Saks Fifth Avenue
Encyclopedia
Saks Fifth Avenue is a luxury American
specialty store
owned and operated by Saks Fifth Avenue Enterprises (SFAE), a subsidiary of Saks Incorporated
. It competes in the high-end specialty store market in the Upper East Side of Manhattan, i.e. 'the 3 B's' Bergdorf
, Barneys
, Bloomingdale's
and Lord & Taylor
. The company headquarters and the company-designated flagship store are in Midtown Manhattan
, New York City
.
Saks Fifth Avenue is the successor of a business founded by Andrew Saks
in 1867 and incorporated in New York in 1902 as Saks & Company. Andrew
died in 1912 and in 1923 Saks & Co. merged with Gimbel Brothers, Inc.
, operating as a separate autonomous subsidiary. On September 15, 1924, Horace Saks and Bernard Gimbel opened Saks Fifth Avenue in New York City.
When Bernard's brother Adam Gimbel became President of Saks Fifth Avenue in 1926 after Bernard's sudden passing, the company took on national aspirations. The very first branch store opened in 1851 in the city of Palm Beach, Florida
as a resort store, followed by a Southampton, New York resort store in 1928. The first full-line year-round Saks store was opened in Chicago
in 1929, followed by another resort store in Miami Beach, Florida
. In 1938 Saks expanded to the West Coast, opening in Beverly Hills
, California. By the end of the 1930s Saks Fifth Avenue had a total of 10 stores, including resort locations such as Sun Valley, Mount Stowe and Newport. More full-line stores followed with Detroit in 1940 and Pittsburgh in 1949. In downtown Pittsburgh, the company moved to its own freestanding location approximately one block from its former home on the fourth floor in the downtown Gimbel's flagship. The San Francisco
location opened in 1952. More expansion followed from the 1960s through the 1990s including Texas, the Midwest, and the South.
BATUS Inc. acquired Gimbel Bros., Inc. and its Saks Fifth Avenue subsidiary in 1973 as part of its diversification strategy. In 1990, BATUS sold Saks to Investcorp S.A.
, which after investing in the company and weathering the early 1990s recession took Saks public in 1996 as Saks Holdings, Inc. In 1998, Saks Holdings Inc. was acquired by Proffitt's, Inc., then the parent company of Proffitt's
among other department stores. Upon closing of the acquisition, Proffitt's, Inc. changed its name to Saks Incorporated
.
In 2005 vendors filed against Saks alleging unlawful chargebacks. The SEC formally investigated the complaint and Saks settled with the SEC in 2007.
In August 2007 the United States Postal Service
began an experimental program selling the plus Zip Code
extension to businesses. The first company to do this was Saks Fifth Avenue which received the zip code of 10022-SHOE for the eighth floor shoe department in its flagship Fifth Avenue (Manhattan)
store. Today, the New York flagship store accounts for a significant amount of the entire chain's annual revenue.
Since 2000, Saks has closed a number of locations, including White Plains
, Garden City
, and Southampton
in New York, as well as other suburban, and "downtown" location around the country. The focus has been to have a smaller number of stores in each key market, and thus make those stores destinations within their respective markets. As an example, the Saks 5th Avenue location at the Shops at Prudential Center
in Boston
, is the only Saks 5th Avenue stores in the greater Boston metropolitan area, and the location in Bala-Cynwd is the only location in the greater Philadelphia market .
, Saudi Arabia
, courting the wealth of the oil-rich Middle East. Other locations now include the United Arab Emirates
, Bahrain
and two stores in Mexico City
. A new store is planned for Kazakhstan
. In January 2009, the company opened a second location in Saudi Arabia, in the city of Jeddah
. and coming soon opening in Puerto Rico
in Plaza Internacional, the opening of this stores and this grand mall is estimated in finally 2012.
