Last week brought two big pieces of Neiman Marcus news. The day started with the announcement that the company had successfully extended the maturities on some $4.6 billion in debt. Then, a few hours later, Neiman's reported quarterly results, which were concerning. After six consecutive quarters of growth, comparable sales were down 1.5%, and the luxury retailer posted a … Continue reading Neiman Marcus kicks the can down the road. So now what?
Last week Nordstrom, the U.S.-based fashion retailer, announced the launch of a new loyalty program. Despite its rather uninspired name, The Nordy Club is intended to broaden customer engagement while increasing earn rates by 50% for members paying with a Nordstrom credit card. The new program also offers more access to services and personalized offerings. At first … Continue reading Nordstrom ups the ante with new loyalty program
It seems as if those who spend a lot of time worrying about the future of retail have fallen into one of two camps. There are the “retail apocalypse” proselytizers who would have us believe that virtually all shopping will eventually be done online, that most brick-and-mortar stores are doomed and that anyone who says otherwise … Continue reading E-Commerce May Be ‘Only’ 10% Of Retail, But That Doesn’t Tell The Whole Story
Recently a roughly $8.4 billion offer from the Nordstrom family to take the namesake retailer private was rejected as inadequate. The deal now seems at risk as the special committee in charge of evaluating a potential transaction indicated that the price needed to be "substantially" and "promptly" improved upon or they would terminate further discussions. While … Continue reading Going Private Could Be The Best Thing To Ever Happen To Nordstrom; With One Big Caveat
Late last week the Neiman Marcus Group named former Ralph Lauren executive Geoffroy van Raemdonck as their new CEO, replacing company veteran Karen Katz (full disclosure: once my boss). While not terribly surprising given the company's struggles under a mountain of debt, extremely rocky "NMG One" systems implementation and largely stagnant growth, the move does come at a critical … Continue reading A tough agenda faces Neiman Marcus’ new CEO