“Today the game is being played much more near mid-field – that’s where customers are. It is a false distinction to say it’s retail vs. online because that’s not the way customers think. They want this seamless, integrated experience across all channels. Customers don’t think about channels. They just want to buy the product.” – Terry Lundgren, former executive chairman and CEO, Macy’s
When Terry Lundgren speaks, you listen. The recently retired executive chairman and CEO of Macy’s has been on the frontline of the evolving retail industry for over a quarter of a century. There are few people with a better understanding of retail survival strategies.
The Californian successfully spearheaded the preservation and prosperity of one of the oldest retail chains in the U.S. through a gauntlet of challenges, such as the 2008 recession, the decline of the high street, the meteoric rise of e-commerce, and a relentless spawning of new digital-native competitors.
The proof is in the pudding; in 2017, Macy’s was ranked the 4th top U.S. retailer in online sales, generating over $4.6 billion via e-commerce channels (behind Amazon, Apple and Walmart). Macy’s success is not surprising – the company realized early on that the future of retail is not about online or offline, it’s about delivering a product when a customer wants it. It’s about a 24/7, 360° shopping experience.
Software plays a vital role in providing that seamless experience. It’s why Macy’s took measures to improve and optimize its software delivery by integrating the teams that plan, build and deliver their applications. You can read more on how Macy’s used tool integration to save up to 600 hours in manual work in just six months in the below case study:
Traditional retail organizations are urgently looking to improve their software delivery to keep up with e-commerce juggernauts such as Macy’s, Amazon, Ebay, Shopify, Walmart et al. They know that software is what gives them their competitive edge – especially when it comes to supporting internal systems that underpin the complicated mechanics of an omnichannel approach that serves a global customer base.
To improve the delivery speed, quality, reliability and flexibility of their software applications, they’re reevaluating how they deliver software an enterprise-level. They’re doing this by connecting their software delivery value streams.
Download our new e-book on the retail sector to learn more: