Changes In Retail Formats Lead To Channel Changes And Changes In Commodity Operation Mode

2013 clothing Changing the industry channel is a popular proposition. The retail environment has changed and business models have changed. Faced with such an environment, enterprises in all aspects of the apparel industry chain are actively coping with how to adapt to changes and how to move forward in the changes. This has become a problem that enterprises in the garment industry must consider in 2013.

Changes in retail formats lead to channel change

For a long time, the department store industry is the main channel of traditional clothing brand enterprises, and played an important role in the 30 years of the development of China's clothing brand. Nowadays, the development of the leading enterprises in the clothing industry is inseparable from the support of department stores. At that time, the department store industry had a strong role in the clothing industry, and the influence on the clothing brand enterprises was also great. Meanwhile, the revenue of the general merchandise industry was also increasing every year.

The time has entered a great change in 2013. In mid August, the semi annual report of the general merchandise industry began to release. The factors such as economic slowdown, rising cost, sluggish consumption and the impact of the electricity supplier, the department store industry is going through a difficult period, the digit growth of business income, the low level of net profit and gross profit margin, and the department store industry is in a downturn. We will take a look out. The United States now has more than 200 shopping malls covering an area of over 250 thousand square feet, but the vacancy rate has exceeded 35%. China's retail industry is also stepping up in the US. In 2012, the growth rate of China's large retail enterprises fell to less than 10%, while the growth rate in 2011 was 20%. WAL-MART, Gome, Wan de Cheng and many other retail giants were closing up. Foreign capital was particularly serious, and some retailers were forced to spend the winter by real estate and group finance. In January 2013, the retail sales of 50 key large retail enterprises decreased by 12% compared to the same period last year.

The growing dilemma of traditional retailers is the rise of e-commerce. Over the past few years, Internet retailing has been developing rapidly. The global Internet information service provider ComScore 2012 annual research report shows that 40% of respondents prefer to shop online to view products, and purchase plans are online. The sharp rise in Internet related retail sales shows that e-commerce has great potential for sales. According to statistics from the survey institutions, consumption in 2013 will account for 51% of the total sales in the United States, and will reach 53% of the total sales in the United States in 2014. China's online retail market is also showing rapid growth. It is estimated that in 2013, the scale of China's online retail market will reach 1 trillion and 568 billion 890 million yuan, with a growth rate of 32.5%. Online shopping is expected to reach at least 25510 billion yuan in 2015, accounting for 8.6% of the total retail sales of consumer goods.

The decline of department stores has led many of the former department stores and commercial real estate to find a way out of their predicament. Turning to SHOPPING MALL is the choice of many department stores. The shopping center mode of comprehensive consumer business, which integrates food, drink, play, music and department stores, becomes the choice of many commercial real estate. In a recent interview with a middle-level Cade crystal chain business, the reporter got the message: SHOPPING MALL is the hottest restaurant now, and the cinema also brings a lot of passenger flow to MALL, but department stores are still struggling in the shopping mall. In 2012, many shopping centers diverged from their main department stores. Zhongyu Chaoyang Joy City and main shop Yong Wang Department store. AEON department store has more than 20 thousand square meters of business area and more than 100 international fashion brands. However, it did not win the nostalgia for Chaoyang Joy City. In Guangzhou Zhonghua Plaza, many collection shops of fashion brands were introduced, and the Chinese department stores of main department stores were retreated. Such cases were not uncommon in 2012.

As another rising business format, multi brand integration store is also the new favorite of garment industry channel. The brand integration shop is the predecessor of the product assembly shop and the product franchise store. Now the brand integration store is the brand operation of the same type of different products, and the brands with different needs and levels are concentrated in the same store. The appearance of top quality products and the rapid marketing of convenience goods are the main forms of management in the era of taste. They enjoy the satisfaction of the brand while experiencing the product consumption, and experience the comprehensive marketing service of the brand to the customers. The brand integration shop is the inevitable product of the development of the store management mode to a certain stage, and it is mainly the manifestation of the deep operation of the multi brand strategy of the enterprise.

Department stores, electricity suppliers, SHOPPING MALL and brand integration stores have become the inevitable choice of channel selection for garment enterprises, except for a small number of low prices. Brand clothing The choice of business super market and wholesale market almost covers all channels of brand enterprises. The channel choice of brand clothing is mostly one or several combinations, and how to choose is different according to brand positioning and its own conditions.

Changes in consumer behavior lead to changes in commodity operation mode

"It turns out that Chinese consumers are an elusive target group", which is an evaluation of the Chinese consumer market published by the McKinsey Quarterly in late 2012. The McKinsey Quarterly has interviews with about 5000 consumers living in cities and towns of different sizes, belonging to different income levels, ages and regions every year. The survey items are divided into two parts: one is the influence of brand on consumers' purchase decision; the other two is what other factors will affect consumers' purchasing decisions. In this survey, it is hard for Americans to understand Chinese consumers.

Today, the consumption market in China has changed greatly over the past 10 years. The main reason is that the new generation of consumer groups has gradually grown into the main consumer group, leading the consumption trend. Solomon, a famous American consumer behaviorist, said: "many lifestyles that change consumer behavior are driven by young consumers. They constantly redefine what is the hottest and what is not."

Today, 80 and 90% of China's market become the main group of Chinese consumption. Studying the consumption psychology and behavior of the group of young consumers after 80 and 90 becomes a necessary way for clothing brand to surpass competitors.

