In the U.K., justification of sales area is under review
In the United Kingdom, the rise of e-commerce raises a painful question for the department store sector. Are very large flagships still relevant in the post-Covid era? John Lewis (42 department stores) is working on a project to redevelop its London flagship on Oxford Street and add office space. After closing 8 stores in July 2020, the partnership will also decide, by the end of March 2021, on the fate of other units in the portfolio. The idea is either to partially convert them into other uses or to transfer them to new buildings.
This is a direct result of the strong push in e-commerce in the U.K., which is putting a rising pressure on the yields of a retail space. During the 2020 financial year, John Lewis achieved 73% of its business online…