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What's in a Store's Name? Federated Will Find Out

Finding a Macy's will be a lot easier next year.

The owner of Macy's, Federated Department Stores, said yesterday that it would convert at least 10 different store brands - including Filene's, Famous-Barr and Hecht's - to the Macy's name in 2006.


Executives at Federated said that eliminating the regional brands would allow it to streamline its marketing and promote nationwide what would be a total of 730 Macy's stores.

"They'll be losing some names with a lot of heritage, but they're going after a more contemporary consumer, and Macy's rings through with a more contemporary consumer," said Marie T. Driscoll, head of the retail group at Standard & Poor's Equity Research. "The people they'll be losing are probably an older demographic that aren't spending at the same rate."

Federated will benefit from the Macy's expansion because it will be able to use the same ads in different markets and will be able to develop more recognized Macy's products, Ms. Driscoll added.


The department stores that Federated will convert to Macy's are Famous-Barr, Filene's, Foley's, Hecht's, the Jones Store, Kaufmann's, L. S. Ayres, Meier & Frank, Robinsons-May and Strawbridge's. Lord & Taylor stores will keep their names, Federated said, and it is still evaluating whether to change the name of Marshall Field's stores. All the stores will continue to operate under their current brand names at least through the holiday season this year, Federated said.

"This decision to expand the Macy's brand was based on careful study and new research on customer preferences in May Company communities," Terry J. Lundgren, the chief executive of Federated, said in a statement. "Customers have told us they want the fashion and affordable luxury they find in Macy's stores."

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