A department store is a retail establishment offering a wide range of consumer goods in different product categories known as "departments". In modern major cities, the department store made a dramatic appearance in the middle of the 19th century, and permanently reshaped shopping habits, and the definition of service and luxury. Similar developments were under way in London (with Whiteleys), in Paris (with La Samaritaine), and in New York (with Stewart's).
Department stores today have sections that sells the following clothing, furniture, home appliances, toys, cosmetics, gardening, toiletries, sporting goods, do it yourself, paint, and hardware and additionally select other lines of products such as food, books, jewelry, electronics, stationery, photographic equipment, baby products, and products for pets. Customers out near the front of the store or, alternatively, sales counters within each department. Some are part of a retail chain of many stores, while others may be independent retailers. In the 1970s, they came under heavy pressure from discounters. Since 2010, have come under even heavier pressure from online stores such as Amazon.
- 1 History
- 2 Countries
- 2.1 Argentina
- 2.2 Australia
- 2.3 Brazil
- 2.4 Canada
- 2.5 Chile
- 2.6 China
- 2.7 Hong Kong
- 2.8 Colombia
- 2.9 Cyprus
- 2.10 Denmark
- 2.11 El Salvador
- 2.12 Finland
- 2.13 France
- 2.14 Germany
- 2.15 India
- 2.16 Indonesia
- 2.17 Iran
- 2.18 Ireland
- 2.19 Israel
- 2.20 Italy
- 2.21 Japan
- 2.22 Kuwait
- 2.23 Lebanon
- 2.24 Malaysia
- 2.25 Mexico
- 2.26 The Netherlands
- 2.27 New Zealand
- 2.28 Norway
- 2.29 Paraguay
- 2.30 Pakistan
- 2.31 Panama
- 2.32 Peru
- 2.33 Philippines
- 2.34 Portugal
- 2.35 Puerto Rico
- 2.36 Russia
- 2.37 Singapore
- 2.38 South Korea
- 2.39 Spain
- 2.40 Sweden
- 2.41 Switzerland
- 2.42 Thailand
- 2.43 Turkey
- 2.44 United Kingdom
- 2.45 United States: 20th century
- 3 See also
- 4 References
- 5 Further reading
- 6 External links
The origins of the department store lay in the growth of the conspicuous consumer society at the turn of the 19th century. As the Industrial Revolution accelerated economy expansion, the affluent middle-class grew in size and wealth. This urbanized social group, sharing a culture of consumption and changing fashion, was the catalyst for the retail revolution. As rising prosperity and social mobility increased the number of people, especially women (who found they could shop unaccompanied at department stores without damaging their reputation), with disposable income in the late Georgian period, window shopping was transformed into a leisure activity and entrepreneurs, like the potter Josiah Wedgwood, pioneered the use of marketing techniques to influence the prevailing tastes and preferences of society.
One of the first department stores may have been Bennett's in Derby, first established as an ironmongers in 1734. It still stands to this day, trading in the same building. However, the first reliably dated department store to be established, was Harding, Howell & Co, which opened in 1796 on Pall Mall, London. An observer writing in Ackermann's Repository, a British periodical on contemporary taste and fashion, described the enterprise in 1809 as follows:
The house is one hundred and fifty feet in length from front to back, and of proportionate width. It is fitted up with great taste, and is divided by glazed partitions into four departments, for the various branches of the extensive business, which is there carried on. Immediately at the entrance is the first department, which is exclusively appropriated to the sale of furs and fans. The second contains articles of haberdashery of every description, silks, muslins, lace, gloves, &etc. In the third shop, on the right, you meet with a rich assortment of jewelry, ornamental articles in ormolu, french clocks, &etc.; and on the left, with all the different kinds of perfumery necessary for the toilette. The fourth is set apart for millinery and dresses; so that there is no article of female attire or decoration, but what may be here procured in the first style of elegance and fashion. This concern has been conducted for the last twelve years by the present proprietors who have spared neither trouble nor expense to ensure the establishment of a superiority over every other in Europe, and to render it perfectly unique in it's kind.
This venture is described as having all of the basic characteristics of the department store; it was a public retail establishment offering a wide range of consumer goods in different departments. This pioneering shop was closed down in 1820 when the business partnership was dissolved.
All the major British cities had flourishing department stores by the mid-or late nineteenth century. Increasingly, women became the major shoppers and middle-class households. Kendals (formerly Kendal Milne & Faulkner) in Manchester lays claim to being one of the first department stores and is still known to many of its customers as Kendal's, despite its 2005 name change to House of Fraser. The Manchester institution dates back to 1836 but had been trading as Watts Bazaar since 1796. At its zenith the store had buildings on both sides of Deansgate linked by a subterranean passage "Kendals Arcade" and an art nouveau tiled food hall. The store was especially known for its emphasis on quality and style over low prices giving it the nickname "the Harrods of the North", although this was due in part to Harrods acquiring the store in 1919. Other large Manchester stores included Paulden's (currently Debenhams) and Lewis's (now a Primark).
Bainbridge's (now owned by John Lewis) dates back to 1838, when Emerson Muschamp Bainbridge went into partnership with William Alder Dunn and opened a drapers and fashion shop in Newcastle's Market Street. In 1849 there were 23 separate departments, with weekly takings recorded by department, making it the first proper department store in the world. This ledger survives and is now kept in the archives of the John Lewis Partnership.
By 1900, London, Glasgow and Liverpool were the three largest shopping centres in the country. The company Lewis's started in Liverpool in 1856 and experimented with new ways of advertising (such as flooding the basement of the Manchester store to create a mini Venice.) Lewis's built up the largest chain of stores in the country, opening branches in Manchester (1877), Birmingham, Glasgow, Leeds, Hanley, London, Blackpool, Bristol and Leicester.
