David Jones Revamps Store Configuration and Lease Negotiations through Customer Insights

Quick Read

• David Jones utilizes customer feedback for decisions regarding stores and products.
• The retailer’s ‘The Collective’ initiative collects insights from 10,500 customers.
• Feedback affects store design, marketing strategies, and leasing conversations.
• Customer insights are incorporated into app and website materials.
• David Jones intends to broaden feedback collection to cover employee experiences.

Utilizing Customer Feedback for Transformation

David Jones, a prominent operator of department stores, is transforming its operations with a comprehensive ‘voice of customer’ initiative. Known as ‘The Collective,’ this program was introduced in November of the previous year and has already gathered extensive insights from 10,500 customers.

The information collected spans beyond just transactional encounters, exploring customer support, ambitions, and favored brands. This data informs various business areas to support important decision-making processes.

Swift Data Collection

Chontelle Cananzi, a customer insights advisor, showcased the program’s effectiveness at a recent Qualtrics X4 experience management conference. “We receive a 30 percent response rate within the first 12 hours of distributing our surveys,” Cananzi remarked, highlighting the quick access to valuable data.

Customizing Marketing and Product Content

By leveraging customer insights, David Jones customizes product content delivered via its app and website. Melissa Pellegrini, head of customer insights, mentioned that their marketing team taps into this data to entice more customers by creating content that resonates with their interests.

This involves offering styling suggestions and ensuring the appropriate tone, which encourages purchases, particularly in the online domain.

Reimagining Store Layouts

Customer feedback is also crucial for reimagining store environments. Through utilizing insights, David Jones aims to craft stores that align with customer expectations, as seen in its Chatswood location on Sydney’s north shore.

“We’ve harnessed customer data to design a store that caters to the desires of the catchment area,” Pellegrini noted, stating that feedback directly informs business cases for capital investments in store enhancements.

Improving Store Navigation and Checkout Areas

Feedback has led to alterations in store navigation and the visibility of checkout areas. Customers described certain store environments as “drab” and “outdated,” prompting David Jones to enhance store appeal and functionality.

Shaping Lease and Operational Decisions

Customer insights also play a role in leasing discussions. Pellegrini highlighted that feedback regarding shopping centers, such as parking and layout concerns, aids negotiations with landlords to secure optimal conditions for David Jones locations.

“Incorporating customer opinions in lease negotiations strengthens our discussions,” Pellegrini commented.

Global Sourcing Strategies

The ‘voice of customer’ program also influences global sourcing strategies, ensuring that product selections reflect customer preferences. This alignment is vital for procuring products that resonate with their audience.

Integrating Technology and Expanding Feedback Collection

Although the program operates on Qualtrics, David Jones is seeking to connect it with other systems like Salesforce. Moreover, the retailer plans to expand feedback collection to encompass employee experiences, acknowledging the relationship between staff satisfaction and the quality of customer service.

Summary

David Jones is efficiently employing customer feedback to instigate significant changes in store layouts, marketing, and leasing strategies. Their extensive ‘voice of customer’ program facilitates informed decision-making, enhancing both customer and employee experiences going forward.

Q: What is ‘The Collective’ program?

A: ‘The Collective’ is David Jones’s ‘voice of customer’ initiative that collects feedback from 10,500 customers to shape various business decisions.

Q: How does customer feedback influence store design?

A: Feedback aids David Jones in redesigning stores to be more inviting and functional, addressing customer feedback regarding outdated or dull settings.

Q: In what way are customer insights utilized in marketing?

A: Insights are leveraged to create app and website content that connects with customers, offering styling advice and ensuring the right tone to foster purchases.

Q: What effect does feedback have on leasing discussions?

A: Customer feedback informs negotiations with landlords about shopping center conditions, making discussions regarding lease terms more compelling.

Q: Is David Jones intending to broaden its feedback program?

A: Yes, they plan to include employee experiences in their feedback initiative, recognizing the influence of staff satisfaction on the quality of customer service.