Ten Year Mutation: Wenzhou Department Stores Open Up Consumption Blowout Era

LV settled in 2006

If you come to downtown Wenzhou ten years ago, the taxi driver will go to the mall. The driver will surely take you to the one hundred of the five Horse Street and the opening of the people's road.

If you are going downtown now to go to the mall, the driver will definitely ask which way to go.

In the past ten years, with the rapid development of urban construction, the urban framework was gradually widening.

Wenzhou, famous for its business, from the early days of the development of the backward department stores to the quiet times of the development of the department stores, fought the frequent shopping spree times, and then to today's department stores.

A situation of tripartite confrontation

Ten years of department stores

Small commodities, big markets.

Wenzhou is well known for its "mercantilism", but the development of modern department stores in Wenzhou is relatively backward.

Before 1997, there was no more than 5000 square meters of shopping malls in Wenzhou.

The best thing at that time was the "one hundred" of the five Horse Street, an old state-run department store with only more than 2000 square meters, and a temporary flash in the Shi square. Subsequently, the small Hualian Commercial Building and the New Friendship Shopping Center also changed their jobs due to poor management.

In January 8, 1998, Kai Tai Department unveiled the veil of curiosity and suspicion in the public, creating a new scene in the history of Wenzhou department store: the first large shopping mall in Wenzhou, which was more than 10000 square meters, and the first modern department store in Wenzhou, which introduced Taiwan's management mode.

After several years of operation, it is too successful to base itself on Wenzhou.

The success of Kai Tai attracted the attention of private capital in Wenzhou.

In 2002, five Wenzhou private entrepreneurs jointly invested in the Times Square.

In December 24, 2002, Times Square opened.

The superior parking environment just greets the arrival of the automobile era, and clear and accurate positioning of high-end department stores quickly gets customers' approval.

In 2005, the department store industry attracted a great development year.

Joint Department stores, dynamic frontline, Jiale Plaza and Lizi Hua have all appeared.

At the end of the year, Dan Lu Plaza signed the European city.

However, the former Union Square and the dynamic front line were like fast shooters, but they also quickly faded away from the field of vision. And the location of Dan Lu Plaza from the initial location of high-end SHOPPING MALL to today's mixed up European city square is still unclear.

It was the same year intai department store, such as a dark horse, disrupted the peace of the whole department store in Wenzhou.

The 35000 floors of the 8 floors of the world trade center in Wenzhou attracted the competition of many Pacific department stores such as the Pacific Ocean, Parkson, new world, ocean, Yintai, Shanghai Bailian and local Kai Tai and the times. Finally, Yin Taibai made the best of the strategy with the development strategy of "dense Zhejiang".

In December 27, 2006, Wenzhou's intime department store opened and announced that Wenzhou's department store industry entered a new era.

After the opening of intime department store, the weekly promotion frequency disrupted the quiet Wenzhou department store industry.

In December 15, 2006, Kai Tai Department opened a prelude to the promotion battle of shopping malls with "500 to 420", followed by the Christmas season, which was too full 300 minus 150, and the era of "full 300 reduced 120". Yintai opened "600 to 300".

Such a big and high frequency promotional campaign scrambled for consumers, almost causing the whole city to be crazy. At that time and the next few years during Christmas and new year's day, traffic congestion caused by the influx of people into shopping malls was common.

At the beginning of 2008, the major shopping malls gradually defined their position.

It has formed the present situation of Kai Tai, era and Yintai tripartite confrontation.

The popular department store, which is developing too high quality cosmetics, is taking the route of youth and fashion and the route of high-end department stores.

In the eyes of consumers, the advantages of every household are gradually emerging. If you buy cosmetics, choose to go too far, buy the tide products and choose Yintai, if you buy luxury goods, then go to the times and overseas Chinese.

extravagant

From zero luxury brands to international frontline

In 2003, DIOR cosmetics settled in Kai Tai, which is the first international first-line brand to enter Wenzhou.

Huang Shaoyun, assistant manager of Kai Tai Department store, recalled that it took him a year and a half to negotiate with DIOR.

Today, taking Kai Tai Department store as an example, there are 13 international first-line brands, but not yet the 6 brands that we have entered this month.

In October, the cosmetics brand LAMER and La Prairie, which are comparable to gold, will soon settle down in Times Square. However, even with such high-end cosmetics coming into being, there is no such thing as the first international cosmetic brand DIOR to come to Wen's attention.

In 2006, the LV official store was set up to attend the opening ceremony.

The significance of LV's entry into Wenzhou is not only a business event, but a commercial development in our city.

It has been revealed that the performance of the major international brands in Wenzhou is also among the best in the country, such as Lancome's performance in Wenzhou in 2009 has set a 30 million yuan, and the Lauder brand has been squeezed into the top ten of the brand.

It is because of such impressive performance that GUCCI, PARDA, CARTER and other brands have entered our city.

