Macy’s is closing 66 stores nationwide in another sign that traditional brick-and-mortar stores can’t compete with online shopping.

Macy’s Backstage in West Orange is the only Macy’s store in New Jersey that will be closing. The company says the store is not profitable.

Loyal customers of the store, like Hannah Godspower, say they were disappointed to hear of that decision.

“You come in, you grab and go. Easy shopping,” she says. “It’s a place where everything you need is arranged in a very nice sequence.”

Macy’s Backstage is akin to an outlet store, with ticket prices that are half that of those at a Macy’s department store.
Millicent Ford is an employee who was informed on Thursday that the store was closing and that she would be losing her job when it closes this upcoming November.

“Losing this location is gonna hurt a lot of people,” Ford says. “They want to spend less they feel they’re getting quality merchandise, and it’s convenient.”

Macy’s isn’t giving up. The CEO says they’re opening smaller stores focusing on luxury brands. But they’re suffering from online competition, just like Party City, which is closing all of its stores and Buy Buy Baby, which went through something similar.

There is also Lord & Taylor, which closed up in 2021.

“Online shopping is king and it’s here to stay,” says economist Dr. Martin Cantor.

Cantor added that when one considers inflation, and high prices, consumers have to find somewhere to save, and the way to do that is by shopping online.

“The prices are not coming down, salaries have not gone up to meet that inflation my taxes are going up energy cost is going up,” says Cantor.

For proof of online dominance, all you need to do is look at reported data from the last holiday season. Nationwide, shoppers spent $241 billion online. That was up 8.7% from the previous year, according to Cantor.

“In retail today, you have a lot of tire kickers – people walk through stores and see what they like and then I’ve seen people while in a store go on the internet to see where they can buy the product cheaper,” says Cantor.

Cantor says companies are finding no need for 40,000-square-foot stores. The rent is too high, and people don’t want to walk them. He says downsizing is the way to compete and take on the online retailers.