Neiman Marcus Group declares intention to buy Stylyze

June 16, 2021 (Last Updated June 16th, 2021 16:22)

Acquiring Stylyze will support NMG's strategy to create a segregated luxury experience.

Neiman Marcus Group declares intention to buy Stylyze
An NMG selling associate using the CONNECT remote-selling platform. Credit: © NMG.

Omnichannel fashion retailer Neiman Marcus Group (NMG) has announced its intention to purchase Cloud-based machine learning software as a service (SaaS) platform Stylyze.

Founded and led by women, Stylyze specialises in providing product attribution data and curated content to optimise shopping experiences.

The acquisition is the first of several future digital investments to be made by NMG in an effort to build its technology capabilities.

Over the next three years, the retailer plans to invest more than $500m to support its integrated luxury retail strategy.

The financial details of the transaction have not been disclosed.

NMG chief executive officer Geoffroy van Raemdonck said: “Over the past year, we’ve been strengthening the foundation of our business. We knew the rebound was coming and we’ve been experiencing the return of luxury as it accelerates.

“NMG is perfectly positioned to capture the growing interest of luxury customers as we develop essential digital capabilities that ensure we drive profitable and sustainable growth.

“By acquiring Stylyze, we will be able to advance our strategy of integrated luxury, building long-term relationships with our luxury customers that create emotional value and high lifetime value potential.

“This will allow us to deepen our relationship with our customers through the use of technology.”

NMG and Stylyze began their partnership in 2018, with NMG’s selling associates using the platform to digitally connect with clients and provide them with white-glove service.

Last September, NMG emerged from Chapter 11 bankruptcy protection after its reorganisation plan was approved by the US Bankruptcy Court for Southern District of Texas, Houston Division.

In January, NMG announced plans to invest $85m to improve its talent, merchandising, technology and supply chain.

The retailer intends to invest in systems and fulfilment centres, including its Pinnacle Park distribution centre in Dallas.