Fingerhut

Last updated
The Fingerhut Companies, Inc.
Company type Subsidiary
Industry Mail order, online shopping
Founded1948;77 years ago (1948)
FounderWilliam and Manny Fingerhut
Headquarters
Saint Cloud, Minnesota, U.S.
Revenue US$500 million (2008)
OwnerBluestem 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.

Contents

History

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.

See also

References

  1. ↑ Moore, Janet (January 17, 2002). "Fingerhut to shut down; 4,700 jobs lost in state; Finding buyer to save catalog retailer is unlikely, analysts say.(NEWS)". Star Tribune (Minneapolis, MN). Archived from the original on November 2, 2012. Retrieved 2009-01-05.
  2. ↑ Kaufman, Leslie (February 12, 1999). "Federated Department Stores to Buy Fingerhut". The New York Times . Retrieved 2009-01-05.
  3. ↑ Williams, Helaine (7 July 2013). "Fingerhut shopping was a rite of passage". Arkansas Democrat Gazette. Retrieved 4 October 2024.
  4. ↑ "History: Fingerhut Companies Inc.", Funding Universe
  5. ↑ "Fingerhut Receives $62.5 Million Equity Investment: New Financing Positions Company for Significant Growth" Archived 2010-12-19 at the Wayback Machine , Minneapolis, MN, March 31, 2004, press release.
  6. ↑ "Debt Collectors Real & Fake Top List Of Most-Blocked Phone Numbers". Consumerist. 6 August 2012. Retrieved 19 February 2015.
  7. ↑ "Fingerhut Robocalling Class Action Lawsuit". bigclassaction.com. Retrieved 19 February 2015.
  8. ↑ "Fingerhut owner Bluestem Brands files Chapter 11, may be sold". Business Journal . Retrieved 2020-05-10.

Further reading


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