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FMCG New business South Africa

Stuttafords restructures to international standards

Stuttafords has embarked on a restructuring that will include the closure of some stores, as well as the refurbishment of others, in order to align itself with international department store sizes and standards.

The strategic planning, as outlined by Marco Cicoria, CEO of Stuttafords, emphasises the need to make the Stuttafords stores bigger to cater better for the homeware, cosmetics and fashion offering - the three defining pillars of a department store.

Cicoria said: “Ultimately, we'll be reducing Stuttafords' footprint into large-format stores, so there's not disparity in our offering; we'll be phasing this in over a three-year period. Going forward, we'll be opening a new store in Durban's Gateway in October, as well as refurbishing the current store at Canal Walk to a flagship store.”

Closed for development

Stuttafords Stores that will be closed down to allow for extension and development of others are the Woodhill and Hyde Park (closing end July) and Somerset West (closed June 2009) stores. They do not currently fit with the trading density and sizes of the new store strategy. Cicoria said that the strategy involves the relocation of certain smaller stores into highly prominent regional malls. “We've defined Stuttafords to be a department store and being the only department store left in SA after 150 years, we felt that we needed to reinvent the brand for what it is,” he added.

A key element of this new departmental store approach is a new dedication to customer service. Stuttafords will be stepping up its communications, letting consumers know more about our services, dealing with compliments and complaints through staff training and management.

Choice, competitiveness, customer service

Stuttafords' Sandton store was the first to be refurbished at a cost of more than R20 million and the project was completed in December 2008. Cicoria said as a result of this project, the turnover of the Sandton store has since increased between 20 and 25%.

Stuttafords prides itself on three elements in its offering: choice collections, showcasing of these collections, and customer service. Said Cicoria: “With our choice of collections, we'd like to appeal to different types of consumers - young, contemporary and traditional. Our competitive advantage is international brands - especially brands exclusive to Stuttafords - like Tommy Hilfiger, GAP and Banana Republic - it's one of our unique selling points. With visual merchandising, there's an emphasis on the theatre of shopping - with new emphasis on visual display and merchandising - it's about engaging the senses. Stuttafords offers unique services to its customers - like the services of image consultants and personal shoppers who are currently available at the Stuttafords Sandton store. These personal shoppers are available to help with wardrobe planning, occasion outfits, corporate styling and makeovers - completely free of charge.”

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