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.

258,403 thoughts on “Department Store Industry”

  2. Selleckchem Genipin
    Hypodermic needles and syringes are currently the main route of the transdermal administration. Many complaints associated with needle-stick injuries, needle phobia, and needle abuse have motivated the development of alternative drug delivery strategies. Pneumatic needle-free injections stand out from various alternative strategies because of the convenience in adjusting the driving pressure and the injection vo

  3. 에볼루션 룰렛
    Evolution Baccarat Road Map

    Evolution maintains a wide portfolio of live casino games. They have a wide selection of innovative baccarat.

    Control Squeeze is one of them. It follows the standard rituals of land-based casinos that allow players to reveal their cards. There’s also Salon

  4. Y-27632
    Thermal strain imaging (TSI) is a promising technique for ultrasonic thermometry, especially in the applications of thermal therapies. The accuracy of TSI is dependent on the sampling rate and line density of B-Scan images, and the prevalent IQ-demodulated ultrasound data outputted from low- and middle-end machines are therefore insufficient. Here, the feasibility of using interpolated IQ images for TSI (based on the “infin

  5. togel kamboja
    Togel, yang merupakan singkatan dari “toto gelap,” telah menjadi salah satu bentuk hiburan yang paling diminati masyarakat Indonesia. Dengan berbagai permainan yang menantang dan iming-iming hadiah besar, togel menarik perhatian banyak orang. Setiap hari, jutaan pemain menantikan hasil togel hari ini, mencari tahu angka-angka yang keluar, serta mengikut

  6. Recommended Reading
    Buy German Shepherd Dog Austria

    We will provide you with a healthy German Shepherd puppy that is fostered by responsible breeders.

    They are smart and can be employed in a variety of roles including military and police. They are wonderful pets for families. They love to play and are very acti

  8. Recommended Reading
    Adopting a Purebred German Shepherd

    Consistency, positive reinforcement and reward-based dog training are crucial for German Shepherds. They are intelligent and eager to please.

    Their strong work ethic ensures they are naturally attentive to family members and are a

  10. check details
    60). For patients with FI following pelvic radiotherapy, the cumulative success rates were 99.4% [85.4-99.8], 96.7% [78.1-99.6], 91.7% [70.4-98.1] and 74.6% [48.4-94.8] at 1, 2, 3 and 5 years respectively. The revision and definitive explantation rates for infection did not differ significantly. CONCLUSION The long-term success rate of SNM for FI after pelvic radiotherapy is similar to that of SNM for FI rel

  11. https://www.selleckchem.com/products/sb225002.html
    The rapid pace of increasing oceanic acidity poses a major threat to the fitness of the marine ecosystem, as well as the buffering capacity of the oceans. Disruption in chemical equilibrium in the ocean leads to decreased carbonate ion precipitation, resulting in calcium carbonate saturation. If these trends continue, calcifying invertebrates will experience difficultly maintainin

  12. https://sunwin.delivery/
    Đặt cược là một môn thể thao được yêu thích và phổ biến trên toàn thế giới. Với sự phát triển của công nghệ, cá cược trực tuyến đã trở thành một thói quen của nhiều người, đặc biệt là những ai yêu thích thử thách.

    Cá cược thể thao là một thị trường phát triển mạnh mẽ hiện nay. Những người tham gia có thể đặt cược vào esports để thử vận may. Để có cơ hội chiến thắng, bạn chỉ cần tham gia tại cá

  13. führerschein kaufen legal erfahrungen
    Buy Real Driving License Experiences in New York

    How do I get a genuine driver’s license

    To get a valid driver’s license requires meeting the eligibility requirements and a thorough study of traffic laws, practicing under supervision, passing road and written tests, and finally applying fo

  14. fabric sofa bed 3 seater
    Buying a 3 Seat Fabric Sofa

    A 3 seat fabric sofa is the perfect alternative for a contemporary or traditional living-room. It is also a terrific option for smaller sized areas that can not accommodate a large sectional.

    The makeup of a fabric’s thread can inform you a

  15. Sitravatinib inhibitor
    The results show that spectra preprocessing enhanced the quantitative predictive ability. For MPA I, RPD > 3.5, which expresses some very good to excellent quantitative predictions of the models. For SCiO, RPD > 2.5, which expresses a good quantitative predictive ability for quality control purposes. Thus, RPD statistics confirm that an SCiO could be used as a quality control tool.Glycoalka

  17. deutsche schäferhundwelpen
    Should deutscher schäferhund pflege Buy a German Shepherd?

    A German Shepherd is an expensive and emotional purchase. You can avoid making a mistake that will cost you money and time by doing your homework upfront.

