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Neiman Marcus vs. Saks Fifth Avenue Estacey Cadorna Chloé Halley Panda Nguyen Iza

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Neiman Marcus vs . Saks Fifth Avenue. Estacey Cadorna Chlo é Halley Panda Nguyen Iza Ramsay. Objectives. Four Key Priorities Evaluating Saks vs . Neiman Marcus Learning the fundamentals of website m arketing Comparing similar competitors - PowerPoint PPT Presentation

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Neiman Marcus vs. Saks Fifth AvenueEstacey CadornaChlo HalleyPanda NguyenIza RamsayObjectivesFour Key Priorities

Evaluating Saks vs. Neiman MarcusLearning the fundamentals of website marketingComparing similar competitors S.W.O.T. Analysis (Saks vs. Neiman Marcus)

Neiman Marcus Brief History Founded 1907, Headquarters: One Marcus Square Building in Downtown Dallas, Texas Neiman Marcus is a Specialty Retail Department store They own many specialty retail stores such as Bergdorf Goodman in Fifth Avenue, NY Also, a direct marketing division which operates the catalogs and online operations under the Horchow (home furnishing). 41 Locations Neiman Marcus is known for the Last Call (discount Outlet store 60% - 65% off) Catalogs are distributed annually to every brand loyal customers Christmas catalog - which is free publicity for Neiman Marcus on must have one of a kind items not sold in stores HIS & HERS Fantasy Gifts

Product Description ClothingWomens apparel Mens shop Designers, Apparel, Shoes, Jewelry & Watches, Bags & Leather Goods, Accessories, Spotlight On NM Kids Designer Products, New Arrivals, NM Kids, NM Baby, GiftsNM Edits (exclusive styles and trends) Footwear (women), Jewelry, Beauty Products & Women's ApparelDesigners, Categories, Lifestyles, NM Edits, Spotlight On, Exclusive Ours Home Furnishing New Arrivals, Designers, Dcor, Home Office, Spring Trends, The Top 10, Spotlight On

Website Evaluation

Direct/Indirect AudienceDirect Audience: WomenIndirect Audience: MenAdded Brand Value Fashion assistance, is on their navigation links. As well as current sales for in store and online sells.Revenue Models Followed Discounts to attract customersMarketing RelationshipsAffiliate website. As an alliance, they own Bergdorf Goodman, Cusp, Horchow, and Last Call. Both have advertisements in magazines as well.

FeaturesFunctional FeaturesFashion based assistance with features such as Last Call sales. They use flash to show main points of the website.Point-Of-View UsabilityNavigation is in a clear spot and has organized sections. Even though the website contains flash, the site loads quickly.

Social ButterfliesSocial MediaPinterest accountFacebook accountTwitter accountMobile CommerceAvailable apps for smartphones and tablets. They also have an option to send out texts.International PresenceNeiman Marcus does not have the option of shopping online from another country on their website.

Neiman Marcus S.W.O.T. StrengthsStrong and well known luxury brand Had first ever customer loyalty program and continues to have loyal customersHas multi-channel retailing including online, mobile, and catalog.Maintains strong relationships with vendorsWeaknessesLow inventory turnover ratio due to mismanagement of inventoryLarge amount of debt including $42.7 million after-tax loss in 2011Still recovering from past years of high decline in salesOpportunitiesInvestments in technology including recent testing in new iPhone app.Increase in product productivity by 10%-20% in 2011Expansion of brand in global markets such as China ThreatsHighly competitive department store sector including Saks, and NordstromIncrease in state and federal labor cost

Saks Brief HistoryFounded: 1898, Headquarters: Midtown Manhattan NY CitySaks Fifth Avenue is a Luxury American specialty Department StoreSaks Fifth has 46 locations & 61 OFF Fifth locations 5 International Locations 2 in North America 3 in AsiaHis and Hers Saks Fifth Avenue stores on opposite sides of the street on the Magnificent Mile in Chicago.