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
specialty store
Specialty store
Specialty stores are small stores which specialize in a specific range of merchandise and related items. Most stores have an extensive depth of stock in the item that they specialize in and provide high levels of service and expertise...
owned and operated by Saks Fifth Avenue Enterprises (SFAE), a subsidiary of Saks Incorporated
Saks Incorporated
Saks Incorporated , founded in Birmingham, Alabama in 1998, is headquartered in New York City, New York, and is a Fortune 1000 operator of high-end department stores in the United States under the nameplate Saks Fifth Avenue. Saks evolved from Proffitt's Inc. after Proffitt's changed its name in...
. It competes in the high-end specialty store market in the Upper East Side of Manhattan, i.e. 'the 3 B's' Bergdorf
Bergdorf Goodman
Bergdorf Goodman is a luxury goods department store based on Fifth Avenue in Midtown Manhattan in New York City. The company was founded in 1899 by Herman Bergdorf and was later owned and managed by Edwin Goodman, and later his son Andrew Goodman....
, Barneys
Barneys New York
Barneys New York is a chain of luxury department stores headquartered in New York City. The chain owns large stores in New York City, Beverly Hills, Boston, Chicago, San Francisco, Dallas, Las Vegas, and Scottsdale, and smaller stores in other locations across the United States.Brands sold include...
, Bloomingdale's
Bloomingdale's
Bloomingdale's is an American department store owned by Macy's, Inc. .Bloomingdale's started in 1861 when brothers Joseph and Lyman G. Bloomingdale started selling hoop-skirts in their Ladies Notions' Shop on Manhattan's Lower East Side...
and Lord & Taylor
Lord & Taylor
Lord & Taylor, colloquially known as L&T, or LT, based in New York City, is the oldest upscale, specialty-retail department store chain in the United States. Concentrated in the eastern U.S., the retailer operated independently for nearly a century prior to joining American Dry Goods...
. The company headquarters and the company-designated flagship store are in Midtown Manhattan
Midtown Manhattan
Midtown Manhattan, or simply Midtown, is an area of Manhattan, New York City home to world-famous commercial zones such as Rockefeller Center, Broadway, and Times Square...
, New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
.
History
Andrew Saks
Andrew Saks was born in Baltimore, Maryland, and moved to Washington, D.C., to make his fortune. He established a successful clothing business in 1867, and opened a store in New York on 34th Street in 1902 as Saks & Company. Andrew Saks ran the New York store as a family affair with his brother...
in 1867 and incorporated in New York in 1902 as Saks & Company. Andrew
Andrew Saks
Andrew Saks was born in Baltimore, Maryland, and moved to Washington, D.C., to make his fortune. He established a successful clothing business in 1867, and opened a store in New York on 34th Street in 1902 as Saks & Company. Andrew Saks ran the New York store as a family affair with his brother...
died in 1912 and in 1923 Saks & Co. merged with Gimbel Brothers, Inc.
Gimbel's
Gimbel Brothers was an American department store corporation from 1887 through the late 20th century. The store is known for creating the Gimbels Thanksgiving Day Parade, the oldest parade in the country. Gimbels was also once the largest department store chain in the country...
, operating as a separate autonomous subsidiary. On September 15, 1924, Horace Saks and Bernard Gimbel opened Saks Fifth Avenue in New York City.
When Bernard's brother Adam Gimbel became President of Saks Fifth Avenue in 1926 after Bernard's sudden passing, the company took on national aspirations. The very first branch store opened in 1851 in the city of Palm Beach, Florida
Palm Beach, Florida
The Town of Palm Beach is an incorporated town in Palm Beach County, Florida, United States. The Intracoastal Waterway separates it from the neighboring cities of West Palm Beach and Lake Worth...
as a resort store, followed by a Southampton, New York resort store in 1928. The first full-line year-round Saks store was opened in Chicago
Chicago
Chicago is the largest city in the US state of Illinois. With nearly 2.7 million residents, it is the most populous city in the Midwestern United States and the third most populous in the US, after New York City and Los Angeles...
in 1929, followed by another resort store in Miami Beach, Florida
Miami Beach, Florida
Miami Beach is a coastal resort city in Miami-Dade County, Florida, United States, incorporated on March 26, 1915. The municipality is located on a barrier island between the Atlantic Ocean and Biscayne Bay, the latter which separates the Beach from Miami city proper...
