Macy's to develop customer segmentation models
Macy's Inc. has signed an agreement with consumer insight firm DunnhumbyUSA to analyze Macy's customer sales data, develop customer segmentation models and work with Macy's to apply the learnings to accelerate future sales growth.
Under the multiyear agreement, Macy's will be DunnhumbyUSA's exclusive client in the department store category.
The deal will support the My Macy's strategy, a locally driven merchandising initiative meant to put the products customers want in the local Macy's stores they shop. The My Macy's program was announced in February.
“Macy's now has this new organizational mode in 20 districts to improve the assortment,” said Jim Sluzewski, a spokesman for Macy's. The deal with DunnhumbyUSA “is an additional piece to that initiative of analyzing specific customer data and reaching every customer in a way that is meaningful to her,” he added.
The goal is to leverage knowledge of customer segments to drive same-store sales, profitability, customer loyalty and, ultimately, shareholder value.
"For Macy's to continue to build a sustainable competitive advantage, we need to fully understand our customers and mold our offering to satisfy each customer's specific needs," said Terry J. Lundgren, president and CEO of Macy's, in a statement.
In a separate announcement, Macy's reported same-store sales for the second quarter ended August 2 declined 2.1%. Sales in the second quarter totaled $5.718 billion, a decrease of 3% compared with the same period last year.