Selfridges was established in 1909 by American-born Harry Gordon Selfridge on Oxford Street. The company's innovative marketing promoted the radical notion of shopping for pleasure rather than necessity and its techniques were adopted by modern department stores the world over. The store was extensively promoted through paid advertising. The shop floors were structured so that goods could be made more accessible to customers. There were elegant restaurants with modest prices, a library, reading and writing rooms, special reception rooms for French, German, American and "Colonial" customers, a First Aid Room, and a Silence Room, with soft lights, deep chairs, and double-glazing, all intended to keep customers in the store as long as possible. Staff members were taught to be on hand to assist customers, but not too aggressively, and to sell the merchandise. Selfridge attracted shoppers with educational and scientific exhibits; - in 1909, Louis Blériot's monoplane was exhibited at Selfridges (Blériot was the first to fly over the English Channel), and the first public demonstration of television by John Logie Baird took place in the department store in 1925.
In Scotland, Jenners was founded by Charles Jenner and Charles Kennington and has maintained its position on Edinburgh's Princes Street since 1838. It lays claim to being the oldest independent department store in Scotland.
In Northern Ireland, Austin's in Derry, was established as a department store in 1830, and according to some claims was the world's first department store. The domineering building measured 25,000 square feet (2,300 m2) and was five stories high with an Edwardian-style exterior.
Aristide Boucicaut founded Le Bon Marché in Paris in 1838, and by 1852 it offered a wide variety of goods in "departments" inside one building.". Goods were sold at fixed prices, with guarantees that allowed exchanges and refunds. By the end of the 19th century, Georges Dufayel, a French credit merchant, had served up to three million customers and was affiliated with La Samaritaine, a large French department store established in 1870 by a former Bon Marché executive.
The French gloried in the national prestige brought by the great Parisian stores. The great writer Émile Zola (1840–1902) set his novel Au Bonheur des Dames (1882–83) in the typical department store. Zola represented it as a symbol of the new technology that was both improving society and devouring it. The novel describes merchandising, management techniques, marketing, and consumerism.
The Grands Magasins Dufayel was a huge department store with inexpensive prices built in 1890 in the northern part of Paris, where it reached a very large new customer base in the working class. In a neighborhood with few public spaces, it provided a consumer version of the public square. It educated workers to approach shopping as an exciting social activity not just a routine exercise in obtaining necessities, just as the bourgeoisie did at the famous department stores in the central city. Like the bourgeois stores, it helped transform consumption from a business transaction into a direct relationship between consumer and sought-after goods. Its advertisements promised the opportunity to participate in the newest, most fashionable consumerism at reasonable cost. The latest technology was featured, such as cinemas and exhibits of inventions like X-ray machines (that could be used to fit shoes) and the gramophone.
Increasingly after 1870 the stores' work force became feminized, opening up prestigious job opportunities for young women. Despite the low pay and long hours they enjoyed the exciting complex interactions with the newest and most fashionable merchandise and upscale customers.
New York City
In New York City in 1846, Alexander Turney Stewart established the "Marble Palace" on Broadway, between Chambers and Reade streets. He offered European retail merchandise at fixed prices on a variety of dry goods, and advertised a policy of providing "free entrance" to all potential customers. Though it was clad in white marble to look like a Renaissance palazzo, the building's cast iron construction permitted large plate glass windows that permitted major seasonal displays, especially in the Christmas shopping season. In 1862, Stewart built a new store on a full city block with eight floors and nineteen departments of dress goods and furnishing materials, carpets, glass and china, toys and sports equipment, ranged around a central glass-covered court. His innovations included buying from manufacturers for cash and in large quantities, keeping his markup small and prices low, truthful presentation of merchandise, the one-price policy (so there was no haggling), simple merchandise returns and cash refund policy, selling for cash and not credit, buyers who searched worldwide for quality merchandise, departmentalization, vertical and horizontal integration, volume sales, and free services for customers such as waiting rooms and free delivery of purchases. His innovations were quickly copied by other department stores.
In 1858, Rowland Hussey Macy founded Macy's as a dry goods store. Benjamin Altman and Lord & Taylor soon competed with Stewart as New York's earliest department stores, later followed by "McCreary's" and, in Brooklyn, "Abraham & Straus." (The Straus family would be in the management of both Macy's and A&S.)
By the 1880s New York's retail center had moved uptown, forming a stretch of retail shopping from "Marble Palace" that was called the "Ladies' Mile". By 1894 the major stores competed in the Christmas season with elaborate Christmas window displays; in 1895 Macy's featured 13 tableaux, including scenes from Jack and the Beanstalk, Gulliver's Travels and other children's favorites.
In 1877, John Wanamaker opened the United State's first modern department store in a former Pennsylvania Railroad freight terminal in Philadelphia. Wanamakers was the first department store to offer fixed prices marked on every article and also introduced electrical illumination (1878), the telephone (1879), and the use of pneumatic tubes to transport cash and documents (1880) to the department store business. Subsequent department stores founded in Philadelphia included Strawbridge and Clothier, Gimbels, Lit Brothers, and Snellenbergs.
Marshall Field & Company originated in 1852. It was the premier department store on the main shopping street in the Midwest, State Street in Chicago. Upscale shoppers came by train from throughout the region, patronizing nearby hotels. It grew to become a major chain before converting to the Macy's nameplate on 9 September 2006. Marshall Field's Served as a model for other departments stores in that it had exceptional customer service. Field's also brought with it the now famous Frango mints brand that became so closely identified with Marshall Field's and Chicago from the now defunct Frederick & Nelson Department store. Marshall Field's also had the firsts, among many innovations by Marshall Field's. Field's had the first European buying office, which was located in Manchester, England, and the first bridal registry. The company was the first to introduce the concept of the personal shopper, and that service was provided without charge in every Field's store, until the chain's last days under the Marshall Field's name. It was the first store to offer revolving credit and the first department store to use escalators. Marshall Field's book department in the State Street store was legendary; it pioneered the concept of the "book signing." Moreover, every year at Christmas, Marshall Field's downtown store windows were filled with animated displays as part of the downtown shopping district display; the "theme" window displays became famous for their ingenuity and beauty, and visiting the Marshall Field's windows at Christmas became a tradition for Chicagoans and visitors alike, as popular a local practice as visiting the Walnut Room with its equally famous Christmas tree or meeting "under the clock" on State Street.
