They’re already de rigueur in London, but the shop-within-a-shop has yet to make big inroads in New York.  Saks Fifth Avenue is leading the way with an in-store, single brand boutique devoted entirely to contemporary designer 3.1 Phillip Lim.  The outpost on Saks’ fifth floor opens tonight.

Phillip Lim’s new shop within Saks.  Photo courtesy of WWD.

More than just a way to feature its commitment to young design talent, the store-in-a-store is also a way for an established retailer like Saks to make brick-and-mortar retail more appealing.  An elevator opens directly into the space, and the shop itself features a related art installation by the painter Nobuhiro Nakanishi.  (Lim himself introduced Nakanishi to Saks.)

The exclusive Lim boutique also caters to Saks’ current customer base — while contemporary shopping is 20% ahead of company expectations and designer apparel still leads the way, the retailer’s classic apparel sector (marketed to a more mature demographic) is way down.  Lest Saks’ efforts with Lim come across as an attempt to re-brand way too young, in fact, the new pop-up totally reflects what’s already happening to the store.