Behind The Short Boom Of Retail Business, Commercial Street Moves Eastward.

< p > the survey of tourists on Nanjing road coincides with the sales data of department stores.

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According to the data provided by Shanghai commercial information center, in 2012, 55 department stores in Shanghai totaled 30 billion 500 million yuan, down 1.1% from the same period last year, the first negative growth since the 2010 World Expo P.

Of the 55 department stores, 53% of the total sales decreased year by year, of which 23% of the sales fell to two figures.

In the top 20 department stores, 11 enterprises appeared year-on-year decline, of which 4 fell by more than 10%.

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< p > the business circle is divided into groups of people, goods are not competitive, and "fast fashion" takes the place of the department stores. The electricity supplier has a strong impact on changing the consumption pattern. Under the "four sides of the face", in 2013, the prosperous Nanjing road could hardly conceal the declining trend.

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< p > < strong > inquiring < /strong > < /p >.

< p > < strong > the crux of the problem: the diversion of new business circle < /strong > < /p >

< p > over the past 10 years, Shanghai people have only two choices for shopping, either to Nanjing road or to Huaihailu Road.

Now, not only has Xujiahui become a new business circle, but also every community has its own special regional business circle.

Zhongshan Park, Jingan Temple, Lujiazui, the eight hundred partner area, Daning, Dapu bridge, Wujiaochang, southern mall, Xhenzhuang...

Almost every three or four kilometers in Shanghai, a large shopping center can be found.

As a result, the Nanjing road is the only way to visit the "China Business First Street" foreign tourists.

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Li Guoding, director and general manager of Shanghai Friendship Group Inc P, also said that ten years ago, Chinese department stores dominated the whole world. At that time, the consumption demand in the domestic market was strong, and the retail business was scarce.

Today, China's business new formats are booming.

Shopping mall, Oteri J, fast fashion, electricity supplier, franchise store...

The emergence of various commercial formats leads to massive diversion of consumers.

"In Shanghai, there are more than 100 shopping centers already in operation, and 30~40 is expected to open this year.

The shopping mall is a one-stop commercial form that will inevitably divert a large group of people.

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< p > in addition, Qi Xiaozhai, chief research fellow of Shanghai commercial economy research center, believes that the original Nanjing Road Pedestrian Street has always been the first department store and the new world, which has a high popularity in the West and low popularity in the East. But in recent years, with the opening of the younger shopping center in the eastern section and the appearance of the new the Bund after the pformation, the popularity of Nanjing Road business circle is gradually moving from west to East.

The rise of the eastern brand of young fashion centers has directly affected the popularity of the western segment.

Shopping directly from the subway line two "Nanjing East Road" station, around the Henan road section of Nanjing road to the Bund to turn back, has become a lot of young people's route choice.

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< p > < strong > the crux of the problem two: 1000 shops are all sides < /strong > < /p >.

According to the traditional concept, department stores should be all inclusive, P said.

Department stores in the early liberation period even sold toothbrush toothpaste bicycles.

But now, the chain stores of supermarkets and retail appliances appear, allowing the department store to relocate "boutique" and realize rebirth.

But in the past two years, the products are homogeneous and brand overlaps. The department stores have their own characteristics and can not form word of mouth among customers.

Li Guoding also said, "in the past, because of the good management and statements, the existing problems such as" thousand shops, one side, no personality and single marketing mode "have been concealed.

"The mode of joint sale and sale of rented counters and holding points will exist in our department stores and even become a deep-rooted train of thought. If we want to change, we will encounter great difficulties."

Li Guoding said frankly.

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< p > < strong > crux three: fast fashion vampire < /strong > /p >

In the past two years, a significant change has also taken place in Nanjing Road, which is the emergence of more and more P based franchised stores with fast fashion brands.

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< p > Nanjing routing East, FOREVER21 replaced Lao fufu, Hongyi square has GAP, 353 square opened ZARA and Mango, Hualian Commercial building has UNIQLO, and then there are American, ME&CIT, Lining three flagship stores.

The proportion of these fast fashion brands invaded Nanjing road is increasing.

"As a department store operator, you may not necessarily like these fast fashion brand stores to enter their stores.

Because they are like a blood sucking economy, which encroach on a large amount of resources, but can not bring obvious help to the overall operation and grade.

Instead, it will cut off the business structure of shops and disperse the flow of shops.

A department store operator told reporters frankly that fast fashion adoption of replicating products, rapid expansion strategy, there must be new outlets out of the passenger flow will be dispersed.

In the long run, it is not good for the store to develop stable and loyal users.

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< p > < strong > the crux of the problem four: the big shock of the electricity supplier < /strong > < /p >

< p > last December, Wang Jianlin, chairman of Dalian Wanda Group, once set up a "billion dollar gamble" to the former Alibaba [micro-blog] board chairman and CEO Ma Yun [micro-blog]. Gambling is that the traditional retail industry will not be replaced by electricity providers in 10 years.

Up to today, the debate between the two people of Wang Ma still has many fans. But the fact is that the electricity suppliers have been enthusiastic in recent years, and the brilliant data of Taobao Tmall (micro-blog) "double 11" set up 19 billion 100 million yuan sales for a single day.

"I have been in a department store for 30 years, but when I saw the package delivered by my wife and Daughter online at every door of the week, I had to admit that online shopping has become the most common consumption pattern of the people, and it has even become a part of many people's lives."