. In 1938 Saks expanded to the West Coast, opening in Beverly Hills
Beverly Hills, California
Beverly Hills is an affluent city located in Los Angeles County, California, United States. With a population of 34,109 at the 2010 census, up from 33,784 as of the 2000 census, it is home to numerous Hollywood celebrities. Beverly Hills and the neighboring city of West Hollywood are together...
, California. By the end of the 1930s Saks Fifth Avenue had a total of 10 stores, including resort locations such as Sun Valley, Mount Stowe and Newport. More full-line stores followed with Detroit in 1940 and Pittsburgh in 1949. In downtown Pittsburgh, the company moved to its own freestanding location approximately one block from its former home on the fourth floor in the downtown Gimbel's flagship. The San Francisco
San Francisco, California
San Francisco , officially the City and County of San Francisco, is the financial, cultural, and transportation center of the San Francisco Bay Area, a region of 7.15 million people which includes San Jose and Oakland...
location opened in 1952. More expansion followed from the 1960s through the 1990s including Texas, the Midwest, and the South.
BATUS Inc. acquired Gimbel Bros., Inc. and its Saks Fifth Avenue subsidiary in 1973 as part of its diversification strategy. In 1990, BATUS sold Saks to Investcorp S.A.
Investcorp
Investcorp is a manager of alternative investment products, serving high-net-worth private and institutional clients. Its principal client base is in the six countries of the Gulf Co-operation Council, but it also has institutional clients in North America and Europe...
, which after investing in the company and weathering the early 1990s recession took Saks public in 1996 as Saks Holdings, Inc. In 1998, Saks Holdings Inc. was acquired by Proffitt's, Inc., then the parent company of Proffitt's
Proffitt's
Proffitt's was a department store chain based in Alcoa, Tennessee. On March 8, 2006, the Proffitt's and McRae's stores were converted into Belk stores. Belk acquired the two chains in July 2005 from Saks Incorporated.-Beginnings:...
among other department stores. Upon closing of the acquisition, Proffitt's, Inc. changed its name to Saks Incorporated
Saks Incorporated
Saks Incorporated , founded in Birmingham, Alabama in 1998, is headquartered in New York City, New York, and is a Fortune 1000 operator of high-end department stores in the United States under the nameplate Saks Fifth Avenue. Saks evolved from Proffitt's Inc. after Proffitt's changed its name in...
.
In 2005 vendors filed against Saks alleging unlawful chargebacks. The SEC formally investigated the complaint and Saks settled with the SEC in 2007.
In August 2007 the United States Postal Service
United States Postal Service
The United States Postal Service is an independent agency of the United States government responsible for providing postal service in the United States...
began an experimental program selling the plus Zip Code
ZIP Code
ZIP codes are a system of postal codes used by the United States Postal Service since 1963. The term ZIP, an acronym for Zone Improvement Plan, is properly written in capital letters and was chosen to suggest that the mail travels more efficiently, and therefore more quickly, when senders use the...
extension to businesses. The first company to do this was Saks Fifth Avenue which received the zip code of 10022-SHOE for the eighth floor shoe department in its flagship Fifth Avenue (Manhattan)
Fifth Avenue (Manhattan)
Fifth Avenue is a major thoroughfare in the center of the borough of Manhattan in New York City, New York, United States. The section of Fifth Avenue that crosses Midtown Manhattan, especially that between 49th Street and 60th Street, is lined with prestigious shops and is consistently ranked among...
store. Today, the New York flagship store accounts for a significant amount of the entire chain's annual revenue.
Since 2000, Saks has closed a number of locations, including White Plains
White Plains
White Plains may refer to:Places* White Plains, New York* White Plains, Georgia* White Plains, Kentucky* White Plains, Maryland* White Plains, North Carolina*White Plains , listed on the NRHP in South Carolina...
, Garden City
Garden City
- Places :Australia:*Toowoomba, Queensland, nicknamed "Garden City"*Garden City, a locality within Port Melbourne, Victoria* Westfield Garden City, a Westfield shopping centre in Upper Mount Gravatt, Brisbane...
