Modern Department Store Xintang Stores Will Soon Close Down Guangzhou Department Store's Cross-Border Expansion And Encounter "Curse" Again.

The Guangzhou department store, which once tried to break the inter regional curse, is now again unavailable. Recently, a reporter from Nandu confirmed that the Nanhai Branch of shinguang department store, which has opened more than two years, has started the plan to evacuate Foshan. Meanwhile, the brand counters of the modern department store in Xintang have basically been withdrawn and the store closed.

It is worth noting that Guangzhou department store in recent years, cross regional expansion and development suffered a series of "acclimatized" failure, including not only the Guangzhou 100 shares, Tianhe City department store and other regional leading enterprises, but also covered the modern and new Guangzhou department store industry's rising star. In particular, the Foshan market has almost become a "forbidden place" for Guangzhou's department stores. Besides Guangzhou friendship store, it is still struggling to support it.

In fact, since 2012, Guang Bai shares and Tianhe City Department store Guangzhou Wangfujing has already identified the location of Foshan new store, and modern department stores are also in close contact with the hope of returning to Foshan market. But now, on the one hand, the impact of the electricity supplier, the pressure brought by the longer incubation time of the new store, the other side is the news of closing the store, which once again cast a shadow and uneasiness on the latecomers. What is the problem of Guangzhou department store? What are the problems facing the cross regional expansion of department stores? Nandu journalists recently interviewed businessmen and insiders to try to find out the answer.

Huang Wenjie (Executive Chairman of the Guangdong Trade Association)

If we do not make changes and enhance the sense of superiority and variety, whether in Foshan or Guangzhou, the development space will become smaller and smaller. Traditional department stores need to abandon tradition.

1., this is a problem of the whole industry. In recent three years, the consumer market is at a low level, coupled with the impact of the electricity supplier, the impact of the department store industry, the impact of the new store is more obvious. After two or three years, it is normal for us not to be able to cultivate mature department stores.

2. their common feature is that they are not in the commercial mature area, but in a partial area. The surrounding population is relatively small, and the fixed consumer group is not enough to support the needs of department stores. Therefore, it is more necessary for the department store itself to have more powerful business characteristics and advantages before it can radiate more distant areas.

3. business characteristics are not enough. If the location is not good, it is necessary to expand the scope of the radiation. Then we need to manage the characteristics and business characteristics from business support, but business support comes from the size of department stores.

4. the scale of the department stores in the whole country is not high enough. Compared with the scale of hundreds of thousands of supermarkets, Department store Basically ten digit numbers. From the national perspective, there are ten scales in Parkson, Yintai and Wangfujing. The size of local department stores in Guangzhou is very small, so the scale advantage is hard to play.

5. Guangdong's department stores, except for the listing of friendship, are concentrated in private sector and are not strong enough in terms of financial strength. And used to separate the counter into cooperative system, not accustomed to buying hands. The former is highly homogenous, and varieties rely on businesses without initiative.

　 Hu Liping (deputy general manager of Xinguang department store)

1. closing the stores in Foshan, on the one hand, because of the pressure of operation, but in less than two years, we have not deviated from all aspects of the budget. The main reason for the closure is due to the adjustment of the owner's position on the future business of the project, from the traditional format of the supermarket and department stores to the cultural industry, which is quite deviated from our passenger flow. In the long run, we gave up.

2. the training of department stores needs market, but there are more and more people who cut cake. Besides, we don't know the consumers well from familiar business circles to strange business circles. The problems encountered by department stores are not only external competition, but also internal disadvantages. For example, we do not have a high degree of self possession of goods, and are not sensitive enough to consumers, so it is difficult to master first-hand information about consumers, so many department stores are now trying to sell their own products. When developing the market, department stores need to be very adaptable, not just goods, but consumer habits.

3., the growth and maturity of a commercial project requires time, place, interests and harmony. The larger the environment is, the easier it is to cultivate the market. The advantage of geographical location is a very important factor. For the entity, the favorable geographical conditions will make it easier for the project to have the function of lifting. Otherwise, even the strongest investment and operation will require more cost and cost.

Dou Huaishan (general manager of China general merchandise department)

1. Foshan has its own characteristics, and the towns are relatively developed. Department store The company did not enter the most central and golden location of the town. For commercial property, location is the primary factor, especially in department stores. If site selection fails to achieve the best results, it will be very hard.

2. Guangzhou department store has a relatively weak capacity to open shop in the field, such as Guang Bai, which is closed in many other stores in the world, and Tianhe City has fewer shops in the field. The department store in Guangzhou was too conservative in the early days to go out very late, and missed the prime time of opening the shop (late 90s of last century). Other department stores, such as Wangfujing, have opened stores earlier in the field, and the property is relatively good. When it is late, it is difficult to choose the best location.