Profits and sales fall for Neiman Marcus. “With online shopping customers are less loyal”

Hard times for Neiman Marcus. The luxury department store chain based in Dallas, which also owns Bergdorf Goodman and e-tailer MyTheresa, today announced financial results for the first quarter, which ended Oct. 29. Revenues decreased by 7.4% to 1.08 billion dollars (1.014 billion euro), while net losses grew, from 10.5 million (first quarter 2015/2016) to 23.5 million dollars ( about 22 million euro). Even the comparable sales decreased by 8% during the quarter. If in previous quarters the President and CEO Karen Katz had attributed the poor results to oil, US dollar exchange rate, terrorism and external factors, this time it threw into question the operational difficulties related to the launch of a new common system of merchandising and to changes in consumer behaviour: “the Internet gives customers greater access to information about the price and promotion. You buy where you sniffs deals without regard for the fidelity to the store or the brand.“


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