Macy’s and Tailored Brands to phase out tuxedo rental license agreement
Macy’s and Tailored Brands have agreed to lessen operations under a tuxedo rental license agreement.
The agreement was signed between Macy’s and Men’s Wearhouse in June 2015.
Tailored Brands is the parent holding company of Men’s Wearhouse brand.
Macy’s chief merchandising officer Tim Baxter said: “Macy’s is always looking for new partnerships that benefit both parties, as well as our customers, and we are grateful to have had the opportunity to collaborate with Tailored Brands. While the partnership did not produce the level of sales we expected, we will continue to benefit from the insights we gathered.
“Both Macy’s and Tailored Brands remain committed to putting our customers first, and we plan to fulfill customer orders and ensure a positive customer experience as we wind down the shops.”
Tailored Brands CEO Doug Ewert said: “Innovating new business models is an important catalyst for long-term growth and we saw the partnership with Macy’s as an opportune way to expand our leadership in the tuxedo rental market.
“Unfortunately, the initiative did not generate the revenue that both companies had envisioned. We believe it is in the best interest of our company and our shareholders to wind down the partnership.”
New reservations at The Tuxedo Shops at Macy’s will continue until 1 June and the operations will wind down by 14 July.
Macy’s operates more than 700 department stores under Macy’s and Bloomingdale’s. It also has approximately 125 specialty stores that include Bloomingdale's The Outlet, Bluemercury and Macy’s Backstage.
Men's Wearhouse, Jos. A. Bank, Joseph Abboud, Moores Clothing for Men and K&G are part of Tailored Brands.