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    Shanghai Cheap Road Pformation Difficulties In High-End Clothing Brand Line

    2011/10/31 10:21:00 24

    Middle And High-End Brand Line Cheap Road Pformation

    "

    cheap road

    We must also pform the high-end. "

    Not long ago, the Shanghai market came to the news that the future Cheap Road business circle will be

    Transformation

    In the middle and high-end line, foreign trade brands will gradually be replaced by independent brands.

    Can the grass-roots image of Cheap Road rooted in the hearts of Shanghai people change successfully? What is the status quo of Cheap Road's operation? What will be the future of the "middle and high end route"? A reporter's survey found that the four and five floors of some commercial buildings including new prosperity and new seven Pu have quietly begun to pform, and there has been a clear stratification in the pattern, rent and marketing mode of low floors and high-rise buildings.

    Cheap Road is no longer the "cheaproad" that used to be a cheap win.


    Layout and passenger flow


    The environment is simple, the passenger flow is big, the cheap is more fun.


    Wei Wei casual wear, brand foreign trade monopoly, lovers wholesale and retail......

    Entering the first floor of the thriving international clothing city in Shanghai, the narrow narrow walkway, the scene of letting customers out of the store, and the straightforward names of the shops that never can be remembered, there is no smell of the bustling market.


    Miss Gu, who lives in Changning District, Shanghai, is a frequent visitor here. Although she lives near Cheap Road, she is used to shopping here every month and checking her ability to bargain.

    "My job does not require me to wear expensive clothes. What I need is cheap but everyday clothes.

    Therefore, Cheap Road is the most suitable place for purchase.

    Miss Gu said.


    Customers are crowded, the air is stuffy, but enthusiasm is high.

    Reporters saw that in this cheap and famous commercial building, the students without fixed income, the smart white collars who searched for magazines, and the aunty aunt of Shanghai, who had bought the cheap aunt of the magazine, had bought "cheap dignity" on this street. To go to Cheap Road for a ride, they brought the pleasure of cheap goods.


    The store is exquisite and casual, relying on the old wholesalers to maintain performance.


    Reporters walked into the new seven Pu clothing market and saw a very different style from the 1 floor of "old prosperity".

    One by one stalls became a well ordered shop, and even a detailed shopping guide map was displayed on each floor.

    Reporters found that such differences in the four floor, the five floor is more obvious.

    No longer selling slogans and yelling, but the theme of the spacious and much more refined decoration, even the shop names are mostly in English and Han Wen.

    Many of the shops on the high floor are independent brands, and the clothes and clothing labels are marked with their own brand names.

    But the relatively high-end floors, the customer is less than the old prosperity of nearly 3/4.

    The reporter stood at a men's clothing store on the five floor for ten minutes, and only two customers patronized the store.

    {page_break}


    Sell "

    Middle and high end

    "Clothing, passenger flow is so small, how profitable shops? Five floor, a private jeans shop owner told reporters that the wholesale flow of large passenger usually around 5:30 in the morning, when the store is often crowded.

    In the afternoon, it is usually a casual visitor, although the passenger flow is low, but the impact is not large.

    Reporters also learned from other shopkeepers that the shops with high floors are mostly old customers.


    Berth rent


    One or two storey shops pfer frequently

    Shop

    The pressure of survival is great.


    "The annual rent is 158 thousand, the property tax is 10 thousand, the margin is 10 thousand, the entry fee is 5300..."

    A shopkeeper of old prosperity told reporters this.

    It is understood that the rent of each store in Cheap Road is different, and it needs to be calculated according to the market place where the store is located. The rent will fluctuate according to the quality of the whole shop every year.

    "The annual rent of the low floors is basically around 140 thousand, which is almost twice that of the previous years.

    But last year and this year's business is obviously not good. I feel like I'm going downhill. "

    The shopkeeper said.

    The reporters also saw that the rental and sublet businesses were full of walls, mostly on the first floor and the two floor.

    "If business is done, why do I have to sublet?"

    A shopkeeper of the main jewelry said.

    "If the funds are not well-off enough, instead of spending more than ten thousand small shops in the first floor of Cheap Road, it is better to send goods to Cheap Road and sell them on Taobao."

    A shopkeeper on the 3 street of Lao Xing told reporters that compared to opening a physical store, being a Taobao seller can avoid the risk of pressing goods.


    The four or five floor is full of rent and high rent.


    "There are still some empty shops on the lower floors. The four and five floors are all rented now."

    The reporter called the market department of the new seven Pu market as a tenant, and now that the rent of the high floor is around 300 thousand, although the price is higher than the low floor, the tenant is in hot pursuit, and the shop is already full.


    It is understood that the rent structure of new seven Pu is also composed of shops rent, property tax, entry fee and margin. Apart from rents, the other prices are not much different from those of low floors.

    According to a senior owner on the four floor, when the building was just operating, many shopkeepers bought shops at around 500 thousand, and then sublet. "Ten years after the shop opened, the annual rent rose from 50 thousand to 100 thousand to 300 thousand now. Some of the shops were even sold to 1 million."

    "If the wholesale cost of your clothes is below 100 yuan, I advise you not to enter the shops on the high floor."

