Department Stores Still Have Opportunities In A Fast-Paced World If They Think Outside The Box

We are living in an age of acceleration where the pace of change is dizzying. As we look back on the past year everything is moving faster. The age of technology has taken over from the age of merchandising. It is time to think outside the box. Riding a merry-go-round of minute improvements in sales and earnings is no longer acceptable. I do not think that the future permits this luxury. I must leave behind some of my traditional expectations and try to look at the future with new eyes. At a time when earnings are depressed and the outlook for traditional stores is restrained, the past is no longer a guide for the future. Opening new stores is now more often a mistake than a sensible growth strategy. The challenge is to find a way to make existing stores viable and more profitable. Department stores cannot rely on the center core departments to be profitable. Handbags are on a downward trend. Watches are no longer in demand. These departments should be shrunk, vendors reviewed and cuts made. The question is what will replace these important volume departments? Maybe the whole store must have a new layout. Read more at Forbes.