How David Jones’ new store format will transform the way we shop
THE world’s tiniest swimwear rack says everything you need to know about David Jones’ newest store. What is going on here?
THE world’s tiniest swimwear rack says everything you need to know about David Jones’ newest store.
Two Tigerlily bikinis are all that’s on offer for beachgoers on the run; if you’re hoping to peruse the full range, you’ll have to take your business elsewhere. It’s all part of a new approach that is set to transform the way we shop.
The new store at Sydney’s Barangaroo is the first of a new breed of miniature David Jones outlets, with chief executive John Dixon looking to roll out the concept in wealthy inner-city suburbs across the nation, with Brisbane’s Fortitude Valley up next.
At the champagne-infused inaugural shopper’s night on Thursday, it feels like a very exclusive convenience store.
With two floors spread over 1400 square metres — one-tenth the size of the chain’s average department store — it would be impossible to cram in the full range of products.
Instead, a selection of premium fashion and beauty brands are on offer, from Chanel and Valentino to Hugo Boss and Polo Ralph Lauren.
If you’re shopping for undies, you’ve got a choice of Calvin Klein of Simone Perele for women and Calvin Klein, Hugo Boss or Polo Ralph Lauren for men. There’s not a pair of granny panties in sight.
Manchester, kitchenware, electronics, furniture and kidswear are also noticeably absent, while the essential but not-so-glamorous men’s board shorts are tucked away near the elevator.
The range is clearly tailored to the corporate types who work in the area; if you need a last-minute gift or new outfit, it’s got you covered.
There’s a personal shopping and suit-fitting service, a nail bar and a basic coffee shop. Customers can order and pick up a wider range of items through David Jones’ same-day click-and-collect service.
Mr Dixon, who cut the ribbon on the new store on Thursday, said the new format “enables us to deliver a world class shopping experience within the vibrant and busy areas where many of our customers live and work”.
“As part of this offering we will curate product ranges specific to individual precincts and develop premium services to enhance the shopping, styling and beauty experience for our customers,” he said.
But market commentators are divided over whether the retailer is onto a winner, with some analysts predicting that shoppers will reject the mini-store concept.
‘A CURATED POP-UP’
Peter Ryan of Red Communications warned that David Jones risked diluting its brand by departing from its usual offering.
“The small format department store has pretty much failed over the last 30 years everywhere around the world,” Mr Ryan told news.com.au, citing examples in the United Kingdom.
“Harvey Nicholls have tried it, Selfridges tried it and most of them have failed, mainly because they approached it the wrong way.”
He said the concept could work if treated as a “curated pop-up” that was “as much an advertising awareness pitch as well as it is anything else”.
But he said a separate brand would have better presented the offering, suggesting calling the smaller format store simply “DJs”.
“You need to signal the difference to the customer, rather than allow it to confuse what it is the brand actually stands for,” Mr Ryan said.
“The thing about a department store is it is an immersive, full service, curated, multibrand opportunity to compare and buy. Its history is as an emporium that gives you lots of choice from multiples of brands to be able to work out what’s the best for you, with a high degree of service. Most department stores around the world are fundamentally losing sight of that premise.”
IS THE DEPARTMENT STORE DEAD?
Not everyone is pessimistic about David Jones’ small format approach.
Retail analyst Geoff Dart, director of DGC Advisory, said it was “a great initiative” that would appeal to high-end shoppers who felt overwhelmed by the sheer size of the traditional department store.
“Demographically, we’ve got an ageing population, and shopping centres are losing traffic and revenue because people can’t physically walk that far,” Mr Dart said.
“And you can confuse consumers with too big a range; that’s what Target’s problem is — it’s trying to be too many things to too many people.”
He pointed to Aldi’s spectacular success with its smaller supermarket format, with a limited range underpinned by strong home brands.
“One of the things with department stores is, historically, they’ve tried to be everything to everyone — and that doesn't work,” he said.
He said David Jones should leave furniture to Freedom, Harvey Norman, Nick Scali and focus on “core ranges that are aspirational and easy to shop”.
“There’s a role for department stores; there’s just too many of them,” he said.
WHAT’S IN STORE
Women’s fashion brands available at David Jones Barangaroo include: Lover, Camilla, Camilla and Marc, Dion Lee, Manning Cartell, Zimmerman, Bassike, Jac + Jack, Bec + Bridge, Seed, Witchery, Country Road, J Brand, Simone Perele and Calvin Klein.
Men’s fashion brands include: Polo Ralph Lauren, Gant, Country Road, Ted Baker, Hugo Boss, Paul Smith, Joe Black, Academy Brand, Superdry, Calvin Klein.
Shoes and accessories brands include: Valentino, Chloé, Marc Jacobs, Jimmy Choo, Chanel, Mimco, Samantha Wills and Gucci.
Beauty brands include: Chanel, MAC, Estée Lauder, Clinique, La Mer, Bobbi Brown, Tom Ford, Glasshouse and L’occitaine.