Debenhams outlines turnaround strategy with stores set to close

Jade Burke

By Jade Burke

April 20th 2017 at 11:14AM
UPDATED April 20th 2017 at 12:38PM
Debenhams outlines turnaround strategy with stores set to close

The department store is looking to boost its online service and rebrand itself as a ‘destination shop’.

Debenhams has detailed its new turnaround strategy, which will help to boost the department store as a ‘destination shop’ while also improving its online service.

The plan will see up to 10 of Debenhams’ 176 UK stores close over the next five years, while a central distribution and 10 smaller warehouses are also set to shut down.

Sergio Bucher, chief executive of the retailer, revealed that customers’ shopping habits were changing and so Debenhams must change.

Bucher said: "We will be a destination for social shopping, with mobile the unifying platform for interacting with our customers,” reports the BBC.

Meanwhile, Debenhams also revealed that its half-year pre-tax profits fell by 6.4 per cent to £88 million.

Shares were also down by around five per cent following the announcement.

The company also revealed leisure activities were making up an increasing share in consumer spending, and this was an important part of shopping, while mobile interaction was also accelerating.