, and Southampton
Southampton
Southampton is the largest city in the county of Hampshire on the south coast of England, and is situated south-west of London and north-west of Portsmouth. Southampton is a major port and the closest city to the New Forest...
in New York, as well as other suburban, and "downtown" location around the country. The focus has been to have a smaller number of stores in each key market, and thus make those stores destinations within their respective markets. As an example, the Saks 5th Avenue location at the Shops at Prudential Center
Shops at Prudential Center
The Shops at Prudential Center is an urban shopping center located at the base of the Prudential Tower in Boston, Massachusetts. The mall lies adjacent to many other destinations such as: Hynes Convention Center, the 101/111 Huntington Avenue office towers, and a skywalk connecting it to Copley...
in Boston
Boston
Boston is the capital of and largest city in Massachusetts, and is one of the oldest cities in the United States. The largest city in New England, Boston is regarded as the unofficial "Capital of New England" for its economic and cultural impact on the entire New England region. The city proper had...
, is the only Saks 5th Avenue stores in the greater Boston metropolitan area, and the location in Bala-Cynwd is the only location in the greater Philadelphia market .
International
The chain's strategy for international expansion focuses on underserved luxury markets. Its first international location, operated under license by SFAE, opened in RiyadhRiyadh
Riyadh is the capital and largest city of Saudi Arabia. It is also the capital of Riyadh Province, and belongs to the historical regions of Najd and Al-Yamama. It is situated in the center of the Arabian Peninsula on a large plateau, and is home to 5,254,560 people, and the urban center of a...
, Saudi Arabia
Saudi Arabia
The Kingdom of Saudi Arabia , commonly known in British English as Saudi Arabia and in Arabic as as-Sa‘ūdiyyah , is the largest state in Western Asia by land area, constituting the bulk of the Arabian Peninsula, and the second-largest in the Arab World...
, courting the wealth of the oil-rich Middle East. Other locations now include the United Arab Emirates
United Arab Emirates
The United Arab Emirates, abbreviated as the UAE, or shortened to "the Emirates", is a state situated in the southeast of the Arabian Peninsula in Western Asia on the Persian Gulf, bordering Oman, and Saudi Arabia, and sharing sea borders with Iraq, Kuwait, Bahrain, Qatar, and Iran.The UAE is a...
, Bahrain
Bahrain
' , officially the Kingdom of Bahrain , is a small island state near the western shores of the Persian Gulf. It is ruled by the Al Khalifa royal family. The population in 2010 stood at 1,214,705, including 235,108 non-nationals. Formerly an emirate, Bahrain was declared a kingdom in 2002.Bahrain is...
and two stores in Mexico City
Mexico City
Mexico City is the Federal District , capital of Mexico and seat of the federal powers of the Mexican Union. It is a federal entity within Mexico which is not part of any one of the 31 Mexican states but belongs to the federation as a whole...
. A new store is planned for Kazakhstan
Kazakhstan
Kazakhstan , officially the Republic of Kazakhstan, is a transcontinental country in Central Asia and Eastern Europe. Ranked as the ninth largest country in the world, it is also the world's largest landlocked country; its territory of is greater than Western Europe...
. In January 2009, the company opened a second location in Saudi Arabia, in the city of Jeddah
Jeddah
Jeddah, Jiddah, Jidda, or Jedda is a city located on the coast of the Red Sea and is the major urban center of western Saudi Arabia. It is the largest city in Makkah Province, the largest sea port on the Red Sea, and the second largest city in Saudi Arabia after the capital city, Riyadh. The...
. and coming soon opening in Puerto Rico
Puerto Rico
Puerto Rico , officially the Commonwealth of Puerto Rico , is an unincorporated territory of the United States, located in the northeastern Caribbean, east of the Dominican Republic and west of both the United States Virgin Islands and the British Virgin Islands.Puerto Rico comprises an...
in Plaza Internacional, the opening of this stores and this grand mall is estimated in finally 2012.
External links
- Saks Fifth Avenue Official website