What: Industry experts question whether opening a casino inside Saks Fifth Avenue flagship store would drive traffic for the business or negatively impact the brand’s image.

Why it is important: While the proposal may seem absurd, retailers need to be considering bold initiatives to stay relevant in the marketplace as consumers become more interested in experiences.

After opening a casino on the top three floors was proposed by Saks’ parent company, HBC, experts throughout the industry are discussing the impact it could have on the luxury department store’s business.

The marketplace is moving quickly and demographics are changing consumers become more interested in experiences. As retailers try to engage more in the lives of their customers and create more unique shopping experiences, a casino could drive traffic and attract a larger luxury audience.

The former president of Saks noted that luxury is about quality experiences, not just quality products, and a casino could achieve that if handled correctly in addition to opening up new kinds of partnerships with hotels and airlines.

Other retail experts disagreed with the idea, stating that the luxury department store should stick to what it knows as a casino wouldn’t be compatible with the department store’s hours or business model.

Several sources state the plan should be viewed as a real estate play as HBC greater productivity out of its flagship real estate. The top three levels currently house clothing, the L’Avenue restaurant, Saks Works, and offices.

A Saks casino: gauging the impact to the luxury brand