Department store group John Lewis aims to create a£200 million direct selling business with the launch of its first big-book home catalogue.
The initiative also puts John Lewis head-on against Marks & Spencer's Lifestore.
John Lewis Direct managing director Phil Hullah believes the online and catalogue arm could eventually account for up to 10 per cent of annual department store sales, which hit£2.4 billion in the year to January 31. John Lewis does not disclose Direct sales figures, but department store-related online sales were about£60 million last year.
The 3,000-line catalogue, which includes big-ticket items such as sofas and outdoor furniture, will be available in stores from Monday. The launch will be accompanied by targeted direct mail to account card holders and existing online and catalogue shoppers.
John Lewis Partnership bought e-tailer buy.com for its superior Web site technology in February 2001, relaunching the site as johnlewis.com that autumn. The Direct business is forecast to reach profitability by 2006/2007, and Hullah said the 200-page catalogue represents major progress.
'Given the changing nature of shopping and the strength of the John Lewis brand, I believe the direct selling business has the potential to be at least 5 to 10 per cent of total sales,' he said.'We're expecting another year of growth, and hope to see sales increase by 50 per cent versus last year.'
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