The Carson Pirie Scott brand is strongly associated with the historic Carson, Pirie, Scott and Company Building designed by Louis Sullivan. It was built in 1899 for the retail firm Schlesinger & Mayer, and expanded and sold to Carson Pirie Scott in 1904. The building, located on State Street in Chicago's Loop, housed the chain's flagship store for more than a century before closing for good in 2007. Target now occupies the building.
In Buenos Aires, upscale department stores came during the early years of the 20th century. Gath & Chávez opened in 1905 and Harrods Buenos Aires was established in 1912. Today, the Chilean department store Falabella is one of the most prominent in the country, with branches in Buenos Aires, Córdoba, San Juan, Mendoza, and Rosario. Falabella is one of the most popular stores in Argentina today.
David Jones was started by David Jones, a Welsh merchant who met Hobart businessman Charles Appleton in London. Appleton established a store in Sydney in 1825 and Jones subsequently established a partnership with Appleton, moved to Australia in 1835, and the Sydney store became known as Appleton & Jones. When the partnership was dissolved in 1838, Jones moved his business to premises on the corner of George Street and Barrack Lane, Sydney. David Jones claims to be the oldest department store in the world still trading under its original name.
Although there were a number of department stores in Australia for much of the 20th Century, including chains such as Grace Bros. and Waltons, many disappeared during the 1980s and 1990s. Today Myer and David Jones, located nationally, are practically the national department stores duopoly in Australia. When Russian-born migrant, Sidney Myer, came to Australia in 1899 he formed the Myer retail group with his brother, Elcon Myer. In 1900, they opened the first Myer department store, in Bendigo, Victoria. Since then, the Myer retail group has grown to be Australia's largest retailer. Both, Myer and David Jones, are up-market chains, offering a wide variety of products from mid-range names to luxury brands. Other retail chain stores such as Target (unrelated to the American chain of the same name), Venture (now defunct), Kmart and Big W, also located nationally, are considered to be Australia's discount department stores. Harris Scarfe, though only operating in four states and one territory, is a department store using both the large full-line and small discount department store formats. Most department stores in Australia have their own credit card companies, each having their own benefits while the discount department stores do not have their own credit card rights.
The largest Brazilian department stores are: Carrefour, Pão de Açúcar, Extra and Lojas Americanas. As of April 2010, Wal-Mart operates 64 Super-Bompreço stores, 33 Hyper-Bompreço stores. It also runs 45 Wal-Mart Supercenters, 24 Sam's Club stores, and 101 Todo Dia stores. With the acquisition of Bompreço and Sonae, Walmart was in 2010 the third largest supermarket chain in Brazil, behind Carrefour and Pão de Açúcar.
From its origins in the fur trade, the Hudson's Bay Company is the oldest corporation in North America and was the largest department store operator in Canada until the mid-1980s, with locations across the country. It also previously owned Zellers, another major Canadian department store which ceased to exist in March 2013 after selling its lease holdings to Target Canada. Other department stores in Canada are: Sears Canada, Ogilvy, Les Ailes de la Mode, Canadian Tire, Giant Tiger, Co-op, Costco and Holt Renfrew. Grocery giant Superstores carry many non-grocery items akin to a department store. Woolco had 160 stores in Canada when operations ceased (Walmart bought out Woolco in 1994). Today low-price Walmart is by far the most dominant department store retailer in Canada with outlets throughout the country. Historically, department stores were a significant component in Canadian economic life, and chain stores such as Eaton's, Charles Ogilvy Limited, Freiman's, Spencer's, Simpsons, Morgan's, and Woodward's were staples in their respective communities. Department stores in Canada are similar in design and style to department stores in the United States.
Before the 1950s, the department store held an eminent place in both Canada and Australia, during both the Great Depression and World War II. Since then, they have suffered from strong competition from specialist stores. Most recently the competition has intensified with the advent of larger-scale superstores (Jones et al. 1994; Merrilees and Miller 1997). Competition was not the only reason for the department stores' weakening strength; the changing structure of cities also affected them. The compact and centralized 19th century city with its mass transit lines converging on the downtown was a perfect environment for department store growth. But as residents moved out of the downtown areas to the suburbs, the large, downtown department stores became inconvenient and lost business to the newer suburban shopping malls. In 2003, U.S. department store sales were surpassed by big-box store sales for the first time (though some stores may be classified as "big box" by physical layout and "department store" by merchandise).
Albeit relatively small, the domestic Chilean retail market has proved fiercely competitive with several department stores sprouting in Santiago and then expanding north and south of the country. Leading department stores today include Falabella, Ripley, Almacenes París, La Polar, and Johnson's. Fallabella, founded in 1889, has opened branches in Argentina, Colombia, and Peru, with París -its main Chilean competitor- coming on its heels.
Since the opening policy in 1979, the Chinese department stores also develops swiftly along with the fast-growing economy. There are different department store groups dominating different regions. For example, INTIME department store has the biggest market presence in Zhejiang province, while Jinying department stores dominate Jiangsu Province. Besides, there are many other department store groups, such as Pacific, Parkson, Wangfujing，New World，etc., many of them are expanding quickly by listing in the financial market.
The first department stores Lane Crawford was opened in 1850 by Scots Thomas Ash Lane and Ninian Crawford on Des Voeux Road, Hong Kong Island. At the beginning, the store mainly catered visiting ships’ crews as well as British Navy staff and their families. In 1900, the first ethnic-Chinese owned Sincere Department Store was opened by Ma Ying Piu, who returned from Australia and inspired by David Jones. In 1907, another former Hong Kong expatriate in Australia, the Kwok's family, returned to Hong Kong and founded Wing On.
Since the 1960s, a number of Japanese owned department stores started to enter the Hong Kong market, Daimaru was opened in the corner of Great George Street and Paterson Street in 1960, followed by Matsuzakaya, Isetan, Seibu, Sogo and Yaohan. Yaohan was taken over by JUSCO in 1990s and later become Æon.
In Colombia, upscale department store came during the middle of the 20th century when SEARS entered the country. Today, the Chilean department store Falabella is one of the most prominent in the country, with branches in Barranquilla, Cali, Bogota, Medellin, Pereira and Bucaramanga. Falabella is one of the most popular stores in Colombia today.
