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    The Overall Recession Of Department Stores Is Inevitable.

    2015/3/13 12:06:00 14

    General Merchandise IndustryMarket SituationMarket Structure

    Some commentators believe that the overall recession of the department stores is inevitable.

    Old laughter generally agrees with this judgement.

    In the first tier cities, such as Wuhan, Nanjing, Hangzhou, Chengdu and so on, the "big beam" has been placed in the shopping center. The number of department stores has been fully overtaken by shopping centers.

    This change is being staged in more three cities, and is expected to soon spread to a more offline city.

    The physical retail market in the future will be the pattern of shopping center playing the leading role, the department store as the supplement, the ole store as a dark horse, all kinds of professional stores, franchised stores and convenience stores.

    Wangfujing department store and new world department store have clearly stated that they no longer have new department stores, and even used the word "go to department stores" in the new year's business plan. At the beginning of the year, Wanda announced that they had closed the Wanda Department Store in 10 Wanda Plaza and reduced the operation area of more than 20 department stores. According to the latest report of the affiliated business network, the 11 new projects launched by Yintai business in 2014 were all Yintai city with large volume, and 8 new projects this year.

    Shopping Mall

    Under the plight of the retail industry, the department store has changed from the "fragrant cakes and potatoes" that it had been competing for to the "God of plague" which is now far away from being afraid of.

    But as Carrefour Global Vice President Tang Jianian said, "no retail format will die", department stores will still have their own survival and development space in the future.

    The judgement of laughing is based on the following points:

    First, despite our country's

    Economic growth

    Still declining, but the trend of China's rise will continue for a long time.

    With the release of the reform dividend, the implementation of the "income doubling plan", and the deepening of economic restructuring and the gradual improvement of the social security system, China's economy will continue to maintain a relatively high growth rate, and domestic demand may drive the main driving force of economic growth.

    PWC's Asian retail and consumer goods industry outlook puts forward that China

    Retail

    The average annual growth rate of sales in the next 2 years is expected to reach 8.7%, which is far ahead of other Asian countries and regions, and will surpass the US in 2018 to become the world's largest retail market.

    Second, most of our department stores are located in the golden section of the core business circle of their cities. The location advantages are excellent, and some mature department stores have stable members.

    Although the electricity supplier has caused a serious impact on the physical store, during the holidays, the flow of some large shops is not uncommon.

    Most department stores have the unique advantages of location and resources, and have the foundation of continuous operation and have the conditions of pformation and pformation.

    Third, no department stores will be left behind. Innovation and change and breakout have become the consensus of department stores.

    With more and more enterprises' bold exploration, bold innovation and bold change, some excellent department stores will surely find new ways to adapt to the new normal situation, new situation and new changes. Just like joining WTO, they will become calm and confident after experiencing a brief panic and hesitation.

    Fourth, in some underdeveloped areas, low level cities, county towns and township markets, there are still some opportunities for department stores.

    In the mature stage of the life cycle, the overall decline of department stores may be unavoidable, but it will not die out, or it may refire.

    Like the United States, people think it will decline again and again, but now it seems obvious that it has ignored its self repair ability. The US economy has already taken the lead in the crisis and resumed growth.

    Who can say that this scene will not be staged in the department store? Once the youth returns, the department store industry is unlikely to return to the "golden ten years", but it will no longer be the old look of the past.


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