What: Harrods will not be renewing the contract with the department stores as of this year.

Why is it important: Harrods has had a collaboration with the department store to exclusively sell Harrods products since 2006.

Following the end of the contract they will also be shutting down the stores located in Thailand and Singapore. Harrods will be focusing on their two outposts that they have opened in Shanghai and Beijing that provide a members-only private shopping experience Additionally they will be focused on the recently opened Harrods Tea Rooms in Shanghai as part of their expansion into the Asian market.

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Harrods ends partnership with Shin Kong Mitsukoshi

What: In Shanghai, malls including TX Huaihai and Bohui Plaza are opening nightclubs alongside fashion and luxury stores, driving foot traffic and sales to retail centres.

Why it is important: According to a 2019 study conducted by RET China Commercial Real Estate Research Center, nighttime commercial sales in Shanghai account for 62% of spend.

That year, Beijing, Shanghai, Guangzhou, Tianjin, Chongqing, Nanjing and other cities successively introduced measures for nighttime economic development. The scope of the night economy covers catering, transportation, shopping, exhibitions, entertainment, tourism and other industries.

China’s nightlife scene enters the shopping mall

What: The John Lewis Partnership is removing from sale products in Waitrose and John Lewis that are made in Russia.

Why is it important: John Lewis partnership will no longer sell Russian Vodka in Waitrose and a line of pizza oven pellets in John Lewis. They are working with suppliers to review products that have components of Russian origin and will be seeking to mitigate further exposure to the region.

John Lewis removes Russian made products from partnership

What: Established in the 70’s to compete with Galeries Lafayette’s famous “3J” promotional sales, Printemps launches the "8 jours en or" (8 golden days) promotion for the last time.

Why it is important: As for “3J” at Galeries Lafayette, "8 jours en or" was happening early October and early March every year, and was fully part of the department store identity for decades. Over the years, Such promotions have been declining in traffic and sales volume. It unknown whether Printemps will replace with another promotion.

Printemps to discontinue its "8 jours en or" promotion

What: The Australian department store operator revealed a six-month profit of AU $32.3 million ($23.7 million) on sales of AU $1.52 billion and confirmed it would pay its first dividend since 2017.

Why it is important: A combination of the online platform and store network were key contributions to the results, especially during the challenging Covid closures.

The chief executive John King reported a 15.2% increase in sales across the first five weeks trading into the second half, which was enough to push the company’s share price up 24.4%.

When stores were forced to close because of Covid, customers moved online resulting in a 47.5% boost in e-commerce sales. The e-commerce business now accounts for 27.9% of overall sales.

Myer’s share price soars after rare dividend promise

What: Macy’s announced the appointment of Marie Chandoha, former president and chief executive officer of Charles Schwab Investment Management, and Jill Granoff, managing partner of Eurazeo and chief executive officer of Eurazeo’s Brands division, to its board of directors.

Why is it important: Chandoha brings more than 35 years in financial services and investment management spaces. She led Charles Schwab Investment Management’s product and digital transformation, building a high-performing organization and doubling the firm’s assets under management.

Granoff brings 30 years of deep leadership experience building and growing consumer-driven companies with expertise as a strategist and brand builder in the retail, beauty and fashion industries. In her roles at Eurazeo, she is responsible for leading investment activities and overseeing the performance of the firm’s Brands portfolio globally.

With the addition of Chandoha and Granoff, Macy’s board will comprise 14 members.

Macy’s adds Jill Granoff and Marie Chandoha to the board of directors

Macy’s adds Jill Granoff and Marie Chandoha to the board of directors

What: Saks Off 5th receives USD 200 million investment from Insight Partners’ to enhance its digital experiences, expand the assortment, add talent, and escalate marketing initiatives.

Why is it important: The investment by Insight has put Saks Off 5th in a position to invest in things that matter for their customers. Including, marketing and driving brand awareness as well as customer acquisition, enhancing the app and website experiences, improving logistics and distribution to get products to customers faster, and attracting talent to the team.

The marketing of “Where Fashion Takes Off,” its 2022 spring marketing campaign and new brand tag line, includes paid social media, display advertising, website ads, email, and online video podcasts, and covers both Saksoff5th.com and the 100 Saks Off 5th stores.

Saks Off 5th rebrands

What: The retail arm of Central Group says revenue rose by 15% year-on-year to 58.77 billion Thai baht ($1.8 billion) and EBITDA was up 42% to 8.03 billion baht in its latest quarter.

Why it is important: Net profit for the company soared 124% to 2.5 billion baht.

The group did not break down the performance of its various business units, which also includes retail chains selling groceries, sportswear, stationery, and electronics across Thailand and Vietnam.

