The older crowd is a majority of Dillard’s customer appeal. The store tends to be quieter, subtle and relaxing. Dillard’s also has a larger variety of luxury items which tend to be pricier when compared to Macy’s. Marketing strategies between the two department stores are also different. Macy’s marketing strategies have a lot to do with the sale of the week or current holiday. You can open any newspaper or mail-in advertisement and 90% of the time you are offered a Macy’s coupon or notified of the current sales going on. Macy’s national brand advertising includes network and cable television, fashion magazines and an increasing amount of digital and online media. Complementing the brand marketing is a balanced level of promotional advertising and direct marketing, often including specific items and prices, which drive traffic and sales. Macy’s excels at layering on events and activities that touch the customer directly. This includes the worldwide impact of the Macy’s Thanksgiving Day Parade (with 3.5 million live viewers and a TV audience of 50 million), down to a local store personal appearance, which may attract hundreds of customers to see a fashion show or a cooking presentation by a celebrity chef. Both stores have suffered within the past couple of years due to a decrease in consumer spending, so marketing strategies are a key component for both retail chains to succeed in sales and revenues. When compared to Dillard’s, you are rarely given a coupon. Dillard’s will advertise their new merchandise for the fall line up or the new make up counter promotion going on. Coupons tend to drive the consumer to that particular retail store because everyone can use savings. Dillard’s advertising and promotional costs, which include newspaper, television, radio and other media advertising, are expensed as incurred and were $197 million, $205 million and $229 million, net of cooperative advertising reimbursements of $67.1 million, $67.1...
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