Saks Off 5th divides retail and e-commerce

In line with their main price chain, which is now two separate companies for their brick-and-mortar and e-commerce, Saks Off 5th has split their physical retail and e-commerce operations completely. Saks Off 5th’s parent company, Hudson’s Bay Co., has joined forces with Insight Partners, an investment company, to build Saks Off 5th e-commerce as a standalone business.

Insight invested 200 million dollars in Saks Off 5th, putting its valuation at 1 billion dollars. It has been a very strong time for Saks Off 5th. According to an interview with Richard Baker, HBC’s governor, executive chairman, and CEO had with WWD, Saks Off 5th’s digital business is up 100 percent to the same period in 2019.

With both Saks and Saks Off 5th now operating their brick-and-mortar and e-commerce arms as completely separate companies, there is speculation that an IPO is on the way. Both Saks, Saks.com, Sak’s Off 5th, and Saks Off 5th’s e-commerce are all owned by Hudson’s Bay Co. Marketing and merchandising for both Saks Off 5th brick-and-mortar and e-commerce are expect to be handled by the same marketing and merchandising teams for consistency across the board.

Paige Thomas, the current president of Saks Off 5th is expected to continue on as president as well as earning the additional title of CEO. Saks Off 5th is expecting to add more brands to their roster after adding 200 brands in the past year.