Fears for iconic retailer David Jones amid a 'perfect storm' of troubling ... trends now

Fears for iconic retailer David Jones amid a 'perfect storm' of troubling ... trends now
Fears for iconic retailer David Jones amid a 'perfect storm' of troubling ... trends now

Fears for iconic retailer David Jones amid a 'perfect storm' of troubling ... trends now

A retail expert has warned that department store giant David Jones could 'finally falter' amid a perfect storm of dire economic conditions and ongoing hardships being faced by the iconic Aussie brand.

Dozens of staff will be impacted after the company announced one of its flagship stores at the Eastland Shopping Centre in Ringwood, in Melbourne's east, would close from January next year.

The move means only seven David Jones stores will be left standing in the Victorian capital.

A retail expert has warned that department store giant David Jones could 'finally falter' amid a perfect storm of dire economic conditions

A retail expert has warned that department store giant David Jones could 'finally falter' amid a perfect storm of dire economic conditions

Some have feared the latest move could sound the death knell for large-scale Australian department stores across the country amid a perfect storm of inflation, rising costs of living and poor foot traffic putting pressure on sales.

But retail marketing expert Louise Grimmer said such conversations were 'cyclical' and department chains could 'rise like a phoenix from the ashes'.

'This time around, though, the economic outlook is particularly gloomy, with huge pressures on household budgets and discretionary spend,' Dr Grimmer, a senior lecturer at the University of Tasmania, said.

'In addition, wages have stagnated in this country for a number of years ... and at a really bad time with continuous rate rises in the lead-up to Christmas.

'These factors are perhaps a perfect storm that could see David Jones finally falter.'

There are 42 David Jones stores located across the country, employing more than 7500 people

There are 42 David Jones stores located across the country, employing more than 7500 people

There are 42 David Jones stores located across the country, employing more than 7500 people.

The announcement of Ringwood's closure is the latest in a series of setbacks for the Australian-based chain.

In 2020, it closed its Fortitude Valley store in Brisbane after just three years of trading.

The company's boutique Barangaroo store in Sydney was mothballed at the height of the Covid-19 pandemic in 2020 after opening in 2016.

Last year, the only David Jones store in Wellington, New Zealand, was closed.

Dr Grimmer said a solution was for the department chain to 'get back to basics' - by improving service and refocusing itself as a 'luxury business' instead of being 'middle of the road'.

She pointed to 'woeful' service in the David Jones department stores across the country and how it struggled to differentiate from brands like Myer or even Kmart.

'Somewhere along the way, the brand has lost its meaning - it's now trying to be

read more from dailymail.....

PREV Revealed: The million-pound London properties owned by Putin's regime, many in ... trends now
NEXT Female teacher, 35, is arrested after sending nude pics via text to students ... trends now