Table of Contents
Introduction
-
- Department store definition
- Sector benchmarks
- Department stores
- Mixed goods retailers
- Accounting policy
- Market shares
- Abbreviations
Executive Summary
-
- The market
-
- Figure 1: Department stores’ sales and forecast, incl. VAT, 2006-16
- Market factors
- Consumer spending – beauty growing fast
-
- Figure 2: Total consumer spending on core department store categories, 2006-11 (est)
- Families and older people will continue to feel the squeeze
- Foreign visitors
- Online growth
-
- Figure 3: Online sales by the leading department stores (excl. VAT), 2009/10 and 2010/11
- Companies, brands and innovation
- Market shares
-
- Figure 4: Leading department stores’ shares of sector sales, 2009 and 2010
- Winners and losers 2010/11
-
- Figure 5: Leading department store retailers: annual % change in sales, 2009/10-2010/11
- Major innovations
- Space allocation
-
- Figure 6: Major department stores, space allocation by major category, Spring 2012
- The consumer
- How often they shop
-
- Figure 7: Frequency of purchasing at department stores, in-store and online, February 2012
- Where they purchase
-
- Figure 8: Department stores purchased from in the past six months, in-store and online, February 2012
- What they like
-
- Figure 9: What consumers like about department store shopping, February 2012
- What would encourage them to buy more online
-
- Figure 10: What would encourage them to shop more online, February 2012
- What we think
Issues in the Market
-
- Can department stores market ‘click and collect’ more effectively?
- How can new store formats contribute in today’s cross-channel era?
- How are international strategies developing?
- Can department stores do more for younger online shoppers?
- Are retailers doing enough with their stores?
Future Opportunities
-
- Secret Secret
- Moral Brands
Economic and Demographic Context
-
- Key points
- Foreign visits
-
- Figure 11: Overseas residents’ visits to the UK, by area of residence, 2010 and 2011
- Ageing population
-
- Figure 12: UK: Over-65s as a percentage of the total UK population, 1991-2020
- The economy
-
- Figure 13: UK: Real-terms, year-on-year GDP growth, Q1 2009-Q4 2011
- Confidence
-
- Figure 14: UK: Consumer confidence and retail trade confidence, Jan 2011-Jan 2012
- Inflation
-
- Figure 15: Consumer prices index selected categories, Jan 2011-Jan 2012
-
- Figure 16: Average monthly cotton prices per lb, Jan 2010-Jan 2012
Consumer Spending on Department Store Categories
-
- Key points
- Core department store categories
-
- Figure 17: Consumer spending on core department store categories, 2006-11 (est)
- Full spending breakdown
-
- Figure 18: Consumer spending on department store categories, 2006-11
Strengths and Weaknesses
-
- Strengths
- Weaknesses
Who’s Innovating?
-
- Multichannel impacting on stores
-
- Figure 19: House of Fraser.com store, Liverpool, 2011
- Online, on-demand
-
- Figure 20: Debenhams’ virtual pop-up store, Trafalgar Square, 2011
- New apps
- Putting the customer in charge
- Catering for all
- Tapping online data
- Encouraging online reviews
-
- Figure 21: Example of a John Lewis Partner product review, together with customer reviews, 2011
Sector Size and Forecast
-
- Key points
- Market size
-
- Figure 22: Department store sales, 2006-10
- Recent performance – conflicting factors
- Looking forward
- Forecast
-
- Figure 23: Department store sales, 2005-16
-
- Figure 24: Department store sales, 2006-16
Space Allocation Analysis
-
- Key points
- Space allocation summary
-
- Figure 25: Major department stores, space allocation by major category, Spring 2012
- Figure 26: Department stores – space allocation summary, Spring 2012
-
- Figure 27: Department stores – space allocation summary, Spring 2012 (continued)
- Methodology
Retail Product Mix
-
- Space data summary
-
