Relationship Marketing Strategy and implementation

Table 5.3.3

How the stores stack up – department stores

Retailer

Operations

Retail

Pre-tax

Interest

5-year

Comments

headquarters

sales

profits

expenses

growth

(millions)

(millions) (millions)

rate (%)

Allied Stores

Bon Marché, Maas Brothers, Jordan Marsh,

$2974

($194) $251

n/a

The stores are caught in the

Cincinnati

Stern’s

Campeau cash crunch.

BAT Industries

Breuners, Ivey’s, Marshall Field’s, Saks Fifth

$2643

$177

n/a

n/a

Stores are for sale as part of

London

Avenue

takeover defence figures.

Carter Hawley Hale

Broadway, Emporium,Thalhimers,

$2787

$12

$160

n/a

Another LBO overhaul. Still

Los Angeles

Weinstocks

struggling to increase sales.

Dayton Hudson

Dayton Hudson, Mervyn’s,Target

$12 204 $472

$231

1.0

Well positioned in two niches: discount

Minneapolis

and department stores.

Dillard Dep’t Stores

Dillard’s

$2558

$173

$81

24.0

This profitable traditionalist could pick

Little Rock, Ark.

up new stores cheaply.

Fed. Dep’t Stores

Abraham & Straus, Bloomingdale’s,

$4542

($209) $651

n/a

Campeau’s cash cow is weak from the

Cincinnati

Burdines, Lazarus, Rich’s

milking. An underperformer.

Hess Dep’t Stores

Hess’s

$614

$13

$17

n/a

Developer-owner didn’t bleed the stores.

Allentown, Pa.

Looking to make a big purchase soon.

R.H. Macy & Co.

Bullock’s, Bullock’s-Wilshire, I. Magnin,

$6974

($47)

$707

n/a

The winners of the battle for Federated,

New York City

Macy’s

which sold it Bullock’s and I. Magnin.

May Dep’t Stores

Filene’s, Foley’s, Hecht’s, Kaufmann’s

$11 525 $781

$254

18.0

A middle-brow moderate that is

St. Louis

Lord & Taylor, May Co., Robinson’s

dumping its discount store business.

Nordstrom

Nordstrom, Nordstrom Rack

$2328

$198

$45

22.0

For service it is without peer in the

Seattle

industry.

J.C. Penney

J.C. Penney,Thrift Drug

$14 833 $1192 $351

8.7

Woke up and smelled the coffee. Boldly

Dallas

moving into apparel.

Source

:Fortune

, 18 December 1989.