Analyst: What Macy's needs to do to rally

Macy's needs to draw more mall traffic, adapt to changing shopper trends and get faster at customer service, according to a retail analyst.

The iconic retailer also needs to figure out a way to get ahead of online competitors such as Amazon, which is driving a robust fashion strategy at this point, and beat out retailers relying on margin slicing, according to a CNBC report. 

And Macy's seems to taking good initial steps with its footprint streamlining.

"[Macy's] is closing 100 stores, e-commerce is increasing, and we could see more store closures," Chen told CNBC. "This is their plan for now … and I think they're off to a good start."

"It's time to rally the troops," Chen added. "The important thing is to motivate Macy's from within."