Black Friday and Christmas are not very far and what worries Macy’s is its sluggish digital growth in the third quarter.
The American fashion retailer has seen a digital growth of just 27 per cent in Q3. That’s much slower than what it was in Q2. It was a brisk 53 per cent growth back in Q2.
The slow online growth yet again reflects the struggle Macy’s is going through owing to the pandemic.
Experts and analysts believe 27 per cent is way below the digital sales growth of several other fashion retailers. That’s something Macy’s is aware of and would be worried especially now with the holiday season nearing.
27 per cent digital growth does not even make up for the huge sales slump that the retailer has seen in its bricks-and-mortar stores.
More on the same, Jeff Gennette, CEO, Macy’s, said that though 3 of its brands, namely Macy’s, Bloomingdale’s and Bluemercury have recorded strong performance in Q3, the retailer is closely watching the resurgence of the pandemic and its effect on its business.
There is pressure on Macy’s now to perform well digitally during the holiday season. However, an optimistic Jeff told analysts on Thursday (19 November) that he hopes to see Macy’s online business to grow aggressively in the near future.
Meanwhile, some other fashion retailers have witnessed good third quarter, which include the likes of Target.