Retail and department stores across the country have struggled in 2017, and to increase their marketing success, Macy’s department store company is partnering with advertising agency BBDO.
According to AdvertisingAge, Macy’s hired the New York creative agency in after having made the announcement of a new marketing strategy two weeks prior. Before BBDO, Macy’s had been using the marketing services of creative agency Figliulo and Partners.
In a statement, Macy’s vice president of media relations Julie Strider said, “As part of the next evolution of Macy’s marketing approach and following a closed review among a select group of agencies, we have selected BBDO New York as our new creative agency of record, effective immediately.”
Despite the department store company’s higher second-quarter earnings in early August 2017, Macy’s quarterly sales had continued on a steady decline for the 10th time in a row at a 2.8% drop. Over the course of 2016, Macy’s had spent up to $591 million on marketing and media presence, an 18% decrease since 2015.
Approximately 32% of B2B marketers are reported to have come up with a documented content marketing strategy in 2015, according to the Content Marketing Institute. However, with department stores facing competition from online outlets and e-commerce companies, even heavy hitters like Macy’s need to rethink their marketing strategy.
Now, with the assistance of BBDO New York’s Jim Reath as senior VP, the company hopes to make a better start despite the estimate of a general earnings decline for the rest of 2017.
Macy’s intends to make its marketing strategies more compelling to audiences by simplifying its promotions and targeting specific persons and age groups, a marketing approach many businesses including bookselling company Barnes and Noble have found to be successful. The company additionally plans to use an approach coined by Richard Lennox, Macy’s new Chief Marketing Officer.
The approach includes abandoning 30-second TV spots on a national level and instead using 15-second advertisements on regional TV stations. The approach is intended to make ads more personalized, localized, and more captivating to audiences.
Strider added, “BBDO New York will be a great partner for us as we execute our ‘Familiar to Favorite’ strategy centered on building Macy’s brand love, fashion authority, loyalty, and value.”
Photo: David Williams — Bloomberg via Getty Images
15Sep
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