In addition to Hermes, all the first-line luxury brands and first-line cosmetics brands are now available in Wenzhou, which is relatively rare in the same cities throughout the country.

Home appliance chain

From boycotting external appliance chain to win win

Before 2000, people in Wenzhou usually bought appliances in the home appliance market of Fei Xia Road, where there were five household electrical appliances warehouses, promising products in the market, shopkeepers giving orders, and picking up their own goods in the back of the warehouse to send them home by car.

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In 2004, the first domestic appliance chain Suning entered the market. After that, Gome and Yongle household appliances also entered Wenzhou.

The entry of foreign home appliance chain organizations aroused more domestic products retailers to fight against the strong enemies. In the same year, Wenzhou Dongtai household electrical appliance distribution center moved to the Huanglong household appliance market as a whole, while the new century household appliances sold at low prices and cleared the square shop to close the door. The Yellow River household appliances and Lu Tian appliances were out of sight.

This is like an open door appliance, which has impressed the consumers with the strategy of Suning and Gome, but the fire was just a flash in the pan.

With the advantage of price and scale, the trend of large scale household appliance brand is inevitable.

The overall pattern of Wenzhou's household electrical appliances market has also changed: Wenzhou one hundred occupies the advantage of high-end household appliances, and the Huang Long appliance market has always occupied the middle and low grade household appliances market with its flexible sales mode, while Suning, Gome and other household appliance chains have a larger market share in the urban area.

In the distribution of the business district, the main appliances of our city are people's road and big south business circle. There are one hundred large household appliance stores on the people's road, including 6 household appliances, Gome Chinese shop and Suning victory store. The characteristics of each household are more obvious, such as one hundred household appliances, which are mainly sold by high-end household appliances. The single store performance ranks the top 20 in the national household appliance stores.

In addition to the home appliance chain, IT digital business occupies a great advantage in the contest between the two camps of "local" and "external".

In 2006, when the computer store sold more than 1 years ago, it withdrew from the Lucheng market and retained only Yueqing stores. The computer market was moving slowly on the basis of maintaining its intrinsic share, while the Digital Plaza pformed into a market leader, from the 200 million year sales in 2002 to the current annual sales of 1 billion 500 million, and the market share was also less than 50%, which now accounts for 70% of the Wenzhou area.

Now entering the mature stage, the store form is the ultimate PK.

At present, Gome, Suning and other home appliance chain stores are pforming to 3C stores, and constantly accelerating the pace of development. The original traditional IT stores are facing unprecedented challenges.

High rental costs or will

Impeding the development of Wenzhou department stores

Wei Biao, general manager of times department store

Wei Biao, general manager of times square, appeared in Wenzhou department store as a consultant at the beginning of times square.

Having witnessed the development of the department store in Wenzhou for eight years, he said that the prospect of the department store industry in Wenzhou is very good, but it will be difficult.

8 years ago, when we were preparing for the times, we saw that the environment around the times square was still like the "countryside". Wei Biao said he was surprised.

The department store, built in such an environment, initially thought that it would take 5 years to develop the fastest, but what surprised him more is that the era has only grown in 3 years. "If it were not for SARS in 2003, the time would be shortened."

Wei Biaoru said.

He said the changes in Wenzhou department stores were obvious.

It is mainly the change of brand and the change of consumer demand.

When the era just opened, that is, from 2002 to 2003, as long as a new brand came in, the performance would double.

At that time, consumers did not know much about brands, and did not have a great idea of promotion. They had a high degree of acceptance of new brands.

When the mall appeared in the competition, "400 reduction of 250" promotional activities, consumers suddenly realized that the mall can also be discounted to sell like this.

Nowadays, the business of shopping malls is becoming more and more difficult, and consumers' demands for brands and shopping malls are getting higher and higher.

He said the reason why the prospect of Wenzhou department stores is difficult is mainly due to the particularities of Wenzhou.

Few good properties in Wenzhou are suitable for department stores. Even with the right properties, the expensive property cost is a deterrent to the thinner department stores.

Shi Ruirong, general manager of Kai Tai

The earliest private department store in our city belongs to Kai Tai Department store, which is invested by Taiwanese businessmen.

Today, Shi Ruirong from Taiwan is the head of Tai Kai. His style belongs to the vigorous and vigorous style.

Every time he chatted with him, Shi always spoke very fast. The last 4 years of Kai Tai's department store were the same as his style, adjusting and readjustment.

"Kai Tai is the earliest department store in Wenzhou, and how to give full play to its advantages is a problem I have been considering for 4 years.

Only by constantly adjusting to adapt to the development of the overall environment is the development strategy.

It is very difficult to open up too much space, and how to increase it in the original position and improve the efficiency. "

Shi Ruirong has always been puzzled by the development.

But in recent years, too many changes are obvious to all: the annual performance is growing, and the superiority of cosmetics is at the forefront of peers.