Bhs throws down the gauntlet to Debenhams with smaller-footprint stores

Philip Green has revealed his strategy to revitalise department store chain Bhs.

The retailer has unveiled a radical new look at its Nuneaton store, which will serve as a blueprint for the rest of the portfolio. It is also planning smaller stores in direct competition with Debenhams’ Desire format.

The move comes amid increasingly tough times on the high street, which Green has described as ‘challenging’.

‘The middle market is spreading out in different places and it was always our plan to move the business on, in terms of making it more fashionable,’ Green told Retail Week. ‘Tammy is the first brand we’ve ever introduced from outside of Bhs. Hopefully, that in itself was the start of the process. Everybody wants to wear more fashion.’

Developed in-house, the new design is an attempt to update the chain’s appeal. The new storefit is showcased in the 40,000 sq ft (3,715 sq m), two-floor store at Nuneaton’s Ropewalk shopping centre.

The revamp comes a year after Green told Bhs store managers of his ambition to boost sales densities across the chain from £200 to £250 per sq ft.

The new design squeezes cost-effectiveness from fixtures and fittings. Bhs retail director Tony Brown said: ‘The childrenswear fixtures are 160 per cent more space-efficient than old kit. More stock, less fit makes it more shoppable.’

Other features include a floor plan organising product into blocks to create several shop-in-shops. For instance, denimwear and Tammy will each have their own sections. Areas will be identified by large wall graphics.

New stores at Lisburn in Northern Irelend and Llanelli in Wales, are next in line for the fit.

The design will also be used for the retailer’s first small-format store, under negotiation to open alongside Desire and Next units in South Shields next month. Brown said the content of the 13,000 sq ft (1,205 sq m) store is still being developed.

Bhs rival Debenhams launched its small-format store Desire, focused on womenswear and beauty, in June. Debenhams is planning up to 140 more.

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