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.

288,036 thoughts on “Department Store Industry”

  1. pick and save customer service
    A Foreign Trade Zone (FTZ) is a designated geographical area within a country’s borders where certain trade barriers, such as tariffs, quotas, and customs duties, are eliminated or reduced for goods imported into the zone. The purpose of FTZs is to promote economic growth, facilitate international trade, and encourage investment by providing advantages to businesses engaged in import-export activitie

  2. find more
    Finally, to explain potential molecular mechanisms of chlorophyll variations, the expression of four related genes, namely, Magnesium chelatase D subunit, Chlorophyll synthase, Magnesium-protoporphyrin IX methyltransferase, and Chlorophyllide a oxygenase, were quantified by qRT-PCR. Overall, CuO NPs, especially at 250 mg/L concentration, could affect the growth and development of rice seedlings, probably through ox

  3. Captisol supplier
    In sum, our study first demonstrated that miR-631 targeted PTPRE to inhibit intrahepatic metastasis in HCC. We gain insights from these findings into the mechanism of miRNAs regulation in HCC metastasis and further introduce a novel therapeutic target for HCC treatment.

    Early prediction of recurrence and death risks is significant to the treatment of hepatocellular carcinoma (HCC) patients. We

  4. selleckchem
    The interpretation of patterns of biodiversity requires the disentanglement of geographical and environmental variables. Disjunct alpine communities are geographically isolated from one another but experience similar environmental impacts. Isolated homogenous habitats may promote speciation but constrain functional trait variation. In this study, we examined the hypothesis that dispersal limitation promotes taxonomic dive

  6. MEK inhibitor side effects
    This study aimed to evaluate the clinical performance of low serum calcium and phosphorus in discriminative diagnosis of the severity of patients with coronavirus disease 2019 (COVID-19). We conducted a single-center hospital-based study and consecutively recruited 122 suspected and 104 confirmed patients with COVID-19 during January 24 to April 25, 2020. Clinical risk factors of COVID-19 were identified. The discrimi

  7. Suggested Browsing
    Adult Treatment For ADHD

    Adults with untreated ADHD often face problems in their relationships and careers. They also face a higher chance of developing certain mental health conditions like depression and anxiety which include substance abuse.

    Treatment can help people suffering from ADH

  8. Linsitinib
    Intervention effects were assessed by mixed analysis of variance. Somatic, psychological, and urogenital symptoms were immediately alleviated after the marine healing program. No effect of sea mustard was detected in the marine group. After 2 weeks, the effect of marine healing persisted in physical and mental exhaustion only. A 5-day integrated marine healing program, but not additional sea mustard intake, temporarily a

  9. Aquarius Wellness Center For Healing Arts and Massage Therapy
    In today’s fast-paced world, finding moments of peace and relaxation can feel like an elusive goal. The demands of daily life can take a toll on both our physical and mental well-being, leaving us in need of rejuvenation. One of the most effective ways to unwind and heal is through the transformative power of spa massage therapy. From soothing aching to calming a racing mind, a skilled

  10. Nevirapine
    Annexin-based probes have long been used to study apoptotic cell death, which is of key importance to many areas of biological research, drug discovery, and clinical applications. Although apoptosis is a dynamic biological event with cell-to-cell variations, current annexin-based probes are impractical for monitoring apoptosis in real-time. Herein, a quenched annexin V-near-infrared fluorophore conjugate (Q-

  11. ubiquitin-Proteasome degradation
    Cases of COVID-19, the coronavirus that has spread throughout the world, affect and kill the poor, racial minorities, and the elderly disproportionately. The toll to the elders of our society is extreme and does not seem to relent over time. This work examines the statistics of the cases and deaths at the early onset of the disease in nursing homes. It reveals the age disparities seen in the COVID-19 pand

  12. 5-Fluorouracil RNA Synthesis inhibitor
    Background Depressive disorders often remain undiagnosed or are treated inadequately. Online-based programs may reduce the present treatment gap for depressive disorders and reduce disease-related costs. This study aimed to examine the potential of the internet intervention “deprexis” to reduce the total costs of statutory health insurance. Changes in depression severity, health-