    Ask local veterinarians to get re

  18. fabric 3 seater sofa bed
    3 Seater Fabric Electric Recliner Sofa

    Turn your home into a haven of relaxation with the Phoenix fabric electric recliner chair sofa. Wide cushioned armrests and pocket sprung seats guarantee an extremely comfortable sit.

    is covered in hard-wearing Brahma Suede, complementing a series of home design designs. It fea

  19. Selleckchem Tepotinib
    The enhancement factor (EF) and limit of detection (LOD) for Se(iv) via US-DLLμE were found to be 90.8 and 0.029 μg L-1, respectively, whereas an EF of 81.8 and LOD of 0.036 μg L-1 were obtained via VA-ELLμE. The % relative standard deviation (%RSD) values obtained based on the analysis of six replicate standards under the optimized conditions for US-DLLμE and VA-ELLμE were found to be 4.2 and 5.8%, respec

  20. Infigratinib price
    One of the provisions implemented to contain the spread of Covid-19 infections in Italy was the lockdown. Effects of the lockdown on childbirth outcomes and on the well-being of both the mother and the child have not yet been defined. An inadequate diet during pregnancy and a reduced physical activity can predispose women to become overweight or obese and trigger the development of various complications

  21. gaggia brera for sale
    Gaggia Brera Super-Automatic Espresso Machine

    Release your inner barista with this Gaggia machine. Its programmable alternatives for espresso and lungo let you personalize your coffee strength. It likewise includes a ground coffee compartment.

    Another function is its terrific w

  22. selleck chemicals
    To assess whether exenteration specimens obtained after neoadjuvant intra-arterial cytoreductive chemotherapy (IACC) for adenoid cystic carcinoma of the lacrimal gland demonstrate significant ocular histopathologic alterations that might preclude future pursuit of globe-preserving therapy.

    Retrospective histopathologic analysis of globes in IACC-treated exenteration specimens

  24. Eliglustat in vivo
    BACKGROUND Information on the associations between pre-diagnosis health behavior and post-diagnosis survival time in esophageal cancer could assist in planning health services but can be difficult to obtain using established study designs. We postulated that, with a large data set, using estimated probability for a behavior as a predictor of survival times could provide useful insight as to the impact of actua

  25. 4egi-1 inhibitor
    Left-side 40-Hz ASSR ended up being connected with cleverness rating both in groups. This short article is protected by copyright. All liberties set aside. This short article is safeguarded by copyright laws. All legal rights set aside.EBV BamHI A rightward transcripts (BART) encode microRNAs (EBV-miR-BARTs) uncommonly very expressed in Nasopharyngeal carci

  26. nagano lean body tonic reviews for weight loss
    ✔️Nagano Tonic Official Website: 🔥 nagano-tonic-reviews.shop/ 🔥

    In the present fast life that is-paced more and more people are desperate to own healthier weight and perfect figure.However, when met with a number of diet items available on the market, choosing really a effective item has changed into a problem for many people.The emergence of Nagano Toni

  27. selleck chemical
    Nested PCR targeting the variable region of the 18S rRNA gene of piroplasmids resulted in one positive sample with 99.8 % sequence identity to Babesia divergens. The presence of these two pathogens that are primarily circulated by I. ricinus confirms the local participation of wild boar in the host spectrum of this tick and warrants experimental studies to address wild boar as a reservoir of zoonotic haplot

  28. add natural treatment
    Treatments For Adult ADHD

    In adults, ADHD is characterized by difficulties paying attention, having trouble staying on top of things, or getting bored easily. It can impact school, work as well as relationships.

    Many people suffering from ADHD ha

  29. selleckchem
    The aim of this study was to analyze the behavior of different bioactive glass fillers (BAGs) embedded in a polydimethylsiloxane matrix of an endodontic sealer.

    Three different endodontic sealers were fabricated using S53P4, 45S5 and 18-06 glass fillers. Endodontic sealer Guttaflow Bioseal consisting of polydimethylsiloxane (PDMS) matrix was used as base of the expe

  31. SN-001 molecular weight
    Oral cancer causes over 120,000 deaths annually and affects the quality of life for survivors. Over 90% of oral cancers are derived from oral squamous cell carcinoma cells (OSCCs) which are generally resistant to standard cytotoxic chemotherapy agents. OSCC cells often exhibit increased TGFβ and PDPN receptor activity compared to nontransformed oral epithelial cells. Maackia amurensis seed lectin (MASL) can t

  32. selleck products
    In recent decades, nonlinear damping identification (NDI) in structural dynamics has attracted wide research interests and intensive studies. Different NDI strategies, from conventional to more advanced, have been developed for a variety of structural types. With apparent advantages over classical linear methods, these strategies are able to quantify the nonlinear damping characteristics, providing powerful tool

  33. Sunwin
    Tham gia cá cược là một môn thể thao được yêu thích và ưa chuộng trên toàn thế giới. Với sự phát triển của công nghệ, cá cược qua mạng đã trở thành sở thích của nhiều người, đặc biệt là những ai yêu thích cảm giác hồi hộp.

    Cá cược thể thao là một trong những lựa chọn được yêu thích nhất hiện nay. Những người tham gia có thể đặt cược vào esports để kiếm tiền. Để có cơ hội chiến thắng, bạn chỉ cần đăng ký trên nề

  34. robot vacuum best
    Features of an Automatic Vacuum Cleaner and Mop

    A robot mop and vacuum is a convenient method of cleaning your floors. These machines can keep your floors clean while you’re away, and are ideal for floors made of hard wood.

