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    The Department Store Is Now Closing Shop. This Is A Huge Impact.

    2015/11/14 15:45:00 37

    Department Store IndustryClosing Shop TideElectricity Supplier

    The review of China's real estate market in the third quarter of 2015, released by CB Richard Ellis, shows that the squeezing effect of fast developing electricity providers on physical retail is still outstanding. The physical retail market is facing greater pressure of pformation, especially in the traditional business model. The performance of traditional department stores in the first half of this year has declined to varying degrees.

    Wanda Department Store

    Closing nearly half of the country's stores in six months, the remaining outlets also contracted and pformed restaurants.

    In addition, there are other department adjustment cases, through hardware refurbishment and tenant portfolio upgrading to improve performance.

    In recent years, property rents and staff costs have been rising.

    Operating expenses

    Sustained growth, coupled with weak sales growth, increased pressure on domestic department stores and squeezed profit margins.

    The rising electricity supplier is making the Department Store feel cold.

    According to the statistics of major retail enterprises in the first half of 2015, the main retail enterprises (including department stores and supermarkets) closed 121 in the first half of 2015, of which 26 were department stores.

    In the press conference of the Ministry of Commerce in November, a spokesman for the Ministry of Commerce pointed out that with the rapid growth of online retailing, the pressure on physical retail operations increased, and the phenomenon of "closing rent withdrawal" increased.

    At present, general merchandise retail enterprises are generally exploring pformation. Some have promoted self run and deep joint ventures, improved supporting services, changed old business models, and integrated services to integrate their supply chains to create their own brands; others have applied modern information technology, strengthened commodity management and customer management, and tried all channels of operation.

    From a positive point of view, this is not only the result of quickening the structural adjustment and pformation and upgrading of China's retail industry, but also the embodiment of retail enterprises' optimization of resource allocation and network layout, and enhancing their competitiveness, which is beneficial to the sustained and healthy development of China's retail industry.

    March 2012,

    Aeon Stores

    After leaving Beijing Chaoyang Joy City and Chaoyang Joy City, it has undergone many rounds of adjustment. Apart from increasing the proportion of restaurants, a major move is to pform the high parking lot into a theme block that combines commerce, art and nature. At the same time, it continues to optimize the retail brand portfolio and make breakthroughs in categories such as fast fashion sales, home life, and popular cosmetics.

    "Not only selling things, but providing new ways of life", which has become a new concept for the future development of commercial real estate.

    Even Beijing, known as the most profitable department store in the country, is now widely known as SKP in 2014.

    Not only has a large number of new high-end retail brands been introduced, but also brand names have been increased, including high-end restaurants catering to the six floors of shopping malls, and the B1 level has been upgraded to mass catering and pformed into gourmet street.

    In addition to improving the shopping environment and adjusting the business format, the traditional businesses began to carry out dynamic integration on the offline line: the e-commerce experiment represented by Wanda, at the end of August 2014, Wanda announced the joint development of the Tencent and Baidu to build an electronic business platform, and built a huge network of e-commerce platforms.

    Besides, the developers of shopping centers have begun to explore the combination of intelligent equipment and real estate.

    It is understood that, including Wanda, Longhu, Yintai and other enterprises, has been in its shopping malls and High German, smart map and other domestic indoor map and positioning technology suppliers to varying degrees of cooperation, through the big data for shopping centers to bring accurate customer analysis.


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