  14. https://www.selleckchem.com/products/l-kynurenine.html
    BACKGROUND The United States Preventative Task Force (USPSTF) Guidelines are the most widely used criteria for screening for abdominal aortic aneurysms (AAA). However, when the USPSTF criteria are applied retrospectively to a group of patients who have undergone treatment for AAA there are many patients who satisfy none of the AAA screening criteria. The more sensitive Soc

  15. Thank you, I have just been looking for info about this topic for a while and yours is the best I’ve discovered so far.
    However, what in regards to the bottom line? Are you positive about the
    source?

    Stop by my homepage; 카지노사이트

  16. best bunk beds for teenagers
    The Best Bunk Beds For Low Ceilings

    Bunks are a great way to make space and encourage siblings or roommates to spend more time together. If you have ceilings that are low, you may need to change the layout.

    A bunk bed with a trundle is ideal for sleepovers and can accommodate three children at

  17. company structures in australia
    Inside today’s fast-paced enterprise environment, understanding typically the landscape of company structures nationwide is vital for anyone trying to start or handle a business. Down under provides a diverse selection of business organizations, each having its individual unique features, positive aspects, and regulatory requirements. From sole dealers and partnerships to companies and pool, navigating these alternativ

  18. Pyroxamide solubility dmso
    In contrast, overexpression of Bach-1 played an opposite role and attenuated the effects of overexpressing MIR17HG and miR-142-3p. CONCLUSION MIR17HG inhibits NSCLC by upregulating miR-142-3p to downregulate Bach-1. TRIAL REGISTRATION TJ-MU-2012-0148594, registered January 2, 2012.BACKGROUND Goals play an important role in the choices that individuals make. Yet, there is no clear approach o

  20. DNA Damage inhibitor
    in English, Portuguese Este artigo objetivou compreender as percepções de homens trabalhadores rurais, residentes em um território do norte de Minas Gerais, Brasil, frente às práticas de cuidado desenvolvidas durante o seu processo produtivo. Trata-se de pesquisa qualitativa, com aplicação da técnica de observação de campo, registros em um diário e realização de entrevistas individuais. Para a análise dos dados

  21. Amenamevir chemical structure
    Incidence of IRDS (55% vs. 0%; p less then 0.0001) and intraventricular bleeding (25% vs. 3.6%; p = 0.0299) was significantly higher in patients less then 34 gestational weeks. Conclusions Despite prematurity-related morbidity, low GA did not adversely affect surgical outcome after primary EA repair. Low GA was even associated with a better anastomotic outcome indicating feasibility and safety of pr

  22. check details
    However, when considering the longitudinal data over several years of training most of the jumpers demonstrated greater fluctuations in muscle strength and tendon stiffness and hence tendon strain compared to controls, irrespective of training period (preparation vs. competition). Moreover, two monitored athletes with chronic Achilles tendinopathy showed in their affected limb lower uniformity in MTU adaptati

  24. EGFR phosphorylation
    c virus infections.Bacterial infections of the cornea, or bacterial keratitis (BK), are notorious for causing rapidly fulminant disease and permanent vision loss, even among treated patients. In the last sixty years, dramatic upward trajectories in the frequency of BK have been observed internationally, driven in large part by the commercialization of hydrogel contact lenses in the late 1960s. Despite this worsening b

  25. robotic vacuum cleaner on sale

    Choosing a smart vacuum cleaner with the right features could be an investment in peace and tranquility. Some models have virtual walls that can be placed around entryways to stop robots from entering specific areas.