    The Dreame X40 is the best mop and vac

  35. G Protein inhibitor
    Moreover, the scaffold with diopside offered greater cell attachment and spreading than the scaffold without diopside. Therefore, the synergistic effects of the scaffold with 12.5 wt% of diopside, including great mechanical characteristic, excellent bioactivity, and appealing biocompatibility enable it to be an appealing choice for bone tissue engineering applications.

    Transcranial magnetic sti

  36. AG-120 chemical structure
    he recovery phase is central to the progression of activities. We observed in our cases that the Person-Environment-Occupation-Performance (PEOP) model can guide practice and complement the medical model in management of these patients. We utilised technology to engage family members in the rehabilitation care and minimise exposure risks.IMPLICATIONS FOR REHABILITATIONAcute occupational therapy f

  37. Selleck Adavivint
    ) making it difficult to correlate presence of the virus with specific symptoms. To confirm the presence of GRVFV, samples from cvs. Sangiovese (n = 45) and Pinot gris (n = 1) were tested by RT-PCR using custom designed primers SaF-215 (5′- TACAAGGTGAATTGCTCCACAC -3′) and SaR-1027 (5′-TCATTGGCGATGCGTTCG-3′) to amplify the 813 bp sequence covering partial replicase associated polyprotein region of the virus genom

  38. nagano tonic official website
    ✔️Nagano Tonic Official Website: 🔥 nagano-tonic-reviews.shop/ 🔥

    In today’s fast life that is-paced increasing numbers of people are desperate to have healthier weight and perfect figure.However, when confronted by many different diet items in the marketplace, choosing really a effective item has turned into a problem for a number of people.The emergence of Nagano Tonic u

  39. best auto locksmiths bedfordshire
    Why You Need the very best Auto Locksmith Near Bedfordshire

    If your car secret has snapped in the lock or ignition, you’ll require an expert to remove it without damaging the locks. A trustworthy auto locksmith can supply a variety of services consisting of key show

  40. buy BAF312
    A proof-of-concept demonstration has been performed in which tree leaves and a complex plastic fragment have been analyzed in the 300 GHz range with a frequency resolution of 10 GHz.Midkine (MDK), a heparin-binding growth factor cytokine, is involved in the pathogenesis of kidney diseases by augmenting leukocyte trafficking and activation. Animal models and small case control studies have implicated MDK as a pat

  41. MEK inhibitor drugs
    Observations of trace methane (CH4) in the Martian atmosphere are significant to the astrobiology community given the overwhelming contribution of biological methanogenesis to atmospheric CH4 on Earth. Previous studies have shown that methanogenic Archaea can generate CH4 when incubated with perchlorates, highly oxidizing chaotropic salts which have been found across the Martian surface. However, the regulatory mechanisms be

  43. gaggia brera cappuccino espresso machine Coffeee
    Gaggia Brera Evaluation – Super Automatic Espresso Machine

    If you’re looking for an excellent bean to cup machine at a lower cost point, the Gaggia Brera is worth considering. It includes ceramic burrs, which are less likely to heat up the coffee beans throughout grinding than stainless steel burrs.

    <br

  46. https://alternativetry.com/
    apabila anda benar-benar pengin main perjudian online, karena itu semestinya anda coba kenali bagaimana anda dapat bermain slots online. jika anda benar-benar terpilih, jadi anda seharusnya bisa mencoba pahami dengan benar serta baik. jika anda memang pengen ingin untuk bermain degan lebih sengit serta aman, karena itu sebagusya anda dapat disamakan dengan yang ada. di dalam masalah ini, anda mesti dapat pikir secara bagus ba

  47. Güçlü çağrı metinleri
    Hey there! Have you ever wondered exactly what those little square things are that you’re seeing everywhere currently? Yep, those are QR codes! They’re like the magic keys that unlock a new of information with just a scan from your smartphone. But today, jooxie is diving into the world of dynamic QR codes. Trust me, they’re way cooler than they will sound. Let’s explore the reason these nift

  48. read more
    Relative differences were increased for KE, typically on the order of 30%, with poor interobserver correlation between measurements.

    Four-dimensional flow MRI can quantify increases in flow in the AAo and MPA during strenuous exercise and is highly repeatable. KE had reduced repeatability because of suboptimal segmentation methods and requires further development before

  49. data cambodia
    Dalam dunia permainan judi, togel telah menjadi salah satu pilihan yang paling diminati. Setiap harinya, para pecinta togel menantikan hasil undian dan angka keluar terbaru untuk dapat meraih keberuntungan. Live draw togel merupakan momen penting bagi para pemain, karena di sinilah semua harapan dan strategi bertemu. Dengan akses yang semakin mudah, pengeluaran data togel hari ini

  50. car locksmiths in bedfordshire
    The Very Best Car Locksmith Near Bedfordshire

    When you are locked out of your lorry, emergency situation car locksmith services can help. These specialists utilize unique tools to open doors without damaging them. They are offered round-the-clock and are extremely expert.

    The Shuttleworth Collection in Old W

Leave a Reply

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