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    Shanghai'S Most Expensive Department Store Was Miserable.

    2016/5/2 17:03:00 54

    ShanghaiDepartment StoresLoss

    From the point of view of management, Shanghai new world department store has always been in the middle and high-end market positioning, and the joint venture's big pill department store is an old department store in Japan, and its parent company is J. Front Retailing.

    If you often travel to Japan, it may not be strange to it. J. Front currently has 19 entity department stores in Japan, of which 13 are big pills.

    J.Front's department stores account for about 12% of the market share of Japanese department stores.

    At the beginning of the cooperation, the new world department store in Shanghai may see its business experience and reputation in Japan.

    Shanghai new world big pill department store's parent company recently released its earnings report, which was regarded as the highest value department in Shanghai last year, operating income of 402 million yuan, but

    loss

    Serious, net loss of 4.14 billion yuan.

    Shanghai new world big pill department store is a high-end department store jointly built by Shanghai new world department store and Japan's time-honored department store, big pill and loose hill house.

    It was opened last February 8th and officially opened on May, the 15 year of the same year.

    The pcript of the year's opening up can be quite bad.

    From the site selection, the Nanjing East Road of the new world big ball department store is the most concentrated place for tourists. Usually tourists who visit the Bund will visit this pedestrian street. The volume of traffic is very large, but tourists are not the most suitable places for high-end department stores.

    Tourists prefer the brand with the price of the people, and the Forever 21 flagship store near it is surrounded by tourists, which illustrates this point.

    In this sense, the huge flow of people in Nanjing East Road business district has no real value for big pill department stores.

    In contrast, Nanjing West Road, which is not the main tourist group, is more suitable for high-end department stores, such as the choice of the Meilie town of ekan department store.

    In addition, it is also high-end.

    Ruo department store

    And Jiu Guang Department Store in Jingan Temple is also not a place for tourists to concentrate.

    Last year, sales revenue of Jiu Guang Department store was 19.98 billion yuan, an increase of 3.1%.

    Another reference is the Zhengda square and IFC in Lujiazui, Shanghai. The former also faces tourists, while the latter is not.

    We found that the largest consumers in New World department store are the first floor and the two floor.

    These two levels are luxury goods, watches and cosmetics, mainly Ferragamo, Gucci, Tiffany, Burberry, and other cosmetics, such as Shiseido, SK II, LANCOME and so on.

    But in addition, there are other front-line ones.

    Luxury brand

    For example, LV, Prada, and Hermes and other familiar brands are not found here, while Dior and Chanel are only cosmetic counters.

    With the rise of floors, consumers are getting less and less because the brands that these floors are stationed are Japanese brands, such as Lautreamont, Leilian, MOUSSY, etc.

    Although the new world big pill department store has also made some measures to save, for example, weekend and holiday, all cosmetics and perfume counters will give a twenty percent off discount, but if the target customers and the actual passenger flow have a positioning deviation, it is still difficult to turn around the profit.

    From the point of view of management, Shanghai new world department store has always been in the middle and high-end market positioning, and the joint venture's big pill department store is an old department store in Japan, and its parent company is J. Front Retailing.

    If you often travel to Japan, it may not be strange to it. J. Front currently has 19 entity department stores in Japan, of which 13 are big pills.

    J.Front's department stores account for about 12% of the market share of Japanese department stores.

    At the beginning of the cooperation, the new world department store in Shanghai may see its business experience and reputation in Japan.

    But Japanese department stores seem to be a bit of an acclimatist in China, such as Japan's old department store, high island house, which entered Shanghai in 2012.

    Since its opening, it has been losing popularity.

    The initial sales amount of 130 billion yuan per year is only half of the plan completed in one year.

    Since then, sales have been cut down until 6 billion yen (3.5 yuan, 100 billion yuan).

    To this day, the popularity of Gao Dao house is still weak.

    The reason is probably that the brand of High Island house is relatively unfamiliar to domestic consumers, and the price is higher.

    The new world big pill department store is a joint venture with Japan, and there are similar problems in brand selection and positioning.


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