The phenomenon of traditional department stores have been involved in electric dealers

Source: Internet
Author: User
Keywords Electric Business Step

 

Facing the electric trader step by step Press to snatch the line under the passenger, this year the traditional retailer finally is willing to spend "the big money" accelerates the attack net to buy. At the beginning of this year, from the local Wanda Group, Wangfujing department stores, to "foreign" Wal-Mart, Watson has launched a counterattack against the electric dealers, or pay a high salary to hire electrical talent, or a big investment in the online mall, or the introduction of product dual-line strategy ...

Industry insiders said that last year, whether sales or profits of the majority of traditional retailers flat or down, in the past by opening a new store to pull sales growth risk is growing, accelerate the layout of the channel to seek fresh growth into a consensus. 2013 years of traditional retailers will be a bad line of operation courses, a "shop" and "Electric dealers" battle is about to be launched.

The phenomenon of traditional department stores have been involved in electric dealers

Recently, Wangfujing published the 2012 annual report, said last year in E-commerce projects invested up to 32 million yuan, the project has accumulated more than 100 million yuan in two years. In addition, in February this year, Wangfujing acquired a spring department store 39% stake in the news that will be the spring department store's electricity quotient platform Dorset OLE network to merge, or become the Chinese department store retail across the group on the merger of the first case. The reporter learned that not long ago, Wangfujing department stores published a total of about 2.2 billion yuan of corporate bonds. Although it did not disclose the "blood transfusion" of the specific use of 2.2 billion yuan, but in the industry view, this year will be on line with the electric business platform close. In addition, Wangfujing is willing to throw heavily in the electric business circle to attract talent, it is learned that wangfujing nearly hundred independent of the group's operation of the Corps team, IT, the operating department of the head from the traditional electric business.

Wal-Mart, the world's largest retailer, acquired a 51% per cent stake in the online supermarket store No. 1th, and its top brass announced the 2013 sales target of 9 billion U.S. dollars, and put forward three major strategies for the development of the electric business: the expansion of the core market, the construction of new technology platforms, and the improvement of Wal-Mart executive vice president Holley said that this year in China will increase the development of the electric platform, or will be tested on the day of the Chinese service.

In addition, Watson, following the launch of the Palm Internet store last year, its official website in March announced officially on-line, at the same time in the national stores and official website Mall launched a two-line product strategy, resulting in Watson's flagship store, Palm Internet store and the official website Mall of the three major electronic business platform integration layout. And the broad hundred shares in the last year set up completely independent of the department store E-commerce Company, and the Canton Online mall named "Canton Bai Shopping Network", this year to increase the use of the brand effect and the network of rich dot resources, to create "online shopping + service" platform. Before, including Yintai, Parkson, Xujiahui business circle, such as a group of traditional retail predators have been "net" success.

Reason source is robbed badly need marketing new bright spot

"First-tier cities, mainstream users are attracted by price, while in the two or three tier cities, a large number of users choose to buy online not only because of the cheap, but because of the rich resources on the internet to make them more consumer choices." "Guangdong Province Circulation Industry Chamber of Commerce Executive President Huang Wenjie said, can not helplessly watch the user is pulled away by the electric dealer is almost all traditional retailers consensus, in addition to the most direct discount promotions, their own development of the electric business platform is one of them."

On the other hand, the growth in traditional department stores ' revenues and profits rose last year, Huang Wenjie said the pressure had not eased in the first quarter of this year. And a few days ago, UBS released the consumer goods Industry report that last year, the main impact of traditional department stores is the impact of online shopping and a variety of gourmet catering, skating rink, cinemas and other new experience of the diversion of shopping malls. The company's net profit of 193 million yuan last year, down 9.52% per cent year-on-year, to achieve revenue growth of only 2.3% per cent, according to a recent annual report published in 2012. Huang Wenjie said that in the past, department stores rely on new stores to stimulate sales growth, but the shop cost is high, new store incubation period lengthened, the risk is also more and more, the traditional department store retail industry facing transformation, the urgent need to seek fresh marketing highlights. And the reporter learned that, Guangzhou traditional supermarket bojia in good Square after nearly 9 years of operation, in the face of rising rents, it will have to "shrink" its operating area by half; Another source said that the last year, after the withdrawal of the hotel, the "51" before the plan to return to face the fate of rising rent 30%~50%. In this respect, China Chain Management Association Secretary-General Pei Liang also said that in this context, online shopping business seems to be no longer dispensable entity business supplement, and become a traditional department store brand can be excavated new profit growth point. It is reported that the current strike strikes more good is Yintai department stores, the current daily orders volume breakthrough million, the daily sales of more than 4 million yuan. The success of this transformation has also allowed traditional department stores to see the dawn of reform. "Huang Wenjie said.

