The retailers announced a global strategic partnership that will expand Neiman Marcus Group’s e-commerce services. CEOs José Neves and Geoffroy van Raemdonck explain the deal.
Farfetch will invest up to $200 million in Neiman Marcus Group (NMG), which owns Neiman Marcus and Bergdorf Goodman, in a strategic partnership that bridges the next generation of luxury retail with a long-standing industry institution.
Neiman Marcus will use the investment to expand its innovation and digital capabilities, according to the companies. NMG will use Farfetch Platform Solutions to re-platform Bergdorf Goodman’s website and mobile app; and both Bergdorf Goodman and Neiman Marcus will join the Farfetch Marketplace as partners, expanding the marketplace’s brand offerings in key locations.
The partnership underscores Farfetch’s growing sway in the luxury sector. The marketplace has been steadily expanding Farfetch Platform Solutions, which has now been widely adopted in the luxury fashion industry. Retail giants Harrods and Browns and brands including Off-White and Roberto Cavalli are leveraging the company’s technological capabilities in their e-commerce platforms. It’s a competitive advantage in an industry that is increasingly moving online and adapting the marketplace model. In November, Farfetch and Richemont confirmed they were in advanced talks to further their partnership, which could include Farfetch making a minority investment in Richemont-owned rival Yoox Net-a-Porter, and YNAP switching to Farfetch Platform Solutions.
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