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    O2O Is Not A Panacea For Traditional Department Stores.

    2014/8/7 13:03:00 8

    Traditional Department StoresPanaceaGeneral Merchandise

    < p > in recent years, the "a href=" http://sjfzxm.com/news/index_z.asp "traditional" /a "department store industry has been affected by factors such as the diversion of electricity providers, the increase of operating costs, the tightening of macro-economy and the lack of consumer confidence. The pressure of business has increased year by year, and the signs of" closing shop tides "are obvious.

    According to statistics, the main department stores closed 12 stores in the first half of this year.

    < /p >


    < p > the Ministry of Commerce's survey data of typical enterprises in nearly 1000 stores show that sales in department stores in the 1~5 months of this year increased by only 6.9%, the lowest level in retail formats, far below the growth rate of retail sales of social consumer goods.

    Some department stores in the 1~5 months of this year sales fell two digit year-on-year.

    Although the department store industry has already begun the exploration of pformation, these data indicate that the pformation of the department store industry is not a smooth road.

    < /p >


    < p > < strong > > a href= "http://sjfzxm.com/news/index_z.asp" > traditional < /a > department store industry self confusion: /strong > /p >


    < p > it is understood that at present, most of the department stores in China operate in the form of joint ventures, which are profitable through deduction or royalty, which makes them neglect to cultivate their core competitiveness and rely too much on lots and business circles.

    Promoting self-management and deep joint venture is the direction of many department stores in recent years, and there are many successful cases.

    For example, Andrew department store in Anhui has developed into a regional leading commercial company with 3 department stores, 1 shopping centers and more than 30 supermarket stores and annual sales volume of over 1 billion 300 million yuan from the original county department store. The core driving force lies in its insistence and selection of self operated roads.

    But department stores are easy to operate.

    The director and vice president of Liqun group, di Tong Wei, recently spoke at the Symposium on innovation and development of department stores organized by the Department of circulation development of the Ministry of Commerce. At present, domestic brand self-management almost started from buyout business and agency brand management, and studied and studied various aspects such as brand and brand culture, brand promotion, customer awareness and terminal follow-up in the market, and then started the second step, through the OEM, OEM and other ways to operate its own brand.

    At present, most brands in China are faced with three factors: purchasing buyer team, brand operation team and terminal salesperson team.

    < /p >


    In addition to the need for professional human resources, there is also a huge risk of inventory pressure, such as P.

    According to Chen Liping, director of marketing department, School of business administration, Capital University of Economics and Business, the slogan of letting department stores return to self employment has been shouting for many years in China, but the pformation is faced with multiple obstacles and slow progress.

    Because of long-term inertia, it is difficult for Chinese department stores to abandon the business philosophy of "sales first".

    Moreover, the long-term joint operation has led to the loss of skills in department stores, making it difficult for them to get rid of their dependence on suppliers.

    In addition, the types of products such as household appliances, furniture, household bedding, clothing and so on are increasing day by day, which puts forward higher requirements for self pformation of department stores.

    < /p >


    < p > < strong > < a > href= > http://sjfzxm.com/news/index_z.asp > O2O < /a > is not a panacea > /strong > /p >


    There is no doubt that the P is a huge blow to the traditional department stores.

    It is understood that Tmall last year's "double 11" trading volume is 35 billion 19 million yuan, equivalent to the total sales of Wangfujing and Parkson in 2012.

    The birth of this data has also led to the idea of "touching the net" in the traditional department store industry.

    But the cruel reality is that O2O is not a panacea.

    In recent years, many department stores have been slow to build online shopping centers. Some of them have been built and their operation results are not good enough.

    The case of "touch net" failed in the department store.

    < /p >


    < p > insiders believe that O2O has not yet seen the synergy effect of 1+1=2.

    After all, from the offline trial to the online order chain, the electricity supplier is selling functions, and for traditional brands, it is not enough to sell products on the electronic business platform at low prices.

    Because the online market is still a low price market, brand online price war, it is difficult to implement the same price under the line.

    Under the channel conflict, O2O is impossible.

    < /p >


    < p > it is reported that under the heavy pressure, department stores have embarked on the road of pformation.

    O2O has tried it, and some department stores have even opened WeChat stores.

    New technology, new marketing mode, department store industry is constantly trying, but success depends on performance.

    Under the background of the economic downturn, the difficult pformation department stores must have a long road ahead if they want to see the dawn.

    < /p >

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