Advantages of brand reputation and supply chain

While the traditional retailer raised the army to counter the electric dealer, electric dealers have frequently burst out of shackles, in this year No. 3.15, Jimei excellent product, le bee, beauty makeup and other vertical electric dealers are exposed to sell fakes, brand-name cosmetics with water, so recently, beauty makeup CEO Huang throw "Online sales cosmetics 80% are fakes" speech. Huang Wenjie said that, compared to relying on capital to do large-scale electric power, traditional department stores or more advantages, traditional department stores use years of accumulated brand and resource integration capabilities to E-commerce extension, brand awareness, reputation, customer, supply chain resources integration, procurement and other links exist a huge "spillover" effect.

"We have set up a purchasing center in the Beijing area to unify the national brands and share the brand resources under the line." "Wangfujing department store group vice President Zhou Qing said. It is understood that Wangfujing online mall business model for self-mining + offline goods online proprietary + pool, and rely on the procurement department, through the "buy hands" to complete the supply of goods. Zhou Qing pointed out that the full use of their supply chain advantage, is to respond to the power of the most powerful killer.

Inferior entity store and online business conflict

Marian, President of Shenzhen Yi Ma International consulting Company, believes that many traditional retail outlets often place the electric business Department under the marketing department or the sales department, Digest inventory and past-season merchandise, this will inevitably take the offline entity shop Sales model to move to the network of simple ideas, two platforms, the same set of horses, the defeat is inevitable. This, he said, would have two major conflicts: first, the price conflict, online prices generally lower, will have a impact on their shopping malls; the second is the regional conflict, the electric business is not bounded, a city shopping mall's online business will Rob B province market consumers, suppliers can not face the pressure of B province cooperation shopping malls.

Based on this, some traditional retailers to enter the electricity business has "a start," not only to have the familiar with the electrical business Management team of professional executives, but also set up independent of the entity shop research, production, customer service and other departments. such as Canton Bai goods are established in the independent department store E-commerce company.

Expert: Own brand for counter weapon

What is the odds of a traditional department store? Huang Wenjie said that the traditional retailer and the electricity market price war is certainly no advantage, must be in the brand, category, function of the differential operation, and the use of physical shop network to provide special experience and services, online and offline marketing organic combination.

It is reported that the Wangfujing electric business is quite part of the self-employed, and the line of its own brand, is the hope that through the online capacity of forging to promote the offline entity to the transformation of self. "Japan's general merchandise industry accounted for as much as 30%, and the current Wangfujing line under the proprietary structure of 10%, there is still a larger space can be released." Huang Wenjie said that private brands in addition to the price and the electricity quotient has a certain competitive advantage, the quality of its goods is easy to monitor. There are also self-employed, including clothing, cosmetics and other categories in addition to electrical appliances.

The stone of the foreign land

The entity shop as the online mall matching

With the growing popularity of online shopping, traditional retailers are losing more shares, and more and more consumers are visiting goods in physical stores and placing orders with electricity dealers. Some of America's big retailers are transforming their own physical stores into a matching facility for their own online retailing. Now, Wal-Mart, Macy's, Best Buy, Sears, and other retailers, in the physical store to add their own network shopping return center, physical store collection point, net shopping payment center, and even network customer service center, thus attacking the soft rib of net retailer. Some consumers said that in the morning after placing an order on the site, on a half hour lunch break, can run to their physical store to take goods, but also to remove a freight expense, is very convenient.

Related Article

Contact Us

The content source of this page is from Internet, which doesn't represent Alibaba Cloud's opinion; products and services mentioned on that page don't have any relationship with Alibaba Cloud. If the content of the page makes you feel confusing, please write us an email, we will handle the problem within 5 days after receiving your email.

If you find any instances of plagiarism from the community, please send an email to: info-contact@alibabacloud.com and provide relevant evidence. A staff member will contact you within 5 working days.

A Free Trial That Lets You Build Big!

Start building with 50+ products and up to 12 months usage for Elastic Compute Service

  • Sales Support

    1 on 1 presale consultation

  • After-Sales Support

    24/7 Technical Support 6 Free Tickets per Quarter Faster Response

  • Alibaba Cloud offers highly flexible support services tailored to meet your exact needs.