- Figure 28: Space allocation summary, February 2012
- Product mix estimates
-
- Figure 29: Estimated product mix, 2011/12
- Sales density estimates
-
- Figure 30: Major department stores, Sales density by product, 2011/12
Leading Retailers
-
- Key points
- The high end: Harvey Nichols continues to underperform
-
- Figure 31: Leading luxury department stores: annual % change in sales, 2006/07-2010/11
- The midmarket: Premium segment proves robust
-
- Figure 32: Leading midmarket department stores: annual % change in sales, 2006/07-2010/11
- Portfolio developments and prospects
- Consolidation continues
-
- Figure 33: Leading department store retailers, 2010/11
Market Shares
-
- Summary: the top five
-
- Figure 34: Leading department stores’ shares of sector sales, 2009/10 and 2010/11
- In detail: the major operators
-
- Figure 35: Leading department stores’ shares of department store sector and mixed goods sector sales, 2010/11, and 2011/12
Online
-
- Key points
- Online department stores sector size
-
- Figure 36: Estimated online department store sales (excl. VAT), 2009/10 and 2010/11
- The online sector leaders
-
- Figure 37: Online sales by the leading department stores (excl. VAT), 2009/10 and 2010/11
- Figure 38: Online sales by the leading department stores as a proportion of statutory revenues (excl. VAT), 2009/10 and 2010/11
- Leading department store websites
-
- Figure 39: Leading department store retail websites, three-month average to January 2012
Advertising and Promotion
-
- Key points
- Ad spend by sector leaders
-
- Figure 40: Main media advertising spend, by leading department store retailers, 2007-11
- Spending relative to turnover
-
- Figure 41: Leading department store retailers’ advertising spending as % of turnover, 2007-10
- Spending by media
-
- Figure 42: Leading department store retailers’ main media advertising distribution, by media, 2011
- Major campaigns
-
- Figure 43: Marks & Spencer Christmas campaign, 2011
- Figure 44: Marks & Spencer’s augmented reality billboard at Waterloo Station, London, 2011
-
- Figure 45: Debenhams’s Life Made Fabulous campaign, 2011
-
- Figure 46: John Lewis’s Christmas 2011 campaign
Brand Research
-
- Brand map
-
- Figure 47: Attitudes towards and usage of brands in the department store sector, December 2011
- Correspondence analysis
- Brand attitudes
-
- Figure 48: Attitudes by department store brand, December 2011
- Brand personality
-
- Figure 49: Department store brand personality – macro image, December 2011
-
- Figure 50: Department store brand personality – micro image, December 2011
- Brand experience
-
- Figure 51: Department store brand usage, December 2011
-
- Figure 52: Satisfaction with various department store brands, December 2011
-
- Figure 53: Consideration of department store brands, December 2011
-
- Figure 54: Consumer perceptions of current department store brand performance, December 2011
-
- Figure 55: Department store brand recommendation – Net Promoter Score, December 2011
- Brand index
-
- Figure 56: Department store brand index vs. recommendation, December 2011
- Target group analysis
-
- Figure 57: Target groups, December 2011
-
- Figure 58: Department store brand usage, by target groups, December 2011
- Group One – Conformists
- Group Two – Simply the Best
- Group Three – Shelf Stalkers
- Group Four – Habitual Shoppers
- Group Five – Individualists
The Consumer – How Often They Shop
-
- Key points
- What we asked
- How often consumers browse
-
- Figure 59: Frequency of browsing at department stores, in-store and online, February 2012
- How often consumers buy
-
- Figure 60: Frequency of purchasing at department stores, in-store and online, February 2012
-
- Figure 61: Frequency of purchasing among those who purchase at department stores, in-store and online, February 2012
- The ratio of shopping to browsing
-
