Debenhams is evaluating whether to close up to 10 stores and pull out of some of its international markets, as a part of a broad strategy shift to cut costs and keep up with changing consumer behaviour.
The retailer said that it aimed to simplify the way that people did their shopping, both online and offline, and that it wanted to make more effective use of people, inventory and infrastructure.
It said it wanted to move around 2,000 of its staff into customer-facing roles as part of a plan which it is calling “Fix the Basics”, which also includes “decluttering” stores, replenishing stock faster.
It said that it would begin consultation on the closure of one central distribution centre and around 10 smaller regional warehousing facilities, in addition to reviewing up to 10 UK stores for closure over the next five years.
Debenhams currently has 247 stores across 27 countries but it said that it was also evaluating whether to “exit some brands and non-core international markets”.
"Our customers are changing the way they shop and we are changing too,” said Sergio Bucher, chief executive of Debenhams.
“If we deliver differentiated and distinctive brands, services and experiences both online and in stores, our customers will visit us more frequently and, having simplified our operations to make us more efficient, we will be able to serve them better and make better use of our resources,” he added.
Debenhams on Thursday reported a 6.4 per cent fall in first-half profit to £87.8m.
