2015 retail store industry development six key words

Department stores are facing multiple issues such as reshaping supply chains, changing business models and finding new profit points.

In the future, the department store's management center of gravity and core competitiveness for commodity sales, should more grasp the exclusive resources, through personalized, differentiated brands and merchandise to recapture consumers. In the transition stage to the self, in order not to occupy a large amount of capital, reduce operating risk, the domestic department store enterprises also need to maintain a large proportion of cooperation with suppliers to develop and sell branded goods. "Self-owned + own Brand + joint-venture brand" mixed operation mode will become the mainstream trend of the future development of department stores.

Closing of foreign capital

Local department stores in the plight of struggling, foreign department stores are struggling. Closing is the most prominent label on foreign department stores this year. "Foreign first store" Parkson evacuated Changzhou, Jinan two markets and closed the Beijing East four ring shop. Japanese Hall of the end of the Beiyuan shop, wangjing shop and Xizhimen shop operation, the unsatisfactory performance of Beijing Hua Tong to adopt a contraction strategy, will focus on key stores operating. Even in the mainland, to bring more buyers brand of the department store losses continue to expand, the use of direct business, Martha department stores began to seek local partners to promote China's regional performance growth.

For the current China's relevant policy impact, the trend of change in consumer trends in the market environment changes, Foreign department stores general market reaction is not keen. In a situation where the localization process is often challenged, most foreign-owned enterprises are still subject to the advice of the headquarters. However, due to distance, culture, life, consumption and other background differences, the headquarters of China's business culture, consumer psychology of the lack of understanding, resulting in the final strategic decision can not be hundred match.

In this round of the department store reshuffle period will be eliminated a large number of enterprises, the ultimate winner is to have the capital strength, market flexibility, to find the operating characteristics of the strength of enterprises. With the transformation of local department stores in line, foreign department stores also opened the mode of self-help. In the face of the worst performance since the listing in China, Parkson founder Cheng personally led the start of the global acquisition or agent of well-known brands, changing the brand to seek the dilemma of the breakthrough. The Japanese Chinese church wants to change the mode of cooperation with the suppliers, the two sides jointly carry out the design, development and sale of the characteristic goods.

Full channel

Online consumption trend is gradually obvious, O2O (offline to offline) concept spread to the entire retail industry, the whole industry to channel construction attitude unprecedented. This year, most department stores to the rich human and financial resources to the whole channel into the strategic level. Big business shares, Wangfujing department stores, Yintai commercial, Tianhong shopping malls, Chongqing department stores, friends of the shares and other regions of the department store giants have entered the field of E-commerce, and gradually completed the line, mobile end of the entire channel port layout.

In order to deepen the whole channel reform, this year to Wangfujing department stores, Yintai commercial business led by the main business for department stores and internet giant Alibaba, Tencent opened strategic cooperation. Yintai business and Alibaba set up a joint venture for the development of China's shopping malls, department stores, supermarkets related to online business. Alibaba invests in Yintai business group with HK $5.37 billion strategy. After a breakthrough in the field of mobile payment, both the Wangfujing department store and Tencent will continue to promote the construction of the whole channel with the business model of integration and linkage.

However, the total channel value that the department store enterprise can realize is directly proportional to the input. Because the product overlap degree is close to 50% or even higher, the whole channel is more embodied in providing consumers with multiple ways to buy. Some enterprises online to give red envelopes, rebates and other forms to guide consumers to the offline consumption, but the active degree is still on the online level, offline conversion rate is not high. As no clear profit model has been explored, most of the enterprise's whole channel construction stays on the foundation stage of building the online platform. Optimistic, the future may be thick and thin hair.

Shopping malls

This year is the new department store at least one year, the first-line city department store growth is negligible, new World stores, step higher will further sink channels, in the three or four-wire market to look for opportunities. In contrast, some companies almost gave up the department store development. The group announced that new development projects would almost no longer dabble in department stores. Wangfujing department Store will focus on the development of shopping malls and outlets, and hold hands Evergrande in the field of commercial real estate cooperation.

