In this past week’s Macy’s M +0.5% Inc. earnings call, the most surprising news was the opportunity it sees in luxury. It surprised CNBC’s Lauren Thomas too, who immediately got on the phone with CEO Jeff Gennette to get the scoop.
He said the collapse of competing luxury department stores, notably Barney’s, Neiman Marcus, and Lord & Taylor, combined with the announced closure of 16 of Nordstrom’s JWN +2.8% current 116 full-line locations, gives Bloomingdale’s running room to fill the void.
Overall, he identified some $10 billion in market share “up for grabs” because of the disruption in retail. Given the current state of department store retail, Macy’s and Bloomingdale’s have a lot of work ahead to capture some of that available market share.Forbes