Daily Dose of iQ: Macy's, Bloomingdale's Expand Same-Day Delivery

Aug 05, 2015 — Allan Pulga
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Retail TouchPoints' Alicia Fiorletta reported today that Macy's and Bloomingdale's are expanding their same-day delivery to nine additional markets after a successful 2014 pilot.

"Leveraging Deliv, Macy’s and Bloomingdale’s are offering same-day delivery in 17 cities for products they purchase online and through the brands’ mobile-optimized web sites," she wrote. "For the service, consumers pay an additional $5 on top of standard ground shipping fees.

"Starting in August 2015, same-day delivery will be implemented in the following markets: Atlanta; Boston; Dallas; Honolulu; Las Vegas; Miami/Ft. Lauderdale; New York City/Western Long Island; Orange County, Calif.; and Philadelphia."

Macy's ability to roll out same-day delivery hinges on having more endpoints (stores across the U.S.) than Amazon right now.

While we'd heard the news about Macy's a couple weeks ago, the Bloomingdale's (which is owned by Macy's) rollout is news to us.

Macy's is considered by many to be a leader in omnichannel retail. Back in May, L2's Scott Galloway said it "will be the most successful retailer of the next five years, not Amazon," largely because it is more capable of "solving for the last mile" than Amazon.

Because Macy's has a fleet of department stores across the U.S. and Amazon does not, it's a lot easier for the former to enable in-store pickup, e-commerce fulfillment via stores instead of warehouses, and based on the success of its recent pilot... same-day delivery.

It will be interesting to see how Macy's continues to drive e-commerce purchasing, order fulfillment, brand awareness and foot traffic to its physical stores (often at the same time -- this is, after all, what omnichannel is all about) in the coming months. Likewise, we'll pay close attention to how Amazon responds.

Topics: Retail Operations, Wireless Trends, Macy's, e-Commerce

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