WESTSIDE PAVILION (CBSLA) — Is the era of big department stores ending?

As KCAL9/CBS2’s Jo Kwon reports, Macy’s has announced it is closing three more locations in California.

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The Macy’s at Westside Pavilion will be closing next year. Another location in Laguna Hills will also be closing. So will a store in San Francisco.


“Macy’s definitely needs to change who they’re trying to appeal to,” said Ron Friedman, a retail expert and partner at Marcum LLP, an accounting and consulting firm.

“The millennials have the dollars to spend.  And today we have to go after the millennials. Macy’s serve the baby boomers,” said Friedman.

Last year the Macy’s in North Hollywood closed.

“There’s too many of them. And today, it’s expected this year about 8,000 brick and mortar stores will close,” said Friedman.

He says department stores are too big and the sales model is stale.

“What if you could do 10,000 square feet and have samples all over the store,” said Friedman. “People try it on, see what you like. Go to the iPad, order it from the iPad. It’s at your house the next day.”

He says this provides an experience and helps stores save.

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“It means they don’t have to pay as much rent,” said Friedman.

What about skipping the mall altogether?

Friedman says while it’s convenient to go on your phone or laptop to order what you need, online shopping only accounts for 12 percent of retail sales.

“That means 88 percent of the marketplace is still buying at brick and mortar,” said Friedman.

Friedman says the ones that survive will get people into stores differently.

“Have music, have bars, have food,” said Friedman.

He says an example is Century City Mall that recently completed its billion-dollar makeover.

“They don’t want to just go shopping for clothing – that’s not where we are at today,” said Friedman.

Friedman added that if shops don’t change “they’ll become dinosaurs.”


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