Department Store Life And Death "Brainstorming": Is It A Dead End Road To Self-Reliance?

In the first half of this year, the department stores in Chengdu once again became self willed. The opening of department stores was closed, and Tianhong Department store and so on were withdrawn from the Chengdu market.

According to statistics, in the first half of 2015, the total number of domestic department stores was 25, which exceeded the number of 23 stores closed last year.

Recently, there are also reports that Wanda will close 45 stores.

In August 31st, the Mixc store was officially closed. With the departure of the last shop in the mainland of China, Shang Tai was in the mainland of China.

The development has also been temporarily ended.

Multiple reasons lead to continuous closure of department stores

In this case, people can not help asking why "why"? What is the reason for pushing the once boundless department store to such a level? With "internal and external troubles" to describe the market predicament encountered by the department stores, it may be just right. In the external environment, there is the attack of the shopping center and the impact of the electricity supplier, and in its own problems, it has to face the embarrassment of rising costs of human resources, material resources and rents, together with the inventory of goods brought about by the simplification of the brand and format, which makes the department stores feel "pressure mountain".

There are senior people who analyzed the difference between 10 years ago and 10 years ago in terms of the material consumption environment and shopping psychology. 10 years ago, the purpose of the public entering the business place was to buy what they needed, so the department stores had obvious directionality in their floor layout and format planning, such as the supermarket on the first floor, the cosmetics counters or shoes bags on the first floor, the ladies in the two floor, the women's clothing on the third floor, the men's clothing on the four floor, and the five floor as sports.

And so on. However, 10 years later, with the substantial improvement of material level, the purpose of people to enter the business place is no longer just shopping. At the same time, they also make demands for spiritual satisfaction besides material needs. At this point, the shopping center's supply of lifestyle choices and sense of experience is generally like a "radish and a hole".

In addition, in the interpretation of the reasons for continuous noise in department stores, insiders said that in recent years, especially since 2014, domestic economic growth has slowed down, and consumer confidence has decreased, resulting in the overall retail business growth sluggish.

Compared with the time, from the second half of 2014 to the present, it is the peak of department store closing.

How can we save ourselves from the precipice?

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Looking at the current department store market in Chengdu, although the news of the store is kept on and the stores are falling down one after another, however, there are still some of those with a forward-looking vision who are still strong, such as Ito, Yang Hua Tang, new world department store, Wangfujing department store and so on.

And to analyze the response measures of the three major department stores, perhaps we can find some directions to make "endless doubts and no opportunities" slowly become "a beautiful village after another."

As early as 2014, Ito Yang Hua Tang carried out a series of adjustment actions. Chun Xi Dian and Shuang Nan shop increased the proportion of catering and children's formats, and adjusted to the direction of shopping centers.

At present, in the five floor food court, which is adjusted by the new plan, besides the catering, some small entertainment facilities such as shooting machines and big head stickers have also gained a lot of fans. They have brought considerable popularity to the five floor with the catering format.

Unlike Ito, the new world department store attracted many consumers with its regular discount sales promotion mode. Meanwhile, its self brand LOL was introduced, and a world of lifestyle related products was laid out on the second floor escalator. The Wangfujing department store put one of its eyeshot on WeChat's payment, and in February 2014 it worked with Tengxin WeChat to try to win the horn of victory by using the O2O application.

From the perspective of popularity and consumption, these three brands are in Chengdu department store.

Basically, it is the existence of big coffee grade.

However, their attempts and initiatives can be completely copied by others in the same industry? Of course not, the specific problems need to be analyzed concretely. Moreover, there are many risk points in the application of O2O and the adoption of self run mode.

As for the attempt and expansion of O2O in department stores, insiders say that O2O has also become a way to break through in all walks of life. However, the development of traditional department store O2O is still under exploration, and the development is not ideal. A large factor is that most traditional department stores adopt joint mode, and each brand store operates independently, and the shopping mall has no control over commodity prices and inventory, so it is difficult to form online and offline integration.

Moreover, many department stores in order to avoid homogeneity and quantification, online and offline goods do not coincide completely, and there are few kinds of goods online.

How to fill in the vacant part of the department store?

Whether it is Chengdu's Tianhong Department Store evacuating Lai Meng Du Hui, or Shang Tai Department Store from Huarun the Mixc, or a nationwide wave of Wanda stores from Wanda Plaza to evacuate, one problem will follow.

Department stores are usually stationed in shopping centers as main stores, no matter whether they are across the floor or the overall space, they are not a small number.

Therefore, how to properly fill the vacancy is indeed a thorny problem which has to be solved, just like the lost jigsaw puzzle. If the part that is empty can not be docked, it will become abrupt and strange, and even affect the effect of the whole mosaic.

From the current market performance, the trend of shopping malls to department stores is more and more obvious, but some professionals believe that shopping malls may go to department stores instead of traditional department stores.

Therefore, as the current Chengdu commercial real estate market performance is not as good as before, lament, oceanic Taigi can still be a commercial wonder, and the quality department stores that really focus on consumer demand and market development trend may be longer.