Market Research: Niche Change Of Retailers

Paris's Lafayette department store is located in Osman street, a luxury shopping district. Besides the old Buddha's department store (including independent men's clothing and home furnishing), it also has its biggest competitor, the spring department store of another top leading department store. In contrast, the location of Beijing, the older Buddha, is even younger. It has not been able to gather in the eastern part of Beijing, and has left China World Trade Center and Da Wang Road. Instead, it chose Xidan, a traditional shopping place for young people.

This changed the luxurious strategy of old Buddha's department store in other areas and replaced the "fresh and fashionable" route.

They did not replicate the luxurious Byzantine style dome of Paris's Lafayette department store. Instead, they only had many LED screens on the outside walls, and the interior decoration was not as gorgeous as in Paris. Instead, they used the marble and oak Versailles parquet floors to look younger.

There are nearly 500 brands in the department store. There are 30 fashion buyers who are well aware of local consumers in China.

Most brands do not set up shop here alone. In independent designer women's wear area, you can't even see the brand logo. They are only made into a label on the clothes rack. You pick a piece of clothing and try it on until the last thing you notice is the brand.

The 5 storey old Buddha is in fact a huge "fashion buyer shop". Brands no longer serve as the only centers, including Jil Sander and Stella Martney. Only six or seven packages are displayed on one to two containers.

In traditional boutiques,

Shoes are placed under well-designed lights, and consumers buy things like pilgrimages, but in such a shop, plain design will give you more attention to the product itself.

and

The same adjustment was made in the fashion department store in Hongkong. In 2012, when luxury consumption began to drop suddenly, they chose to reopen in Huaihailu Road Times Plaza. In 2012, CEOAndrewKeith said in a media interview that the failure of Lian Crawford was due to its franchising mode. They sold the store to the brand and decided by brand to what they sell in Lane Crawford.

This time, they employed more than 80 fashion buyers, bringing more than 500 brands, including Chinese designer Alexander Wang.

(now Alexander Wang is the design director of the Paris family), and the American brand Alice&Olivia and Mrs. Obama often wear J.Crew, which is the first time that these brands have been brought to China through regular department stores.

But before they came to China, these brands had already had a large number of fans through the Internet.

This phenomenon is changing the business model of department stores in the past. In the past, large shopping malls were still striving for rent free access to first tier brands. Nowadays, big brands are suffering from customer churn. Quality niche brands are becoming the best choice for consumers.