Myer And David Jones: Multichannel Retailers

As a consumer, I would love to go to an established brand as I can easily trust them. There were few multichannel retailers in news recently. There was news that multichannel retailers like Myer and David Jones dominate e-commerce market.

Myer is one of the largest retailers in Australia with total sales of $3.1 billion in FY2013. They have 67 stores along with a presence in platforms like online, digital and mobile.

On the other hand, David Jones with 35 stores and online presence provides exclusive offerings to the customers. It provides personal shopping services as well by making available tailored and customised consultation. Their personal shopping team help in defining personal style.

The reason for selecting these two brands is that

I am looking for a black colour diesel jacket as it is his favourite colour. My budget for the gift is $600-$650. I am looking for a perfect jacket to gift him on his special occasion. Rather than the price I am more concerned about the quality of the product. For this, I have planned to check two multichannel retail stores, Myer and David Jones.

Myer and David Jones are the higher end retailers in Australia. They are the strong competitors in multi-chain retail in Australia. They target people who look for exclusive quality brands.

Out of total shoppers mere 10% of people i.e. 1.6 million people purchase at Myer in an average four week. On the other hand, 4.7% of people prefer buying at David Jones. Customer volume is impacted by the perception of low price and better quality. Just 40% customers believe that both stores have products with good quality. About 34.2% of the population consider that Myer has wide options to choose from while 27.7% of the population considers David Jones as the preferable brand. Very less proportion of the population perceives that any of them have low prices, (Roy Morgan Research, 2016).

Approx. 22% of people perceive that Myer’s products are costly but the quality makes it worth, while approx. 21.3% people think same for the David

Promotional strategies

DJ has introduced platinum card to provide benefits to premium customers. Also, they reward using 3:2:1VP for customer engagement and communication. They provide new benefits and events to the cardholders with exclusive shopping rights. They are refocusing on the store-card app at POS. Also, they will provide insurance to consumers for leveraging cards for travel, accident and health cover, fraud protection etc.

Myer has introduces Myer one where $1spent converts to 2 shopping credit. Further, 2000 shopping credits convert to $20 shopping. Then, there are single, silver, gold and platinum card memberships. Myer card holders can enjoy café, spa and many other experiences.

Also, there are personal stylists for Myer customers.

h. Web site features/ quality of visuals used/ design/ layout

DJ’s search box is too small as compared to Myer. Myer has used better placement and contrast. Auto-completion feature on DJ websites suggests both brand and keyword. However, there is an unclear visual distinction. Auto-completion of Myer shows more distinct features.

There are lots of features in faceted search of DJ. Some are sub-optimal like gender while searching for jackets when there is a top-level filter. Myer has lesser filters. Although while searching for jackets, it showed shoes and pants as