In Denmark you find three department store chains: Magasin (1868), Illum (1891), Salling (1906). Magasin is by far the largest with 6 stores all over the country, with the flagship store being Magasin du Nord on Kongens Nytorv in Copenhagen. Illums only store on Amagertorv in Copenhagen has the appearance of a department store with 20% run by Magasin, but has individual shop owners making it a shopping centre. But in people's mind it remains a department store. Salling has two stores in Jutland with one of these being the reason for the closure of a magasin store due to the competition.
The most famous department store chains in Finland are Stockmann, a listed company, and Sokos, owned by a nationwide retailing cooperative. The Stockmann department store in central Helsinki is the biggest department store in the Nordic countries and a famous landmark of Helsinki.
France's major upscale department stores are Galeries Lafayette and Le Printemps, which both have flagship stores on Boulevard Haussmann in Paris and branches around the country. The oldest department store in France (and in the world) is Le Bon Marché in Paris, owned by the luxury goods conglomerate LVMH. La Samaritaine, another upscale department store also owned by LVMH, closed in 2005. Mid-range department stores chains also exist in France such as the BHV (Bazar de l'Hotel de Ville), part of the same group as Galeries Lafayette.
The design and function of department stores in Germany followed the lead of London, Paris and New York. Germany used to have a number of department stores; nowadays only a few of them remain. Next to some smaller, independent department stores these are Karstadt (in 2010 taken over by Nicolas Berggruen, also operating the KaDeWe in Berlin, the Alsterhaus in Hamburg and the Oberpollinger in Munich), GALERIA Kaufhof (part of the Metro AG). Others like Hertie, Wertheim and Horten AG were taken over by others and either fully integrated or later closed.
Some department stores only sell clothing. The biggest clothing department store chain is C&A.
Larger department stores in Germany usually contain a self-service restaurant, clothing departments, a toy department, a department for computer and electronics, a small book department (for bestsellers), a department for newspapers and magazines and a food department (like a supermarket).
Small time department stores - or convenience stores as they are better known in most western countries - are also upcoming. Although these stores are much bigger in size than a usual-size convenience store in, lets say the US, they are much smaller than a regular-sized department store. Examples include Sabka Bazaar, Big Apple, Spencers and Dailymart.India's LULU hypermarket is considered as one of the biggest shopping store in Asia.
Indonesia's largest department store chain is Ramayana with over ninety branches across the country. The same group also operates under Robinsons, all targeting the lower income sectors. Other local department store positioned for lower-middle segment is Matahari, now owned by Lippo Group. The group previously managed to trade under Mega M, Galeria, JC Penney, Parisian and Walmart brands, all of which have been progressively closed.
The middle up segment is mainly occupied by Metro Department Store originated from Singapore and Sogo from Japan. 2007 saw the re-opening of Jakarta's Seibu, poised to be the largest and second most upscale department store in Indonesia after Harvey Nichols, which the latter closed in 2010 and yet plans to return. Other international department stores include Debenhams and Marks & Spencer. Galeries Lafayette also joins the Indonesian market in 2013 inside Pacific Place Mall. This department store is targeting middle up market with price range from affordable to luxury, poised to be the largest upscale department store. Galeries Lafayette, Debenhams, Harvey Nichols, Marks & Spencer, Seibu and Sogo are all operated by PT. Mitra Adiperkasa.
Central Group from Thailand enters Indonesia replacing Harvey Nichols at Jakarta's Grand Indonesia, bringing its flagship Central brand. Its entry gained success in Indonesian market, by bringing Thailand-based fashion and living brands. Parkson, Lotte, and AEON also enters Indonesia in 2010s respectively.
Parkson enters by acquiring local brand Centro Department Store in 2011. Centro still operates for middle market while the 'Parkson' brand itself, positioned for middle-up segment, enters in 2014 by opening its first store in Medan, followed by its second store in Jakarta. Lotte, meanwhile, enters the market by inking partnership with Ciputra Group, creating what its called 'Lotte Shopping Avenue' inside the Ciputra World Jakarta complex, as well as acquiring Makro and rebranding it into Lotte Mart.
AEON also inks partnership with Sinarmas Land, and they will open its flagship store inside its AEON Mall in Sinarmas Land's flagship BSD City on 30 May 2015. Plans to open AEON Mall and its AEON Department Store in Jakarta Garden City, Sentul City and Kota Deltamas has been announced.
Other local department store brands includes STAR Department Store, Surya, Suzuya Department Store, JM Department Store, Java/Lotus(PT. Mitra Adiperkasa's low-end dept store brand), The Grand Palace, Yogya, Lima Cahaya, Chandra Department Store, Galeri Keris, Pasaraya and Indonesia's oldest department store Sarinah, which opened in 1963.
Iran's largest department store chain is Shahrvand with 25 stores, all located in Tehran. The other department store that has been established lately is Hyperstar that invested by MafCarrefour group, in Tehran, Shiraz and Isfahan.
Ireland developed a strong middle class, especially in the major cities, by the mid-nineteenth century. They were active patrons of department stores. Delany's New Mart was opened in 1853 in Dublin, Ireland. Unlike others, Delany's had not evolved gradually from a smaller shop on site. Thus it could claim to be the first purpose-built Department Store in the world. The word department store had not been invented at that time and thus it was called the "Monster House". The store was completely destroyed in the 1916 Easter Rising, but reopened in 1922.
Arnotts is one of the largest stores in Ireland. However, several large retailers now own chains of department stores, such as:
The most upmarket chain is undoubtedly Brown Thomas (known colloquially as BT), founded as a haberdasher's in 1849 on Dublin's Grafton Street. The company (which belongs to the same group as the UK's Selfridges or Canada's Holt Renfrew) bought its long-time competitor across the street, Switzers, in 1995. BT then moved to the larger site. It also acquired and re-branded the former Switzer stores in Cork (formerly Cash's), Limerick (formerly Todd's) and Galway (formerly Moon's).
The British department store, Debenhams, purchased the Roches Stores chain in 2006, closed two stores and rebranded the others. The opening of Dundrum Town Centre in Dublin's suburbs saw the arrival of two more British stores, House of Fraser and Harvey Nichols. The Woolworth chain store has been a major presence since the early twentieth century.
The oldest and largest department store chain in Israel is Hamashbir Lazarchan.
