Britain'S Foreign Investment Force In Marsha Guan
"We
Flagship store
Of course, we operate as usual, everything is normal, and it should be renovated in the second half of the year. "
At 1 o'clock yesterday afternoon, the Qianjiang Evening News reporter saw at Marks&Spencer Marsha Shanghai Nanjing West Road store that there were only a few scattered customers in the women's clothing area of the shop. The clerk saw the reporter smiling and answered, "closing the shop is just a strategic adjustment. Shanghai is only closing one."
Martha, a well-known British retailer, recently announced that the news of the closure of the store had caused a great deal of confusion. It closed five stores in the Shanghai area by August 2015, with 5 stores in Shanghai, 3 in Suzhou and 1 in Zhejiang Wenzhou.
Among them, Changzhou new North Wanda store and Jiangyang Wanda store in Wuxi have been closed in March 9th, and the other 3 will be closed between March and August.
This news naturally reminiscent of Parkson, whose net profit plunged by 58.4%, has closed at least 7 stores in China, while, which returned to China in 2013, is once again facing a deficit situation. It lost about HK $20 million a year.
Not to mention the Thailand that left Hangzhou last year.
Central Department Store
Foreign department stores in China seem to be a common disease, but the domestic department stores' two years' recession has also exacerbated this trend.
Clothes are not fashionable.
Martha's popularity
In fact, the news of Marsha's adjustment is not surprising because, as early as last April, Marsha reiterated the determination to continue to develop the Chinese market.
Stephen Rayfield, managing director of Greater China, said at the time that the existing store structure was being reassessed, and some two tier shops in second tier cities could be adjusted to prepare for the opening of a new flagship store. Martha,
Meanwhile, this year, Marsha will focus on developing existing flagship stores and central stores in Shanghai, and will enter new markets such as Beijing and Guangzhou to find local partners.
"I sometimes go to Martha, but I usually only love its supermarket, or sit in a cafe."
The 26 year old Shanghai girl, Lina, works in Nanjing West Road. It is also convenient to stroll. "Its supermarket imported food is very good, the price is fair, and there are always some activities, such as weekly selected wine, which is very cheap.
But I simply skipped my clothes. It was too ugly.
A Hangzhou department store personage expressed his comments on Martha: "all of Martha's clothing is private brand, a bit similar to fast fashion, but they have no advantage in price. They are fashionable to fight ZARA and H&M. The style is general and the price is high, and the basic money is not the opponent of the excellent clothing store.
They are expensive, but some of them are relatively good. I have bought 1 pullovers and haven't been washed for 2 years.
But many consumers have no idea about how many times a garment will fold up.
Reporters also saw in the shop that a similar dress was 549 yuan, but the design of "slightly old-fashioned" was hard to win the hearts of young people.
The clothing area of the whole shop is more like a supermarket, and its color is bleak.
"In fact, we have always regarded ourselves as a" quality British lifestyle retailer ", not a traditional department store.
Last night, MATHA, the British responsible person, received an email interview from the Qianjiang Evening News reporter. "We have actually made changes for consumers in Asia and China, such as the 6 week new model, and the" charming "series, which is built for Asian people.
But this change takes time.
Besides, in the Tmall mall, women's clothing is the top 10 international brand, and has been recognized by Chinese consumers.
In the face of reporters "when the first floor of women's clothing can not lead to popularity, and how to lead the flow of people upstairs?"
When asked, the other side replied, "so we plan to refurbish the flagship store in Shanghai this year and adjust the pattern."
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Location and location, pain of foreign department stores
Retail chiefs do not follow the custom of going to the countryside.
As of the first half of August 31, 2014, the Hongkong I.T group showed that the loss of the Beijing laowaye store joint venture between I.T and Lao Buddha continued to expand, up to HK $20 million.
The store was officially put into operation in October 2013 and has lost HK $10 million 700 thousand in the 5 months of February 28, 2014.
As early as 1997, Lord Buddha once opened a shop on a side street near Wangfujing, Beijing (21.39, 0.00, 0.00%), but the shop lasted only a year due to losses.
"The biggest problem this time is the site selection. Lord Buddha is a high-end department store, but in Xidan, most consumers in Xidan do not have such spending power."
An industry insider said, "moreover, Xidan's traffic jams, parking inconvenience, plus today's traditional department stores began shopping center, and old Buddha is a traditional department store form."
But last year, Hangzhou's Shang Tai Department Store encountered many problems.
"At that time, some insiders suggested that we change the positioning of the Hangzhou store and introduce more young designer brand ZEN into Hangzhou. In fact, when the Thai team formed a Chinese team, it had already made market investigation and made decisions, and we could only execute it."
The person in charge of Shang Tai Department told the Qianjiang Evening News reporter that "Shang Taixian settled in Hangzhou needs to have a deep understanding of the preferences of consumers in this city.
For example, many of our brand shops are like counters, which originally wanted to create a free atmosphere for consumers. But in fact, consumers seem to prefer shop outlets.
In order to maintain the characteristics, we have introduced some new brands besides private brands, but consumers do not know and do not sell accounts.
In addition, Hangzhou's business war is fierce, and the activity of reducing activity is very large. We don't really want to use such a way; the exposure rate of Hangzhou shopping malls in the media is very high.
Perhaps Shang Tai's dominance in Thailand's retail industry has underestimated the problems that the new market may encounter.
Will traditional department stores disappear?
Large population countries give opportunities for pformation of department stores.
Do you feel sad about foreign department stores?
In fact, in the context of the impact of the electricity supplier and the economic downturn, the domestic department store industry has been declining.
For example, in 2013, the profit growth of 41 listed companies in the Department Store showed a single digit growth, which has never happened before, and nearly 1/3 of the profits of the listed companies have not increased.
Foreign department stores are more vulnerable.
"The mass department store industry has been greatly reduced because of the influence of the electricity supplier. I personally believe that in the long run,
Unified department store
Die out, because the goods you sell can be bought online.
High end department stores are facing the problem of consumption upgrading. Many people regard high-end department stores as family gatherings and social places.
Consumers prefer buying products to experiencing patterns, they try them in stores, and then place orders through mobile devices.
Zhou Ting, President of Qian Bao think tank and President of the Institute of wealth and quality research, said in an interview with the Qianjiang Evening News reporter: "now the new department stores will be very difficult to enter the market. First of all, it is difficult to attract investment. Many traditional big brands basically do not have a plan to open stores, and some are even reducing shops. Secondly, the cooperation with big brands is too high."
In the view of Zhou Ting, foreign customers don't know how to do marketing in China, nor are they willing to do brand promotion.
"In the United States, some large shopping malls are fast becoming" ghost cities ", and the advantage of the Chinese market is that the population is large. The consumption of these people can delay the demise of traditional department stores and give everyone enough time to upgrade and pform.
Zhou Ting said.
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