A History of America's Oldest Department Stores: From Lord & Taylor to Macy's

Lord & Taylor, founded in 1826 in New York City, is generally considered America's oldest department store. Starting as a dry goods store, it evolved into a full-fledged department store and was a pioneer in introducing this retail concept to American shoppers. Lord & Taylor was known for its upscale offerings, including elegant, high-end clothing and designer fashion, along with fine home goods.

In the 1910s, Lord & Taylor gained recognition for its innovative marketing and retail practices, like creating elaborate holiday window displays. The company was also renowned for its customer service.3 Its flagship store on Fifth Avenue became an iconic symbol of luxury shopping.

However, Lord & Taylor faced challenges in the 21st century, leading to ownership changes and financial difficulties. In 2020, the company filed for bankruptcy and closed many of its locations, including the iconic Fifth Avenue flagship store. The Lord & Taylor brand was sold, and a significant portion of the business transitioned online.

While Lord & Taylor may hold the title of the oldest, Macy's, founded in 1858, is often regarded as the most iconic and widely recognized department store in the U.S. Macy's is particularly famous for its flagship store in Herald Square, New York City. Rowland Macy's store in New York City stood out for its use of large, visible signage and a customer-friendly environment.

Macy's also introduced several innovations, such as the first department store Santa Claus, and became known for its elaborate holiday parades, including the Macy's Thanksgiving Day Parade, which started in 1924. The flagship store at Herald Square remains one of the largest department stores globally, attracting millions of visitors annually. Macy's has significantly shaped the department store experience with its grand interiors and extensive merchandise selection, from clothing and beauty products to home goods.

Despite challenges in the internet age, Macy's continues to thrive by adopting an omnichannel business model that blends physical retail with e-commerce. Macy's also operates the Bloomingdale's brand, which is known for higher-end fashion and luxury items.

Another iconic name in luxury retail is Saks Fifth Avenue, founded in 1924. Its flagship store at 611 Fifth Avenue in New York remains one of the world's most prestigious shopping addresses. Saks Fifth Avenue quickly became synonymous with high-end fashion, luxury items, and excellent customer service. It was among the first department stores to incorporate designer boutiques within its stores, making high-fashion brands accessible to a wider audience. Saks also became known for its stunning holiday window displays and its upscale restaurant, a significant part of the New York shopping experience for many years.

Today, Saks Fifth Avenue is owned by Saks Fifth Avenue Enterprises, which operates both physical stores and a robust e-commerce presence through Saks.com.