Some of the largest department stores in Japan include Daimaru (J. Front Retailing), Hankyu (H2O Retailing), Hanshin (H2O Retailing), Isetan (Isetan Mitsukoshi Holdings), Marui, Matsuzakaya (J. Front Retailing), Matsuya, Mitsukoshi (Isetan Mitsukoshi Holdings), Printemps Ginza, Seibu (7&i Holdings), Sogo (7&i Holdings), Takashimaya, Tobu, and Tokyu (109). Many are owned and operated in conjunction with private railway companies. Recently, business integration has been successive.
One of the oldest and biggest Department stores in Kuwait is Union Trading Company also known as UTC, Operating 17 retail outlets across the country, and offers a wide selection of imported international brands in Fashion & Apparel, Perfumery, Cosmetics, Accessories, Homeware, Houseware, Electronics, Appliances and Food. Recently one of the most well known high-end clothing department stores wise in Kuwait is Villa Moda.Co-op society stores are department stores put up by the government.
The history of department stores in Lebanon dates back to 1900 when Orozdi-Back, a department store that was founded by a French businessman of Hungarian origin, opened a branch in Beirut. By the mid-twentieth century, Beirut had become the luxury department store of the Near East. Beirut remains a shopping magnet in the region with shoppers from neighboring Levantine countries, heading to Beirut to shop.
In Malaysia, companies such as Jusco, Parkson, Metrojaya, The Store, Isetan, Marks & Spencer, Robinson & Co., Debenhams and Tangs are considered department stores, while retail brands such as Tesco, Giant and Carrefour are discount department stores combines supermarket.
Mexico has a large number of department stores based in Mexico, of which the most traditional are El Palacio de Hierro (High end and luxury goods) and Liverpool (Upper-middle income) with its middle income sister store Fabricas de Francia. Sanborns, which has over 100 in-and-out middle income level stores throughout the country. Grupo Carso operates Sears Mexico and two high-end Saks 5th Avenue store. Other large chains are Coppel and Elektra, which offer items for the bargain price seeker. Walmart operates Suburbia for lower income level shoppers. The first two conglomerates have a very strong mark in the country, and particularly in Mexico City. Foreign chains such as J. C. Penney previously entered the Mexican market but failed to gain popularity. Sears Likewise have little success; it opened its first department store in Mexico City in 1947.
The iconic department stores of New Zealand's three major centres are Smith & Caughey's (founded 1880), in New Zealand's most populous city, Auckland; Kirkcaldie & Stains (founded 1863) in the capital, Wellington; and Ballantynes (founded 1854) in New Zealand's second biggest city, Christchurch. These offer high-end and luxury items. Additionally, Arthur Barnett (1903) operates in Dunedin. H & J Smith is a small chain operating throughout Southland with a large flagship store in Invercargill. Farmers is a mid-range national chain of stores (originally a mail-order firm known as Laidlaw Leeds founded in 1909). Historical department stores include D.I.C. Discount chains include The Warehouse, Kmart Australia, and the now-defunct DEKA.
Monalisa (1972) is a department store in Paraguay. Has a vast variety of luxury and high end brands, all in one department store. With a wine cellar with over 100,000 wine bottles, majority from France, then Spain and Italy.
Lahore boasts H. Karim Buksh, Jalal sons and Potpourri stores with branches throughout the cities commercial areas. Many urban centers of Pakistan now have large and spacious Metro Cash and Carry or Hyperstar stores.
Panama's first department stores such as Bazaar Francés, La Dalia and La Villa de Paris started as textile retailers at the turn of the nineteenth century. Later on in the twentieth century these eventually gave way to stores such as Felix B. Maduro, Sarah Panamá, Figali, Danté, Sears, Gran Morrison and smaller ones such as Bon Bini, Cocos, El Lider, Piccolo and Clubman among others. Of these only Felix B. Maduro (usually referred to as Felix by locals) and Danté remain strong. All the others have either folded or declined although Cocos has managed to secure a good position in the market.
Today major department stores aside from these two include Steven's and Collin's. There are also many discount department stores such as Conway which includes a furniture and decoration department named Conway Design, La Onda, Dorian's, Saks, Madison Store and El Titan among others.
Peru start with department stores in the 19th century, with the arrival of Oechsle in 1888, then came other stores like Sears in 1947, Saga Falabella in 1955, among others. Currently the largest department stores are: Saga Falabella, Oechsle, Paris SA and Ripley.
The first department store in the Philippines is the Hoskyn's Department Store of Hoskyn & Co. established in 1877 in Iloilo by the Englishman Henry Hoskyn, nephew of Nicholas Loney, the first British vice-consul in Iloilo. Some of the earliest department stores in the Philippines were located in Manila as early as 1898 with the opening of the American Bazaar, which was later named Beck's. During the course of the American occupation of the Philippines, many department stores were built throughout the city, many of which were located in Escolta. Heacock's, a luxury department store, was considered as the best department store in the Orient. Other department stores included Aguinaldo's, La Puerta del Sol, Estrella del Norte, and the Crystal Arcade, all of which were destroyed during the Battle of Manila in 1945. After the war, department stores were once again alive with the establishment of Shoemart (now SM), and Rustan's. Since the foundation of these companies in the 1950s, there are now more than one hundred department stores to date. At present, due to the huge success of shopping malls, department stores in the Philippines usually are anchor tenants within malls. SM Supermalls and Robinsons Malls are two of the country's most prominent mall chains, all of which has Department Store sections.
The traditional and century old department stores Armazéns Grandella (established in 1891) and Grandes Armazéns do Chiado (established in 1894) closed after their main buildings being destroyed in the Chiado's great fire on the 25 August, 1988.
Currently Portugal has only two department stores, both operated by El Corte Inglés, one in Lisbon Metropolitan Area, other in Porto Metropolitan Area. This small number of department stores can be explained by the widespread presence throughout the country of shopping malls and supermarket chains like Continente, owned by Sonae, Intermarché and Pingo Doce owned by Jerónimo Martins which are more akin to the local taste.