Central Retail’ solid fourth quarter (Press Release)

Central Retail’ solid fourth quarter (Business of Fashion)

What: Gap has opened its first branded shop-in-shop within Next’s Oxford Street store in London, in a return to the British high street, following the closure of all its UK stores in 2021 after a strategic review of its business.

Why is it important: The first Gap shop-in-shop is located within Next’s largest West End store on London’s Oxford Street and will be the biggest branded shop within the store, covering 4,000 square feet of retail space. The concept store has been designed to embody Gap’s reinvented approach to retail in the UK, and features an open, modern, and minimal design, and includes its own entrance onto Oxford Street.

The Gap shop-in-shop will sit alongside other brands stocked in the Next store including womenswear brand Lipsy and stationery brand Paperchase. It will also offer embroidery, badging and monogramming customisation stations for Gap customers to personalise their purchases.

Next will operate Gap’s business in the UK and Ireland as a franchise partner, managing its e-commerce business and establishing Gap-branded shop-in-shops within Next. The move is part of the American brand's plans to amplify its omnichannel business to better serve its customers within the UK and Ireland.

Gap opens shop-in-shop within ‘Next’ 

What: Colombian powerhouse Maluma is launching his first fashion collection for men and women exclusively with Macy’s.

Why is it important: Royalty by Maluma, designed in partnership with Reunited Clothing, is an exploration of his lifelong admiration for the artistry, and high fashion as well as furthers his mission to bring lasting style to his community through accessible collections.

Available in sizes XS to XXL with prices ranging from $39.50-$179.00, Royalty by Maluma is now on macys.com, Macy’s mobile app, and at select Macy’s nationwide.

Macy’s exclusive line by Maluma

What: Stockmann group is back in the black after a €12,3m loss in 2020.

Why it is important: This positive trend is also benefitting to the department store division although the first half of 2021 prevents the full year results to be positive.

Stockmann, the group owning the eponymous department store and the Lindex brand, has reported a positive 2021 FY with an adjusted operating profit of €68,1m, to be compared with a loss of €12,3m in 2020. Expectations for 2022 remain positive as well as the dynamics around the Lindex brand are positive.

When it comes to the department store division, results are increasing as well, however the consolidated result for 2021 remains in the red due to a low traffic on the first half of the year.

Finnish department store Stockmann returns to profits 

What: Amazon plans to close all 68 of its physical book stores, pop up shops and "4-star" stores in the United States and United Kingdom, ending some of its longest-running experiments in physical retail.

Why it is important: The e-tailer said physical retail remains an important way to reach shoppers and will continue to work on other concepts, such as its recently announced fashion store in greater Los Angeles.

Amazon to close all of its bookstores and '4-star' shops

What: Macy’s expands backstage store-within-store to 37 additional locations in Spring 2022.

Why is it important: Macy’s will bring its off-price, on-trend styles to additional stores nationwide offering shoppers another way to find and express their personal style at significant savings on their finds.

Macy’s Backstage store-within-stores range from 11,000 to 16,000 square feet of retail space, delivering a constantly changing assortment. With best-in-class fashion for those who love the hunt, customers can find something to fit their style in apparel for women, men, and children; a wide range of toys, housewares, beauty products, designer handbags, activewear and pet accessories.

At Macy’s Backstage, shoppers can earn and redeem Star Rewards and use their Macy’s credit card at all locations, creating a seamless experience for those shopping at both Macy’s full-line and Backstage stores.

Macy’s ‘Backstage’ takes center stage

Macy’s ‘Backstage’ takes center stage

What: The German luxury e-commerce company, Mytheresa, has joined the Chinese e-commerce giant, JD.com, launching an official e-boutique on its platform.

Why it is important: It has become increasingly common to see international e-commerce players join with local platform players in China, due largely to the dominance of traffic garnered by the likes of JD.com and Alibaba’s Tmall.

JD.com’s active user base had reached 550 million by last September. Rival Alibaba has collaborated with Net-a-Porter and Farfetch, which benefit from its 979 million local active users.

The collaborated online store offers luxury brands such as Alaïa, Balmain, Roger Vivier, Versace and designer brands like Marine Serre, Lemaire and Ganni. All the products will be directly shipped from Mytheresa’s Munich headquarters with Mytheresa providing 30-day free returns and Chinese customer service.

Mytheresa partners with JD.com in China

What: Macy’s rebrands with the new ‘own your style’ platform to help customers find and buy fashion that best suits their personal style.

Why is it important: Macy’s has stepped up personalization efforts, revamped its website, formed a style crew for fashion tips, and is creating in-store areas filled with apparel and accessories designated as “must-haves.” This strategy is geared to project some fashion authority and serve customers on a more individual basis.

Macy’s also changed its dress code for its colleagues, so they can better express their personal style and encourage customers to do the same.

