China's Electricity Supplier Pressing The Real Economy: Transformation Is Closely Related To Consumption Changes

From the experience at home and abroad, there are two main directions in the transformation of department stores. On the one hand, it is to break through the direction of high-end, constantly shrinking the front line, focusing more on offline business experience and service demanding commercial form. The other direction is to develop more diversified and inclusive, providing a large-scale, comprehensive leisure experience scenario like shopping mall. On both sides of Xinjiekou North Street has always been a shopping mall where clothing shops are convenient and shopping is convenient. It's also a pleasure to stroll around in your spare time and pick up a few nice clothes and shoes with reasonable price. But in recent years, we have seen that the shops on the roadside have closed down, changed their brands, and gradually become desolate.

A report on the transformation of retail channels in China's chain operation association also shows that retail enterprises are actively looking for transformation direction. In the past few years, the focus of transformation has been to expand to three or four tier cities, develop multi industries and develop electricity providers. Now it is characterized by mobile shopping, WeChat micro-blog social marketing, overseas purchasing and cross-border electricity suppliers, and the digitalization of stores. All channels Business to cope with changes in consumer spending habits. The retailing industry must return to quality and service and enhance its cost performance so as to avoid being eliminated or falling into a simple low price competition.

At noon yesterday, Beijing was still sultry in the beginning of autumn. From the station of the water in the subway, along the North Main Street of Xinjiekou, it has been southward, with a rough number. In the past ten shops, at least half of them have written "sale and sale" and "clearance". The reason is mostly "contract expiration", and two or three have already rolled up the shutter doors and are completely closed shop. The old clothes shop has changed into a place selling stuffed bun and meat pie. A clothing store retired from the rents of the higher rents along the street to the interior of the alley. In order to attract customers, it had to hang the red promotional card of the "full court specials".

Through the sublet telephone at the shop entrance, the reporter contacted a boss who wanted to turn shop. He told reporters that although the lease expires in April next year, but because the business is difficult to do, is ready to move, "the main rent is too high." The boss revealed that the flow of passengers in Xinjiekou can still be done, but the rent on the shop floor is two, the rent will be about 1500000 per year, the average monthly rate is more than 129 thousand, plus the cost of pre decoration, the pressure of operation is too great. Now the store is selling women's bags, selling a single cheap can earn more than twenty yuan, the most expensive is more than fifty yuan. Even according to the most expensive 50 yuan, without considering other costs, it will be enough to pay 2580 rent per month for rent. The boss said that in order to share the pressure of rent, many shops on the street are two or three shared.

According to Daphne's earnings warning report for the first half of 2016, Daphne has closed 450 stores in the first half of this year, including 400 Direct stores and 50 franchised stores. Once popular Metersbonwe The business situation is not optimistic. In 2013, there were nearly 5000 Direct stores and franchisees. By the end of 2015, there were only 3700 stores left, and the number of sales outlets was reduced by about 1/4. JEANSWEST, which accompanied the 80's, closed 1012 stores in 4 years, and there were only 2249 retail outlets in 2015.

A list of the global stores killed in WeChat's circle of friends revealed the gloomy retail business. According to the death list, the first and second tier cities' main retail businesses closed more than 80% in the first half of 2016. The statistics released by China Chain Store Association also showed that the sales volume of the top 100 chain stores in 2015 was 2 trillion and 100 billion yuan, an increase of only 4.3%, the lowest in many years. Department stores even appeared -0.7%. negative growth 。

The head of the China Chain Store Association said, "this year the store has arrived at a life and death time", but the stores and convenience stores have achieved two digit growth. The entity closed shop is not entirely because of the impact of the electricity supplier, but also the real economic growth is weak, labor costs, rental costs, taxes and fees high cost of high profits and other reasons. In the late 90s of last century, chain stores began to develop. The rent was generally 10 to 15 years old. Most of the rent was due and the cost of rent rose at least doubled.

Li Zhiqi, founder of Beijing Consulting Group, pointed out that the impact of electricity suppliers and rent rise are among the most direct reasons. But what is more serious than the rent, manual or electricity supplier's impact is the change of consumer's consumption habit under the influence of these continuous factors. Consumers' consumption behavior, awareness, pursuit of consumption convenience and dependence on technology are the more important reasons. On the other hand, traditional business moves slowly in transformation. The department store industry has been breaking through for many years and has been unable to find suitable ways and means to keep up with the changes of consumers.