A Deakin University retail expert believes Myer's profit crash and its planned closure of more stores could be a sign that department outlets have had their day.
Deakin Business School’s Dr Steve Ogden has been following the demise of department stores in Australia and overseas.
“What we are seeing with Myer today could well be a sign that department stores in their current form have had their day,” Dr Ogden said.
“Department stores are probably the most difficult format to trade from due to high overheads and multi-source competition.
“The convenience they offer in terms of range and choice has long since been superseded by both specialist, niche and online retailers.
“Similarly, the kudos of the department store shopping experience has slipped in the consumer’s eyes.
“Department stores are a feature of the destination - i.e. upgraded shopping centres - but are arguably not the main attraction they used to be.”
Dr Ogden said that Myer had for a long time displayed retail optimism which has seldom been matched by retail reality.
“The Topshop failure was clearly a big hit in terms of revenues,” Dr Ogden said.
“More nimble, international retail competitors have also challenged on price, channel and value to huge effect.”
18 October 2017
Deakin University is drawing on the power of arts and culture in an innovative program to prevent extremism in Bangladesh.
12 October 2017
Deakin University's Warrnambool Campus has launched its first course offering specifically focused on meeting the skills demands of Australia's growing agribusiness sector.
10 February 2017
When it comes to romantic gestures this Valentine's Day, getting your financial house in order could be just as much a symbol of love as flowers and chocolates, according to a Deakin University financial planning expert.