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    How Much Joy And Sorrow Are There In Department Store O2O?

    2014/3/23 0:22:00 12

    Department StoreFightO2O

    China Department store The continued weakness of the industry is an indisputable fact. In the face of the impact of the Internet wave, rent and labor costs continue to rise, as well as the constraints of operation and management system and other unfavorable factors, even among the elite listed companies, there are many dismal department stores. It is in this predicament that the department store industry has begun to transform all kinds of channels including shopping centers, adjusting business formats, O2O touches, and expanding upstream and downstream industries.


    Du Yanhong, a retail researcher at CIC, said that the most important concern in the transformation of department stores is the development of O2O mode. In the transformation of O2O, Tianhong shopping center took the lead in starting up, and the company joined Tencent WeChat to build the rainbow application platform. Following the Tianhong shopping mall, other traditional retail businesses are also very active in O2O. For example, Haining leather city joined hands with Zhejiang industrial and commercial bank to launch an electronic business platform, and Hangzhou Hangzhou Tower launched WeChat's marketing and trial water O2O mode. In addition, other department stores also said they would launch their own O2O mode.


    In fact, O2O is looking for it online. consumption Then, take them to the real stores, integrate the offline business opportunities with the Internet, make the Internet a channel and medium for acquiring customers, and even complete consumer transactions. With the acceleration of popularity of smart phones, mobile phones have become the main channel for people to get information, entertainment and social interaction. The booming development of mobile shopping is also overwhelming. Compared with the department store, the other industries have already popularized the O2O mode.


    In the development of e-commerce in China, O2O is not a novelty. As long as Ctrip was listed on Nasdaq, China has pushed its O2O model to the world. Online Ctrip offers a full range of travel information for hundreds of scenic spots and tens of thousands of scenic spots around the world for food, clothing, housing, transportation, shopping and so on.


    Overall, if the O2O mode works properly, it will achieve the "triple win" effect. For local businesses, the O2O mode requires consumers to pay the website, and payment information will become a channel for businesses to understand consumers' shopping information, so as to facilitate consumers to collect data from consumers and achieve precise marketing, so as to better maintain and expand customers. Customers who increase through online resources will not bring too much cost to merchants, but will bring more profits. In addition, the O2O mode has reduced the business's dependence on the location of the shops to a certain extent, and reduced the cost of rent. For consumers, O2O provides rich, comprehensive and timely discount information, which can quickly screen and order suitable goods or services, and the price is substantial. For service providers, the O2O mode can bring large scale and high viscosity consumers, and thus win more business resources. Mastering the huge consumer data resources and the highly localized vertical website can also provide other value-added services to merchants with the help of O2O mode.


    When the traditional department stores face the impact of the Internet, the first thing they think of is joining the existing ones. Online retailers In the platform, we will find that the actual benefits brought by these platforms are not as high as expected, and may also have a negative impact on the brand. Therefore, many enterprises jump out to do their own online business. At this time, enterprises should pay special attention to the importance of the same importance between offline and online. In the process of moving towards O2O, how can traditional enterprises take advantage of their own advantages to break through point by point and directly affect their future development.


    Guo Fanli, director of investment research at CIC, pointed out that although the development of O2O in department stores is thriving, the cooperation between Tencent and Alibaba, the two fast payment operator giants and retail department stores, is also constantly upgrading. Now Ali starts from Yintai department store of "Iron Man", and then takes a number of offline retail giants such as Wangfujing, Yintai business, new world, Hualian, Joy City and so on. Tencent relies on WeChat to ride a super strong single soldier, leading many department stores to "upper body". Besides the Tianhong shopping center, Wangfujing and Shanghai new world, the relevant WeChat concept stores also start to stir up trouble. But recently, the central bank has ordered the policy bar to pay for the "two-dimensional code", which has brought certain obstacles to the development of O2O in department stores. In addition, the completion of two-dimensional code payment is a complex chain. For large department stores, the first thing is to persuade commodity suppliers to transform "barcode" into "two-dimensional code", that is to say, commodity suppliers have to invest funds and manpower, replace packaging lines, build two-dimensional code database, and so on. This is already a huge project. Then, department stores themselves have to set up a database, replace and adjust the cash register system, then connect with Alipay and WeChat backstage to carry out sweeping code payment. Commodity information flow is difficult to build and become a department store. O2O The "stumbling block" of transformation.

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