Shang Tai Department Stores Must Withdraw From China.

Shang Tai Department Store from Thailand is preparing to close its last store in China, the Mixc store, Chengdu department store.

In June 2nd, Chengdu the Mixc store, a department store of Shang Tai, issued a notice to close its store on its WeChat public account.

The announcement said the store will be officially closed on August 31, 2015.

This is the last store of Shang Tai Department Store in China, which means that the Department Store from Thailand can't play the Chinese market thoroughly.

Public information shows that Shang Tai Department store belongs to the Thailand Central Retail Group, which has two brands of Shang Tai (Central) and Robinson department stores.

Shang Tai belongs to the high-end department store brand, which integrates retail and department stores.

It started contact with Huarun group in 2007 and entered China in the form of Huarun's main store in the Mixc.

In May 2010, the first Chinese store in Shang Tai was opened in the Mixc, Hangzhou. At that time, Shang Tai Department's main buying and selling system and differentiated style were launched. It was said that many famous brands such as Britain, Japan and Singapore and Thailand's special brands were gathered. Many brands entered Hangzhou and even the Chinese market for the first time.

In 2011, Shang Tai Department store was stationed in the Mixc, Shenyang. In the same year, the fashion department store brand of "the first fashion boutique" was also stationed in Shenyang Zhongjie street.

In September 2012, Shang Tai Department store was settled in the Mixc, Chengdu.

Just now, Shang Tai Department store has not yet been through the break even period.

In December 2012, the first department store opened for more than a year.

The Shang Tai Department store, located in the Mixc, Shenyang and the Mixc, Hangzhou, was closed in June 2014 and December respectively. There was no other explanation except for the expiration of the contract.

The problem is,

The lease is usually more than 10 years old, and in the Shang Tai Department Store Hangzhou store and Shenyang store opened, the store tenancy is 20 years.

According to the quotation quoted by the head of Chengdu Shang Tai Department store, the reason for the closure is that the contract between Shang Tai and the Mixc has been signed for 3 years, and the rent will be started after the expiry of 3 years.

Now, 3 years later, in the way of Shang Tai's profitability, it may not be able to afford the rent.

There is an analysis that the exit of Shang Tai Department Store is related to its

The pattern is not related to China's acclimatization, but also to China's depressed retail environment.

Lac Crawford, who entered China in 2000, was the first buyer's market in China.

However, from 2006 to 2007, lac Crawford dropped out of Shanghai and Hangzhou. The main reason is that the difference between buyers and consumers' selection criteria is too large, and consumers don't know enough about many fashion brands. Lian Crawford returned to the Chinese market in 2013, and now there are shops in Shanghai, Chengdu and Beijing.

In Thailand, the Central Retail Group accounted for up to 35%-65% of goods, while Shang Tai Department initially set the ratio at 10%-15%.

In a media interview, general manager of Shang Tai Department, Zhou Meng, said that the self purchase brand based on buying system still needs a certain period of cultivation in China. Shang Tai Department stores need to find a balance between the brand and consumer acceptance.

From the overall environment, compared to the supermarket and convenience store formats,

The department stores that are mainly cosmetic products are more vulnerable to the impact of the electricity supplier, plus the high discount point or the rent pressure.