What: Macy’s is launching 4 new private labels in order to differentiate on the market.

Why it is important: This part of the business has remained essential for department stores across decades, and have gone through various cycles. After having been used to fill in gaps in price maps, they are now, and the IADS advocates for such a use, part of the retailer’s brand expression.

Macy's is intensifying its efforts to boost its private brand business with the launch of four new private brands by the end of 2025. The company's private brands currently make up around 16% of its annual sales, a number that it wants to increase back to around 20% as it did before the pandemic.

The first of these, called "On 34th," is set to launch on August 17. Macy's aims to expand its private brand offerings to cater to its customers' needs and desires while enhancing brand loyalty.

Macy's has conducted extensive research and data collection to inform its private brand strategy, focusing on customer preferences and trends. With this initiative, Macy's aims to differentiate itself in the market and attract more customers to its high-margin categories like apparel.

Inside Macy’s plan for private brand