by

Department Store Industry

1: INDUSTRY OVERVIEW: DEPARTMENT STORES

Department stores are large retail outlets that contain numerous individual shops, providing a wide range of product lines. Department stores most oftentimes consist of the following product categories:

1)      Food

2)      Cosmetics

3)      Shoes and Accessories

4)      Clothing

5)      Interior Décor

6)      Restaurants

Depending on the type of department store, department stores can offer a much wider range of products, including furniture, toys, electronics, books, etc.

Department stores come in a wide range of qualities and prices. There are such things as “high-end department stores”, which would focus purely on offering high-profile brands and products, while there are more mass-market targeting department stores, which are more likely to include a wider range of products, including practical household products.

That said, department stores will oftentimes try to cater to specific types of market segments. Particularly in the case of department stores in large cities, each department store will try to position itself differently from its direct and nearby competitors: some will try to cater to younger generations, while some will try to cater to the older generations. Some will try to cater to those interested in mainstream brands, while others will focus more on boutique, independent brands.

In the US, the department store industry includes approximately 20 companies operating roughly 3,500 stores. Major department stores in the US include: Sears, JCPenney, Macy’s, and Dillard’s. The industry earns an annual revenue of around $60 billion USD, 95% of which is earned by the largest 8 companies in the industry.

Some links about the industry:

http://en.wikipedia.org/wiki/Department_store

http://vspages.com/mall-vs-department-store-5580/

http://en.wikipedia.org/wiki/Shopping_mall

http://www.hoovers.com/industry/department-stores/1529-1.html

 

SPACE

2a: Implicit or Explicit?

From the department store owner’s standpoint, I would say that space is often sold explicitly, as they would charge the tenants per the size of the lease space. On the other hand, for stalls or booths set up in more open areas of the department store, space may be considered more implicit, as these spaces may be sold with less correlation to the exact size of the space.

2b: Ways of Splitting Space

Department stores have different types of spaces within the building that cater to their customers. The most typical type is the space split by fixed walls into one unit, and can usually be shut off or closed by a door or a shutter. These spaces cannot easily be adjusted in terms of size and layout without investment of significant time and money. These fixed spaces are generally leased out to a specific brand or company, such as Zara, Coach, Burberry, etc.

 

Then there is the semi-fixed space, such as the department store areas dedicated to selling cosmetics or shoes. These are oftentimes open areas in which a specific brand or merchandising line take up certain spaces, but are not divided up by physical walls or entryways. These areas are much more flexible in terms of changing the products being handled, given that one area can easily be changed to carry one brand/line from another; however, certain fixtures used for the displays will be fixed, and hence less flexible to change from a layout perspective.

 

There is also open space, in which temporary booths or stalls are built to sell a smaller line of products or services.

Different from other uses of store space is the use of space to purely focus on selling experiential services. For department stores, the focus generally remains on selling physical products. However, there are rare instances when space is allocated to selling services—one case being when department stores are attached to movie theaters.

 

 

 

 

 

 

 

 

 

 

 

 

2c: Creating Additional Revenue

One of the most standard ways for department stores to create additional revenue is by holding major seasonal sales. Because the product life cycle of clothes tends to be fairly short, many stores have inventory left over by the time they have to replace old products with new products. Having a highly publicized sale allows for these leftover products to be sold, be it at a lower price than its retail value.

One key to making people spend more money is to convince people to stay out shopping longer. A way to do this is to provide adequate opportunity for people to take a break from shopping and rest. Many department stores provide these venues by creating food courts—or in high-end places by providing patisseries or coffee shops at which people can recharge before going back to shop some more.

I also think one of the more creative ways in which department stores have used their space to create additional revenue is through creative use of its open space. Another approach department stores can use to bring people to their stores is to provide an additional incentive to go to that location. A common approach used to achieve this in the U.S. has been to create playgrounds in the open areas of the department stores. This service often incentivizes families to go to a department store, simply because it allows an opportunity for their children to play.

 One more approach commonly used in Japanese department stores to bring more people to the site is to host certain “festivals” or special events in their open space. For example, department stores would often host weekly “mini fairs” on either the ground floor or the top floor, in which one area of the department store would be devoted to hosting jewelry/clothes/food from brands and shops that usually were not represented at the department store. The content would be changed frequently, and the department store would often be able to bring new people into the store by publicizing new, limited-time genres of offerings at their store.

2d: Potential New Ways of Splitting Space

There are several different directions department stores could potentially go in terms of splitting space differently. One direction would be to use space to create more personalized services to customers. Many of the spaces in department stores are “public”, but allocating a portion of space at high-end stores to allow for “private” space may allow for varying experiences for customers. Customers would be charged a premium for making use of these private spaces.

