DJ’s New Youth Focus Sees Best Sales In 15 Years, As Rival Myer Struggles

DJ’s New Youth Focus Sees Best Sales In 15 Years, As Rival Myer Struggles
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Glamor retailer David Jones has announced that its sales increased by 12.2 per cent in the first 20 weeks of this financial year – its fastest growth since 2000.

Bought by Woolworths South Africa in 2014, a new, more youthful marketing strategy and a streamlined brand range has bought the retailer more foot traffic into stores.

Last month the store shocked just about everyone when it released a series of TVCs by Whybin\TBW and Maud that featured AFL star Adam Goodes, rocker Tim Rogers, model Jessica Gomes and pole vaulter Amy Pejkovic.

At the same time its CEO, Iain Nairn, quit unexpectedly and was replaced by former Marks & Spencer chief marketer, John Dixon, who is due to take up the role early in the new year.

In July it combined with Aussie muso Daniel Johns to do a hybrid fashion/rock show called #Shotby sound.

However, the biggest loser in all this is undoubtedly arch-rival Myer. It’s been reported that DJ’s increased patronage has come at Myer’s expense. Many believe Myer has struggled in the face of the arrival of new international chains such as Zara, H&M and Uniqlo. While David Jones has actively tried to match Myer on price.

While DJ’s sales rose over 12 per cent in those first few months since July this year, Myer’s sales rose a mere 0.8 per cent in the same time.

Over night, DJs management (who also own Country Road) released a statement that read:

“On a pro-forma comparable basis, David Jones sales (including concession sales) increased by 12.2%, in Australian dollar terms. Sales in comparable stores grew by 10.4% and net space grew by 1.5%.

Country Road Group sales in Australia and New Zealand increased by 14.2%, in Australian dollar terms. Sales in comparable stores contracted by 0.1% and net space grew by 24.9%, 17.4% of which was space reallocated from other brands in David Jones and therefore does not constitute additional space from a Group perspective.”

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