A brief history of Neiman Marcus
The Founding of Neiman Marcus
Neiman Marcus was founded in 1907 by Herbert Marcus, his sister Carrie Neiman, and her husband A.L. Neiman. The company began as a single store in Dallas, Texas, called "Neiman Marcus: Enlarged and Improved."
Neiman Marcus expansion and growth in the early-mid 1900s
In the 1920s and 1930s, Neiman Marcus expanded to other locations, including locations in Houston and San Antonio. The company also began to focus on luxury goods, establishing itself as a high-end department store. During World War II, Neiman Marcus faced challenges like many other businesses. However, it was able to rebound in the post-war years, with continued expansion and a focus on offering luxury clothing and accessories.
Reinventing Neiman in the 1960s
Neiman Marcus was already a well-established luxury department store, but during this decade, the company began to introduce new ideas and innovations that would help set it apart from its competitors. Some of the notable developments from this era include:
In-store restaurants: In 1960, Neiman Marcus opened the Zodiac Room, an in-store restaurant that served gourmet food and drinks. It was one of the first department store restaurants in the US, and it quickly became a popular spot for customers to relax and socialize while they shopped.
Pre-printed gift wrapping paper: Neiman Marcus was the first department store to offer pre-printed gift wrapping paper, making it easier and more convenient for customers to wrap their gifts.
Expanding outside of Texas: Neiman Marcus opened its first store outside of Texas in 1959, in Bal Harbour, Florida. This marked the beginning of the company's expansion into other regions of the country, and it would continue to open new stores in the following decades.
Fashion shows: Neiman Marcus began to hold regular fashion shows in the 1960s, featuring the latest clothing and accessories from top designers. These shows helped to establish the store as a destination for high-end fashion and allowed customers to see the latest trends in a live setting.
Focus on personal service: Neiman Marcus began to focus on providing a high level of customer service in the 1960s, with an emphasis on personalized attention and assistance. The company employed a large sales force that was trained to help customers find the perfect items to suit their needs.
Special events: Neiman Marcus started to hold special events such as trunk shows, designer appearances, and book signings in the 1960s, which helped to attract customers and create a sense of excitement around the store. These events also provided opportunities for customers to meet and interact with top designers and other industry insiders.
Overall, the 1960s was a decade of innovation and expansion for Neiman Marcus, as the company introduced new ideas and continued to establish itself as a leading luxury department store.
Neiman Marcus Going Public in the 80s
Neiman Marcus went public in 1987 and continued to grow and expand throughout the next decade and into the 21st century.
In 1987, Neiman Marcus went public and became a publicly traded company, meaning that its shares were available for purchase on the stock market. This allowed individuals and institutional investors to buy shares of the company and own a piece of the business.
The company's initial public offering (IPO) was very successful, with shares being initially offered at $22.50 per share and ending their first day of trading at $30 per share. This was a significant milestone in the company's history, and it marked a new phase of growth and expansion for Neiman Marcus.
One of the main reasons Neiman Marcus decided to go public is because it helped the company raise capital. The funds raised through the IPO were used to pay off debt and finance expansion plans, such as opening new stores, increasing inventory, and updating technology. Going public also increased the company's visibility, making it easier for customers to purchase shares of the company and own a piece of it.
After going public, Neiman Marcus continued to grow and expand, with the opening of new stores, and acquiring the Bergdorf Goodman and MyTheresa. Despite the challenges that the retail industry has faced in recent years, particularly with the rise of e-commerce, Neiman Marcus has remained a well-known and respected luxury department store brand.
However, the company has struggled financially and in 2020 Neiman Marcus filed for chapter 11 bankruptcy protection. After the bankruptcy process, the company was able to emerge as a private company again, with a new owner and a new strategy to reposition the business.
Notable Innovations & Contributions Neiman made to the fashion industry
Neiman Marcus has a reputation for being at the forefront of innovation in the retail industry. Some of the notable innovations that the company is known for include:
Personal shopping: Neiman Marcus was one of the first department stores to offer personal shopping services, where customers could work with a dedicated sales associate to find the perfect items to suit their needs.
Catalog sales: Neiman Marcus was also one of the first department stores to launch a catalog, which allowed customers to shop from the comfort of their own homes. The company's catalogs were known for their high-quality photography and detailed product descriptions, and they helped to establish Neiman Marcus as a leading luxury retailer.
Internet sales: Neiman Marcus was one of the first retailers to embrace e-commerce and was among the first luxury retailers to launch an online store. It continues to update its website and implement more technologies to provide more convenience to the customer.
In-store experiences: Over the years, Neiman Marcus has been known for offering unique and experiential in-store events, such as designer trunk shows and book signings. The company also frequently partners with luxury brands to create special pop-up shops and installations in-store.
Technology: Neiman Marcus has been known to use technology in its stores in various ways such as augmented reality, virtual try-on, RFID tagging and digital showrooms, to enhance the shopping experience.
Marketing campaigns: Neiman Marcus is known for its unique and memorable marketing campaigns. such as "The Christmas Book" and "The Fantasy Gifts", which showcase exclusive and luxurious items not easily found elsewhere, which helped to establish the company's reputation as a purveyor of luxury goods.
