Macy’s purchased Story, the New York-based concept store founded by Rachel Shechtman. While a small acquisition for Macy’s, they aren’t just buying an interesting retail concept—they’re acquiring an executive who could propel its store experience initiatives. According to Business of Fashion, a market source claimed the business was healthy and that Shechtman was able to entertain more than one acquisition scenario.
WHO: Rachel Shechtman opened the Story concept story in 2011, a cohesive storytelling retail model that takes the point of view of a magazine, changes like a gallery, and sells things like a store. Every four to eight weeks, the space reinvents itself, changing the design and merchandising of the store with the goal of highlighting a new theme. The store has partnered with major brands and retailers to merchandise the space and host events around a theme. Among the companies that pay sponsorship fees are Target, Benjamin Moore, Yahoo, Nickelodeon, General Electric, Coty, and others.
WHY: The acquisition provides Story with the resources to expand their footprint while Macy’s gets to tap into Shechtman’s marketing and merchandising mind.
IN THEIR OWN WORDS: “Rachel is a unique and innovative voice in retail, and we are thrilled to have the Story team join the Macy’s family. Bringing Rachel’s perspective to the table will help create more enriched and engaging in-store experiences and brand activations,” said Jeff Gennette, chief executive officer and chairman of Macy’s, Inc. in a press release. “We are committed to growth in 2018, and this is one important step along the way.”
“It’s exciting to have a national stage to leverage STORY’s learnings and relationships to create impact at scale. I’m energized by the opportunity to further build new customer experiences across the Macy’s portfolio, while also continuing to pursue new business models and brand partnerships,” added Shechtman.
- Macy’s purchased Story.
- Terms were not disclosed. Shechtman told Business of Fashion in 2016 that the venture’s net income had doubled each year since inception. (A standard four-to-eight week Story sponsorship is currently $600,000, and $1 million during the holiday period.)
- Macy’s said that Story’s Chelsea location would continue operating as normal.
- Rachel Shechtman will join Macy’s as brand experience officer. She will report to Hal Lawton, president of Macy’s.
- Jenny Shechtman, the company’s chief operating officer will assume the role of vice president, operations, at Story under Macy’s, Inc.’s umbrella.
Photo: Story via Instagram