Another potential use may be to make the spaces more flexible. Instead of sticking with a model that leans heavily toward having “fixed” spaces, changing to a model in which it would be much simpler, cheaper, and quicker to change tenants may be an attractive approach for department stores that are pursuing a more trendy, up-to-date feel.

3: TIME

3a: Implicit or Explicit?

Department stores generally sell time implicitly: this is because the product being sold generally isn’t associated with a particular time limit. For example, it is not like a massage, where you are buying 60 minutes worth of service. The transaction is associated with a physical product unattached to time.

3c: Selling Time Explicitly

Time is currently being sold explicitly at certain department stores, although these cases are generally not a reflection of its overall business model. For example, some department stores may include shops that offer time-explicit services. Some department stores have massage shops, which are time-based service sales.

 As another example, some department stores in Japan have small football fields on their rooftops, which people can rent out on an hourly basis.

(http://www.futaba-sp.com/omiya/2010/03/post-23.html)

 

 

Some department stores also include game centers for children—some of these entertainment options include machines that run for a set period of time per game.

 

 

 

Department stores will often have restaurants on one of their floors. These restaurants can often choose to set time limits to each group of customers (ex. 2hr limit) to be able to take in more customers during peak times.

(http://www.mitokeisei.co.jp/shop/10_skygarden/11keizan.html)

 

 

 

3d: Creative Things to do with Time

There are a couple things that could be done creatively with time—some of which may already be being done to varying lengths at department stores. One might be to offer some sort of benefit if a certain amount of time is spent within the department store. For example, if a customer was to receive certain benefits if they stayed for 5 hours at a department store on an off-peak day, this could incentivize customers to spend more money during their wait time, and this could also help to improve the image of the department store by maintaining more customers.

 

Another thing they might potentially consider doing is to include shops that provide rental services. Some shops may already do tuxedo/dress rentals, which would be time-based; they could potentially take this further by doing time-based rentals of other high-end luxury clothes and accessories.

4a/b: Physical and Non-Physical Rate Fences

Below are several examples of physical rate fences (owner-tenant relationships are more likely to be involved with physical rate fences than the tenant-customer relationships)

  • (Owner-tenant POV) Depending on the size of the space being rented, owners can choose to increase or decrease the rates
  • (Owner-tenant POV) Certain areas of a department store are likely to be more popular/convenient; hence an owner can charge more depending on the location of the space within the store (http://www.ehow.com/facts_6313023_average-retail-lease_.html)
  • (Tenant-customer POV) For services such as restaurants within the department store, tenants can set rates by charging differently between open areas and private rooms

In terms of non-physical rate fences, I would say that there are many opportunities to create rate fences, depending on the type of service/product the store sells. There are also several opportunities within the owner-tenant relationship:

  • (Owner-tenant POV) Depending on the lease period, the owner can set different rates to charge the tenant
  • (Owner-tenant POV) Depending on the credibility/attractiveness of the tenant, the owner can set different rates
  • (Tenant-customer POV) Depending on the quality of the product, functionality of the product, or time/length of the service, rates can be set differently. There is an enormously wide range of examples of this in department stores. A Gap outlet, for example, may sell a tank top for $10, while a Burberry outlet would sell a similar styled tank top for $150. Similarly, a cell phone with 3G functionality may sell at a cell phone provider outlet at a certain price, while a phone with 4G functionality would sell at a much higher price.

4c: Creative Ways to Set Rate Fences

Some ways I can think of setting rate fences creatively is to perhaps offer more intangible services—rather than just the physical products. For example, an I Love Bangkok t-shirt may only cost $5 at the actual retail shop, but if the customer already knows what he/she wants, but doesn’t want to make the trip up 7 floors and 5 minutes of walking to get there, the store could potentially charge an extra $1 to have the t-shirt brought down to the concierge desk of the department store for a quick pick-up.

