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John Lewis

a Multi-channel Retailer

Andy Street

Managing Director

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10% 12%

14% 17%

21%

26% 29%

07/08 08/09 09/10 10/11 11/12 12/13 13/14

Proportion of sales taken online

Shops +3.5% Online +19.2%

Results 2013/14: ‘Bricks and Clicks’ success

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Story

Origins of the Partnership

2008 – the defining moment

Building Omni-channel

Success factors

Story

Origins of the Partnership

2008 – the defining moment

Building Omni-channel

Success factors

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Origins of the Partnership

In 1928 after the death of John Lewis, Spedan

acquired sole ownership of the business.

He drew up the Partnership's first

Constitution and in 1929 the first Trust

Settlement was signed which allowed the

profits of the business to be distributed

amongst the employees. John Spedan Lewis

1885 - 1963

Spedan

Footage VT 1 Spedan Lewis.mpg

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Origins of the Partnership

John Spedan Lewis, 1929

The Ultimate Purpose of the

Partnership is the happiness of all

our members through their worthwhile

and satisfying employment in a

successful business

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The JLP business model: advantages

No conflict of interest No external shareholders

Allows us to be

counter intuitive

Purchase of

buy.com

2001

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Story

Origins of the Partnership

2008 – the defining moment

Building Omni-channel

Success factors

SIZE OF JL.COM JAN 2008

£269m

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Our response: 1

Value Quality Service

No compromise

Our response: 2 Take tough decisions

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Spedan

Footage VT 2 Mick Dempsey Distribution. wmv

2 Take tough decisions Our response:

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3 Target £1bn online Our response

Our response: 4 “at home” born

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Spedan

Footage VT 3 Julia Finch BBC doc.wmv

Outcome 2010:

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Story

Origins of the Partnership

2008 – the defining moment

Building Omni-channel

Success factors

Multi-channel

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Average spend per customer (2013)

£168

Online

£264

Shops Omni-channel

£824

It makes sense

Brand becomes king

Strategy first

Authenticity in delivery

Market it

Tesco is the science of retail

Source: competitor comment

John Lewis is the art of retail

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If John Lewis boiled down to one word it would be

“Trust”

Spedan

Footage VT 4 NKU 2011.wmv

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Always a woman

Practical matters: Click and Collect

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New Locations: Birmingham–Leeds–Westfield London–York–Heathrow–Chelmsford–Oxford–Horsham–Basingstoke and more…

Birmingham 2015

SFLDS At home FLDS

York

Opens 10 April 2014

Ashford

Opened Nov 2014

New formats, new places

But some things never change…

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Spedan

Footage VT 5 NKU 2012.wmv

A Christmas winner

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0 20,000 40,000 60,000 80,000 100,000

Debenhams

Royal Mail

Asda

Boots

Morrisons

Tesco

Marks & Spencer

Sainsbury's

John Lewis

Positive

Negative

Neutral

Balanced

SOURCE: Precise Media Monitoring (December 2013)

Social media conversations for Christmas adverts

Competitors

Story

Origins of the Partnership

2008 – the defining moment

Building Omni-channel

Success factors

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Nearly ½ sales now

‘delivered’

Magna Park 2 – £97m

investment

Switching Investment: Supply Chain 1

Share 2009–2013 Share 2014–2018 Mobile ePOS

15%

85%

37% 63%

IT Capex Non-IT Capex

2 Switching investment: IT

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IT innovation

3 “All pulling together”

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9,500

10,000

10,500

11,000

4

10.07m

2012

Feb Apr May Jun Jul Aug Sep Oct Nov Dec Mar

10.95m

Great insight

JL customers, rolling 12 months New target customers

Crave right brands and

new products

Use convenience of

online

Love shops

Provenance matters

Wake up to mobile Desktop browsing

Dual screening

Tablet Mobile Desktop

4 Great insight: online traffic

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5 Capability building

Where now?

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