In Puerto Rico, various department stores have operated, such as Sears, JC Penney, Macy's, Kmart, Wal-Mart, Marshalls, Burlington Coat Factory, T.J. Maxx, Costco, Sam's Club and others. La New York was a Puerto Rican department store. Topeka Capri and Pitusa are competitors on the Puerto Rican market that also have hypermarkets operating under their names. Retailers Nordstrom and Saks Fifth Avenue also have plans to come to the Mall of San Juan, a new high-end retail project with over 100 tenants. The mall is set to open in March 2015.
The site where the Saint Petersburg Passage sprawls had been devoted to trade since the city's foundation in the early 18th century. It had been occupied by various shops and warehouses (Maly Gostiny Dvor, Schukin Dvor, Apraksin Dvor) until 1846, when Count Essen-Stenbock-Fermor acquired the grounds to build an elite shopping mall for the Russian nobility and wealthy bourgeoisie. Stenbock-Fermor conceived of the Passage as more than a mere shopping mall, but also as a cultural and social centre for the people of St Petersburg. The edifice contained coffee-houses, confectioneries, panorama installations, an anatomical museum, a wax museum, and even a small zoo, described by Dostoyevsky in his extravaganza "Crocodile, or Passage through the Passage". The concert hall became renowned as a setting for literary readings attended by the likes of Dostoevsky and Turgenev. Parenthetically, the Passage premises have long been associated with the entertainment industry and still remains home to the Komissarzhevskaya Theatre.
Socialism confronted consumerism in the chain State Department Stores (GUM), set up by Lenin in 1921 as a model retail enterprise. It operated stores throughout Russia and targeted consumers across class, gender, and ethnic lines. GUM was designed to advance the Bolsheviks' goals of eliminating private enterprise and rebuilding consumerism along socialist lines, as well as democratizing consumption for workers and peasants nationwide. GUM became a major propaganda purveyor, with advertising and promotional campaigns that taught Russians the goals of the regime and attempted to inculcate new attitudes and behavior. In trying to create a socialist consumer culture from scratch, GUM recast the functions and meanings of buying and selling, turning them into politically charged acts that could either contribute to or delay the march toward utopian communism. By the late 1920s, however, GUM's gandiose goals had proven unrealistic and largely alienated consumers, who instead learned a culture of complaint and entitlement. GUM's main function became one of distributing whatever the factories sent them, regardless of consumer demand or quality.
In the 21st century the most famous department store in Russia is GUM in Moscow, followed by TsUM and the Petrovsky Passage. Other popular stores are Mega (shopping malls), Stockmann, and Marks & Spencer. Media Markt, M-video, Technosila, and White Wind (Beliy Veter) sell large number of electronic devices. In St. Petersburg The Passage has been popular since the 1840s. 1956 Soviet film Behind Store Window (За витриной универмага) on YouTube depicts operation of a Moscow department store in 1950's.
Most department stores are clustered around Orchard Road in Singapore. The most well-known department stores in Singapore are BHG (formally known as Seiyu), Isetan, John Little, Marks & Spencer, Metro, Mustafa, OG, Robinson & Co., Takashimaya and Tangs. Some of their branch outlets can also be found in the sub-urban shopping malls.
The five most prevalent chains are Lotte, Hyundai, Shinsegae, Galleria, AK plaza. Lotte Department Store is the largest, operating more than 40 stores (include outlet, young plaza, foreign branches). Hyundai Department Store has about 14 stores (13dept, 1outlet), and there are 10 stores in Shinsegae. Shinsegae has 3 outlet store with Simon. Galleria has 5, AK has 5 stores. Galleriaeast and west is well known by luxury goods. These five department stores are known to people as representative corporations in the field of distirution in South Korea. From fashion items to electric appliances, people can buy various kinds of products. Every weekend, people are fond of going around these department stores, because their location is usually easy to visit. As of 2010 the Shinsegae department store in Centum City, Busan, is the largest department store in the world.
The first department store in Spain was Almacenes el Siglo opened in October 1881 in Barcelona. Following the 2002 closure by the Australian group Partridges of their SEPU (Sociedad Española de Precios Unicos) department store chain, which was one of Spain's oldest, the market is now dominated by El Corte Inglés, founded in 1934 as a drapery store. El Corte Inglés stores tend to be vast buildings, selling a very broad range of products and the group also controls a number of other retail formats including supermarket chain 'Supercor' and hypermarket chain 'Hipercor'. Other competitors such as 'Simago' and 'Galerías Preciados' closed in the 1990s, however El Corte Inglés, faces major competition from French discount operators such as Carrefour and Auchan.
The largest department store chain in Sweden is Åhléns, which operates stores throughout the country. Its flagship Stockholm store, Åhléns City, is the largest department store in Sweden. Other large stores are Nordiska Kompaniet in Stockholm and Gothenburg, and PUB in Stockholm.
The Swiss retail market is dominated by two consumers' cooperatives, Migros and Coop, which also run department stores. Migros operates 12 upscale Globus department stores and 34 mid-range Migros MMM centers across the country. Since the acquisitions of EPA in 2002, Coop operates its mid-range department stores under the brand Coop City. Manor operates department stores throughout the country. Jelmoli and Loeb operate upscale department stores in Zurich and Bern respectively.
Central Chidlom, which is two of the Central Department Stores is the oldest in Thailand, being established in 1947.
The Siam Center which open in 1973, is known to be one of the oldest department store in Bangkok Thailand .
- Central Department Store - has 14 branches (2012)
- Zen Department Store - 1 branch 2 under construction (2011)
- The Mall Group - has 9 branches (2010)
- Paragon Department Store has 1 branch (located in Siam Paragon) (2010)
- Emporium Department Store has 1 branch (located in Emporium Shopping Mall) (2010)
- Robinson Department Store has 22 branches (a division of the Central Group) (2010)
- The Center has 1 branch (a division of Tesco Lotus) (2010)
- Diana Department Store has 3 branches (2010)
While many shopping malls opened in Turkey since 2000, department stores are located inside the malls. YKM, Boyner and Özdilek are main department stores in Turkey. While Boyner and YKM takes places in malls Özdilek generally builds its own building near popular spots.
- Fortnum & Mason (colloquially often shortened to just Fortnum's) is a department store situated in central London was established in 1707 by William Fortnum and Hugh Mason. It was originally founded as a grocery store.