573,780 thoughts on “Department Store Industry”

  1. Epigenetic inhibitor
    9%, while no micrometastasis was found in the mucosal T1N0 EGC. Of all the 30 cases according with the expanded ESD indications, six patients were found with lymph nodes micrometastasis. The occurrence of lymph node micrometastasis was common in T1N0 EGC. The cases with positive lymph nodes micrometastasis showed a lower median survival time than those with negative micrometastasis. lymph nodes micro

  2. EpigeneticReaderDo signals
    Embedding of the very energetic palladium N-heterocyclic carbene (NHC) complex with methylimidazolium headgroups into DPPC vesicles improves its catalytic task in Suzuki-Miyaura coupling.The sizeable global production of wood-based items needs brand-new resources of natural material, additionally creates large quantities of wastes or composit

  3. simply click the next internet site
    ADHD Symptoms in Adulthood

    Adults suffering from ADHD are more likely to have difficulties particularly if they have difficulties at school, at work or in relationships. They usually begin by talking about the person’s previous experiences with hyperactivity, inattention,

  4. csgo case battle
    CSGO Case Battle

    CSGO Case Battle is an exciting alternative to the traditional in-game case opening system. Players can compete against each other to simultaneously open cases which creates excitement and anticipation as the value of items dropped changes. This mode requires an

  5. selleck chemicals llc
    Lotus seed starch (LS) was enzymatically hydrolyzed by pullulanase, β-amylase and α-amylase to obtain three types of starch nanoparticles (SNPs) P-SNPs, β-SNPs and α-SNPs, respectively. The structure and physicochemical properties of lotus seed starch nanoparticles (LS-SNPs) were systematically studied by Laser particle size analysis, Scanning electron microscope (SEM), X-ray diffraction (XRD), Raman spe

  6. aicoin download
    In the particular rapidly evolving world of cryptocurrency, exchanges and trading systems are continuously striving to boost the consumer experience by giving revolutionary features, top-notch safety measures, and a smooth interface for investors. AiCoin, a prominent cryptocurrency exchange, features emerged as one such platform. Acknowledged for its AI-driven tools and witty technology, AiCoin will be designed to accommodate to both newbie

  7. this website
    G6pc

    , L. Chrebp

    and double knockout (i.e., L.G6pc

    .Chrebp

    ) mice.

    We observed that there was a dramatic decrease in lipid accumulation in the liver of L.G6pc

    .Chrebp

    mice. At the mechanistic level, elevated G6P concentrations caused by lack of G6Pase

  8. leather couch and loveseat set
    Genuine Leather Couches

    If you’re looking for an envy-inducing sofa that can endure the test of the years, consider genuine leather. It’s crucial to understand the difference between bonded leather and genuine leather.

    Look for couches that are upholstered in top-grain or full-grain to

  10. best fridge freezer brand
    How to Pick the very best Fridge Brand Name in the UK

    Fridge freezers are a few of the most popular soft goods in UK homes. They range in price from less than 200 GBP to a few thousand GBP. Powerpoint Wallesey brings excellent home devices, including fridge freezers from leading brands. These consist of Beko, Hotpoint, Bos

  12. selleck
    This review describes and appraises a novel protein-based antigen detection test for visceral leishmaniasis (VL). The test detects in patient’s urine six proteins from Leishmania infantum (chagasi) and Leishmania donovani, the etiological agents of VL. The gold standard test for VL is microscopic observation of the parasites in aspirates from spleen, liver, or bone marrow (and lymph node for dogs). Culture of the pa

  13. BIBW2992
    From January 21 through February 23, 2020, public health agencies detected 14 U.S. cases of coronavirus disease 2019 (COVID-19), all related to travel from China (1,2). The first nontravel-related U.S. case was confirmed on February 26 in a California resident who had become ill on February 13 (3). Two days later, on February 28, a second nontravel-related case was confirmed in the state of Washington (4,5). Examination

  14. best fridge brand uk
    The Best Fridge Brands

    The very best fridge brand names are spacious and energy efficient, keeping your food fresh for a long time. They also come with useful features like smart tech and return options.

    LG stays up to date with brand-new home appliance trends, using Wi-Fi-enabled fridges and expensive ice designs. The brand name also ranks highly in Yale A

  15. MYCi975 solubility dmso
    tinal morphological changes were seen in two animals.

    iHA-VMA displays targeted action confined to the vitreous and shows potential for safe pharmacologic vitreolysis.

    iHA-VMA displays targeted action confined to the vitreous and shows potential for safe pharmacologic vitreolysis.Use of animal models for human vision research is now pervasive. To add

  17. Tote bag printing
    Bags are generally used in different ways. These products are usually famous for the use of trade present giveaways, shopping case, and even a school bag. Toto is also earth-friendly, because it is usually often used to the supermarket. It enables the customer in order to remove the application of plastic bags to handle almost all the food. For that reason, more varied usage of this article, carriers are getting to be popular equip

  18. see more
    corticosteroids and immunosuppressants more commonly used to manage grades 3-4 irAEs.