- Figure 62: Purchasing at department stores as a percentage of browsing at department stores, by frequency period, in-store and online, February 2012
The Consumer – Where They Shop
-
- Key points
- What we asked
- Where consumers purchase
-
- Figure 63: Department stores purchased from in the past six months, whether in-store and online, February 2012
- Average consumer by age and affluence
-
- Figure 64: Department stores purchased from in the past six months, whether in-store and online, by age and affluence of shopper, February 2012
- Where consumers purchase – online/offline break
-
- Figure 65: Department stores purchased from in the past six months, in-store and online, February 2012
- Average consumer for in-store/online purchasing by age and affluence
-
- Figure 66: Department stores purchased from in the past six months, in-store and online, by age and affluence of shopper, February 2012
- Purchasing online by demographic group
-
- Figure 67: Department stores purchased from in the past six months, online, by demographic group, February 2012
- Where consumers browse – online/offline break
-
- Figure 68: Department stores browsed in the past six months, in-store and online, February 2012
- The ratio of shopping to browsing
-
- Figure 69: Purchasing at department stores as a percentage of browsing at department stores, by retailer, in-store and online, February 2012
The Consumer – What They Buy
-
- Key points
- What we asked
- Online and offline purchases by category
-
- Figure 70: Products purchased at department stores in the past six months, in-store and online, February 2012
- Clothing and personal care goods drive the sector
-
- Figure 71: Fashion, beauty and sports products purchased at department stores in the past six months, in-store and online, February 2012
-
- Figure 72: Fashion and beauty products purchased at department stores in the past six months, whether in-store or online, February 2012
- Home and leisure goods show lower penetration levels
-
- Figure 73: Home and leisure products purchased at department stores in the past six months, in-store and online, February 2012
-
- Figure 74: Home and leisure products purchased at department stores in the past six months, whether in-store or online, February 2012
The Consumer – What They Like About Department Stores
-
- Key points
-
- Figure 75: What they like about department store shopping, February 2012
- Gender divide
-
- Figure 76: What they like about department stores, by gender, February 2012
- Young people find department stores fun to look around
-
- Figure 77: What the 16-24s like about department stores, February 2012
- Older consumers like the Sales
-
- Figure 78: What the 55s and over like about department stores, February 2012
- What they like by where they shop
-
- Figure 79: Things they like about department stores, by where they bought instore and online, in last six months, February 2012
The Consumer – What Would Encourage Them to Buy More Online
-
- Key points
-
- Figure 80: What would encourage them to shop more online, February 2012
- Gender differences
-
- Figure 81: What would encourage them to shop more online, by gender, February 2012
- Young people want more
-
- Figure 82: What would encourage 16-24 year olds to shop more online, February 2012
- Who thinks what by where they shop
-
- Figure 83: What would encourage Selfridges customers to shop more online, February 2012
-
- Figure 84: What would encourage Harrods customers to shop more online, February 2012
The Consumer – Target Groups
-
-
- Figure 85: Department store target groups, February 2012
-
- Figure 86: Attitudes towards shopping online from department stores, by target groups, February 2012
- Group 1: The Demanding (21%)
- Who are The Demanding?
- Group 2: The Cost Conscious (33%)
- Who are The Cost Conscious?
- Group 3: Disengaged (24%)
- Who are The Disengaged?