    To ensure that your robot vacuum is maintaining its performance Clean

  26. jak wyciszyć mieszkanie
    Cisza to jedna z tych rzeczy, których coraz więcej nam brakuje w codziennym życiu. Hałas otaczającego świata, od dźwięków ruchu ulicznego po głośne rozmowy sąsiadów, może być nie tylko uciążliwy, ale także wpływać negatywnie na nasze samopoczucie. W takich warunkach wyciszenie staje się nie luksusem, ale koniecznością. Warto zastanowić się,

  27. cots4tots
    Bedside Baby Beds

    Baby cribs for bedside use allow parents to keep their baby close at night without compromising on safety. They are designed specifically for newborns and are suitable for use up to 4 to 6 months.

    The Halo Bassinest is a swivel that can be swivel over the bed of with an end that can be pushed dow

  28. Floxuridine research buy
    The study found limited evidence of a high prevalence of malnutrition, an increased prevalence of anaemia, cholera, scabies, dengue and an increased incidence in child disabilities during periods of drought. Additionally, there was limited evidence on improved child nutritional health with improved water and sanitation access, and an increased prevalence of child wasting, stunting and underweight in dro

  29. Sapitinib concentration
    The development trends and performance of water startups enlighten the technological and commercial revolutions in the emerging water market, and provide guidelines for the decision-making in relevant stakeholders in the scientific, governmental, and industrial communities.[This corrects the article DOI 10.1371/journal.pone.0239485.].Color is key for the visual encoding of data, yet its use reportedly affect

  30. Fenebrutinib
    Our findings might contribute to the empirically-informed advancement of interventions and mental health care practices, enabling optimized treatment outcomes for patients with depression. Furthermore, we discuss implications for future research and provide methodological recommendations for forthcoming mediation studies with more pertinent designs, allowing for inferences with higher causal specificity.

  31. ratu311
    Bermain judi online yakni sebuah pekerjaan yang paling sengit untuk dikerjakan dan sanggup berikan keuntungan yang besar sekali buat pemainnya. Ingat, Judi online memberinya kesan yang paling tidak serupa dari permainan online yang lain dan memberinya beraneka bonus namun juga kemenangan yang begitu besar. Kerjakan permainan ini lebih bagus dilaksanakan pada web judi online terhebat. Melalui langkah begitu, secara automatic seluruhnya keamanan dana

  32. 10-Deacetylbaccatin-III chemical structure
    Antithrombin (AT) is the primary physiological anticoagulant of normal hemostasis. Hereditary AT deficiency, an autosomal dominant thrombotic disease caused by mutations in the AT gene (SERPINC1), is associated with venous thromboembolism.

    We investigated the phenotypes, genotypes, and pathogenesis of hereditary AT deficiency in a

  33. bioethanol fires wall mounted
    Bio Ethanol Fireplace For Media Wall

    A bio ethanol fireplace for media wall is a terrific method to create a cosy and inviting environment. Unlike wood or gas fires, these units are safe and do not require chimneys or flue systems. They likewise produce real flames, while electrical fires just produce heat.

  34. French Bulldog
    Do Your Research Before You Buy French Bulldog Puppies

    Frenchies are a very popular breed that is often found in shelters because of owner surrender. Instead of contributing to the problem, you can save lives by adopting.

    It’s important that you understand the health

  35. check out the post right here
    Gas Safe Engineer in Buckingham

    Gas Safe registered engineers protect property owners, occupants and clients versus inexperienced work. They report prohibited gas work to the Health and Safety Executive.

    They can also release a CP12, which is a legal requirement for landlords and so

  38. situs macau
    Togel, atau yang lebih dikenal dengan sebutan Tebak Angka, adalah permainan judi yang melibatkan prediksi angka yang akan keluar pada suatu pengundian. Meskipun dianggap permainan yang bergantung pada keberuntungan, ada beberapa tips yang bisa membantu pemula untuk bermain dengan lebih cerdas dan meningkatkan peluang keberhasilan. Artikel ini akan membahas beberapa tips penting untuk Anda yang ingin memulai permainan togel.

  39. click this link here now
    Discovering a Comfortable Sectional Couch

    A comfortable sectional couch is a meeting place for family film nights, cuddling with animals, and more. Whether you prefer an L-shaped style for corner seating or a modular sofa with unlimited configurations, there’s a comfy option for your area.