    Rash and endocrine irAEs were independent prognostic factors of RFS and OS in patients treated with adjuvant ipilimumab. Patients experiencing lower grade irAEs derived the most benefit, but we found no significant evidence supporting a negative impact of high dose corticosteroids and immunosuppressants more commonly us

  19. Luzindole manufacturer
    Widespread geographic distributions in lichens have been usually explained by the high dispersal capacity of their tiny diaspores. However, recent phylogenetic surveys have challenged this assumption and provided compelling evidence for cryptic speciation and more restricted distribution ranges in diverse lineages of lichen-forming fungi. To evaluate these scenarios, we focus on the fungal genus Pseudephebe

  20. https://gamehoki311.com/
    Tiap betaruh sudah pasti ingin taruhan judi online nyaman serta menghadirkan beberapa keuntungan. Untuk tersebut karenanya penting buat beberapa bettor supaya memahami tentang bagaimana pilih web agen taruhan yang benar yang bakal memberi agunan keuntungan taruhan. kenyamanan dalam penempatan taruhan pastinya akan kamu peroleh dalam agen sah.

    Dengan masuk di dalam agen sah terpilih karena itu pada umumnya di dala

  21. K-975 mouse
    The effective design and implementation of the nursing interventions to evaluate the patients’ readiness for ventilator weaning will reduce their connection time to the ventilator and the complications of their connection to it. This study was conducted to examine the effect of nursing interventions based on the Burns Wean Assessment Program (BWAP) on successful weaning from Mechanical Ventilation (MV).

    <br

  22. add treatment natural
    Treatment of Add

    Treatment of add usually involves psychosocial and medication. The medications for ADHD may include stimulants like amphetamine and methylphenidate compounds, or nonstimulant medications such as atomoxetine (Strattera) and bupropion (Wellbutrin) and tricyclic antidepressants. Mood-stabilizing drugs such as clonidine and Guanfacine (Catapres

  23. bioethanol fire media wall
    Bioethanol Wall Fireplace

    Unlike conventional fireplaces, wall-mounted bio ethanol fireplaces require no gas, vents, or chimney. They are safe to utilize and can be positioned in a range of places. They are also simple to install and can include a modern feel to your home.

    It is necessary to follow the directions for setup and refuelling you

  25. add adult treatment
    Adult ADHD and Comorbid Disorders

    Many people suffering from ADHD have comorbid disorders like major depression (Kessler et al 2006). Many patients do not respond to depression medications and may be able to benefit from psychotherapy.

    The most effective medications to treat core symptoms of ADHD seem

  26. symptoms of add and ADHD in adults
    Signs and Symptoms of ADHD in Adults

    Many people with ADHD have comorbid mental health issues, such as depression and anxiety. These mental health issues can make it difficult to detect ADD.

    The American Psychiatric Association changed the name of the condition to “attention-defi

  27. case battles
    Case Battles in CSGO

    Opening cases in game can become a bit boring after awhile. Case Battles are a popular method of adding excitement and thrill.

    In a case-fight, each player buys and opens a case simultaneously. The winner of the case gets all the items that are dropped. This mode can be played betw

  28. fkbp signal
    Relative expression profile analysis revealed that electric organ areas and muscle mass shared a similar design with specific very expressed TKs (ie, epha7, musk, jak1, and pdgfra), suggesting that regulation of TKs might play an important role in specifying an electric powered organ identity from the muscle tissue predecessor. We further identified TK genetics exhibiting tissue-specif

  30. https://qualipalooza.risehealth.org
    If you need great final results with Novice geology, it is likely to consider considerable challenging function. can recognize your wanted objectives, even so, you need to have to be unintimidated by the subject matter by itself. In circumstance you are in search of a lot more clarification, you have to check out out web site where you will locate hundreds of valuable solutions. A source that is also bene

  31. LCL161 inhibitor
    In this study, using an MMP-inhibitor, we showed that sFasL is decreased in cultures of IPF-lung myofibroblasts and BLM-treated lung myofibroblasts, and in the blood serum of MMP-7KO mice. Moreover, resistant fibrotic-lung myofibroblasts, from the lungs of humans with IPF and of BLM-treated mice, became susceptible to T-cell induced cell death in a co-culture following MMP-inhibition- vs. control-treatment or BLM-tr

  32. 4 seater leather recliner sofa uk
    Grey Leather 4 Seater Sofa

    This leather sofa in grey will look great in any style of living room no matter if it’s modern or traditional. This couch is crafted of modern Semi PU synthetic leather and comes with a polished look. The sofa is manufactured by Pottery Barn’s own manufacturer in North Carolina.

  33. see more
    Relatively little is known about caregivers of African American cancer survivors. Our goal was to identify the extent of burden among this group of caregivers.

