We went to the Macy's flagship store in New York City and saw firsthand how the brand is transforming into a discount retailer

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Macy's

Business Insider/Mary Hanbury

The 'Last Act' clearance section at Macy's flagship store in New York.

Macy's is beginning to look a lot more like discount stores such as TJ Maxx and Nordstrom Rack.

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In the past two years, the struggling department store has launched an outlet store called Macy's Backstage, added dedicated Last Act clearance sections to stores, and said it would add more self-service systems to its beauty and shoe sections.

These changes mark a decisive shift away from being a full-service retailer.

Off-price retail is one of the only bright spots in the industry. This year, TJ Maxx announced plans to open 1,800 more stores globally and reported 21 consecutive years of positive same-store sales. Meanwhile, Macy's closed 66 stores in 2016 and plans to shutter another 34 in the next few years.

We took a trip to Macy's to see how the shopping experience has changed:

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