Rarely have the contrasts in a market sector channel been as glaring. Though both are now privately owned, any similarities between Saks Global and Nordstrom end there as each navigates new ownership and strategies.
Right now Saks is getting all the headlines. After last year’s ill-fated merger of Saks Fifth Avenue and Neiman Marcus (and its Bergdorf Goodman subsidiary) it’s been all downhill for the legendary brands. A bankruptcy filing has been followed by announcements of significant store closings including eight Saks, one Neiman’s and virtually all of the Off 5th off-price division which will continue with a handful of locations that will essentially serve as outlets for excess inventory and returns. All remaining Nordstrom Off the Rack stores will also be closed.
In addition, saksoff5th.com, which is a separate legal entity from Saks Global and was a controversial move to monetize the company’s ecommerce assets, is also being shut down, starting last month.
Left unclear is the fate of the flagship Neiman store in downtown Dallas that has been threatened with foreclosure only to be saved by local civic efforts. It has not been on the original list of Saks Global closings although there is speculation that more units in the chain will need to be closed at some point.
“As we advance on Saks Global's transformation, we are taking decisive steps to realign our business to better serve our luxury customers and drive full-price selling across our core luxury businesses," said Geoffroy van Raemdonck, who was recently named CEO of Saks Global. "With these actions, we will be well positioned to seize the greatest opportunities for long-term growth and value creation."
The contrast with Nordstrom is clear. After the founding family took the retailer private last year it has been focused on a number of initiatives to build its business. This is especially true on the off-price side where it opened 21 Rack stores last year and is expected to open a similar number in 2026. It has even already announced at least two openings for 2027.
On the off-price side, It, along with Bloomingdales and the TJX brands, stand to pick up the most market share while Bloomingdales also is expected to pick up business in the traditional department store sector. In its last public numbers before going private the retailer reported a slight gain in revenue and that trend should continue into 2026...particularly at the expense of Saks.