In a stunning shakeup, Saks Global has reorganized its top management to cut costs and improve relations with brands and vendors, positioning its chief executive officer, Marc Metrick, to be more directly involved with brand partners.
Among the changes, Emily Essner, president and chief commercial officer of Saks Global since December 2024, when Saks Global purchased the Neiman Marcus Group, has left the company.
Also leaving the company is Bill Bine, chief transformation officer for Saks Global, and Rob Brooks, the chief operating officer for Saks Global, who has accepted another job within the technology industry.
The transformation and operations functions have been reassigned to existing executives in different areas of the business.
Meanwhile, Kim Miller, president of the Saks Off 5th off-price division, has been named chief customer officer, a new role at Saks Global.
Paolo Riva, chief brand partnerships and buying officer for Saks Fifth Avenue and Neiman’s, will report to Metrick.
Miller and Riva as well as Metrick will take on certain of the responsibilities previously held by Essner.
Tracy Margolies continues as president of Bergdorf Goodman.
As previously reported, Yumi Shin, who had been chief merchandising officer of Bergdorf Goodman for seven years, left the company earlier this month. According to sources, Shin is expected to join Nordstrom. Officials at Nordstrom are not commenting on that possibility. Bergdorf’s has not yet announced plans to replace Shin or who might handle the responsibilities she had.
On Thursday, Metrick emailed a letter to vendors and brands, a copy of which was obtained by WWD. Metrick wrote that Riva will be reporting to him “so that I can play a more direct role in our brand partner strategies as we continue strengthening these important relationships. There are no changes to Paolo’s team, nor to the Bergdorf Goodman team, which remains separate. I look forward to having greater involvement with our brand partners as we work together to maximize our collective growth potential across Saks Global’s luxury retail brands.”
Metrick also wrote that Miller will report to him, and that she will lead strategies to “to drive customer satisfaction, loyalty and retention across Saks Global. Specifically, she will lead all customer-facing channels, including marketing, stores, digital, customer support and customer analytics for Saks Fifth Avenue and Neiman Marcus, as well as select functions for Bergdorf Goodman.”
Metrick indicated in his letter that Genny Siller, currently senior vice president of merchandise planning at Saks Off 5th, becomes senior vice president and general manager of Saks Off 5th, reporting to him.
“We are grateful to Emily for her significant contributions over 14 years with the company, overseeing critical strategies that have helped drive the business forward,” Metrick wrote. “She led a number of key initiatives, including the creation of our industry-leading personalization strategy, the Saks Limitless top customer program, and the Saks Media Network, among others. All of this has set us up for a strong future at Saks Global, and we wish her all the best in future endeavors.”
Metrick also reiterated his message that significant progress has been made on integrating Saks and Neiman’s, “faster than the team expected. As with any complex integration, we have been constantly learning, with the goal of ensuring that we are the best positioned to advance the customer experience, strengthen our brand partner relationships and drive improved financial performance.”
Late December, Saks Global finalized its acquisition of Neiman Marcus Group for a total enterprise value of $2.7 billion. Saks Global now includes Neiman Marcus, Bergdorf Goodman, Saks Fifth Avenue and Saks Off 5th.
At the same moment, Essner, who was chief marketing officer at Saks, was promoted to president and chief commercial officer, overseeing the merchandising, marketing, commercial analytics and e-commerce for Saks and Neiman Marcus. That put her in a much wider role with broad responsibilities at the company.
For its second quarter ended Aug. 2, Saks Global’s revenues fell 11.1 percent to $1.6 billion from $1.8 billion a year earlier. The top line was impacted by ongoing inventory issues and higher costs. Gross merchandise value totaled $2 billion, down slightly from $2.1 billion in the year-ago quarter. And the net loss was $288 million compared with $271 million a year earlier.
Metrick did say, however, that the retailer was seeing more positive signs so far in the third quarter and expressed optimism for the holiday season. The company previously indicated that Saks Global is on track to reach an annualized synergy target of $600 million over the next few years, and is executing on approximately $300 million in run-rate synergies, nearly twice the expectations outlined at transaction close for year one.
Saks officials have been working with many vendors to improve inventory flow, as relationships have been soured by late payments for some time. In certain cases, Saks has been catching up on delayed payments to vendors, while other vendors are still waiting to see some of what’s owed them.
In July, Saks Global named Brandy Richardson chief financial officer, a crucial role in light of the luxury retailer’s recent financial pivots and efforts to assure creditors and vendors that it’s now on firmer financial footing. Richardson is no stranger to the sector. She spent the majority of her career at the Neiman Marcus Group where she held several finance leadership roles of increasing responsibility over her 15-year tenure.
To raise cash, Saks Global is exploring strategic options for Bergdorf Goodman, including selling a 49 percent minority position in the luxury department store, as previously reported. The company had tested the market for an outright sale and is now focused on selling a minority stake that could value Bergdorf Goodman in the range of $1.5 billion to $2 billion. Most likely, a sale of a minority stake would go to a private equity or possibly a Middle Eastern sovereign fund, rather than another retailer. Bergdorf Goodman is considered a crown jewel in retailing, offering the highest order of luxury designer brands and high levels of service. Bergdorf’s operates separate men’s and women’s stores opposite each other on Fifth Avenue between 57th and 58th Streets.