- The UK's first purpose-built department store was Compton House, Liverpool, completed in 1867 for the retailer J.R. Jeffrey, to replace a previous building which had burned down in 1865. It was probably the largest in the world at the time. It is occupied today by Marks & Spencer.
- Allders of Croydon founded in 1862 by Joshua Allder was the flagship of a large chain of department stores in the UK. The chain went into administration in 2005. The Croydon store was taken over by Harold Tillman of Jaeger trading as Allders but went into administration in June 2012.
- Whiteleys in Westbourne Grove was first to grow to department store size. By 1867 it consisted of 17 departments and by 1890 it was operating in a purposely built department store and had over 6,000 staff employed in the business.
- Barkers of Kensington can be defined as a department store by 1880, when it encompassed 15 neighbouring stores, and in 1889 the company moved into a new, large building. It was taken over by House of Fraser in 1957 and closed for business in 2006.
- Peter Jones in Sloane Square had grown to department store size by 1890.
- Harrods was reborn as a proper department store in 1889, after a devastating fire in 1883.
- John Lewis
- Selfridges was opened in 1909 by the American entrepreneur Harry Gordon Selfridge, and thus became London's seventh department store.
- House of Fraser owns and operates several department stores across the UK.
- Harvey Nichols of Sloane Street, Knightsbridge is Harrods' closest competitor.
- Debenhams is one of the UK's most popular department stores.
- Bentalls in Kingston upon Thames was rebuilt in the late 1980s with the impressive Aston-Webb facade retained as the frontage for the new Bentall Shopping Centre.
- Fenwick (department store) was founded in 1882 in Newcastle upon Tyne. Its flagship Newcastle store is one of the largest department stores in the country. The company is still family owned and is one of the largest independent department store chains in the country.
- Williams & Griffin in Colchester, Essex. (Now owned by Fenwick, but the Williams and Griffin brand, premises and logotype remain independent)
John Lewis Newcastle (formerly Bainbridge) in Newcastle upon Tyne, is the world's oldest Department Store. It is still known to many of its customers as Bainbridge, despite the name change to 'John Lewis'. The Newcastle institution dates back to 1838 when Emerson Muschamp Bainbridge, aged 21, went into partnership with William Alder Dunn and opened a draper's and fashion in Market Street, Newcastle. In terms of retailing history, one of the most significant facts about the Newcastle Bainbridge shop, is that as early as 1849 weekly takings were recorded by department, making it the earliest of all department stores. This ledger survives and is kept in the John Lewis archives. John Lewis bought the Bainbridge store in 1952.
John Lewis Newcastle retained its original name of Bainbridge until 2002, when the store was rebranded as John Lewis Newcastle.
Also, Kendals in Manchester can lay claim to being one of the oldest department stores in the UK. Beginning as a small shop owned by S. and J. Watts in 1796, its sold a variety of goods. Kendal Milne and Faulkner purchased the business in 1835. Expanding the space, rather than use it as a typical warehouse simply to showcase textiles, it became a vast bazaar. Serving Manchester's upmarket clientele for over 200 years, it was taken over by House of Fraser and recently rebranded as House of Fraser Manchester - although most Mancunians still refer to it as Kendals. The Kendal Milne signage still remains over the main entrance to the art deco building in the city's Deansgate.
In Edinburgh, Jenners saw a similar development. It starting as a drapery store in 1838, which by 1890 had grown into Scotland's largest retail store by gobbling up all the small stores in the neighbourhood. In 1895, after a devastating fire, a new ultra-modern building opened, with lavish electrical lighting, hydraulic lifts and air conditioning. Four hours after the grand opening, 25,000 people had already visited the store.
In the UK the term "department store" still refers to the traditional, classic department store, which has a wide range of independent departments with their own staff and their own tills. Large discount stores with the tills located by the entrance are not regarded as department stores in the UK, although the owners may call them that. Such stores as Marks & Spencer, Britain's largest clothes retailer would therefore not be included in the British definition of a department store.
United States: 20th century
All major cities have their distinctive local department stores, which anchored the downtown shopping district until the arrival of the malls in the 1960s. Washington, for example, after 1887 had Woodward & Lothrop and Garfinckel's starting in 1905. Garfield's went bankrupt in 1990, as did Woodward & Lothrop in 1994. Baltimore had four major department stores: Hutzler's was the prestige leader, followed by Hecht's, Hochschild's and Stewart's. They all operated branches in the suburbs, but all closed in the late twentieth century. By 2015, most locally owned department stores around the country had been consolidated into larger chains, or had closed down entirely.
Chains and variety stores
Chain department stores grew rapidly after 1920, and provided competition for the downtown upscale department stores, as well as local department stores in small cities. J. C. Penney had four stores in 1908, 312 in 1920, and 1452 in 1930. Sears, Roebuck & Company, a giant mail-order house, opened its first eight retail stores in 1925, and operated 338 by 1930, and 595 by 1940. The chains reached a middle-class audience, that was more interested in value than in upscale fashions. Sears was a pioneer in creating department stores that catered to men as well as women, especially with lines of hardware and building materials. It deemphasized the latest fashions in favor of practicality and durability, and allowed customers to select goods without the aid of a clerk. Its stores were oriented to motorists - set apart from existing business districts amid residential areas occupied by their target audience; had ample, free, off-street parking; and communicated a clear corporate identity. In the 1930s, the company designed fully air-conditioned, "windowless" stores whose layout was driven wholly by merchandising concerns.
An even more popular level, were the Variety stores, especially the dime stores, led by Woolworth, Kresge, and Kress. They operated over 4200 stores in 1930. By the 21st century, the dime store disappeared and the niche of low-cost, high turnover merchandise was taken over by the dollar stores.
The 2000s have seen a decline with the rise of e-commerce. The number of companies operating department stores dropped from 95 (operating 9,969 stores) in 2006 to 68 (operating 9,456 stores) in 2013.
