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1.0 Introduction David Jones (DJ) is a long history department store in Australia; it opened on the year 1838. It is not only Australia¡¯s oldest department store, but the oldest department store in the world still trading under its original name. In the year of 2000, ¡°the millennium began with David Jones reentering the Western Australian market, introducing the David Jones shareholder Rewards program and launching the David Jones website.¡± (http://www.davidjones.com.au/about/story_of_djs.jsp?SID=HomeDJStory) In the about same time, David Jones opens the Food chain. David Jones launches the eTailing and Foodchain in this year, the simple reason is provide service for their customer in some new ways. In June 2003 they announced that they were to close their online operations and would also close Foodchain in same time. 2.0 Industry analysis 2.1 Retailing David Jones is a typical traditional retailing department ¨Cstore. There are some troubled giants of retailing. For David Jones, ¡°In 2000-01, David Jones recorded sales of $1.55 billion, up 5.8%frome $1.46 billion in 1999-2000. Same store sales, however, decreased 0.9%. Profit also fell, with retail Earning Before Interesting and Tax down 17.8% from $58.3 million in 1999-2000 to $47.9 million in 2000-01.¡± (brw.com.au/stories/20010927 /11685.aspx) The poor retailing, increased competition, confused strategy and bad management are reason of decline profit. From the all of retail-industry analysis showing, department should be provide the new retailing approach following this situation. In this time David Jones launches the eTailing is possible and necessary. 2.2 eTailing Business models involving e-commerce changed during the year 2000. In this year, an Internet war has been declared in Australia¡¯s retailing industry. Such as ColesMyer¡¯s Colesonline, which is integrating bricks and mortar business with its online operations. Myers, Kmart and target and David Jones were the first, third, fourth and fifth most popular sites. The second most popular sites, D-store, is now owned by retailer Harris Scarfe. 3.0 Why DJ launched their new business in that time David Jones launch the e-Tailing in the year 2000 that timing is right, at that time ¡°clicks and mortar¡± is the compelling business model for retail; second, David Jones has the key assets and competitive edge required to compete successfully as a clicks and mortar player. In the year of before 2000, David Jones took a long-term view of e-commerce and had developed a strategically sound approach that was focussed on generating returns for shareholders. After considerable analysis and research, DJ focussed on building strong relationships with their customers through understanding exactly what they want in a traditional retailer, as well as a new economy e-retailer, and delivering on it. DJ have developed a multi-channeled e-commerce strategy aimed at capitalizing on the powerful David Jones brand and exploiting the latest technologies to deliver the best service and products to their customers. In the time, DJ have been developing growth strategies, which can be broken down into four key areas, Brand delivery is one of 4 key areas that mean is developing a multi channel brand delivery capability. David Jones On-line is being used to provide an opportunity to customers who cannot currently readily access the brand. It puts is on touch with a broader audience and give their existing customers another way to enter the stores. The second key area for growth strategic is brand leverage. It will leveraging the brand to service their customers in new way. David Jones already has a strong capability in the food area. Foodhalls that is before the Foodchain, it produces some $100 million a year in turnover. DJ¡¯s target market is shopping for food more often as a result. Foodchain is very different to Foodhalls and concentrates on meal solutions, it provides everything from fully and partially prepared solutions to fresh produce.
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