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    Messi Department Store Plans To Open Shop In Tmall Tmall Shop Sales Products Are Not Yet Determined.

    2015/8/28 9:35:00 44

    Messi Department StoreTmallElectricity SupplierLatest EarningsForbesElectricity Supplier IndustryOfficial WebsiteSharesRetailersAlibaba

    Investors in Messi store Nuggets don't buy it.

    The latest report shows that profits have fallen and announced that they will be settled.

    Tmall

    Foreign media disclosed that it had tried the water market in China "nothing".

    Recently, American retail giant Messi department store released.

    Latest financial results

    In the second quarter of August 1st, Messi's department store realized a profit of $6 billion 100 million, down 2.6% from the same period last year, and its profit fell 25.7%.

    It is worth noting that in the earnings report, Messi general store disclosed the intention to enter the Chinese market -- entering Tmall international, and achieving long-term strategic cooperation with Alibaba [micro-blog] will be the core layout of its China strategy.

    In fact, as early as 2012, Messi store had entered the Chinese market curve, but did not harvest "money scene".

    Continue to decline, the US dollar is stronger, the price of clothes turns to customers.

    Online retailers

    "The dollar has been strong in recent years, which affects the level of consumption of international tourists in the United States."

    Messi, chief executive of the department store, said Terry was disappointed with the company's second quarter results, but expects Messi's Department's performance in the second half of the year to improve.

    According to reports, Messi's Department's revenue from international tourists in the first quarter of this year dropped by two digits.

    For foreign tourists who need to change their dollars, a strong dollar makes handbags, clothes and many other items more expensive than before.

    The The Associated Press reported that, although Messi's department store has become a "prominent player" in the economic recovery, the company has declined over the past year.

    According to Ken Perkins, chairman of Retail Metrics, chairman of retail research company, this is Messi's two quarter earnings performance which is not as good as that of Wall Street analysts.

    In the past five quarters, three times failed to meet expectations.

    Messi is also the first major retailer to disclose its quarterly earnings this year, and its performance has also increased concerns about consumer shopping performance.

    The report pointed out that, like other retailers, Messi stores also face long-term challenges.

    First of all, middle class consumers can't spend more in stores even if the economy improves.

    They are increasingly looking to the electricity supplier.

    And their money is elsewhere.

    Karen Hogg, chief financial officer of Messi's department store, said: "the overall economic growth is moderate, but we have seen customers turning to hotels, entertainment services, health care and electronic consumption rather than traditional department stores."

    China plans to open shop in Tmall, but is accused of diverting outside vision.

    In the second financial quarterly report, Messi's department store said it will be in Tmall international.

    According to the information released by Messi general store, it will set up an independent joint venture with Feng Shi Retail Group Co., Ltd. of Hongkong.

    Alibaba

    Tmall international group began selling products and entered the Chinese market through cross-border electricity supplier mode.

    {page_break}

    However, Forbes, the famous American financial magazine, commented on the theme of "declining Messi stores to seek comfort in China's electricity providers". Messi's "slow action" into China reflects the company's extremely conservative attitude towards overseas expansion.

    Now the move is more like a "Public Relations Act" designed to shift the outside world from the decline in local performance.

    The move of the US retail giant to China is seeking comfort from its local sales.

    In response, Reuters quoted Ken Moffet, manager of investment company holding Messi's shares, as saying that China's entry into China is not a necessary move for Messi's department store to seek growth.

    But compared to the physical store, the virtual store mode may bring less risk to Messi.

    Virtual stores have become a more willing route for US retailers to enter the Chinese market cheaply.

    Reported that many companies, including best buy, set up shop in China after the final failure to choose to leave the Chinese market.

    Forbes pointed out that Messi store took a "cautious and cautious" move in 2012 when it entered China's electricity supplier. It invested $15 million in a company called VIPStore and allowed to sell some private brands of Messi department store on the Omei.com website.

    However, after the Jiapin network, it experienced a wave of layoffs and bankruptcies, and gradually fell to the two or three tier tier of China's electricity supplier industry.

    Company response

    The simultaneous release of both messages is coincidental.

    Tmall store products are not yet decided.

    Messi, senior vice president of the US headquarters of the department store of Jim Sluzuski, said in an interview that the statement on the establishment of a joint venture to sell products in China through e-commerce has nothing to do with the company's recent earnings report.

    J Lou Zus Ki said that Messi has studied the Chinese market for several years, especially in last year's cooperation with Feng's retail, and set up a joint venture in Hongkong.

    On the same day, it was a coincidence to announce that Tmall and the company announced the second quarter earnings.

    J Lou Zus Ki said, in the United States, for tourists and Chinese Americans, Messi's department store is a very popular shopping destination.

    For the future plan in China, the company expects to reach about US $50 million in sales through China in 2016.

    Before further planning in China, the company will test and hope to learn from this initial e-commerce pilot project.

    For those products that will be sold in the Chinese market, J Lou Zus Ki said that the classification of Tmall's products in Tmall international will be the "sub category" of the products sold by Messi's official website.

    But it is not yet decided which products will be sold and the price has not yet been determined.


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