- Group 4: Frustrated Surfers (22%)
-
Debenhams
-
-
- Figure 87: Debenhams: Consumer profile, by age and affluence, February 2012
- Figure 88: Debenhams: Sales as share of department store sector sales and mixed goods sector sales in UK, 2006-11 (est)
- Strategic evaluation
- Background
- Company performance
-
- Figure 89: Debenhams: Group financial performance, 2006/07-2010/11
-
- Figure 90: Debenhams: UK and Republic of Ireland outlet data, 2006/07-2010/11
- International operations
-
- Figure 91: Debenhams: International franchise outlet numbers, 2002/03-2010/11
- Figure 92: Debenhams: International franchises – countries of operation, August 2011
- Consumer profile
-
- Figure 93: Debenhams shoppers in last six months, by gender, age and socio-economic group, February 2012
- Figure 94: Debenhams shoppers in last six months, by region, February 2012
- Retail offering
-
- Figure 95: Debenhams: Own bought product mix, 2010/11
- Space allocation
-
- Figure 96: Debenhams: Summary space allocation, February 2012
-
- Figure 97: Debenhams, space allocation, February 2012
- Figure 98: Debenhams: Sales density, by product category, February 2012
- e-commerce and home shopping
-
- Figure 99: Debenhams: Online consumer demographics, three month average to January 2012
-
Fenwick Ltd
-
-
- Figure 100: Fenwick: Consumer profile, by age and affluence, February 2012
- Figure 101: Fenwick Ltd: Sales as share of department store sector sales and mixed goods sector sales in UK, 2006-11
- Background
- Strategic evaluation
- Company performance
-
- Figure 102: Fenwick Ltd: Group financial performance, 2006/07-2011/12
-
- Figure 103: Fenwick Ltd: Outlet data, 2006/07-2010/11
- Consumer profile
-
- Figure 104: Fenwick: Consumer profile – demographics, 2011
-
- Figure 105: Fenwick: consumer profile – location, 2011
- Retail offering
- Space allocations
-
- Figure 106: Fenwick: Summary space allocation data, February 2012
- Figure 107: Fenwick: Detailed space allocation data, February 2012
- Sales breakdown
-
- Figure 108: Fenwicks: Sales breakdown, 2011/12 (est)
- e-commerce and home shopping
-
- Figure 109: Fenwick.co.uk: Profile of online UK unique visitors, three-month average to January 2011
-
Harrods
-
-
- Figure 110: Harrods: Consumer profile, by age and affluence, February 2012
- Figure 111: Harrods Ltd: Sales as share of department store sector sales and mixed goods sector sales in UK, 2006-11
- Background
- Strategic evaluation
- Company performance
-
- Figure 112: Harrods Ltd: Group financial performance, 2006/07-2011/12
-
- Figure 113: Harrods Ltd: Outlet data, 2006/07-2010/11
- Consumer profile
-
- Figure 114: Harrods: Consumer profile – demographics, 2011
-
- Figure 115: Harrods: customer profile – location, 2011
- Retail offering
- Space allocation
-
- Figure 116: Harrods:summary space allocation data, February 2012
- Figure 117: Harrods: Detailed space allocation data, February 2012
- Sales breakdown
-
- Figure 118: Harrods: Sales breakdown,2011/12
- e-commerce and home shopping
-
- Figure 119: Harrods.com: Profile of online UK Unique visitors, three-month average to January 2011
-
Harvey Nichols Group
-
-
- Figure 120: Harvey Nichols Group Ltd: Sales as share of department store sector sales and mixed goods sector sales in UK, 2006-11
- Background
- Strategic evaluation
- Company performance
-
- Figure 121: Harvey Nichols Group Ltd: UK and Ireland retail financial performance, 2006/07-2011/12
- Store portfolio
-
- Figure 122: Harvey Nichols Group Ltd: UK and Ireland outlet data, 2006/07-2010/11
-
- Figure 123: Harvey Nichols Group Ltd: Group outlet data, February 2011
- Consumer profile
-
- Figure 124: Harvey Nichols: Consumer profile – demographics, 2011
-
- Figure 125: Harvey Nichols: Consumer profile – location, 2011
- Retail offering
- Space allocation
-
- Figure 126: Harvey Nichols: Space allocation, February 2012
- Figure 127: Harvey Nichols, detailed space allocation, February 2012
- Sales breakdown
-
- Figure 128: Harvey Nichols, sales breakdown, 2011
- e-commerce and home shopping
-
- Figure 129: Harveynichols.com: profile of unique visitors, three-month average to January 2012
-
House of Fraser
-
-
- Figure 130: House of Fraser: Consumer profile, by age and affluence, February 2012
- Figure 131: House of Fraser: Sales as share of department store sector sales and mixed goods sector sales in UK, 2007-11
