Debenhams boss to consider closing 10 stores
Debenhams will consider closing up to 10 of its 165 UK stores under a review announced by its new chief executive, Sergio Bucher. Mr Bucher, a former Amazon executive, who took over in October, said the overhaul would see stores potentially close over the next five years.
Mr Bucher’s turnaround strategy is aimed to modernise the department store chain as he recognises that customers are changing the way they shop and Debenhams needs to keep up.
The review outlines a revamp of the department store that will see it shut one of its three distribution centres run by DHL as well as 11 warehouses and up to 10 stores in a move that will impact at least 220 jobs. The plans were revealed alongside results on 4th March showing a 6.4% fall in pre-tax profits to £87.8m, after which the company’s shares fell by 3.5%.
The chain also has plans to axe some in-house brands and quit some of its international markets. Mr Bucher’s focus is on modernising the department store chain so that it can compete with the high street. Stores will be de-cluttered with a reduction in stock options and stock will be replenished faster. Mr Bucher said, “We will be a destination for ‘social shopping’ with mobile the unifying platform for interacting with our customers.”
Let us know your thoughts on Facebook and Twitter.