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    Interpretation Of A New Business Model For Luxury Stores

    2014/10/3 19:57:00 30

    LuxuryBusinessOperation

    Many people think that buying big cards is going to stores. In fact, in order to satisfy people's demand for luxury shopping, Luxury goods The model of integrated stores appeared in Europe in the 60s of last century. Luxury integration store is one of the direct selling platform. It is intended to highlight the concept of brand integration. It is a concentrated display of all kinds of products under the brand, and sales of different products that are suitable for a variety of consumer needs are concentrated in the same area. It can not only satisfy consumers' changing demand for high end shopping, but also make full use and integration of resources of enterprises and brands so as to maximize market profits.

    At the same time, commercial real estate developers have also racked their brains into introducing their "luxury integration store" into their own projects. On the one hand, the "luxury integrated store" has improved the brand value of commercial real estate projects, and promoted the appreciation of land prices; on the other hand, it has intensified the focus of luxury goods, attracted more high-end brands to stay in, and improved the retail performance.

    The "decoration subsidy" and "purchase" mode of operation have become the past tense.

    For most of the luxury stores, business For real estate developers, the biggest bottleneck encountered at this stage is: under the impact of Internet commerce, the operation of physical stores is generally declining, with no investment in return, and the operating cost is much higher than that of sales revenue, resulting in a number of "luxury stores" closing. After tracing the origin of the "luxury integration store" by commercial real estate developers, they neglect operation and management.

    Industry veteran pointed out that most of the "luxury stores" at present. Operate The pattern is nothing more than the "decoration subsidy" mode and the "purchase" mode. The so-called "decoration subsidy" mode, as the name implies, is that commercial real estate developers throw "olive branches" into the "luxury goods integration shop" to attract the entry of a "luxury integration shop" and provide them with subsidies of tens of thousands of yuan per square meter, while the "purchase" mode is even simpler, that is, the "luxury goods integration shop". All luxury brands in the physical store can only be imported through the integrated store.

    In fact, the above two modes of introduction "simple and crude" can be "temporary prosperity", but not a permanent solution. According to the survey, part of the "luxury integration shop" is only careful to think about the decoration subsidy when it enters the commercial real estate. Although the surface is on the banner of a quality integrated store, it is essentially just doing some superficial work, drawing on the gourd, or even having a deep understanding of the operation of "luxury integrated store", which can not guarantee profits at all, which is a fatal problem for commercial developers. The real estate business has paid a high price to introduce the "luxury goods integration store", but it can not bring substantial value promotion to its own projects. In addition, some commercial real estate feel that the form of "decoration subsidy" does not have a "good purchase". The result is that they buy a pile of stock products, but lack the operation of professional teams, and the pressure of operation will be infinite.

    In terms of supply, though most of the luxury goods stores call themselves luxury goods from abroad, they are in sync with Europe and the United States. However, according to industry sources, many "luxury stores" have different sources of supply, and some may even just buy discounts, over season and "container goods" directly from Europe outlets, that is, the goods that are taken directly from European T, including many defective products. Some of the "luxury goods integration stores" do not have enough supply channels abroad, unable to represent enough high-end brands. In order to deceive commercial developers with less and more money, they buy some goods with high discount. This part of the goods is only 5%-10% lower than the counter in the actual price tag. Even more, desperate to do high imitation products, purchase of second-hand source and so on.

    Whether the motives are impure or the goods are not pure, for the commercial real estate developers, such luxury stores will only reduce the value of the projects. Not only does it lose money, it is more likely that the shopping experience is too bad, causing consumers' dissatisfaction, resulting in irreparable damage and loss.

    In order to solve the hesitation and worry of the commercial real estate developers in introducing the "luxury integrated store", a new introduction mode has attracted the attention of the industry, that is, the service oriented business profit model. Jiang Guohao, President of Cci Capital Ltd in Shangdu, Shanghai, said that the mode of entering the commercial real estate should have a completely new interpretation. The old way of entry has become the past, service oriented, and will become the main spin of the future luxury store.

    All the products run by ELL in Shanghai Shangdu Cci Capital Ltd are all new products in season, which are essentially different from those in the domestic market. In terms of management, the ELL brand is guaranteed to purchase more than 5 million of the first purchase amount, and the customers who purchase more than 20 million of the annual purchase amount guarantee that at least 10 more international first-line brands are settled, and the ownership of the shop belongs to the investor. Secondly, ELL will also provide legitimate brand management authorization, free use of "ELL famous brand" integrated product store, free shop floor design, decoration guidance, advertising, marketing and other operational support, and the senior manager will be assigned to lead a professional management team responsible for shop operation.

    Jiang Guohao said that many countries, including China, are becoming an emerging market for luxury consumption. How to marketing consumers in emerging markets is a difficult problem. To this end, luxury brand marketing must keep pace with the times and integrate excellent ideas. The ELL brand will be online in the store, providing professional buyer team, operation team and service team to ensure that the style of goods is truly synchronized with the European and American markets, and enable customers to enjoy good service in the purchase process and comfortable shopping experience inside the shop.

    How can commercial real estate choose luxury integrated stores?

    Luxury goods market has always been a favorite in the big consumer market. For commercial real estate developers, how to choose high quality and integrity "luxury integration store" to maximize the value of its commercial real estate projects has become a hot topic in the industry.

    As an insider, Jiang Guohao put forward some personal opinions. In the process of screening, the most important thing is that the "luxury integration shop" must have the agency or sale right of the brand, so as to ensure the legality of sales, that is, every luxury must have the most pure "blood". Second, we need to see the ordering ability of the "luxury integration shop" and the experience and strength of the professional buyer team. Only by fully understanding the market demand and fashion trend can we ensure that the selected products have market competitiveness and ensure the profitability of each single store. Third, it depends on the management and operation capabilities of the "luxury integration store" team, the output of professional store management system, operation system and training system, so as to ensure that each single store is the most professional, effective and fast brand image, and becomes the real "luxury integration store" that matches the brand and service. Fourth, we must ensure the ability and speed of logistics, customs declaration and commodity inspection. Finally, we need to look at the creative layout and marketing plan of the "luxury integration store" to ensure its impact on the market and profitability. Without these elements, integrated stores can not bring any value enhancement to commercial real estate, and become a "sink shop" for opening a business.

    Jiang Guohao said that when foreign brands operate in Europe, they will see the market as a whole and use the same strategy to develop, but in China, such lazy mode will not work. The success of ELL is mainly determined by four aspects. First, all the products in the store are truly synchronized with the European and American styles. Clear positioning of target customers - not only love the brand, but also have a high-end audience with independent views on fashion. Second, we should regard customers as "one family" and strive to do well in sales, so as to bring value improvements to both companies and customers to achieve a win-win situation. Third, all goods have legitimate authorization and customs clearance procedures, consumers can feel relieved and comfortable shopping. Fourth, rely on the huge channel advantage to enhance purchasing capacity, reduce the price of goods with a large number of purchases, and have obvious price advantages in similar shops.


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