Department store beauty war
The Australian Financial Review reported that Sephora will be running shop-in-shop operations within David Jones. The first outlet will operate in DJ's Bourke Street store in Melbourne. More stores will follow in 2019. Sephora already operates 14 stand-alone stores in Australia. Apparently the discussions between DJ and Sephora have been underway for the last four years. It is worth noting that this month Myer will become the exclusive department store stockist in Australia for Aesop, meaning the Aesop will exit DJ. According to the AFR, beauty and cosmetics category represents 20% of turnover at DJ and Myer, generating about 25% of gross profits.