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23/04/11 EMPI B School, New Delhi 1
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PRESENTATION
ON
“Debenhams Departmental Store”
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Brief Overview
Debenhams is a British retailer operating under a department store format in the UK and franchise stores in other countries. It is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index.
The business was formed in 1778 by Messrs Flint and Clark who began trading at 44-Wigmore Street in London as a drapers' store under the name Flint & Clark.
Headquarter in London. Products include clothing, accessories, cosmetics, housewares. Revenue-£1,839.2 million (2008), Operating income-£176.1 million (2008), Net
income-£77.1 million (2008), Employees-27,400 (2008) In 1985 the Company was acquired by the Burton group. Debenhams was
remerged in 1998 and was once again listed as a separate Company on the London Stock Exchange. It expanded under the leadership of Belinda Earl who was appointed CEO in 2000.
The Company was acquired again in late 2003 this time by a private consortium comprising CVC Capital Partners, Texas Pacific Group, Merrill Lynch Global Private Equity and management. The company returned to a listing on the London Stock Exchange in 2006.
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As of April 2009, the company had 153 stores. It also has 48 franchise stores operating in 17 countries.
The company sells goods under a number of brand names that it owns in its own right.
In 2008 the Company was voted best UK department store by GMTV.
Key people - John Lovering (Chairman)
Rob Templeman, (CEO)
Debenhams has a successful own brand portfolio of approximately 55 own brands (such as Debut, Maine New England, Red Herring and Thomas Nash) including 25 Designers at Debenhams brands.
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Store Format
Debenhams stores are currently departmentalized as follows:
Health and Beauty MenswearFashion Accessories Young Fashion Home Children's Food Services
Wedding Service
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Designers at Debenhams
Customer's appetite for designer brands continues to grow ….
26 designer brands, including J by Jasper Conran, Pearce II Fionda by Ren Pearce and Andrew Fionda, Philip Treacy, BDL by Ben de Lisi, Lulu Guiness, and G by Maria Grachvogel.
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Designers….
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Target Market
They operate in the following segments: clothing; electrical; home & furniture. In
addition, they offer ‘wedding services’ and ‘online flowers orders and delivery’.
Competition
Their competitors are: other department stores; high street shops; electrical goods
shops and furniture stores.
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Product category Mix (approx.)
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External and Internal factors.
External Issues
Fast changing market and tough trading conditions
Consumers’ change of taste
slower economy
The versus the Euro - imports/exports
Increased competition locally and from foreign companies
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Internal Issues
Strategic focus mainly on domestic growth, slowing down international expansion.
They’re also undertaking ‘refurbishing actions’ with their stores - newness.
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Board
John Lovering - Chairman Paul Pindar - Senior Independent
Non-Executive Director
Rob Templeman - Chief Executive Martina King - Independent
Non-Executive Director
Chris Woodhouse - Finance Director Sophie T. Laing - Independent
Non-Executive Director
Michael Sharp - Deputy Chief Executive Adam Crozier - Independent
Non-Executive Director
Dennis Millard - Independent Non-Executive Director
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Mission Statement
Debenhams has a clear strategy to drive future profitability and grow market
share. this is being achieved by increasing our sales to our existing
customers, attracting new customers and moving into new markets.
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Strategy
Debenhams’ strategy is to maintain and build on its core strengths and to leverage these further through organic, new space and other channel growth
Strategic focus
Debenhams strategic goals for the next year, are centered around four main topics
* Space expansion
* Product extention
* Supply chain rationalization
* Cost Control
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Debenhams in India
Planet Retail Holdings, which is the master franchisee for a host of international brands including Marks and Spencer, Guess, Women's Secret, Debenhams, and Body Shop
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Gurgaon Store
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