John Lewis Building Flats

 

The John Lewis Partnership (JLP) has received unanimous approval from Reading Borough Council for its £70 million plan to build 170 rental apartments in the town centre. This project, which will see the demolition of a former JLP warehouse on Mill Lane, marks a major step in the company's new strategy to diversify its revenue by entering the "build-to-rent" housing market as a landlord. The development will offer a mix of one, two, and three-bedroom energy-efficient flats, with 16% designated as affordable housing (though this is below the council's target). By regenerating an underused brownfield site and promising high-quality design, communal amenity spaces (like a gym and co-working area), and a long-term commitment to the community, JLP aims to leverage the trust associated with its retail brand to provide much-needed, high-standard rental accommodation.

 BBQ - Explain a reason why a large retail business might choose to diversify its operations by moving into a completely different market, such as property and housing.

John Lewis Homes

Greggs Rolls Into Homeware

Greggs, in a bold move to capitalize on its massive brand loyalty, has teamed up with interiors specialist Icon to launch its first-ever homeware collection. The "Greggs Icons" range, which was teased on social media before its official release, includes a fun and unique line of products designed to bring the bakery's most beloved items into people's homes. The highlight of the collection is a series of giant, plush cushions and bean bags shaped like the iconic sausage roll and steak bake. Additionally, the limited-edition line features a recliner gaming chair and a cushion designed to look like a classic Greggs paper bag. This product diversification strategy aims to connect with a younger, online-savvy audience, particularly Gen Z, by offering them a tangible and quirky way to express their love for the brand. The launch demonstrates how Greggs is innovating beyond its core food business to engage its customer base and extend its brand presence in a highly creative and memorable way.

BBQ - Greggs has launched a limited-edition homeware collection. Explain two possible reasons why this product diversification strategy might be successful for the company.

Greggs Homeware