- Background
- Company performance
-
- Figure 132: House of Fraser: Group financial performance, 2007/08-2011/12
-
- Figure 133: House of Fraser: Outlet data, 2008/09-2010/11
- Consumer profile
-
- Figure 134: House of Fraser shoppers in last six months, by gender, age and socio-economic group, February 2012
- Figure 135: House of Fraser shoppers in last six months, by region and ACORN group, February 2012
- Retail offering
- Space allocation
-
- Figure 136: House of Fraser: Summary space allocation estimate, February 2012
- Figure 137: House of Fraser, space allocation, February 2012
-
- Figure 138: House of Fraser, estimated sales breakdown, 2011/12
- e-commerce and home shopping
-
- Figure 139: House of Fraser: Online consumer demographics, three month average to January 2012
-
John Lewis
-
-
- Figure 140: John Lewis: Consumer profile, by age and affluence, February 2012
- Figure 141: John Lewis: Sales as share of department store sector sales and mixed goods sector sales in UK, 2006-11 (est)
- Strategic evaluation
- Company performance
-
- Figure 142: John Lewis Plc: Group financial performance, 2007/08-2011/12
-
- Figure 143: John Lewis Plc: Outlet data, 2006/07-2011/12
- Consumer profile
-
- Figure 144: John Lewis shoppers in last six months, by gender, age and socio-economic group, February 2012
- Figure 145: John Lewis shoppers in last six months, by region, February 2012
- Retail offering
- Space allocation
-
- Figure 146: John Lewis, space allocation, February 2012
- Figure 147: Space allocation, February 2012
-
- Figure 148: John Lewis: sales breakdown, 2011/12
- e-commerce and home shopping
-
- Figure 149: John Lewis: online profile of unique visitors, three month average to January 2012
-
Marks & Spencer (M&S)
-
-
- Figure 150: Marks & Spencer: Consumer profile, by age and affluence, February 2012
- Figure 151: Marks & Spencer: Sales* as share of department store sector sales and mixed goods sector sales in UK, 2006-11
- Strategic evaluation
- Background
- Company performance
-
- Figure 152: Marks & Spencer: Group financial performance, 2006/07-2011/12
-
- Figure 153: Marks & Spencer: Outlet data, 2006/07-2010/11
-
- Figure 154: M&S: UK store ‘ not specialising in food’, by type, 2007/08-2010/11
- Consumer profile
-
- Figure 155: M&S shoppers in last six months, by gender, age and socio-economic group, February 2012
- Figure 156: M&S shoppers in last six months, by region, February 2012
- Retail offering
- Space allocation
-
- Figure 157: Marks & Spencer, summary space allocation, February 2012
- Figure 158: Marks & Spencer, space allocation, February, 2012
-
- Figure 159: Marks & Spencer, Non-food sales breakdown 2011/12 (e)
- e-commerce and home shopping
-
- Figure 160: M&S: Online profile of unique visitors, three month average to January 2012
-
Selfridges Retail Ltd
-
-
- Figure 161: Selfridges Retail Ltd: Consumer profile, by age and affluence, February 2012
- Figure 162: Selfridges Retail Ltd: Sales as share of department store sector sales and mixed goods sector sales in UK, 2006-11
- Strategic evaluation
- Background
- Company performance
-
- Figure 163: Selfridges Retail Ltd: Group financial performance, 2006/07-2011/12
-
- Figure 164: Selfridges Retail Ltd: Outlet data, 2006/07-2010/11
- Consumer profile
-
- Figure 165: Selfridges: Consumer profile – demographics, 2011
-
- Figure 166: Selfridges: Consumer profile – location, 2011
- Retail offering
- Space allocation
-
- Figure 167: Selfridges, space allocation, February 2012
-
- Figure 168: Selfridges: space allocation, February, 2012
- Figure 169: Selfridges, estimated sales mix and sales density by product, 2011
- e-commerce and home shopping
-
- Figure 170: Selfridges: Online profile of unique visitors, three month average to January 2012
-
Beale
-
-
- Figure 171: Beale Plc: Sales as share of department store sector sales and mixed goods sector sales in UK, 2006-11 (e)
- Background
- Strategic evaluation
- Company performance
-
- Figure 172: Beale Plc: Group financial performance, 2006/07-2010/11
-
- Figure 173: Beale Plc: Outlet data, 2007-11
- Consumer profile
-
- Figure 174: Beale: Consumer profile – demographics, 2011
-
- Figure 175: Beale: Consumer profile – location, 2011
- Retail offering
- e-commerce and home shopping