Department stores tend to target different socio-economic and geographic segments:
- Upscale: Barneys New York, Bergdorf Goodman, Lord & Taylor, Bloomingdale's, Dillard's  Saks Fifth Avenue, Neiman Marcus, Nordstrom,
- Middle-market: Macy's, Carson Pirie Scott, Century 21 (department store) Von Maur
- Regional: Belk, Boscov's, The Bon-Ton
- Down-market/Suburban: JC Penney, Kohl's, Sears
- Discount department stores: Target, Kmart, Wal-Mart, Meijer
- T.J. Maxx, Marshalls, Ross, and Burlington Coat Factory are stores that sell designer goods at lower prices, often on a surplus basis.
Stores that carry a general line of groceries and other product lines similar to those of department stores are considered warehouse clubs or supercenters. Warehouse clubs require a nominal annual membership fee, while supercenters do not. Costco, BJ's Wholesale Club, and Sam's Club are examples of warehouse clubs.
Salt Lake City
On March 1, 1869, Zion's Cooperative Mercantile Institution opened in Salt Lake City as a new community store that became the first incorporated department store in America in 1870. A new 3-story brick and iron store was built in 1876, noted for its unique architecture and striped awnings. This store was replaced by an enclosed shopping center in 1973, and the new Zion department store preserved the gilt-edged ornate facade of the old structure.
In 1999, the May Department Stores bought a 14-store ZCMI chain and rebranded its as "Meier & Frank", a May property with eight stores in Oregon and Washington. Subsequently, May Department Stores completed a merger with Federated Department Stores and the Meier & Frank brand ZCMI stores became Macy's stores, effective late 2006.
In 1881, Joseph Lowthian Hudson opened a small men's clothing store in Detroit. After 10 years he had 8 stores in the midwest and was the most profitable clothing retailer in the country. In 1893, he began construction of J. L. Hudson Department Store at Gratiot and Farmer streets in Detroit. The store grew over the years and a 25-story tower was added in 1928. The final section was a 12-story addition in 1946, giving the entire complex 49 acres (200,000 m2) of floor space.
After World War II Hudson's realized that the limited parking space at its downtown skyscraper would increasingly be a problem for its customers. The solution in 1954 was to open the Northland Center in nearby Southfield, just beyond the city limits. It was the largest suburban shopping center in the world, and quickly became the main shopping destination for northern and western Detroit, and for much of the suburbs. By 1961 the downtown skyscraper accounted for only half of Hudson's sales; it closed in 1986. The Northland Center Hudson's, rebranded Macy's in 2006 following acquisition by Federated Department Stores, was closed along with the remaining stores in the center in March 2015 due to the mall's high storefront vacancy, decaying infrastructure, and financial mismanagement.
George Dayton had founded his Dayton's Dry Goods store in Minneapolis in 1902 and the AMC cooperative in 1912. His descendants built Southdale Center in 1956, opened the Target discount store chain in 1962 and the B. Dalton Bookseller chain in 1966. Dayton's grew to 19 stores under the Dayton's name plus five other regional names acquired by Dayton-Hudson. The Dayton-Hudson Corporation closed the flagship J. L. Hudson Department Store in downtown Detroit in 1983, but expanded its other retail operations. It acquired Mervyns in 1978, Marshall Field's in 1990, and renamed itself the Target Corporation in 2000. In 2002, Dayton's and Hudson's were consolidated into the Marshall Field's name. In 2005, May Department Stores acquired all of the Marshall Field's stores and shortly thereafter, Macy's acquired May.
In 1849, Horne's began operations and soon became a leading Pittsburgh department store. In 1879, it opened a seven-story landmark which was the first department store in the city's downtown. In 1972, Associated Dry Goods acquired Horne's, and ADG expanded operations of Horne's to several stores in suburban malls throughout the Pittsburgh region as well as in Erie, Pennsylvania and Northeast Ohio. In December 1986, Horne's was acquired by a local investor group following ADG's acquisition by May Department Stores. By 1994, Federated Department Stores acquired the remaining ten Horne's stores and merged them with its Lazarus division, completely ceasing all operations of any store under the Horne's name.
Kaufmann's was founded in Pittsburgh in 1871 by Jacob and Isaac Kaufmann. In 1877, the brothers moved downtown to a location that became known as The Big Store. "The Big Store" featured a large landmark outdoor clock that became a popular meeting place and city icon.
- List of department stores by country
- List of defunct department stores of the United States
- Distribution (business), Retail, Marketing
- Types of retail outlets
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- Mark Navin (14 August 2009). "Shopping at Downtown Crossing". WBUR. Retrieved 2012-01-26.
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- Lane Crawford - History
- Stephanie Rains, Commodity Culture and Social Class in Dublin 1850-1916 (2010)
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- Brian Moeran, "The birth of the Japanese department store." in Kerrie L. MacPherson, Asian department stores (Routledge, 2013)
- Hanssen, Jens. Fin de Siècle Beirut: The Making of an Ottoman Provincial Capital, page 252
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- https://www.monalisa.com.py/mediaServlet/institucional.html Monalisa (Nuestra historia)
- Marjorie L. Hilton, "Retailing the Revolution: The State Department Store (GUM) and Soviet Society in the 1920s," Journal of Social History (2004) 37#4 pp. 939-964 in JSTOR
- Kerrie L. MacPherson, Asian department stores (Routledge, 2013) However, online shopping and pricing has become very common.
- Kim, Ji Wan, Freddy Lee, and Yong Gu Suh. "Satisfaction and Loyalty From Shopping Mall Experience and Brand Personality." Services Marketing Quarterly 36.1 (2015): 62-76.
- Peter Gold and Lucy Woodliffe, "Department Stores in Spain: Why El Corte Ingles Succeeded where Galerias Preciados Failed," International Journal of Retail & Distribution Management (2000) 28#8 pp. 333-340.
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|Wikimedia Commons has media related to Department stores.|
- The rise of the department store in Britain
- A.T. Stewart's
- Tamilia, Robert D. (2011). "The Wonderful World of the Department Store in Historical Perspective: A Comprehensive International Bibliography Partially Annotated" (PDF). Retrieved 2014-03-01. (292 KiB)
- International Association of Department Stores
- New York Journal. Under One Roof The death and life of the New York department store. by Adam Gopnik
- Department store (retailer) at Encyclopædia Britannica