Saks Global files for bankruptcy amid century-long shifts in department stores

Businessinsider reports Saks Global, the parent company of Saks Fifth Avenue, Bergdorf Goodman, and Neiman Marcus, filed for bankruptcy on Tuesday.

Department stores have changed dramatically over the last 100 years. In the early 1900s they sold necessities such as food, home goods, and apparel; today many also sell novelty and branded items and use technology in window displays. During World War I Harrods operated an in-house tailoring room to alter and sell uniforms, and modern stores now offer touchscreen self-checkout. In 2025 US shoppers were projected to spend a record $11.7 billion online on Black Friday.

Saks Global's 2024 acquisition of Neiman Marcus for $2.7 billion left the company in debt and struggling to pay luxury vendors, some of whom withheld inventory. A reporter, Madeline Berg, visited the Saks Fifth Avenue flagship the day the company announced the bankruptcy and found it "nearly empty" with little foot traffic.

The rise of the internet and surge in online sales have placed a major strain on department stores; while some classic chains have ceased to exist, other retailers have found ways to increase sales, and Saks Global is the latest major department retailer to file for bankruptcy.

Key Topics

Business, Saks Global, Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, Harrods