Ding Hongliang, general manager of Yongan department store, admitted to reporters.

In fact, many department store operators have clearly felt the huge impact of online shopping on traditional consumption concept fees.

"We are very worried that if the traditional retail industry can not keep up with the changes, do not try the electricity supplier, maybe it will be like Kodak, because it can not fail from tradition to innovation."

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< p > an official data has shown that the top position of some veteran retailers is gradually replaced by new retail formats.

The China Chain Store Association recently announced the list of top 100 companies in 2012. Last year, sales of Bailian Group, which topped the list, reached 122 billion 52 million yuan, which was overtaken by Su Ningyun merchants at 124 billion yuan.

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The performance of Taobao P is not on the list, but its profitability is even more alarming.

After the famous "double 11", Alibaba finished 1 trillion yuan in the first 11 months of 2012.

According to this calculation, the total paction volume of Taobao + Tmall accounts for 2% of the total GDP of 51 trillion in 2012.

It is equivalent to the sum of last year's total retail sales of consumer goods in seven provinces of Yunnan, Guizhou, Gansu, Xinjiang, Hainan, Ningxia and Qinghai.

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When the market share of traditional P is eroded, these operators are saddened by the fact that the counters of many department stores have gradually become the "fitting rooms", "consulting stations" and "inspection areas" of online shopping.

This ethnic group is now gradually spreading to "40, 50 and 60".

"Department stores invest huge costs in attracting brands, setting up shops, hiring salesmen, and finally serving online consumption."

Zhang Ren, director of the office of the first department store of Nanjing Road, told reporters that there are more and more customers who come to try, ask and see in department stores.

"Online products are much cheaper than department stores. We are very unwilling, but this is a reality.

In the face of this trend, what our department stores can do is win by quality, integrity and service, and enhance their unique brand strength.

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< p > < strong > opening > /strong > < /p >.

< p > < strong > first medicine > /strong > /p >

< p > < strong > dislocation operation < /strong > < /p >

< p > Luo Faqiang, manager of the first medical store, revealed that under the policy of multi rounds of health care reform, the price of drugs has been declining for two years, especially the price reduction of imported drugs is very large, resulting in a decline in the proportion of Chinese and Western medicines.

And cosmetics marketing, due to the impact of the electricity supplier, revenue fell from the peak to nearly 1/3.

"In this regard, the company actively changes product categories, such as consumers who dare not buy online products at high prices, and expand their layout in the store.

Pilose antler products revenue last year 1.7 yuan, accounting for nearly half of the total revenue in the store.

Luo Faqiang said.

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< p > "our work throughout the year is to constantly make counter adjustments, adjust products, find more products that can be sold, and cater to the changing needs of customers."

Luo Faqiang told reporters that in the first few years, the first medicine also set up a website, hoping to expand marketing revenue through online linkage, but the online purchase license is "dystocia". At present, only shopping does not sell drugs.

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< p > < strong > first food < /strong > /p >

< p > < strong > first hand goods source < /strong > /p >

< p > for this brand new pformation, he was proud and confident in the first 40 years of food, that is, "first food sells more than necessary goods."

Xu said that although buying snacks online is convenient and fast, it can not replace the interaction and professionalism of physical shopping malls.

The first thing that food brings to customers is the sensory experience of "food department stores can also be fashionable and high-end countries are delicious."

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< p > "the homogenization of Nanjing stores is becoming more and more obvious. The first food must break through the shackles and reach the harmony between modern and traditional characteristics."

First, the purchase of imported food by means of "self purchase" is not only unique, but also reduces the cost of circulation channels, and pursues the price of "close to the people" for customers.

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< p > "previously imported food had to go hand in hand to the domestic terminal channels through brand agents, but we were" self mining ", and set up a line of buyers around the world to establish direct links with food producers.

At present, there are more than 600 kinds of imported foods in the first category, which are "self mining", priced at 20% higher than foreign retail prices, including logistics, tariffs, losses and other costs, so in strict sense, the price of first food is not expensive.

At the same time, the first food industry also actively extended the industrial chain, and made its own brand of food sales.

It works with suppliers to ensure quality in raw materials purchasing and tracking products production process to packaging process.

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< p > < strong > Yongan department store < /strong > /p >

< p > < strong > according to local conditions < /strong > < /p >

< p > Yongan is a hundred years old, with brand and word of mouth advantages.

However, due to the old buildings, there are short plates in the housing structure and area. "We want to pform, but the Yongan building area is only 10 thousand and 9 square meters.

Building narrow passages, too many columns, and unable to build large escalators, will definitely not work for the development of an integrated shopping mall.

Ding Hongliang, general manager of Yongan department store, has a clear sense of crisis.

Sustainable development should take the road of characteristic management. The most distinctive feature of Yongan department stores is its architecture.

The European architectural style building, the entrance uses the ai ni type double column, the corner "Qiyun Pavilion" is the Baroque tower, everywhere manifests the old Shanghai's Shanghai style.

"The building of Yongan is beautiful, with detailed interior details, and architecture and history and humanity are unique features of our shop."

Ding Hongliang told reporters that making good use of the advantages of the Yongan building will be the train of thought for the pformation of Yongan department store in the future.

"Combining tourism with department stores is the practice of many famous foreign stores.

As long as we do well, we can not only create a completely different shopping environment for our customers, but also increase their stay time.

It can also attract tourists on the road to the shops and become potential buyers.

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