Saks and Neiman Marcus losing customers to competitors, facing revenue drop and debt

Saks Fifth Avenue and Neiman Marcus, acquired last year by Saks’ owner, are losing customers to competitors like Bloomingdale’s and Nordstrom. Saks saw a 16% sales drop, while Neiman Marcus and Bergdorf Goodman’s sales fell 10%. Bloomingdale’s and Nordstrom both saw over 10% sales growth. Saks Global is facing challenges with declining revenue and more debt to pay overdue bills. However, recent data may not fully capture sales trends due to different payment methods. Saks is struggling to retain clients and vendors amid increasing complaints and negative reviews.

Saks’ revenue has dropped nearly 21% each quarter since early 2023, while Neiman Marcus and Bergdorf Goodman have had fluctuating revenue trends. Saks’ pressure is high as they prepare for the holiday season, using fresh financing to pay overdue bills and stabilize relationships with vendors. Vendors are hesitant to ship to Saks due to payment concerns, potentially affecting holiday season sales. Retailers like Rails are cautiously optimistic about Saks’ future success and continue to supply merchandise despite payment delays.

Read more at Yahoo Finance: Saks Is Ceding Ground to Luxury Rivals After Buying Neiman Marcus