How traditional department stores can guarantee revenue

This year's "Double 11" Italy is still not done, just the end of the "double 12" to continue a round of online shopping, the traditional department store will be what taste.

The rapid development of online shopping, to the traditional department store industry brought not only the decline in sales share, but also physical stores hard to resist the annual increase in operating costs, such as electricity and water, rents, property costs annually, labor costs increase, and due to market competition pressure, discount promotion makes the gross profit margin is lower, Industry average gross profit margin of less than 15%, deduction of various taxes and operating costs, after-tax net profit is almost zero, some even loss.

By contrast, electricity dealers do not need such high operating costs. Because the goods on the net are rent, labor and other costs on the cost of less, relatively low prices, so at present, there are many "beat code Clan", first in the market to try wearing the same model of clothing, and then to the online purchase, "Low price" is one of the important factors of consumer favor. Another point, as a result of online sales of goods, convenient and convenient, so that the consumers at home, anytime or in the house, you can easily browse the shop to buy goods, reduce the physical store in the purchase of goods and time fatigue. NET buys saves time and effort, is not limited by the space time, is the entity shop incomparable,

With the rapid development of e-commerce in China, traditional department stores are more and more impact will only increase, the traditional department stores need to think more countermeasures to ensure their own revenue.

First, break the traditional business model and develop the multi-industry combination

The only way to solve and deal with the competition is to solve the single traditional mode of operation, develop the combination of multiple industries, widen the operation mode, satisfy more consumption demand, and become the effective way to retain customers and attract customers. There are many modern large shopping malls that realize this, in the business layout not only to meet the needs of consumers shopping, but also to meet the needs of eating, drinking, playing, music, housing and other functional requirements, so that the simple shopping process become more fun, really is a full range of service experience. Traditional department stores should boldly break through the traditional mode in the future operation, in the business planning, operating characteristics to play their own advantages, more to increase the additional industry, broaden the service function, to provide consumers with the exception of shopping in addition to the perfect supporting services, to guide customers into the store, to guide customer consumption, change a single traditional business model, Is the only way for the traditional department store to survive and develop.

Second, improve promotional skills, so that customer health care value-added services

At present, consumers in the market to carry out promotional activities more calm, blind purchase has become a rational consumption, the traditional rebate, buy gift activities can no longer arouse consumers desire to buy, should improve promotional skills, change promotional methods, the use of physical shop multi-functional advantages of the industry, mutual borrowing, pull each other, to jointly counter the impact of the electric business. The traditional department store should break the existing marketing ideas in the sales expansion, and in the promotion of goods, it can highlight and play the advantages of the entity shop, and the electric dealer should offset the promotion and attract the customers.

Second, the implementation of brand control, to win the joint production of commercial enterprises own brand

In order to seek the development space of the traditional department store, some traditional department stores begin to seek the new innovation Development Road in the brand control. Brand commodity management is to ensure the basis of sales share and fundamental, and there is no independent control of the brand merchandise, the operating initiative will be subject to the suppliers or agents, the business is at a disadvantage, especially the independent of the group of companies shop is so. Direct marketing is a traditional department store's future business direction and goal, is to expand market share, enhance the strong protection of commodity sales.

Third, to increase supporting services, expand service functions

Although the net purchase price cheap and convenient, but the traditional department store compared to E-commerce with a visible, touch the advantages, and the development of the network will promote the traditional store reform, is the basic power of the traditional store reform. Must conform to the market change law's objective need. Traditional department stores in response to the impact of electric dealers should also strengthen the promotion of more complete supporting services, enhance and highlight the competition with the power of service advantages, so that consumers are more willing to shop to the physical stores to spend.

Through its own brand to improve the quality of goods, enhance the credibility of the commodity, to provide consumers with more competitive high-quality goods, and strive to provide me with his No, he has my excellent, he gifted me strong exclusive merchandise; Through the modernization of information systems to improve after-sales service means and advisory services to provide consumers with more intimate, more detailed, More convenient and efficient human services, enhance the customer's sense of nobility, to provide consumers with knowledge, thought, buy, the demand for services, so that consumers shopping, access to services without obstacles. Let consumers in shopping at the same time, feel and experience more is a kind of dignity and enjoyment. So that more consumers are willing to go to the physical store to feel, so that more consumers out of the house to enjoy the feeling of being respected, this is our traditional department store in the face of the impact of the electric business business objectives and direction, but also to meet the impact of the electric power of the inevitable choice.

Finally, I hope to see the "Shopping festival" of the traditional department store, instead of only the "Promotion festival" of price war.

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