Product DescriptionClothingWomens apparel The Mens StoreDesigners, New Arrival, Apparel, Shoes, Cuff Links, Jewelry & Watches, Grooming & Fragrances, special offers, The Mens store sale, Trends & Events Just Kids Designers , New Arrivals, Baby 0-24M, Girls 2-14 YOA, Shoes for all ages, Toys & Books, Furniture, More ways to shop, Sale Just Kids Saks Fashion Fix (Trendy Assistance)Footwear (womens), Jewelry, Beauty Products & Women's ApparelDesigners, Categories, Lifestyles Boutiques, Spotlight On, Trends & EventsHome Furnishings New Arrivals, Designers, Dcor, Gourmet foods Tech & Pet Accessories

Web EvaluationDirect/Indirect AudienceDirect Audience: WomenIndirect Audience: MenBrand ValueSaks site features their latest and updated trend on the front page as an image. On the very top right of the website is a link to customer service which is great for solutions for the customer.Revenue Models Followed Saks revenue model consists of having a simplistic website. The website makes consumers feel organized when viewing the site. Marketing RelationshipsAffiliate site. For alliances, they promote the show Fashion Star. By allowing the buyer from Saks Fifth Avenue to be a buyer on Fashion Star creates publicity for the company.

FeaturesFunctional FeaturesSaks Fashion Fix (is a fashion assistance link)Saks has a customer service area at the top right of the page, one of the first things viewers see. The section contains customer service, chat, a phone number, and an option for viewing the website if one is from a different country. Their site also contains an organized navigation.Cross Selling (Product recommendations) Point-Of-View UsabilityTheir navigation is in a clear spot and has organized sections. The websites also load fast even with flash and high quality images.

Social DragonfliesSocial Media Facebook account Twitter account Fashion Blog They advertise on Fashion Star because a buyer is on the show.Mobile CommerceAvailable Apps for Smartphone's and tablets. They also have an option to send out texts.International PresenceSaks has international presence in other companies and allows other companies to shop on their website. As well as consumers.LocationsMexico, Puerto Rico, Saudi Arabia, Bahrain, United Arab Emirates

S.W.O.T. for Saks Fifth Avenue

Competitors

Usability comparisonBoth have a similar monochromatic color scheme to their websites. However, Bergdorf Goodmans site has a more simplistic navigational layout with minimal amount of links and focuses mostly on the one current promotion or product being featured. Saks has many different links which can take the consumer to their products, promotions, and store information. StrategiesBergdorf Goodmans strategy is to convey a contemporary look to there website appealing to more middle-upper class women. The simplicity of the website is for the stylish sophisticated business women. Saks strategy is for the fashion forward consumer incorporating bright colors in there wardrobe. The website appeals to a younger more vibrant crowd.AssortmentSaks and Bergdorf Goodman have a wide variety of designer apparel, shoes, and accessories for women, men, and children. Saks has an additional category for home and gourmet goods along with their own Saks Fifth Avenue private label. Bergdorf offers a 5F special category for contemporary designer apparel within a more affordable mid-priced range. Features & FunctionSaks website has colors and designer displays using the hot looks of today to draw the consumers attention. The site is click-to-view categories or by brands which makes every item search accessible.

Usability comparisonBloomingdales & Neiman Marcus websites are both organized and easy for the consumer to navigate. The difference between the two site is the color usage and placement of navigational links. StrategiesBoth websites Bloomingdales & Neiman Marcus use sales and promotion as a strategy to promote exclusive products and special promotional prices (limited offers)AssortmentBloomingdales has more of standard product assortment more vibrant colors that appeal to a younger less business crowed.Neiman Marcus has a more modern style and neutral colors displayed as well as there brand name incorporated into the product. Ex: NM kids and NM furniture.Features & FunctionBloomingdales website has readable font, cool colors and promotional sales. They use direct marketing approach by displaying 3 different sales as a limited time offer. The functionality of the website is the click-to-view access.Neiman Marcus has flash visuals on there homepage which allows the consumer to be able to choose what they want to view. Their functionality is that they also have a click-to-view access.Strength:

Saks is a well known, established brand, since 1898 Their high quality products create a luxury products and brand image They have customers loyalty based on their product quality They have a strong multi-channel platform Have Innovative technologiesWeakness:

Customer Service Needs Improvement. Weak Management in retails store. Online pricing, in store and phones/catalogs does not match up. Problems with trying hire competitions previous employees to gain competitive advantages (James, Ltd. v. Saks Fifth Avenue, Inc.)

Opportunities:

1. Improve product developments on current and future products2. Should expand global present further3. Create a Green products lines to attracts new customers or those are environment consciousThreats:

Government and legislation can have an impact on current products and business policies. New Entrants to the market may enter the markets and create more competitions and possible price war. Market demand can be based on the current economy. Many competitors such as Neiman Marcus, and Hennes & Mauritz It is apart of an extremely competitive markets