Farfetch, the leading global platform for the luxury fashion industry, and Neiman Marcus Group, the largest omnichannel luxury retailer in the US, announced a global strategic partnership and investment by Farfetch into Neiman Marcus Group (NMG).
WHO: Neiman Marcus Group is one of the largest multi-brand luxury retailers in the US, with the world's most desirable brand partners. The expertise of 9,000+ associates deliver a personalized luxury experience across three channels—in-store, e-commerce, and remote selling. The business portfolio includes Neiman Marcus, Bergdorf Goodman, Neiman Marcus Last Call, and Horchow.
A New York landmark since 1901, Bergdorf Goodman represents the global pinnacle of style, service, and modern luxury. With its rich history of showcasing leading and emerging designers, the iconic store at Fifth Avenue and 58th Street—the crossroads of fashion—is a singular destination for discerning customers around the world. Bergdorf Goodman is part of Neiman Marcus Group.
Farfetch Limited is the leading global platform for the luxury fashion industry. Founded in 2007 by José Neves and launched in 2008, Farfetch began as an e-commerce marketplace for luxury boutiques around the world. Today, the Farfetch Marketplace connects customers in over 190 countries and territories with items from more than 50 countries and more than 1,400 of the world's best brands, boutiques, and department stores, delivering a truly unique shopping experience and access to the most extensive selection of luxury on a single platform. Farfetch's additional businesses include Browns and Stadium Goods, which offer luxury products to consumers, and New Guards Group, a platform for the development of global fashion brands.
WHY: NMG will use the proceeds to further accelerate growth and innovation through investments in technology and digital capabilities. The partnership builds on Farfetch's Luxury New Retail vision and advances NMG's pioneering strategy to revolutionize integrated luxury retail, with an initial focus on re-platforming the Bergdorf Goodman website and mobile application to expand its global capabilities and services.
IN THEIR OWN WORDS: "I believe the US luxury market is at a pivotal point," said José Neves, Farfetch Founder, Chairman, and CEO. "Whilst the US is proving to be a long-lasting source of growth for the luxury industry, fueled by younger generations who are highly engaged with the category, businesses will have to significantly upgrade their digital capabilities—powering both online and offline customer journeys—to meet these new customer expectations and stay ahead in what is going to be a competitive space in the coming years."
Neves continued, "I greatly admire the Neiman Marcus Group, for its distinguished role in our industry both with Neiman Marcus and Bergdorf Goodman, and also for its stellar management team, including Geoffroy and Darcy. We share the same unwavering vision for the future of luxury, with the customer at the centre of all we do. This partnership is about revolutionizing the luxury landscape globally, both online and offline, by combining NMG's iconic presence in the US and Farfetch's Luxury New Retail vision and technology."
"We are thrilled to be partnering with Farfetch to accelerate our e-commerce strategy, creating a seamless customer experience," said Geoffroy van Raemdonck, CEO of Neiman Marcus Group. "José and the entire Farfetch team have built a best-in-class technology platform and are the ideal partner to help us grow Bergdorf Goodman to be an even stronger global digital luxury retailer. Farfetch's investment demonstrates their confidence in our omnichannel strategy, and we look forward to partnering with Farfetch to continue revolutionizing the luxury customer experience and delivering value to all our stakeholders."
"Our partnership with Neiman Marcus Group is another example of how FPS has become a preeminent digital partner for the luxury fashion industry," said Kelly Kowal, Chief Platform Officer at Farfetch. "This is a significant digital transformation opportunity that will allow us to unlock massive value for Neiman Marcus Group, its shareholders and its customers, who will now be able to shop from wherever they are in the world."
"By leveraging the technology and expertise of Farfetch, we will further advance our integrated strategy to expand our reach and services to customers globally, bringing our one-of-a-kind iconic New York fashion brand to customers worldwide," said Darcy Penick, President of Bergdorf Goodman. "This is an incredible opportunity to amplify our brand, further embed the Bergdorf Goodman experience across online and in-store, and continue our investments to further establish Bergdorf Goodman as a digital luxury leader on a global scale."
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