The Backroom: Saks Global, Amazon and the state of luxury
Saks Global's latest survey shows that high-income consumers are reacting noticeably to current economic uncertainty, with little enthusiasm for luxury spending. To drive sales growth, Saks Global (which owns Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman) partnered with Amazon earlier this year to launch a luxury e-commerce website, further deepening their existing relationship. In this episode of The Backroom, Fashion Dive senior editor Lara Ewen and Retail Dive senior reporter Daphne Howland join to interpret what this partnership reveals about the current state of the luxury industry.
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Higher-income consumers aren’t immune to the current economic uncertainty, and luxury brands are paying the price. In its most recent survey of luxury customers, Saks Global found that even the most well-heeled are not very enthusiastic about spending right now.
To chase sales wherever it can find them, Saks Global – which encompasses Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman – earlier this year teamed up with Amazon to launch a luxury e-commerce site. This furthers an existing relationship, given Amazon’s investment, along with Authentic Brands Group and G-III Apparel Group, in the formation of Saks Global late last year.
Lara Ewen, senior editor at sister publication Fashion Dive, joins Retail Dive Senior Reporter Daphne Howland to discuss what this says about the state of luxury.
Resource links:
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Amazon and Saks Fifth Avenue launch luxury e-commerce storefront
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In the battle of Saks vs. customers, vendors and Dallas — Nordstrom wins
Editor’s note: This episode was produced and edited by Caroline Jansen.