Macy's Knockoffs Are Not Doing Well?

Well it seems that the people over at Macy's are having a tough time with this recession. It seems that the "Macy's Model" of doing business is out dated, irrelevant, and well out of fashion. According to an analysis of the business by Gerson Lehrman Group, Macy's has done well for itself in the past by building a strong private label. This was done by Macy's bringing trendy item pieces quickly to market with attractive price points even with markups. It was commonly accepted that a department store would also carry its own line of apparel (Lord & Taylor and Saks also do this). This recession has basically prevented obvious trends from forming. When there are no obvious trends, there is nothing for Macy's to "knock off" from major designers in order to churn out their own private label. Designers have been loath to present anything "trendy" for fear that consumers would revolt because the pieces would have a limited shelf life. Fast fashion chains like Uniqlo, H&M, Zara and Forever 21 have also cut into potential sales for Macy's.

Since Macy's does not have the resources to actually retain actual design talent, what will Macy's do with its private label? My recommendation is that Macy's attempts to create classic basics for any working individual's wardrobe. It does not require design talent (well expensive design talent) and it will lure shoppers back to Macy's. What will happen? Only time will tell.