  40. https://stayfocuse.com/
    seperti disebut sebelumnya jika tentukan opsi permainan yang benar, anda perlu buat mengenal beberapa teknik spesial. bercakap terkait panduan yang dapat dipakai buat menunjuk permainan slots online, terdapat banyak dari beberapa sumber sebenarnya. tetapi di sini dapat dipersingkat sejumlah saja yang terpenting serta khusus.

    bila semisalnya anda sekarang ini te

  41. simply click the up coming site
    Dual Fuel Range – The Ultimate Kitchen Appliance

    Dual fuel ranges are a popular choice for home cooks and professional chefs. These high-end appliances are able to provide fast burner heat and precise electric oven control for power in one powerful appliance.

    They are costly, and they require a separate gas connection in addition to the electric conn

  42. similar internet page
    A French Bulldog For Sale

    With their small bundle of cuteness and inquisitive ears, French bulldogs have a famous cult following. Owning one is not cheap.

    Breeders of trendy breeds of dogs such as Frenchies make a handsome income however this doesn’t translate into good health or the welfare of the puppies they sell.

  43. check details
    001). Frozen-thawed samples had a lower density and expression than the ejaculate samples. Expression was not obtained, except for IZUMO1, from samples that underwent in vitro capacitation/acrosome reactions. Expression of IZUMO1 was seen as an increasing band formation from the equatorial region through the acrosome, after in vitro capacitation. However, after the acrosome reaction, the band formation was only on the equatorial region.

  44. selleck
    A compound’s acidity constant (Ka) in a given medium determines its protonation state and, thus, its behavior and physicochemical properties. Therefore, it is among the key characteristics considered during the design of new compounds for the needs of advanced technology, medicine, and biological research, a notable example being pH sensors. The computational prediction of Ka for weak acids and bases in homogeneous solve

  45. SQ22536 order
    The aim of this study was to evaluate intracytoplasmic sperm injection (ICSI) outcomes of fresh and cryopreserved sperm via microdissection testicular sperm extraction (micro-TESE) in patients with nonobstructive azoospermia (NOA).From March 2016 to February 2020, a total of 244 men with NOA underwent micro-TESE at the Center for Reproductive Medicine, First Hospital of Jilin University, P. R. China. These cases inclu

  47. used pallets for sale
    Where to Find Pallets Near Me

    Smaller businesses often throw their pallets into dumpsters or set them on top of trash receptacles. You can get pallets from hardware and furniture stores that receive shipments. Pallets that have been leaning against buildings or near dumpsters may have been fumigated.

    Newspaper

  48. best iptv 2025
    In recent years, the way we consume entertainment has undergone a remarkable transformation, shifting away from traditional cable television to more flexible and cost-effective solutions. At the forefront of this change is Internet Protocol Television, or IPTV, which has emerged as a leading contender in the race for modern viewing options. By using the internet to deliver content directly to users, IPTV services allow viewers to access a

  49. Pimicotinib
    20; 95% confidence interval [CI], 1.15-1.26; P < .001; septic shock aOR 1.50; 95% CI, 1.44-1.57; P < .001; and intubation aOR 1.45; 95% CI, 1.38-1.52; P < .001. It was also associated with higher odds for acute kidney injury and stroke. Malnutrition correlated with a 53% increase in the length of stay, with mean ratio 1.53; 95% CI, 1.51-1.56; P < .01; and a 54% increase in cost, with mean cost ratio 1.54

  50. made my day
    Adult ADHD and Comorbid Disorders

    Many people suffering from ADHD have comorbid disorders such as major depression (Kessler et al 2006). Many depressed patients aren’t able to take medications and may get better results from therapy.

    Treatments that are most effective in reducing the most fundamental symptoms of ADHD seem to boost and regulate levels of certain brain ch

Leave a Reply

Your email address will not be published. Required fields are marked *