Australian upscale department store David Jones signed a long-term lease to deliver a unique shopping experience in one of the Fortitude Valley’s best shopping strips. However, as Australia is under a retail recession, David Jones has reportedly struggled to grow its revenue two years since opening on 10 James Street.
David Jones has gone through its second writedown since 2018, as South African owner Woolworths Holdings Limited witnessed its value shrink from its $2.1-B acquisition in 2014 to just $965 million. The writedown does not bode well for the beleaguered retail giant, particularly in light of Australia’s retail recession.
Speculations are rife that the company is “recalibrating operations” at its Fortitude Valley store, although the company has not made any comments on such reports.
David Jones opened its Fortitude Valley store with high hopes of delivering a very different shopping experience in a vital precinct.
A spokesperson from Woolworths said that operationally, their strategic initiative is to position the store as the “retail environment of the future.”
