[TrudyM]

Macy's took a trial at a smaller store concept in Helena Montana when I worked for them (We were under the Bon Marche label then but still part of Federated dept stores that changed it's name to Macys)
There was a discussion of having smaller regionally merchandise targeted stores added to the regular lineup. However that requires more hands on individualized purchasing and Macys has closed all it's regional buying operations and centralized everything to New York in 2009. They have some regional merchandise planners but for instance they replaced 750 buyers planners for our 56 stores with 60 people It is my understanding that since doing this the company is looking at closing smaller market stores not opening more. It has been closing stores every year. It closed 9 in 2012 and plans to close 6 in the spring 2013. Although I haven't kept on top of things since my forced retirement I don't think it looks good.
Brick and Morter stores are having trouble making their margins when they have to price compete with the internet. Retail has been hard hit in recent years ( started in 2007 going down hill) and only had a slight recovery in the last six months but still not enough in my opinion to give big box retail the shot it needs to get out of the hole.

Trudy (formerly planning/Buying office Macys Northwest)