SYDNEY – Upmarket retailer David Jones delivered a shocking 40 percent net profit slump for FY2012 to $101.1 million – but says it’s now looking to an improvement in online sales to help return it to better times.
DJs chief Paul Zahra said he hopes to have 90,000 unique products available online by Christmas, and intends to open a mobile Web store.
In its results presentation, the company said it would engage in a cost “harmonisation” strategy across most product categories, including electronic brands such as Beats Dr Dre headphones, Bose, Canon and Olympus.
The company, known for its high-pricing strategies, pledged to slash online prices by 20-28 percent.
But would that be enough to beat the likes of Kogan as well as US-based online stores currently favoured by Australian buyers?
We shall just have to wait and see. Hang on, DJs investors – you could be in for a bumpy ride.