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Annual Report 2009/10 Excellence in Retailing - Douglas Holding

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showpiece: “Hilfiger Woman” – available only at <strong>Douglas</strong><br />

– <strong>in</strong>stantly captured customers’ hearts and senses.<br />

In addition to expand<strong>in</strong>g its exclusive and own<br />

brands, <strong>Douglas</strong> rema<strong>in</strong>s a first-class showcase for all the<br />

premium global brands from the bodycare, fragrance,<br />

cosmetics, boutiques and accessories segments. The<br />

organic cosmetics concept “Naturally Beautifully” has<br />

also been well received, with <strong>Douglas</strong> cosmeticians offer<strong>in</strong>g<br />

certified natural, organic and botanical cosmetics<br />

and expert advice <strong>in</strong> selected stores. Other features<br />

such as the “<strong>Douglas</strong> Hairdesign” salons, beauty cubicles<br />

and nail spas add the f<strong>in</strong>ish<strong>in</strong>g touches to the perfumeries’<br />

services.<br />

The “virtual perfumery” at www.douglas.de cont<strong>in</strong>ued<br />

to prosper dur<strong>in</strong>g the <strong>2009</strong>/<strong>10</strong> f<strong>in</strong>ancial year. With a<br />

million registered customers and sales up by a good 30<br />

percent to EUR over 50 million, the onl<strong>in</strong>e shop is now<br />

the biggest <strong>Douglas</strong> “branch” – and easily Germany’s<br />

largest onl<strong>in</strong>e vendor of beauty products. This success<br />

has been powered by comprehensive ranges, an exceptionally<br />

user-friendly portal, and a fast and dependable<br />

delivery service, with added extras like competitions,<br />

newsletters and onl<strong>in</strong>e TV add<strong>in</strong>g the spice. As part of<br />

the <strong>in</strong>ternational rollout, France, Poland and Switzerland<br />

followed the Netherlands and Austria by open<strong>in</strong>g onl<strong>in</strong>e<br />

shops dur<strong>in</strong>g the <strong>2009</strong>/<strong>10</strong> f<strong>in</strong>ancial year.<br />

The <strong>Douglas</strong> Card was a key factor <strong>in</strong> the market<strong>in</strong>g<br />

mix, as it has been for the past 15 years. With 2.4 million<br />

Cards issued <strong>in</strong> Germany alone and some eight million<br />

abroad, over <strong>10</strong> million customers now enjoy the benefits<br />

of this “ticket to the world of beauty.” And as the progressive<br />

rise <strong>in</strong> Card sales demonstrates, this payment facility<br />

is still very popular among customers.<br />

In logistics, the optimization of processes produced<br />

significant cuts <strong>in</strong> transport costs and new environmental<br />

benefits: an excellent example of synchroniz<strong>in</strong>g economic<br />

and ecological goals. The construction of the new<br />

central warehouse <strong>in</strong> Zossen outside Berl<strong>in</strong> reflects the<br />

strong growth of the exclusive and own brands <strong>Douglas</strong><br />

carries.<br />

Among its charitable activities, <strong>Douglas</strong> has now<br />

been the lead sponsor of DKMS LIFE for several years;<br />

the organization provides support to women undergo<strong>in</strong>g<br />

treatment for cancer. Dur<strong>in</strong>g 20<strong>10</strong> alone, specially<br />

tra<strong>in</strong>ed <strong>Douglas</strong> employees ran upwards of 200<br />

cosmetics sem<strong>in</strong>ars free of charge <strong>in</strong> cl<strong>in</strong>ics and therapy<br />

Did you know ...<br />

that the <strong>Douglas</strong> Cards issued<br />

to date would extend more than<br />

400 miles if laid out end to end?<br />

Divisions<br />

<strong>Douglas</strong> · Perfumeries<br />

centers. In these sem<strong>in</strong>ars,<br />

the patients learn<br />

how to reta<strong>in</strong> an attractive<br />

appearance despite their illness,<br />

hopefully boost<strong>in</strong>g their confidence<br />

and help<strong>in</strong>g them to enjoy life more. Dur<strong>in</strong>g<br />

20<strong>10</strong> the <strong>Douglas</strong> teams also collected over EUR 160,000<br />

<strong>in</strong> stores to f<strong>in</strong>ance the valuable work performed by<br />

DKMS LIFE.<br />

<strong>Douglas</strong> will be focus<strong>in</strong>g on two strategic challenges<br />

dur<strong>in</strong>g the 20<strong>10</strong>/11 f<strong>in</strong>ancial year: generat<strong>in</strong>g valueoriented<br />

growth <strong>in</strong> the fixed-location network on the<br />

one hand and expand<strong>in</strong>g its onl<strong>in</strong>e services on the other.<br />

“Multi-channel retail<strong>in</strong>g” is the name of the game: by<br />

forg<strong>in</strong>g a professional and <strong>in</strong>telligent <strong>in</strong>terface between<br />

the tw<strong>in</strong> sales channels – fixed-location perfumeries and<br />

the onl<strong>in</strong>e shop – <strong>Douglas</strong> can secure the loyalty of customers<br />

<strong>in</strong> every age and target group. One example: if a<br />

product is out of stock at a perfumery, the customer can<br />

order it from the onl<strong>in</strong>e shop at a term<strong>in</strong>al – and have it<br />

conveniently delivered to his or her home.<br />

The first <strong>Douglas</strong> multi-channel perfumery, opened<br />

<strong>in</strong> Ma<strong>in</strong>z dur<strong>in</strong>g October 20<strong>10</strong>, demonstrates how this<br />

<strong>in</strong>tegration process works. This store with its futuristic<br />

design features state-of-the-art <strong>in</strong>formation and communication<br />

technology <strong>in</strong> addition to the traditionally comprehensive<br />

range of products. Us<strong>in</strong>g the store’s numerous<br />

computer term<strong>in</strong>als and touchscreens, customers<br />

can perform sk<strong>in</strong> analyses, have their make-up designed<br />

by a “virtual visagiste,” post photos on Facebook after<br />

a make-up session, or choose a perfume that enhances<br />

their natural aura. Touchscreens <strong>in</strong> the w<strong>in</strong>dow displays<br />

update passersby on the most popular fragrances. The<br />

mix of modern store design, youthful brands and varied<br />

promotions make this “beauty term<strong>in</strong>al” especially appeal<strong>in</strong>g<br />

to young customers.<br />

79

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