Death of Australian department stores.

Discussion in 'Markets & Economies' started by leo25, Aug 30, 2019.

  1. Ipv6Ready

    Ipv6Ready Well-Known Member Silver Stacker

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    If a brick and mortar store can't compete on price, service or exclusivity of products vs online stores, basically the store is badly run, full stop.

    In 2019 online stores are ONLY killing badly run stores.

    50% of brick and mortar stores that is run out of business dont have online store linked on their websites or dont even have a website or intenet presence.
    10% have ridiculus pricing for an online store
    30% might as well not have one (see my story David Jones below)
    10% have it balanced well.

    David Jones.

    1. I ordered a $2600 briefcase for pick up at my nearest store Barangaroo in Sydney
    2. The platform told me it had the briefcase in stock
    3. 24 hours later my order is cancelled by David Jones, UNILATERALLY
    4. I ring up customer service and ask why, what went wrong thinking my Amex stuffed up payment. Only to be told that the store does not have it in stock.
    5. I asked the CS if other stores have the briefcase in stock...I am told Market Street only 2km away from Brangaroo store had many in stock.... WTF

    So David Jones cancelled a $2600 sale, because they could not ring or email to say, "Sorry Barangaroo store is out of stock, but Market St store has them, would you like to pick up from Market St or we can have delivered to Barangaroo or your work/home" (note home delivery for orders above $99 is free!)

    This is not an isolated case and this happened another time as well. Now I don't order from David Jones online store
     
    sammysilver likes this.
  2. Jislizard

    Jislizard Well-Known Member Silver Stacker

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    Even Australian online stores struggle to beat overseas prices. Very often it looks like they just order online from the US and then sell the same items in their store.

    I can buy books online from England for cheaper than I can buy them in stores, this I think has something to do with regulations which prevent discounting books, to give Australian authors a chance to compete against international authors, or something like that.

    I bought a set of grab handles for my Jeep online from the USA for $44 + postage. The same brand/make/model were for sale from an Australian website for $88 + postage (which was about the same as posting from the USA), this was back in 2012 so it is not like online shopping was a new thing, the Australian store must have known that they could be bought cheaper from overseas and just as conveniently, but with a slightly longer wait.

    I was looking for a replacement fridge, my wife went through all the makes and models online until she found one with a good rating that she liked. But then we went to every appliance store we could find and they didn't have it in stock and they weren't ever going to get it in stock. Nothing available online from Australia either. One sales person told us that in order for them to buy a new range they had to order enough to fill a shipping container, about 24, and if they didn't think they would be able to sell all 24 (or if they competed with the ones they already had on the floor!) then they wouldn't get them in.

    If Australia had a larger population then they would be able to have more of a range but having old stock on the floor when a new model comes out is just wasting money.

    America can afford to produce a much bigger range and can bulk order to reduce prices, very tough for Australia to compete.
     

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