David Jones Limited (DJS) is an Australian retailer tracing its origins back to 1838 when it first opened in Sydney to sell “the best and most exclusive goods” (DJS, 31 Oct. 2009). It has since expanded to become a national retail chain comprising of nearly 40 premium department stores. The subject of this analysis is a strategic business unit (SBU) that is playing an increasingly important role in the company’s future growth strategy; namely the provision of financial services. As the result of a strategic alliance with American Express (AMEX), DJS launched the David Jones American Express (DJA) card in 2008 (ASX Media Release, 20 February 2008). To effectively analyse the value proposition of this SBU and product it is important to …show more content…
| Customers | DJS retail: “DJ’s core customer comprises of 3 generations of women; daughter, mother, grandmother, with a household income of >$75,000 p.a.” (Macquarie Australia Conference, 2009, Mark McInnes). As the DJA credit card is a product development strategy, of supplying new products to existing markets, the customers of DJA are essentially the same as the current DJS customers. | Collaborators | Strategic alliance with AMEX in the provision of the DJA credit card. International alliances with other retail stores when the DJA card is used within their stores (eg. Harrods, Harvey Nichols, etc.). Other local ‘bonus partners’ in the DJA reward program (eg. Vintage Cellars). | Competitors | DJs competitive environment is summarised using the following adaptation of
The following report presents a detailed statistical analysis of AJ DAVIS department store customers. Data was collected from a sample of 50 AJ DAVIS credit customers for the purpose of learning more about the customers of AJ DAVIS.
Cue is an Australian fashion retailer, which has been in operation since 1968. The company opened its first story in Sydney, but has since opened a number of shops across the country. The retailer focuses on fashion, which is creative, innovative and youthful. The company has become one of Australia’s most loved and Marie Claire readers awarded it with the title of the Best Australian Fashion brand in 2015-2016.
DJS was the first department store in Australia and its black-on-white hounds tooth was judged one of the Australia’s top ten favourite trademarks in 20061. DJS maintains a wide variety of products and
The retail industry is saturated with substitutes, in part to low entry barriers. Online shopping and small boutiques stocking similar lines, brand names and designs provide David Jones potential customers with many substitutes. It is the David Jones experience that cannot be substituted; shopping in a large, upmarket department store. For the sector, substitutes are low.
The intensity of rivalry and the threat of substitutes are strong components for J.C. Penney to consider as they continue to strive for increased revenue and market share. Their two primary competitors are Macy’s and Kohl’s, both of whom have fiercely competitive strategies to be strong retail operations. For instance, while Macy’s offers a multitude of promotional deals and is working hard to choose products based upon demographics and geographic segmentation, Kohl’s is attempting to reduce their inventory levels and improve their marketing strategies in order to become a stronger competitor in the department store segment of the retail industry. In order to compete with their competitors, J.C. Penney aims to focus on their previously successful promotions and home department segmentations by bringing in new reputable designers in order to attract a larger customer base. Due to the fact that the intensity of rivalry and threat of substitutes are both moderately strong in the retail department store industry, J.C. Penney ought to be diligent in their implementation of strategies in order to achieve success in the retail business.
Costco’s competitive advantage is partnering with venders, yet it is highly safeguarded from public release. Very little is known about the process as to how Costco partners with vendors. The ability to have good relationships with vendors allows Costco to maintain their stagey by
Critically analyze the organization from the systems approach. You should consider the inputs, transformation and output elements of the operation and consider how the system creates value.
it is important to identify key strengths of the company over upcoming threats and weak points. Macy’s differentiate itself from competition with upscale “Celebrity” brand exclusivity, merchandise based on local preferences, and unique store design atmosphere. Based on analysis performed the company weighted strategy is to move towards the online and technology advances with maintaining Macy’s upscale storefront culture, integrating new product offerings with revising promotions to satisfy its target market and expanding operations to a new markets with present demand. From opportunities analysis strategy can be divided in three fragments
The value of Travis Perkins plc can be described from the following aspects: First, from the aspect of the relationship with consumers, the company understands the expectations and needs of consumers, respecting them and responding them in time. Second, from the aspect of the group itself, the company works together as a united family to solve problems first when faced problems instead of criticizing someone first. Third, from the aspect of development, the company has a deep understanding of what they do now and what they are going to do next, pursuing being the best (Travis Perkins plc,2011, p10).
JCPenney highlighted it merchandising strategy at the 15th and they highlighted the company is going focus on certain merchandise categories like home, footwear, and accessories such as bags. Home merchandise is a key aspect to JCPenney is merchandising strategy. They are plan in relaunched there home catalog in March 2015 after a gap of five years. They plan on to launch their second home catalog in the fall of 2015. JCPenney is plan on expanding their women’s shoe department with a combination of sit-and-fit and open-sell environments. They are pushing for this expansion to be completed by August 1. There are moving men’s shoes to the men’s department in an open-sell environment. JCPenney is focusing on their high margin center core products
High capital requirements, specialised assets and economies of scale of existing retailers reduce the incentive of competitors to enter the market. Similarly, the customer loyalty and brand awareness of David Jones’ differentiated product category reduces the incentive to penetrate the
On September 16, 2015, Robin Kincaid was detained while shopping at Barclay’s Department Store in Decatur, Georgia and is now seeking to sue the store for false imprisonment. However, there is a statute that may preclude Kincaid from recovery.
Goods are normally sold through separate in store departments. Department store purchase products from wholesalers and manufacturers and sell them to consumers, generally without changing the products. They also undertake activities like customer service, product merchandising, advertising, inventory control and cash handling.
Each organization requires different strategic planning, as there is no single strategic planning model that suits all organizations. Every organization has to develop model of strategic planning according to its own development, its nature of business and as per their own planning process. These models provide an extent of options on the basis of which different organizations might be able to select an approach and initiate to grow their own strategic planning process. Any organization might select to combine the models suitable to their planning process, for example, they can use a Basic model to recognize strategic issues and aims, and then they can select an issues-based model to develop approach to initiate the issues and grasp the
Pelican Stores, a division of National Clothing, is a chain of women's apparel stores operating throughout the country. The chain recently ran a promotion in which discount coupons were sent to customers of other National Clothing stares. Data collected for a sample of 100 in-store credit card transactions at Pelican Stores during one day while the promotion was running are contained in the file named Pelican Stores. Table 2.17 shows a portion of the data set. The Proprietary Card method of payment refers to charges made using a National Clothing charge card. Customers who made a purchase using a discount coupon are referred to as promotional customers and customers who made a purchase but did not use