Dive Brief:
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Saks Global merchant James Newell has joined Bloomingdale’s as vice president and general merchandise manager of men’s, according to LinkedIn and Instagram posts.
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Newell arrives after longtime Bloomingdale’s merchant Daniel Leppo left in March to work for sibling retailer Macy’s as senior vice president and GMM for men’s and kid’s.
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Newell has decades of experience in buying and merchandising, starting as an assistant buyer at Neiman Marcus, with positions at Barneys New York and Rent the Runway sandwiched between stints at Saks Fifth Avenue. Most recently Newell was division merchandise manager of men’s designer lifestyle at Saks Global.
Dive Insight:
Newell is moving in the same direction as the many Saks Global’s customers who are heading to Bloomingdale’s and Nordstrom.
Those retailers are taking market share in the higher-end department store space, according to Bloomberg Intelligence citing transaction data from Bloomberg Second Measure, which has found double-digit declines continuing at Saks Fifth Avenue and Neiman Marcus.
In a $2.7 billion deal at the end of last year, Saks Global combined those luxury rivals, plus Bergdorf Goodman, Saks Off 5TH, Last Call and Horchow. In Q2 Saks Global revenue fell more than 13% year over year to $1.6 billion; the company didn’t disclose comparable sales.
In the most recent quarter, Bloomingdale’s net sales rose 4.6% year over year, with comps up 5.7%.
“We're seeing good strength with Bloomingdale's and Nordstrom,” Bloomberg Intelligence Senior Industry Analyst Mary Ross Gilbert said by video conference. “Nordstrom is private, but the transaction data says they're doing well too. But it shows Bloomingdale's doing better.”
Newell is the latest Saks Fifth Avenue executive to depart Saks Global this year. Stores veteran Larry Bruce left in June after decades at both Saks and Neiman. John Antonini, another stores executive, left the following month after more than 25 years at Saks Fifth Avenue.
Saks Global didn’t immediately respond to requests for comment regarding Newell’s departure and who, if anyone, has replaced him. The conglomerate has otherwise said that executive departures and layoffs are part of its effort to streamline operations and capture synergies from the Saks-Neiman tie-up.
