NEW YORK — Hudson Bay has purchased the luxury deal site Gilt Group Holdings Inc. for $250 million as traditional retailers follow shoppers, and their money, online.
The Toronto retailer, which owns Lord & Taylor, Saks Fifth Avenue, as well as Saks Off 5th, will at the same time integrate the online company into some of its physical store locations. Gilt concept shops will open at Saks Off 5th, Saks Fifth Avenue’s off-price division. And Gilt shoppers will be able to return merchandise bought online at Gilt at Saks Off 5th.
Gilt has cultivated a loyal base of affluent millennials, a demographic shared with Saks Off 5th. It has more than 9 million members and about 50 percent of its orders come from mobile devices.
