Bloomingdale’s is reassessing underperforming stores and making smart use of the ones they have. The company has begun heavily investing in rotating shop-in-shops, allowing it to fit a larger number of new concepts into a single store. Additionally, Bloomingdale’s is also one of the first high-end department stores to have its own rental service. Basically it is checking up on the health of the company, taking proactive action and ensuring it is not put in a situation where it can only be reactive.

While other luxury retailers in the US have faced issues due to over-expansion and high rent costs, leading to closures or bankruptcy, Bloomingdale’s has mostly avoided the same fate. The department store and other specialty retail categories that are selling commodity products and brands that are available at many retail chains have been hit hard with many store closings and bankruptcies in recent years. Macy’s is closing 28 stores, making it the latest in a long line of retailers and department stores suffering the effects of a volatile retail environment and downsizing. Macy’s has closed more than a dozen stores per year since 2015 — sometimes up to 40 in one year. Landlords don’t give struggling retailers much time to restructure and make good on their payments.