Revamping Bergdorf's: Store Steps Up Program To Build Sales to $500M

The ambitious remodeling process at Bergdorf Goodman continues, as it strives to grow revenues to at least $500 million a year.

View Slideshow

Jim Gold on Bergdorf's new fifth floor

Photo By Thomas Iannaccone

Renderings of the third floor.

Photo By WWD Staff

The BG restaurant/bar.

Photo By WWD Staff

Stephen Joseph

Photo By WWD Staff

Kelly Wearstler

Photo By WWD Staff

Michael Gabellini

Photo By WWD Staff

Linda Fargo

Photo By WWD Staff

NEW YORK — It's been an expensive, 10-year, stop-and-go process, but Bergdorf Goodman's overhaul is picking up steam again.

The goal of the project, at an estimated cost of $80 million to $85 million, is to modernize the luxury emporium, retain the classicism while injecting some hipness it's never had before and grow revenues to at least $500 million a year.

And, as Bergdorf's parent, the Neiman Marcus Group, is close to being acquired by Texas Pacific Group and Warburg Pincus for $5.1 billion, such growth will be ever more important. The new owners are expected to drive hard the assets of NMG to justify its price tag while further expanding the company in a world of luxury retailing that it already dominates.

"They're 100 percent behind the remodeling," said Jim Gold, president and chief executive officer of Bergdorf Goodman. "We are confident that our renovation will allow us to build on our current success and further solidify our position as the ultimate luxury store."

Gold declined to confirm any figures for this story.

Since 2000, the main floor and the beauty floor below, as well as the second, fourth and most of the fifth floors, were remodeled, and some back offices were moved off-site to add selling space. But there are plenty more construction projects in the works, among them:

  • A new loft-like third floor for designer sportswear collections, including Derek Lam, Vera Wang, Zac Posen, Marc Jacobs, Marni, Chloé and Comme des Garçons. Construction starts in October and goes in phases, a quarter of the space at a time.
  • New beauty level shops, including Wolford at the end of September; a larger Jo Malone space at the end of October, and Guerlain's debut in January.
  • The BG restaurant/bar on seven, seen opening in mid-November, seating about 100 in a 2,000-square-foot area and serving classic American cuisine for lunch and cocktails. It will be a stage for wine tastings, visiting chef demonstrations, caviar tastings and book signings.
  • A redesigned personal shopping complex on four, for March.

In addition, a new sixth floor, for modern sportswear collections such as Cuccinelli, Akris Punto, Piazza Sempione and Etro, is on the drawing boards. It's the last full-floor renovation, with a construction schedule to be determined.

View Slideshow
Page:  ... Next »
load comments


Sign in using your Facebook or Twitter account, or simply type your comment below as a guest by entering your email and name. Your email address will not be shared. Please note that WWD reserves the right to remove profane, distasteful or otherwise inappropriate language.
News from WWD

Sign upSign up for WWD and FN newsletters to receive daily headlines, breaking news alerts and weekly industry wrap-ups.

getIsArchiveOnly= hasAccess=false hasArchiveAccess=false