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    Transformation Of Wangfujing'S Business Model

    2015/10/2 8:12:00 19

    WangfujingBusiness ModePformation

    Liu Bing, chairman of Wangfujing department store group, said in the 60 year celebration of the group that Wangfujing is carrying out the "third pioneering work" through the Internet tide and fully implementing the strategic pformation.

    In the pformation planning, Wangfujing has set up a "model" and "four tasks", covering the concrete plan of reform and pformation.

    Among them, the introduction of career partner system and management holding shares will become the focus of Wangfujing's pformation.

    In terms of commodity management, Wangfujing fully develops joint mode and single product management, and cultivates its own brand.

    In the first half of this year, the company joined hands with another retail giant Bailian Group to form a joint venture with Hongkong Li Feng. The shareholding ratio of the three companies was 40%, 40% and 20% respectively.

    It is easy to see that with the help of Li Feng's more than 360 private brand advantages, the joint venture company hopes to build its own brand management and retail terminal will directly connect with Bailian and Wangfujing.

    "Wangfujing is pushing forward the pformation with a firm determination, adequate resources input and an open mind."

    Haitong Securities researcher Wang Liting said.

    "In this context, there are subjective initiatives and realistic possibilities to seek breakthrough, and the consistency of incentive and interest demands can still be expected, which will further drive business development and accelerate pformation."

    Wangfujing, which sells more than 30 billion yuan in 2014, has an impact on the department store industry.

    At present, the group has 45 stores.

    For this pformation, the president of Wangfujing group, East Jiasheng, summed up the core mode to build a new business model based on physical retailing and enhance the operation of commodities and customers.

    In fact, from 2013, Wangfujing department stores have built a three-dimensional network of customer service and marketing system through the WeChat service number, Internet Financial membership card "Wang Fu UKA", Wangfujing App service platform and other technical means, and rely on the Internet business city to expand the new channels of internetworking.

    Meanwhile, Wangfujing has carried out intelligent pformation of all its stores.

    However, spare no effort in the construction of the whole channel has not brought obvious benefits to Wangfujing.

    According to the company's 2014 annual report data, its

    E-commerce project

    Construction losses amounted to 42 million 62 thousand and 800 yuan.

    In the first half of this year, Wangfujing online platform revenue was 26 million 810 thousand yuan.

    However, in the new business model of Wangfujing, the online channel is only one, and offline shopping and shop experience shopping mode is the foundation of the whole channel.

    Since 2013, Wangfujing has begun to "go to department stores", focusing on developing shopping centers and Oteri J.

    In 2013, Wangfujing purchased the spring department store for 1 billion 600 million yuan, opening the pformation of Oteri J format.

    At present,

    Printemps

    It has two Oteri J stores in Shenyang and Beijing, and plans to re confirm 3-4 projects in the past two years.

    In addition, through the pformation of the Wangfujing department store in Guangzhou, Chongqing, Baotou and other places, the Wangfujing also adjusted some floors of Wangfujing in Hohhot into "city center outlets" and introduced new business formats.

    More Than This,

    Wangfujing

    In addition, the shopping center has been fully implemented in the original large volume department stores and new comprehensive department stores, and the experience type has been added to the shops.

    Wangfujing is expected to open 4-5 shopping centers in 2016, distributed in Xi'an, Zhengzhou, Foshan and other regions.

    In addition, Wangfujing and Hengda jointly established a shopping center management company and a commercial real estate company, with the purpose of combining the advantages of commercial property development and channel management.

    Wang Liting believes that the strategic pformation of Wangfujing has broader concepts than retail channels, including the development of deep joint operation, self run and self owned brands, as well as the innovation of shopping centers and outlets.


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