    Responses from 560 informal caregivers of African American participants of the Research on Cancer Survivors (ROCS) study in Detroit, MI, were analyzed including demographics, assistance provided including activities of dail

  34. OT-82 research buy
    Post-operative CSF leak still represents the main drawback of Endoscopic Endonasal Approach (EEA), and different reconstructive strategies have been proposed in order to decrease its rate.

    To critically analyze the effectiveness of different adopted reconstruction strategies in patients that underwent EEA.

    Adult patients with skull base

  35. slough french door hinge repairs
    How to Repair a French Door Frame

    French door frames are very popular in home design. They come in a variety of styles that include simulated divided lites and true-divided lites.

    Damage to a frame from moisture can cause wood to shrink or expand. This can cause doors to stick or prevent them fr

  36. selleck chemicals
    Commensurate with constant technological advances, social robots are increasingly anticipated to enter homes and classrooms; however, little is known about the efficacy of social robots as teaching tools. To investigate children’s learning from robots, 1- to 3-year-olds observed either a human or a robot demonstrate two goal-directed object manipulation tasks and were then given the opportunity to act on the o

  37. best fridge brands
    Excellent Housekeeping Recommends the very best Fridges to Buy

    A premium fridge is among the most essential kitchen area devices you can purchase. Good Housekeeping staff shopping writers reviewed the current models to advise the very best fridges for your home.

    Smart fridges come with advantages like internal cam

  38. solihull Fascia and Soffit Replacement
    The Importance of Fascias and Soffits and Guttering

    Fascias and soffits are essential components of the roofline. They keep pests and water from the house as well as the roof, and prevent dampness.

    These boards are made of aluminium, uPVC or timber and are designed to withstand

  39. Fascia and Soffit Replacement sheffield
    Fascia Replacement Specialists

    Fascia boards can be a great way to prevent water damage in your home. If your fascia is showing indications of rot or insect infestation or has an overall unpleasant appearance, it is best to call a professional contractor.

    Specialists in soffi

  40. https://copaamerica2024.org/
    The medial side of an effective sports betting and handicap system happens when you will manage cash within the system. Progressive betting should double with care, if at all. You will find biggest success by always betting the same amount, to be a percentage of your starting bank roll.

    Assuming TEAM-A on the very best league table wants to play TEAM-B that at the underside and your ow

  41. Tinengotinib
    Diabetic ketoacidosis (DKA) is a life-threatening complication of type 1 diabetes (DM) and sometimes type 2 diabetes. DKA in COVID-19 patients predicts a poor prognosis. There are few published reports describing DKA and AKI in COVID-19 patients. There is even less information on renal recovery or follow up of these patients. We report a case of a 55-year-old man with type 2 diabetes who presented with cough and s

  42. BAY 11-7821 clinical trial
    Sandro Galea and co-authors discuss a forthcoming Collection on data science and social determinants of health.Although movement ecology has leveraged models of home range formation to explore the effects of spatial heterogeneity and social cues on movement behavior, disease ecology has yet to integrate these potential drivers and mechanisms of contact behavior into a generalizable disease

  43. best bunk beds for teenager
    The Best Bunk Beds For Teenagers

    Bunk beds can be an excellent solution to save space. They’re usually less expensive than separate beds, and can aid children in making the most of their bedroom.

    Choose a bunk bed that’s stylish and durable, as well as offering fun features for children

  45. MAPK inhibitor
    These data show that using erythrocytes as a host for nanoparticles possesses great potential for further development.Recent evidence shows that when ischemic stroke (IS) occurs, the BBB would be destructed, thereby promoting the immune cells to migrate into the brain, suggesting that the immune responses can play a vital role in the pathology of IS. As an essential subpopulation of immunosuppressive T cells, regul

  47. Sotrastaurin cell line
    Genistein is a type of isoflavonoid found predominantly in leguminous plants. Genistein has diverse biological activities, such as anthelmintic and antioxidant effects, as well as inhibitory effects on the growth of several cancers. In addition, genistein is well known as a phytoestrogen. In this study, we attempted to biologically synthesize genistein from either p-coumaric acid or naringenin usi

  48. 다파벳가입
    따라서 기존 카지노 운영자는 결국 파산하고 카지노를 다른 사람에게 양도합니다. 기존 카지노 운영자는 결국 파산하고 카지노를 새로운 운영자에게 양도합니다.

  50. Sodium palmitate manufacturer
    prove nursing quality and reduce gastrointestinal complications, which was worthy of clinical application.

    (SD) has been used in traditional Chinese medicine to treat pain, inflammation, and arthritis. Recently, it has been reported that SD extract may inhibit tumor growth, but the mechanism involved is elusive. The aim of this study was to investigate the anti-tumor activi

Comments are closed.