“Own your style” will be integrated into macys.com, the Macy’s app, social media, and Macy’s stores. There will be digital screens providing style guidance to customers and displays of shoes and bags cross merchandised with outfits to give further suggestions.

Macy’s launches new brand platform

What: Sales and earnings are in line with fiscal 2021 outlook, with fourth quarter results demonstrating progress against the department store’s long-term growth strategy.

Why it is important: Digital sales in the fourth quarter decreased 1% compared with the same period in fiscal 2020 and increased 23% compared with the same period in fiscal 2019. Digital sales represented 44% of total sales during the quarter and 42% of sales for the fiscal year.

In its fourth quarter results report, Nordstrom demonstrates progress against its long-term growth strategy. The company reported net earnings of USD 200 million, and earnings before interest and taxes ("EBIT") of USD 299 million for the fourth quarter. For the fiscal year ended January 29, 2022, net earnings were USD 178 million, with EBIT of USD 492 million.

For the fourth quarter ended January 29, 2022, net sales increased 23% versus the same period in fiscal 2020 and decreased 1% versus the same period in fiscal 2019. Gross merchandise value ("GMV") increased 24% versus the same period in fiscal 2020 and was flat versus the same period in fiscal 2019. Nordstrom banner net sales were flat and GMV increased 2% compared with the fourth quarter of 2019. Net sales for Nordstrom Rack decreased 5% versus the fourth quarter of fiscal 2019, a sequential improvement of 320 basis points over the third quarter.

Sales in the home, active, designer, beauty and kids categories had the strongest growth compared with the fourth quarter of 2019. The company made significant progress on its merchandising strategies throughout 2021, with choice count at an all-time high, increasing 50% over last year, and more than 300 new brands launched during the year. Additionally, alternative vendor partnership models accounted for 10% of Nordstrom banner GMV in the fourth quarter, up from 7% in 2019.

The company has provided the following financial outlook for fiscal 2022:

•    Revenue growth, including retail sales and credit card revenues, of 5 to 7% versus fiscal 2021

•    EBIT margin of 5.6 to 6.0% of sales

•    Income tax rate of approximately 27%

Nordstrom strong fourth quarter

What: Allbirds had previously partnered with Nordstrom, but they plan on moving into other retailers starting in the second quarter.

Why is it important: Beginning in the second quarter, Allbirds will selectively enter third-party retailers. The goal is to build awareness and credibility for Allbirds, along with showing up in the right places with the right consumers.

While other retailers will also carry their brand, it will not lead to a huge rise in sales and only moderately bring growth to their business this year.

They plan to start wholesaling primarily in the U.S. as well as a small number of European retailers, with Asian stores in their future plans. The stores will not be given full access to the full Allbirds assortment but select products that are most appropriate for those market segments.

Allbirds to partner with department stores

What: It’s not only gamers buying digital fashion, as technology and knowledge improve, so does the data-backed understanding of what people want to buy and wear virtually.

Why is it important: People who buy digital fashion aren’t all gamers or young male crypto enthusiasts, many are women, and many are interested in shopping virtual stores. With the broader fashion industry looking for opportunities in the metaverse, new data shows not only what people want to wear in other worlds, but also how much they are willing to pay.

Digital fashion is a key component to how people shape virtual identities, and while moving from niche to passionately hyped, experts say real uptake by brands depends on separating fact from fantasy, especially as brands evaluate if digital apparel can manifest into a potential revenue stream.

A survey conducted by The Dematerialised fashion marketplace included 3,000 people across eight global markets (US, UK, Germany, Mexico, Korea, Saudi Arabia, Egypt and UAE) and reached a mix of people who didn’t all identify as tech enthusiasts. Half are millennials and the others are Gen Z or Gen X, evenly split between men and women. Survey indicates that 82% have already purchased a virtual item and one-third had purchased digital fashion. 47% interested in digital fashion are not crypto users.

CEO of Geeiq, which analyses metaverse platforms based on social media followers, saw that Zepeto’s social media audience is two-thirds female and 70% are younger than 24. Most are interested in luxury fashion brands. Followers are 13 times more likely to follow brands like Prada, Gucci, Fendi and Balenciaga. Within Roblox’s various spaces, 70% of users are 24 or younger, and the majority are male. Aeropostale, Gap and Forever21 are among the brands with the most affinity.

Virtue found that one in five active Roblox users updated their avatars on any given day, including the body, face and accessories. People who are established in the metaverse, with cryptocurrency and have an avatar, are three times more likely to have purchased more than 30 virtual goods.

Digital fashion will become mainstream within five years, according to two-thirds of those Virtue studied. Respondents expect nearly half of their overall wardrobe to be digital in five years.

Metaverse fashion is taking shape 

What: Retail-as-a-service startup, B8ta, has shuttered its U.S. operations.

