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HOME CINEMA / ACCESSORIES

TVs Tumble, DJs Await "Next Big Thing"

By Oonagh Reidy | Tuesday | 28/05/2013

AV is suffering at DJs, in particular TVs, PCs and entertainment categories, a spokesperson confirmed to Channel News.


"Technology is driven by advances, if there is something new we see an immediate spike" in sales, a David Jones spokesperson said, citing past big tech launches including 3D and flat panel TVs and the iPad.

With no new iPad or Apple launch, many retailers are feeling the pinch.  

"We're waiting for the next big thing," the spokesperson added. 

"We need unit [volume] otherwise it becomes a discounting war" - something that DJs is looking to cut out, removing its $10 million 'Floor Stock Clearance' last quarter and other sales events.

Yesterday, the department store announced Q3 sales dropped 2.2% to $391.1 million, compared to a year prior. Like-for-like sales (for the Q3 period, January 27 - April 27) also dropped 3.4% 

The store reported poor performance in Electronics and Home categories affected by margins and "price pressures", while high margin Beauty, Menswear and Childrenswear were key drivers of sales growth.

"Our Home categories, in particular Electronics, continues to be subject to industry and price pressures," said CEO Paul Zahra in a statement, as CE retailers engage in aggressive discounting and margin squeeze. 


Last quarter, DJs announced plans to cut all 'Home' categories, including furniture, white goods and AV, but may reduce TVs even further in the future. 


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