Merchandise sales-oriented department of the Department of customer capacity significantly decreased, resulting in business income decline. In the case of the property rents and the manpower expense and so on the operation cost promotion, the department store performance pressure is conceivable. The lack of retail power allows department stores to start seeking external solutions, and some grocery stores draw on the adjustment of the form of shopping malls, adding catering areas and children's trade patterns. Under the condition of limited property conditions, it is widely accepted that the adjustment of shopping malls is only suitable for transition period, not a long-term solution.

Dabbling in financial services

Facing the sluggish market pattern, the traditional department stores are looking for new profit channel is the general trend. Yintai Commercial, Wangfujing department stores and Alipay, micro-letter cooperation with the launch can be stored value of membership card. A membership card endowed with internet thinking and financial concepts gives the department store more imagination in the financial sector.

Related policy impact, let the past corporate profits important components of commercial prepaid card sales towards the end. If the membership card with Internet financial properties to attract individual consumers to take the initiative to deposit the money in the form of storing value, increasing profit and rebate, it will become a new growth point of the department store performance. Department stores can also be an opportunity to gradually infiltrate this financial thinking into cooperation with suppliers. Previously, the Beijing-East for consumers launched the "Beijing-East White Stripes", the supplier launched a 3-minute financing products to account "Beijing Bao-Pui", opened the financial sector full force.

In fact, there are department stores in the financial sector secretly exerting force. Guangzhou friendship to raise cash 10 billion yuan to buy Yuexiu Financial Holding Group Co., Ltd. 100% Equity, transformation for the financial and department stores operating a A-share listing platform. Chongqing department store invested 150 million yuan to set up a small micro-credit limited liability company to enter the financial sector. Through the handling of a variety of small loans, bills discounting and other financial services, better serve the main business of Chongqing department stores, increase operating income. However, there is a lot of risk of entering the financial sector, and companies need to be very cautious about every decision that involves capital operations.

Market segmentation

The market outlook for traditional department stores is fading, and the number of future first-tier cities will become smaller. In the market is not sufficient in the three or four-line city, there may be a number of department stores were born. Last year, department store effect fell by as much as 12.9%, sales growth significantly lagged the expansion rate of business area. Although the creation of experiential mode can restore a certain proportion of the loss of passenger flow, but the department store to be in the competitive business market to regain a foothold, the need to focus on strengthening the advantages of the category and take the market segments.

Beijing APM's main store Dong ' an market this year carried out a 75% proportion of brand adjustment, shopping malls have transformed from a comprehensive department store into a youth, fashion trend Hall. Xidan Shopping Center will add 200 square meters of jewelry counters, at the same time expand the sports brand lineup, strengthen the dominant category, grasp the breakdown of the customer group. The competition for commercial projects should not be a football game, where players compete for a single ball, more like competing in a swimming pool and moving in their own lanes. This means that the wrestling point of business enterprises is to grasp their target customers in the market segments.

Market segments require a clear and firm definition of the location of department stores. The so-called market segmentation, is based on the different characteristics of consumer demand to classify consumers of similar needs, through the study of a certain type of consumers, unsatisfied and not fully realize the consumer needs of the part to complement and optimize. Market Segmentation test The company's familiarity with the market, the department stores need to shift from the thinking of commodity management to consumer research.

Exerting its own brand

Domestic department store enterprises are good at learning from foreign mature business experience to develop their own. In the United States, Europe and the country's department stores to self-employed, and through its own brand to enhance operating profits, the formation of differentiation. The change of traditional business model is the key to the remodeling of the competitiveness of department stores. At present, many department stores actively explore the commodity self-and, but the road of return needs to be gradual, the joint venture will still be the mainstream business model of department stores.

Department stores will devote more energy to the deep pool of suppliers and build their own brands. New World department store own brand LOL Shop has been promoted nationwide, in order to improve market penetration and brand awareness, New World department store also intends to join LOL brand shop expansion. Large business shares in the enterprise to promote the "Direct Sales Direct" business model, through the unified procurement and development of its own brand, compressed middleman link, promote the gross profit margin. However, due to market environment, 0 supply relationship differences, foreign department stores proprietary goods and own brands accounted for more than 90%, but the domestic department store enterprises own brand ideal share of 20%-40%.