In the past studies, 90 million of the post-80s generation in China showed that they grew up in the vigorous development of commodity culture, the emergence of the Internet and e-commerce, and the adaptability to modern high-tech life. The post-80s generation has been accustomed to movie and TV language and Internet language since childhood.

Most of the post-80s consumers prefer products with unique personality and unique style. They hate to stick to rules, like changeable, stimulating and innovative ways of life. They like new products, but loyalty is generally not high. They are accustomed to exchange all kinds of brands. Because they grew up in the immersion of mass advertisements, and were surrounded by products and all kinds of information. But they also believe in their own feelings and judgments. They also use search tools to find answers. As a consumer pioneer in many consumer fields, the post-80s generation pays more attention to quality. They pursue fashion and advocate individuality. Price is not the primary factor for the generation after 80 generations. They have a strong consumption impulse.

Compared with the mature 80's, the values, aesthetics and consumption outlook of the post-90s are very different. These characteristics make many businesses unable to feel their brains. After 90, they are emotional generation, and they are also the generation of "watching mood". The 90's is a self centred generation. After 90's, "good" and "bad" are totally "my site I make decisions", and their perceptual knowledge of commodities is far more than rational knowledge. If you want to get a good impression after 90, do not let them "move", but to give them "excitement". After 90 years of consumption, they can experience "very" and "unusual" feelings.

After analyzing the two major groups that have completed the mainstream selling expenses, we find that the common consumption preferences of the two consumer groups are personalized consumption and Internet consumption. This can be understood why in today's clothing brand channels, why e-commerce and personalized brand integrated stores and large and full consumption mode MALL will become popular, and also understand that the short board of department stores lies in the management of thousands of people and the service without outstanding personality.

Faced with such changes in consumption demand, the department stores are also actively coping with the problem. Buying hands has become one of the solutions for changing the department stores. In 2013, in the forum held by the general merchandise business association, the buyer became a forum discussion topic. The department store industry must get rid of the situation of thousands of people and change its business mode. "Buying system" is actually a buyout business, which is a common way for foreign department stores, "said Yao Xiaoyun, a well-known domestic buyer expert." the emergence of Chinese "buyers" is because China's retail economy is developed, and consumer demand is diversified and personalized. Even if there is no electricity supplier's impact, the homogenization of the department store industry will not go down, and the electricity supplier only accelerates the change of channel competition and consumption pattern.

Yao Xiaoyun also said that strong brand control is also a great advantage of the "buying system". Shopping malls can rely on "buyers" to create some own brands, which can well meet the individual needs of some specific consumers, and also create a differentiated department store industry. In the "buying system", the buyer directly purchases from suppliers, thus eliminating all kinds of agency links in the pool mode, reducing the cost and selling profits. This is undoubtedly a spring rain after a long drought for today's department stores, which have a net profit of less than 5%. But the buyer system is also a high-risk way of operation, because the buyer once bought the goods is not suitable for consumption needs, shopping malls need to bear the risk of not going out. At this stage, China's department stores are still trying to buy the system.

For high risk and high return buyers, the attitude of most department stores is that even if they are very tired, they must take this step, otherwise they will never be competitive and eventually be eliminated by the market.

In e-commerce and multi brand integrated stores, the buyer system has become the basic operation mode of many brands, and the buying system has played an important role in the rise of these two channel modes.

The buyer system as a fashion channel solution is still very young in China, and therefore, the buyers have become the bottleneck restricting the development of the buying system. As the founder of the advanced training class of fashion buyer and commodity management in Beijing Institute Of Fashion Technology, Yao Xiaoyun has his own opinion on the training of buyer talents. "Buying system has only entered a few years in China, and therefore, buyers are always the shortage talents in the garment industry. It is very difficult for an enterprise to find an experienced buyer and a good buyer in the market. We founded the advanced training class of fashion buyer and merchandise management in Beijing Institute Of Fashion Technology. We are seeing the demand of the development of the garment industry. We also hope to provide more buyers for the industry. Yao Xiaoyun also talked about the fact that the buyer is a practical and skilled person, and the teachers in the North fashion buyer and the advanced management training class are all first-rate professionals in the field of clothing. They teach the methods and skills that are being used and will be developed in the first line, which can bring good practical results to the trainees and pave the way for the trainees to buy buyers in the future.

Yao Xiaoyun also said that the advanced training class of northern fashion buyer and commodity management is not only the teaching of skills and skills, but also the practical part of the course. The real operation section has been running through the course. It has divided students into groups to carry out practical exercises, simulated purchase budgets, simulated physical orders, simulated sales data analysis, and so on, so that students can truly feel the problems and solutions faced by buyers. "Judging from the learning effect of the feedback from the current buyer trainees, many of the serving students have greatly promoted their positions after returning to work, and the improvement of their working ability has been affirmed by the superiors of their enterprises. Some of the students who were originally non clothing backgrounds entered the garment industry during their study and after studying, and began to work in buyer's hands. Yao Xiaoyun said when he talked about the feedback from the buyer class. For the buyer system that is developing in China's garment industry, it will definitely play a positive role in the development of the industry.

Is the buying system the best solution to solve the problem of channel change? The answer remains to be proven by time, but no matter how it is, the buyer system is a very important solution for the channel, and will play a more important role in the garment industry in China with the development of the channel.