    The staff of the marketing department told reporters that if the rent of high-rise buildings is high, if they do not sell high-end clothing, according to the current business situation, "it is hard to earn any money."

    {page_break}


    Marketing mode


    "Once the price rises, the guests will be gone."


    "Big sale at a loss", "20 yuan in bags and boxes", "jumping off the building sale"...

    Walking into the thriving floor, there are still homemade slogans and advertisements that attract customers by numbers and "cheap sale".

    Although this is the old trick that can not be old, but the effect is enduring, the endless stream of customers is the best proof.


    "People who can scour goods can still get a lot of bargains."

    Xiao Lu, 5 years old, told reporters that in the low floors of several buildings in Cheap Road commercial district, merchants still rely on low prices to attract customers.

    "Some styles may be more expensive than they were in the past few years, but eventually they will sell at a low price."

    Reporters also saw at the scene, leather bags 35 yuan 2, long sleeves 20 yuan 1 pieces, earrings 10 yuan 3 pairs of preferential price everywhere.


    A new shopkeeper on the first floor of the new building told reporters that she had two shops on the first and four floors of the new boom, and the four floor had higher grades, but some of the styles would also be sold downstairs.

    The wholesale price of these styles is the same, but the retail price on the four floor is much higher than that on the first floor, the boss said.

    "The first and two floors of Cheap Road have been fixed, and they can only be sold at a low price.

    Once the price goes up, the guests will be gone.

    The shop owner said.


    Initiative to cooperate with Taobao sellers in multi-channel pformation


    Reporters in the survey found that some high-rise buildings, especially those with their own brands, have quietly pformed to high-end.

    The reporter walked into another shop called QIYU, which mostly consisted of dresses, coats and other women's clothing in autumn and winter.

    Staff told reporters that the shop opened for three years, has been the main leisure wear, starting in May this year, shops began to try to pform, gradually introduced a group of formal style dress, sales effect is very good.

    "Although the rent is more expensive than the downstairs, our clothes are higher than the quality from the style to the quality. Customers come here to see that we are not afraid of making money."

    The staff said.


    Reporters also found in the interview, "closer" cooperation with sellers is also a trend of pformation.

    "Provide free clothes for customers, tile map and free exchange of labels."

    A shop selling casual clothes on the four floor of the new thriving shop posted such notices to attract Taobao sellers.

    According to the staff in the store, the store moved from Lao Xing to less than half a month, and 6 shopkeepers came to cooperate.


    The owner of Taobao, Mr. Zheng, mainly sells sweaters in Cheap Road. He told reporters that as the wholesale cost increased year by year, "finding a good store in Cheap Road is very important for my business."

    {page_break}


    "In order to meet the overall upgrading plan of Suhe Bay area and the planning of Zhabei District commercial" 12th Five-Year ", Cheap Road clothing business district put forward the corresponding upgrading plan.

    In the future, the garment market in Cheap Road will upgrade and pform from market to shopping mall, and become a modern brand trading center. At the same time, shopping environment and surrounding traffic must be upgraded synchronously.

    Gao Yin Lu, manager of the planning department of the new seven Pu clothing market, told reporters that the new seven Pu clothing market, as one of the 12 markets of the pformation plan, is pforming itself into a middle and high end through upgrading the number of independent brands in the market.


    How do we understand the meaning of "middle and high end"? Gao explains that the so-called "high-end" refers to the quality and design sense of clothing reaching the high level in the market.

    "Some of our brands have been sold in shopping malls, and quality and design have made great leaps compared with previous years.

    Now there are even foreign brands coming to the new seven Pu to pick up the goods and then reverse the OEM.

    This is very positive for our products. "

    Said the high manager.


    Of course, the quality and design level, prices will follow changes.

    Senior manager said that the wholesale price of the new clothing market will reach more than 200 yuan for the wholesale clothing consumers.

    "But the clothes we sell here are 200 yuan or 300 yuan, and they are sold in the big stores. The price is 2000 yuan and 3000 yuan.

    The price is not higher than the average price of the market.


    The manager also said that the store rents in recent years have skyrocketed. If the wholesale price is less than 200 yuan, it is difficult for the shopkeeper to make profits.

    "We hope that the proportion of independent brands in the mall will continue to expand, but this is a very long process.

    Products with low wholesale prices will not disappear completely in the short time, but they will be difficult to survive and will be eliminated by the market in the future.


    Sociologist


    It's hard to find another Cheap Road, but the culture will not disappear.


    "The size and size of a market like Cheap Road is hard to find in the centre of the city."

    Lu Xiaowen, a researcher at the Institute of Sociology of the Shanghai Academy of Social Sciences, said that Cheap Road, as a semi spontaneous market with historical origins, has become a popular place for the public at a low price.

    Its pformation is not a voluntary business initiative, but based on administrative planning, which is good for the regional economy. But in the center of the city, it has lost some similar memories of Xiangyang road and Wujiang road.


    However, Lu Xiaowen believes that for a long time, the public's desire to buy goods cheaply will not disappear.

    "Low, medium and high consumption levels will always exist, and different consumer demand will inevitably have corresponding products to meet.

    In the layout of the city, there will be a new place to play the role of Cheap Road, and the culture will not disappear completely. "


     
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