Macy's, Inc. (NYSE:M) Q3 2019 Earnings Conference Call - Final Transcript

Nov 21, 2019 • 08:00 am ET


Macy's, Inc. (NYSE:M) Q3 2019 Earnings Conference Call - Final Transcript


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Jeff Gennette

store, on mobile or across channels.

We also expect Bloomingdale's and Bluemercury to hit their strike for holiday, and both brands also have strong gifting strategies. Additionally, Bloomingdale's is continuing to amplify the experiential edge of its brand with exciting events and personalized service for both customers and visitors this holiday season. Last week, we opened our 39th Bloomingdale's. This new store in Norwalk, Connecticut will help us build on Bloomingdale's strong presence in the Northeast.

Holiday season officially kicks off for the Macy's brand next week with the 93rd Annual Macy's Thanksgiving Day Parade. This is a time for us to engage with the more than 50 million viewers that tune in live for the parade. All eyes are on Macy's, and the increased media weight we're putting around the parade is part of our strategy to drive consideration with occasional customers.

As we announced this morning, we will hold an Investor Day on February 5 to share our growth strategies and our three-year plan. We remain intensely focused on areas of the business that are working, and there are many, but we are also taking a fresh and hard look at the things that aren't working. At Investor Day, the team and I will take you through, first, a view of the Macy's customer franchise and actions we are taking to drive further engagement with our existing customers, while we also bring new customers into the brand. This will include our merchandising strategy to deliver quality fashion at affordable prices.

Next, a detailed view of our omni-channel growth strategies, built through the lens of our customer journey, this will include an update on our store segmentation. We will also share plans for our digital business, both mobile and dot com and the steps we're taking to further strengthen this engine of growth and profitability.

Next, an update on the productivity program that we shared in September. We've seen positive early results and have a road map to significantly accelerate these savings. This will include detail on our supply chain transformation.

And lastly, we will also share other actions we are taking to build a playbook to compete effectively in today's retail environment. Retail is evolving at a rapid pace. American consumers love the Macy's, Inc. brands; Macy's, Bloomingdale's and Bluemercury. And while we have made good progress on how we do business, there is more work ahead. We are taking significant steps and decisive action to change our course and to return to profitability growth. Our brands are stronger than our performance reflects. We have a road map to close this gap, and we have a clear vision for our future.

With that, we're going to open up the line for Q&A.