Yesterday's announcement from Target and Neiman Marcus was something of shocker. The two retailers are teaming up to produce a limited collection of more than 50 items from 24 American designers for sale in both chains this holiday season. While the deal is clearly a winner for Target as it further brandishes its design and fashion cred, there are real risks that Neiman Marcus may tarnish its upscale image cooperating with its cheap chic partner.
"We've set the stage for a redefining moment in retail," said Gregg Steinhafel, chairman, president and CEO, Target, in a statement. "This collaboration is unlike anything Target has done before, and we are confident our guests will be thrilled with this extraordinary collection that features some of America's most preeminent designers."
Among the designers are Alice + Olivia, Tory Burch, Diane Von Furstenberg, Marc Jacobs and Jason Wu. Items in the collection will average around $60, with the lowest priced item around $8 and the highest at $500. Labels on the goods sold will include both Target's bullseye and the Neiman Marcus logo. The items are expected to be in stores on Dec. 1 and be available for purchase for three weeks.
Both chains maintain that the partnership is not that unusual for a very basic reason. They share many of the same customers.
"The way people shop in the last decade, they mix and match," Wanda Gierhart, Neiman's chief marketing officer, told The Wall Street Journal. "A lot of Target shoppers shop in our stores."
A Star Tribune article said the partnership will also give Target the opportunity to redeem itself for past missteps. Last year when the retailer launched its limited edition Missoni line, stores were overrun and merchandise quickly cleared out. The company's website crashed. This go around, Target will limit the number of items shoppers can buy at its stores.