The Closure Of Tmall'S Flagship Store Marks The Complete Exit From The Chinese Market.

According to the world clothing shoes and hats net, the second half of 2016

Announced the closure of 10 shops in the mainland of China, and sold the retail business of Hongkong and Macao to its franchise partner Al-Fut-taim in December 30, 2017.

The closure of flagship stores means that Marsha general store, a British retail giant with a history of over 100 years, has completely withdrawn from the Chinese market.

Before Marsha general store was reported to have "fully withdrawn from China" market, the department store brand did not seem to be well known in China.

Marsha general store has opened 15 large stores in 10 years, but it has never been established in China.

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Martha is headquartered in London and is currently a multinational retail group in the United Kingdom.

Statistics show that there are more than 840 stores in the UK, and more than 480 stores in 59 regions in Europe, the Middle East and Asia.

Looking back at Martha's history is also a legend.

In 1884, Russian businessman Michael Marks borrowed 5 pounds to open a small store in a comprehensive market, in order to support himself, but this small shop is also the prototype of Marsha general merchandise.

With the help of this "one yuan shop" booth, Marks accumulated a lot of money and spent 10 years to save enough money to buy a real permanent shop.

In 1894, accounting Tom Spencer joined the small shop and became a partner of Marks.

Thanks to cheap and healthy food, sales of shop products rose sharply, and two people opened a branch in the northwest of England. Marks &Spencer, a company that specializes in food, was formally established in the near future. In 1928, St Michael registered trademark, and in the next few years, Marks and Tom came to life.

In 1931, Martha set up the food department, mainly producing canned food. In 1975, Martha set up stores in Paris, Brussels and Belgium. In 1988, she bought the Brooks Brothers and the American food chain, the king's supermarket, and set up 2 stores in Hongkong, which formally confirmed Martha's "clothing + food" mode.

In 1997, Marsha created a good achievement for British * * * * * * * and became a British retailer with a profit of over 1 billion pounds before tax, and this year, Martha won the fifteenth Export Achievement award by the queen herself.

Global atrophy

In October 2008, Marsha general store officially entered the mainland of China. The first store opened in Shanghai, with the number of stores reaching 15 at its peak.

At the end of 2012, Martha opened an independent online shopping platform in the mainland of China and entered Tmall mall.

In 2015, Marsha once adjusted China's opening up strategy to reduce Shanghai stores and enter other key cities such as Beijing and Guangzhou.

In December of the same year, Martha opened a flagship store of 1500 square meters in Beijing world trade scale.

However, less than a year later, in November 2016, the world trade fair was closed, and Marsha also announced the closure of 10 Chinese stores, including Shanghai Baoshan Wanda Plaza, Shanghai Nanjing West Road, Shanghai five corner Wanda Plaza, Wuhan Han street, Qingdao Licang Wanda Plaza.

Looking back at a series of reports on Martha in 2016 and 2017, there were many words such as "losing China" and "leaving China".

In fact, in addition to the Chinese market, Marsha also closed several losses in the international market, including Belgium, Holland, Poland, Romania and so on. The number of shops closed to 53, a total of 2100 layoffs, which does not include 60 houses closed in the UK.

The serious loss is the main reason for Marsha's sharp reduction in international market stores.

According to Marsha's earnings report, in the market withdrawing from China, the loss of Marsha reached 45 million.

This shows that Marsha is "not convinced" in the overseas market.

When a Chinese store was closed on a large scale in the year, Martha once said, "it will continue to assess the way to maintain the online business in China."

However, the habit of online shopping between domestic consumers and foreign consumers is different. Foreign consumers are accustomed to shopping at department store online brand stores, but domestic consumers are more platforms such as Tmall and Jingdong, which have led to Martha's "unable to return to China" in China.

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Where is the way out?

However, from the data, gradually withdraw from the loss of the international market, indeed to Marsha's performance has brought about a turn for the better.

In the first half of September 30, 2017, the clothing and home business of Marsha general store increased by 5.3%, and the food business was increased by 4.4% by the new store drive.

If Marsha general store can return to the Chinese market, will there be a new way out?

Martha has always wanted to open up the Chinese market through clothing strategy. 80% of the products sold in Martha's department store are his own brand "Saint Michel" brand, but the brand has not made corresponding marketing promotion and guidance in China.

Marsha is mainly dressed in clothing category. Most of its colors are grey and brown. The style has been used in the fashion of the British market, and it has not localized the product, nor has it designed the product according to the shape of the Asian. Therefore, it lacks innovation in the Chinese market.

In addition, Marsha's business philosophy still maintains a rigorous and steady style in English, but the whole brand has not formed a certain "London impression". It has established a unified, easily identifiable and trusted brand influence overseas, or is the primary task of Marsha's future reform.

In addition to clothing wear, Marsha's most attractive "eat goods" may even play a leading role in the Chinese market.

Many people who have been to Martha in the United Kingdom have evaluated Marsha for "food is delicious."

In fact, fresh food is the main attack of Martha's department store. Its own beverages, yogurt, snacks, desserts and semi finished products are of high quality and fresh ingredients, while pricing is slightly higher than that of ordinary supermarkets, but the mainstream people are still willing to spend more money on quality food.

The most impressive thing for Chinese consumers is the food advertisement of Marsha's department. Its unique creativity and audio-visual appeal quickly catch the audience's attention.

From the annual report of fiscal year 2016, Martha's food revenue in the British total of 10 billion pounds has reached 5 billion 400 million pounds, and the head of Martha's department also said: "we sell only * * * food."

But it is confusing that the competitive food business of Marsha is frozen.

Hu Run, the China's 100 richest producer, once Tucao: "look at Marsha's Cafe. There are some muffins and mayonnaise sandwiches on an empty shelf. It feels like a return to the former Soviet era."

In fact, the performance of Marsha's department is also not a case.

Most of the foreign department stores have "acclimatized" after entering the Chinese market. However, Messi's Department, which has been developing slowly, seems to be a sample to follow.

In September 2017, Messi's department store eBay Hal Lawton, the chief executive of electric power giant, started the layout of e-commerce channels.

At the same time, Messi stores purchase products from * * * stores, simplify the pricing mechanism, increase sales staff and enhance customer experience, reform in many ways, and the store will also expand the area of beauty business.

Messi department store 2017 fiscal year three quarterly report shows that the group electricity supplier income to achieve double-digit growth and 33 consecutive quarters of growth, and is expected in the 2017 quarter of fiscal year, the company's electricity business continued double-digit growth.

Industry analysis shows that the increase in online sales of most department stores is mainly due to the hot selling of the holiday season, but more retailers will be challenged in 2018. The situation will not be much improved compared with 2017, but the division between the * * and the inferior retailers still exists, which is more likely to be further aggravated by the impact of future tax reform.

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