Department Store Industry Trend Is Declining, Transformation O2O Adjust The Number Of Stores Into A Trend

　　 24 benchmarking department stores:

Total revenue 85 billion 400 million average year-on-year decline of 4.14%

According to the statistics of reporters, including Wangfujing Department store The 24 benchmark department stores, including Yintai department store, Tianhong Department store, Shandong Ginza, Guang Bai department store and so on, had a total revenue of 85 billion 389 million yuan in the first half of this year, with an average revenue of 3 billion 558 million yuan per enterprise. However, the largest business group with revenue ranked first, half a year's business income has been broken ten billion, while the annual treasure store at the end of the ranking is only 641 million yuan, and the two are separated from each other, showing a trend of differentiation in the department store industry.

In the first half of this year, the top three of the list of business income were big business group, Wangfujing department store and Zhong Bai department store. According to DAC's first half performance report, the total business income of DAC group was 16 billion 996 million yuan, a decrease of 3.26% over the same period last year. Among them, the department store of Tai Shang Group has a revenue of 10 billion 158 million yuan, accounting for 59.77% of the total group revenue. Wangfujing department store's revenue in the first half of the year was 9 billion 433 million yuan, down 5.97% compared to the same period last year, and the revenue of China 100 department store was 8 billion 753 million yuan, up 1.03% from the same period last year.

Compared with the first half of 2013, the total revenue of 24 department stores decreased by an average of 4.14% over the same period last year. The net profit figures are even more astonished. In the 16 effective corporate data, the net profit average is only 252 million yuan, down 19% compared with the same period last year, of which, Hangzhou's hundred and century's gold fell 43.4% and 49.59% respectively.

There is no doubt that a great change of industry structure is in progress. How to save oneself in this lost gambling business has become a difficult problem in the development of department stores.

　　 How to find a way out:

Build O2O platform, self-reliance brand, department store shopping Centralization ?

Under the impact of increasing cost, changing consumer habits and intensifying competition in the industry, building O2O platform, self-supporting brand and department store shopping center become the main way of self rescue in department stores.

In the mid-term report, the new world department store will expand its O2O marketing model and conduct in-depth cooperation with well-known e-commerce providers in such aspects as member recruitment and online payment. On the other hand, it will continue to increase the paving of Wi-Fi equipment in the branch store, and plan to restructure the existing mall platform for mobile devices, and to set up large electronic "shopping walls" in the store for online shopping. And Guang Bai department store is also studying and formulating the implementation plan of O2O application to promote the on-line and systematic improvement of Guang Bai Hui platform.

Shandong Yintai launched the "Yintai Bao" membership service in March this year, attracting more than 5 million 400 thousand users in June 30th, and will further explore online and offline services. Wangfujing department also said that it will use WeChat service number, APP and other new media and new technologies, aiming at the characteristics of different customer groups, through the cultural push, interactive activities, commodity buying, store navigation and other functions to create the concept of circle group, to achieve precise marketing under the whole channel. In the construction of the whole channel, virtual shelves, virtual counters, sweeping code purchase, Wangfujing APP, Wangfujing WeChat, cloud shop, Wangfujing online shopping mall and mobile mall are building steadily.

Self supporting brand or alliance with brand is also one of the newest highlights of department stores. In March last year, the new world department store launched its own brand LOL original life concept store, buying the global creative life boutique by buying the business mode. At present, the number of LOL stores has increased to 12, and plans to increase the number of LOL stores to about 20 in 2015.

Parkson has launched a series of initiatives to build a successful brand portfolio that can assist department stores, and launched its first brand cooperation with the famous international fashion group MANGO, and opened its first MANGO flagship store in Shanghai in the first half of this year while taking over MANGO stores in several Chinese cities.

In addition, the strategy of "department store shopping center" implemented by Maui international is also worthy of attention. It is understood that Maui international will continue to compress the business area of department stores and increase the comprehensive services such as leisure and catering. "Huaqiang North store in Shenzhen is upgrading comprehensively and introducing more light luxury brands. Chongqing Jiangbei store and Zibo maiye world store have further optimized the layout and structure of the floor. In addition, Chengdu Chun Xi shop, which was recovered last year, has begun to upgrade the hardware facilities in all directions, step by step and step by step, and will appear in the gateway area of Chengdu's core business circle with a new look.

　　 Future expansion strategy:

Close down, Buy New opening and upgrading become key words.

In July, Wangfujing department store in Zhanjiang stopped operating abroad. No doubt tripped the Wangfujing department store. For the future development plan, Wangfujing said, "the preparatory work for Wangfujing in Jiaozuo continues to advance steadily, and it is expected to open in the second half of 2014. Luoyang Wangfujing shopping center and Leshan Wangfujing shopping center are entering the preparatory period and are expected to open in the first half of 2015.

　　 New world department store There are 41 department stores and two shopping malls, of which 39 are private stores and 4 are management shops. In the first half of this year, the new world department store completed the acquisition of Shanghai Hongxin Fashion Plaza and Hongkong new world department store, Shanghai Paris spring Wujiaochang store. In addition, it opened a private store in Yantai, Shandong, Yantai new world department store.

"The company will open the 118 Shanghai project in Putuo District, Shanghai in 2015, with a total floor area of 62600 square meters. In addition, in 2016, a new life hall will be opened in Hengyang, Hunan Province, with a total floor area of 42200 square meters. The expansion project of Nanjing Street store two phase project is expected to be completed in 2016, with a total floor area of 25400 square meters. The Nanjing Street store phase I project is being rebuilt and is expected to be reopened in 2017 with a total floor area of 26300 square metres. In 2016, the layout of the North China region will be expanded, and a management shop with a total floor area of 40000 square meters will be opened in Jiamusi, Heilongjiang. " New world department stores pointed out in the report.

According to the reporter's understanding, Tianhong Shopping Center opened 3 new stores in the first half of the year, namely, in June 7th, the new rainbow in Bantian, Shenzhen; in June 19th, Shennan store in Shenzhen, and opened the Hangzhou Tianhong shopping center in June 27th, the second shopping center in East China and the first shopping center in East China. In May 31st, Tianhong terminated the partnership between Fujian and Yongan.

As of June 30, 2014, there were 60 "Tianhong" brand Direct stores, 1 franchised stores, with an area of about 170 square meters, and 3 stores with "Jun Shang" brand direct shops, with a business area of about 130 thousand square meters. In addition, in July 16, 2014, the shopping center of Ji'an in Jiangxi officially opened. At that time, there were a total of 3 shopping centers in Tianhong, and in August 8, 2014, Huizhou Tianhong officially upgraded to the Huizhou store of Jun Shang department, becoming the fourth direct store of the company. In August 21, 2014, the new pine and cypress rainbow was opened in Shenzhen.

In the first half of 2014, Shandong Ginza opened 6 stores in Tai'an, Zibo, Binzhou and Weifang. Among them, the acquisition of Linqu Huaxing mall opened 3 new stores. Its stores covered 12 cities in Shandong province and Shijiazhuang and Baoding in Hebei Province, and the total number of stores reached 98.

In addition, Guang Bai department store has carried out property upgrading and operation adjustment for 10 stores inside and outside Guangzhou.

"From the performance data of department stores in the first half of this year and the future development plan, most businesses have shrunk. In order to change the pattern of 1000 stores, many enterprises have tried O2O, upgrading existing stores, and the newly opened stores in the future are mostly located in the two or three line cities. At present, China's general merchandise industry is like a maze, and it will find vitality in this structural change. " Analysts pointed out.