John Lewis to invest £200 million in overseas expansion | RetailDetail

John Lewis to invest £200 million in overseas expansion

John Lewis to invest £200 million in overseas expansion

The British chain of department stores John Lewis will be investing 200 million pound (almost 230 million euro) in overseas expansion. The chain is not interested in opening new locations, but online shops and working with foreign partners is right up their ally.

“No physical stores overseas”

Managing director Andy Street announced that 2013 will be a year full of overseas investments, but without opening physical stores abroad. There will however be new webshops: before the end of the year John Lewis wants to open up separate stores for France and Germany.

 

After a “very successful try-out” with South-Korean Shinsegae, the group is on the lookout for partnerships with other department stores: “There are future opportunities to partner with other prestigious department stores around the world through that wholesale model”, says Andy Street.

 

Quarter of sales online

John Lewis, which opened up seven new locations in the past fourteen months, has had a great year: comparable sales grew by 10.5%, while total sales rose by 13.5% to 3.05 billion pound (approximately 3.5 billion euro) and operational profits soared by 37.2% to 216.7 million pound (250 million euro).

 

Mainly online sales are on the fast track, going up by 41%. At the moment e-commerce amounts to about a quarter of total sales at John Lewis. The strongest growing segment is electronics and technology (+29%), followed by fashion (+9%) and home decoration (+6%).

 

Andy Street sees an explanation for the positive results in the current crisis: the consumers look for brands they know and trust and they choose for retailers they can rely on for years to come.

Questions or comments? Please feel free to contact the editors


Walmart and Microsoft team up to beat Amazon

18/07/2018

Two major American companies join forces to try to beat the omnipresent threat of Amazon: Walmart (Amazon's biggest competitor in retail) and Microsoft (Amazon's main rival in cloud services) have signed a strategic partnership for the next five years.

Sales of PCs grows for the first time in six years

13/07/2018

For the first time in six years computer sales showed growth again: in the second quarter of 2018 they increased by 1.4%. According to research firms Gartner and IDC, the sales increase is mainly due to growth in business markets.

Retailhub Inspiration Tour: the customer journey becomes very different

09/07/2018

Thanks to Retailhub by RetailDetail, Antwerp has one more unique retail hot spot. Professionals can experience the future of retail in the Benelux' only retail inspiration platform, with 1250 sqm of innovative technology and huge trends.

Breakthrough in Karstadt-Kaufhof merger

05/07/2018

Canadian Hudson’s Bay and Austrian Sigma Holding have not reached a preliminary agreement about the merger of their respective department store chains Kaufhof and Karstadt: the Canadian company says it has only signed a letter of intent.

Alibaba CEO and Belgian PM discuss investment in Liège

04/07/2018

Alibaba founder Jack Ma has discussed a possible investment in Liège, Belgium with the country's prime minister Charles Michel. Afterwards no decisive statements were made by either party.

Toys "R" Us closes American stores amidst reboot hopes

02/07/2018

Final curtains for Toys "R" Us in the United States: all the stores have closed and 30,000 employees are laid off. Against all odds, some however still hope for a second life for the troubled chain.