-
- Figure 176: Beales.co.uk: Profile of online UK unique visitors, three-month average to January 2011
-
Appendix – Brand Research
-
-
- Figure 177: Brand usage, December 2011
- Figure 178: Brand commitment, December 2011
-
- Figure 179: Brand momentum, December 2011
- Figure 180: Brand diversity, December 2011
-
- Figure 181: Brand satisfaction, December 2011
- Figure 182: Brand recommendation, December 2011
-
- Figure 183: Brand attitude, December 2011
- Figure 184: Brand image – macro image, December 2011
-
- Figure 185: Brand image – micro image, December 2011
- Figure 186: Profile of target groups, by demographic, December 2011
-
- Figure 187: Psychographic segmentation, by target group, December 2011
- Figure 188: Brand usage, by target group, December 2011
- Brand index
-
- Figure 189: Brand index, December 2011
-
Appendix – The Consumer – How Often They Browse and Buy
-
-
- Figure 190: Frequency of browse instore less than three months, February 2012
-
- Figure 191: Frequency of browse instore more than three months, February 2012
-
- Figure 192: Frequency of browse online less than three months, February 2012
-
- Figure 193: Frequency of browse instore more than three months, February 2012
-
- Figure 194: How often they buy instore and online, February 2012
-
- Figure 195: Frequency of buy instore less than three months, February 2012
-
- Figure 196: Frequency of buy instore more than three months, February 2012
-
- Figure 197: Frequency of buy online less than three months, February 2012
-
- Figure 198: Frequency of buy online more than three months, February 2012
-
Appendix – The Consumer – Where They Browse and Buy
-
-
- Figure 199: Where they browsed most popular instore in last six months, February 2012
-
- Figure 200: Where they browsed next most popular instore in last six months, February 2012
-
- Figure 201: Where they browsed other instore in last six months, February 2012
-
- Figure 202: Where they browsed most popular online store in last six months, February 2012
-
- Figure 203: Where they browsed next most popular online store in last six months, February 2012
-
- Figure 204: Where they browsed other online store in last six months, February 2012
-
- Figure 205: Where they bought most popular instore and online store in last six months February 2012
-
- Figure 206: Where they bought next most popular instore and online store in last six months, February 2012
-
- Figure 207: Where they bought most popular instore in last six months, February 2012
-
- Figure 208: Where they bought next most popular instore in last six months, February 2012
-
- Figure 209: Where they bought online in last six months, February 2012
-
- Figure 210: Number of department stores browsed and bought in last six months, February 2012
-
Appendix – The Consumer – What They Buy
-
-
- Figure 211: Most popular wear they bought instore and online in last six months, February 2012
-
- Figure 212: Next most popular wear they bought instore and online in last six months, February 2012
-
- Figure 213: Others they bought instore and online in last six months, February 2012
-
- Figure 214: Most popular wear they bought instore in last six months, February 2012
-
- Figure 215: Next most popular wear they bought instore in last six months, February 2012
-
- Figure 216: Others they bought instore in last six months, February 2012
-
- Figure 217: Most popular wear they bought online in last six months, February 2012
-
- Figure 218: Next most popular wear they bought online in last six months, February 2012
-
- Figure 219: Others they bought online, February 2012
-
Appendix – The Consumer – What They Like
-
-
- Figure 220: Most popular things they like about department stores, February 2012
-
- Figure 221: Next most popular things they like about department stores, February 2012
-
- Figure 222: Other things they like about department stores, February 2012
-
Appendix – The Consumer – What They Want Online
-
-
- Figure 223: Most popular reason encouraged them to buy more online, February 2012
-
- Figure 224: Next most popular reason encouraged them to buy more online, February 2012
-
- Figure 225: Other reason encouraged them to buy more online, February 2012
-
- Figure 226: Demographics, by target group (What would encourage them to buy more online), February 2012
-
Back to top