Neiman Marcus Group on Wednesday announced it has abandoned plans to use Farfetch’s e-commerce software to revamp the luxury department store’s online storefront and app. The luxury department store chain will also not join Farfetch’s marketplace.
Neiman Marcus Group first entered an agreement with Farfetch in 2022, when the luxury e-tailer invested $200 million in the department store chain. As part of that deal, Neiman Marcus was supposed to updated it own e-commerce experience to use Farfetch’s software, Farfetch Platform Solutions, which provides online shopping tools for companies like Harrods, Chanel and Thom Browne.
Farfetch will remain a minority investor in Neiman Marcus Group, as the department store chain continues investing its original capital injection into building its own e-commerce technology, according to a person familiar with the matter.
Farfetch did not respond to a request for comment.
The news comes a week after South Korean e-commerce giant Coupang completed its acquisition of Farfetch’s assets, including FPS, amid backlash from a group of investors.
South Korea’s Coupang Completes Farfetch Acquisition
The Korean e-commerce giant on Wednesday announced it finalised its deal to control all of the London-based luxury e-tailer’s assets, which include its online marketplace and software platform.