Neiman Marcus CEO says he only wants ‘Rich’ people shopping at stores, amid layoffs
The Dallas-based luxury retail icon, Neiman Marcus which also owns Bergdorf Goodman, is preparing to lay off 500 employees across the entire organization, as part of plans to go a new direction.
Neiman Marcus CEO claimed that just 2% of his company’s customers help deliver 40% of its earnings. The CEO also added that the Dallas-based department store will no longer sell “everywhere on the price spectrum, from clearance to high-end jewelry.”
He claimed that by the company shifting their focus onto the more affluent clientele, they will avoid the “churn and the price is no longer the main consideration.”
Because of that, it is now reported that Neiman Marcus has plans to specifically cater to and focus on ‘rich’ clientele, he also mentioned they have not seen discount or budget shoppers who buy discounted items then into ‘real’ Neiman Marcus customers.
Van Raemdonck had previously come under fire as he reaped about $10 million in bonuses for himself during the height of the pandemic, as well as perks including an unusually generous health benefit plan.
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I have 15 years of experience in the retail industry including expertise in marketing, operations, merchandising, buying, shopping and technology. I am a speaker, consultant and former senior managing director of The School of Retailing, University of Alberta. My education includes a Bachelor of Commerce Degree from The University of Alberta in Marketing, Certificate in Real Estate and a Diploma in Fashion Merchandising and Buying from LasSalle College, a Canadian private school founded in 1959 by fashion designer Jean-Paul Morin.