Mid-year stocktake sales began yesterday with both Myer and David Jones unleashing a range of new strategies to get shoppers into their stores and onto their websites.
The Myer sale started online at 9pm on Tuesday along with a VIP preview for the members of the retailer’s Myer One loyalty program, while David Jones kicked off its sale with a card member preview on Tuesday and opened to the general public yesterday.
Myer spokesperson Jo Lynch told SmartCompany she could not give any figures yet on the sales performance, but the retailer was “really happy” with the start to the sales.
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“We have had strong performance from cosmetics, menswear and women’s fashion and, in Melbourne, good sales at our flagship store,” she says.
Importantly, Lynch says so far it has been “good shopping weather”, cool but with no rain.
Cate Daniels, head of stores at David Jones, says the retailer is “pleased with the response for the first few days”.
“We are doing particularly well with all the cold weather departments like coats, hosiery, boots, and scarves have been trading particularly well.”
We asked the two retailers what tactics they are using this year to get shoppers to spend up.
1. Reducing year-round discounts
Myer has been reducing its year-round discounts in order to create more buzz about its mid-year sale.
“For at least the last six months, we have been closely managing our promotional mark downs because we recognised a bit of consumer malaise and sensitivity to things consistently being on sale,” says Lynch.
“We haven’t stopped promoting. But rather than having luggage at 40% off nine times a year, we might have reduced it to seven times. We are slightly reducing the breadth and depth of the promotions so they are more targeted, which has helped reduce our reliance on mark downs.”
David Jones has adopted the same strategy.
“We made a concerted effort throughout the season to reduce the length and breadth of any tactical campaigns that we have,” Daniels says.
“What that makes sure is what the customers are getting today are the best prices of the season.”
2. Looking after loyal customers
Myer and David Jones both offered their loyalty card customers first bite of the sale at preview VIP nights on Tuesday.
Myer has four million members of its Myer One loyalty scheme and these customers are also looked after with “Make My Day” deals throughout the sale periods which include shopping credits and $240,000 of Myer 1 giftcards.
David Jones offers an instant rewards program for its loyalty card members. And while there are instant reward offers throughout the year, exclusive rewards ran from Tuesday and will continue through the long weekend for the sale.