Macy's to Expand Its Private Label Business
Mirroring similar initiatives from rivals like Kohl's (NYSE: KSS) and even Target (NYSE: TGT), department store chain Macy's (NYSE: M) unveiled plans on Wednesday to expand its private label brands. The company's executives explained at an investor meeting it hopes in-house brands will make up 25% of its revenue by 2025.
Private label goods are arranged and sometimes even made by a retailer outside of conventional wholesale supply channels. Rather than relying on familiar names like Nike or Levi Strauss & Co., a department store chain taps a manufacturer directly. While such goods are considerably cheaper to purchase, the burden of marketing them falls entirely on the store selling them.
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Source Fool.com
