If you're not familiar with the retail industry calendar, you may not be aware of peak season sales. You're probably familiar with Day after Christmas sales, but the other big annual sale usually occurs towards the end of June.
In other words, it's hunting season, ladies! And the best part is that many retailers have extended their in-store bargains to online shoppers. The ever-posh
Bergdorf Goodman is offering spring and summer items marked down by up to 40%.
With 40% off, the
Elie Tahari white lace dress that I have been coveting from afar will now only cost me $299.00! (Hey, that's down from $498.00, mind you...) And this is just the tip of the iceberg -- designer garb from Missoni, Derek Lam, Stella McCartney, and Jimmy Choo are also up for grabs.
Happy hunting!
More bad news for Saks Fifth Avenue. As our sister blog Daily Finance reported, Saks has released its second quarter results beating analysts' expectations by posting a loss of $54.5 million, or 39 cents per share on sales of $561.7 million. Same store sales were down 15.5 percent. None of this is too surprising, luxury shopping has been taking a huge hit in this economy. But what is compelling is that Saks saving grace may end up being its discount outlets. An AP story said that the less-expensive Off 5th stores are doing better than Saks' full-price stores. This news comes as Nordstrom, which has also been having a rough time in this market has announced that is expanding its discount chain, Nordstrom Rack. The question I have is with the boom of outlet stores and the success of discount stores like Marshalls and TJ Maxx, who will be left to buy the items at their original prices? The discount market relies on the fact that department stores exist and that some buyers are willing to pay the premium to have their choice of designer goods. If the luxury brand buyers switch to buying the brands only at discounted rates it remains to be seen how the structure of shopping will change. I suppose the good news in this for luxury retailers is that the shopping impulse is alive and well in U.S. consumers, they just aren't willing to spend the big bucks currently.
