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Company type | Subsidiary |
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Industry | Mail order, online shopping |
Founded | 1948 |
Founder | William and Manny Fingerhut |
Headquarters | Saint Cloud, Minnesota, U.S. |
Revenue | US$500 million (2008) |
Owner | Bluestem Brands, Inc. |
Number of employees | 6,000 (2002) |
Website | www.fingerhut.com |
Fingerhut is an American catalog and online retailer. [1] [2] It is distinguished from other online retailers in that it incorporates a technique known as hire purchase, where customers can pay with credit and make monthly payments until their orders are paid off.
Fingerhut was founded in 1948 by William Fingerhut and his brother Manny, selling automobile seat covers. [3] In 1952, the business repositioned itself as a mail-order catalog company and expanded its product offerings to include towels, dishes, and tools. In 1969, the company went public. [4] The Fingerhut family was no longer involved in the business after 1979.
In 1994, Fingerhut sponsored the #98 NASCAR Ford Thunderbird for Cale Yarborough Motorsports. Derrike Cope started the year in the #98 car, before he was replaced later on by Jeremy Mayfield. In 1995, the company launched the e-commerce site fingerhut.com. By 1996, Fingerhut was one of the 25 largest credit card issuers in the United States.
The Fingerhut brand has undergone several ownership changes during its existence, including a one-time ownership by American Can Company (1979) and its successor Primerica, Federated Department Stores (1999), Petters Group Worldwide (2002), and Bain Capital Ventures (2004). Federated Department Stores Inc. (current Macy's, Inc.) acquired Fingerhut for 1.7 billion USD in 1999. Fingerhut's revenue was $1.7 billion USD for the fiscal year that ended in January 2001 (FY 2001). By 2000, Fingerhut had lost 400 million USD, and Federated Department Stores sold the company in 2002. [5]
The company has received criticism for allegedly engaging in practices such as robocalls. [6] [7]
On March 9, 2020, the company's parent, Bluestem Brands, Inc., filed for Chapter 11 bankruptcy in the United States District Court for the District of Delaware. [8]
Currently, if you visit the Fingerhut website, there are nothing but a few clearance items left. The company is being shut down, and its St. Cloud HUB will be closing down by September or October 2025.