Why it is important: B8ta was hoping to reinvent brick-and-mortar retail, but ultimately its reliance on brick-and-mortar stores proved to be its downfall after the company failed to reach a deal with landlords that would allow them to stay afloat.

B8ta dubbed itself a retail-as-a-service platform, rather than a retailer. Brands paid a monthly fee to not only display their products at a B8ta store, but also to get access to the company’s software, through which they received information like how much time customers spent demoing a product. The thesis of B8ta was that brands would ultimately pay for the software because of the great in-store experience and foot traffic it provided.

The conflict with the landlords follows a decision last year made by the company to half its store count due to decreased foot traffic. International affiliate B8ta Japan, which operated three stores, acquired the brand’s licenses and is now a standalone, operational business. B8ta Mena also remains operational in the UAE.

B8ta shutters U.S. operations after failing to reach a deal with landlords

What: The fast fashion giant is launching a marketplace with a roster of 13 external brands.

Why it is important: For traditional retailers, competition is now coming from everywhere, including from brands themselves. The brands’ marketplace approach generates two opportunities for department stores: either team up with them (as shown by FNAC/Darty and Manor) or significantly work on the store’s offer differentiation.

Fast fashion giant is launching a “H&M with friends” marketplace in Sweden and Germany, where customers will be able to find the group’s own brands (Weekdat, &Other Stories, Monki, Arket) but also Lee, Fila, Superdry and Crocs, among others (a total of 13 external brands will be also present).

Sweden and Germany are test markets, and if the experience is successful, other countries will be included in the programme. As of today, more than 1/3 of H&M’s revenue comes from e-commerce.

H&M is not the first brand to venture in marketplace, as Decathlon or Maisons du Monde already launched such initiatives.

H&M becomes a marketplace

What: Despite a lack of tourists in Thailand, Siam Piwat reports surging sales.

Why is it important: Siam Piwat says sales at its part-owned IconSiam flagship in Bangkok soared 43% in the final quarter of last year, the strongest growth in the three years since the centre opened, as the impact of Covid-related movement restrictions eased.

Sales of luxury brands “skyrocketed” during the past two years after several high-profile brands increased their store space or partnered with Siam Piwat in pop-ups.

Their “OneSiam SuperApp” that launched in late 2021 helped drive sales from registered members by more than 45% year on year. The app connects with more than 1,000 tenant stores and 100 business partners across 13 industries.

Siam Piwat says it aims to boost sales to member customers by 30% this year.

Siam Piwat’s sales surge amid Covid 

What: British retailer, the John Lewis Partnership, reported sharply lower annual losses and restored its staff bonus in fiscal year 2021, saying its recovery plan was gaining momentum.

Why it is important: John Lewis department store was hit hard by Covid but achieved its highest ever sales of GBP 4.93bn, up 8% like-for-like on last year.

Here is a summary of the Partnership’s results:

• Profit before exceptional items rebounded to GBP 181m, up 38% from last year.
• Loss before tax was GBP 26m, GBP491m better than last year.
• A bonus of 3% was awarded to Partners, equivalent to 1.5 weeks’ pay.
• Partnership to pay voluntary Real Living Wage nationwide this year; 2% pay rise.
• Total Partnership sales of GBP 12.5bn, up 1%.
• John Lewis achieved its highest ever sales of GBP 4.93bn, up 8% like-for-like on last year.
• Waitrose sales hit GBP 7.54bn, up 1% like-for-like on last year.

John Lewis Partnership shares fiscal 2021 results

What: Neiman Marcus announces the appointment of Katie Anderson to Executive Vice President, Chief Financial Officer.

Why is it important: Anderson will drive all financial functions for the Company as well as risk management, real estate, supply chain, and track progress towards the luxury retailer's growth execution and strategy. Her appointment comes at a pivotal time for the Company as it continues to invest in digital-first, stores, data, technology, and supply chain.

She will join the group leadership team and report to Geoffroy van Raemdonck, Chief Executive Officer, Neiman Marcus Group.

Neiman Marcus names new executive vice president, CFO

What: Walmart and Space NK join forces in the battle for the prestige beauty shopper and will launch in early summer with 250 locations.

Why is it important: Walmart is the latest mass market giant to join in the market share battle for prestige beauty dollars. They are partnering with Space NK, a U.K.-based specialty retailer, to bring high-priced beauty to its shelves.

The concept will launch on Walmart’s website on March 15 and bow in 250 Walmart locations starting in early summer, with most locations consisting of a branded endcap and an adjacent aisle. Fifteen brands are participating at launch, and there will be more than 600 stock-keeping units, to begin with between brick-and-mortar and online extensions of the partnership.

Walmart teams up with Space NK