Saks on Amazon shuts down after luxury brands pushback
Saks Global is pulling the plug on its "Saks on Amazon" shop after limited brand participation and pushback from some luxury brands.
Instead, Saks will put all its energy into building up Saks.com.
This move comes right after the company filed for bankruptcy earlier this month.
The deal went south quickly
Amazon invested $475 million in Saks in 2024, hoping for a long-term partnership and a guarantee of at least $900 million in payments to Amazon over eight years.
But after budgets were missed and bills went unpaid, Amazon alleged in court that its investment was "presumptively worthless."
Legal fights broke out over store assets, and luxury brands pushed back hard—worried that being on Amazon would hurt their image.
Lesson learned
It's a reminder that even big names can stumble when brand vibes clash with mass-market platforms.
For anyone following how e-commerce giants team up (and break up), this is a real-world lesson in what happens when business goals don't line up—and why brand reputation still matters online.