Can The Temp Store In The Duty-Free Shop Get A Big Deal?

With the increasing competition of luxury electronic business platform, the Temple store, which started selling second-hand luxury goods, is also thirst for new growth points.

In April 2nd, the monastery reached a partnership with the China Overseas Service General Corporation (hereinafter referred to as the "out of service") to participate in the duty-free consumer market.

Facing the immature domestic market of duty-free shops, temple library is the first "eating crab" business enterprise.

But for the monastery with second-hand luxury goods, this time it seems that it is not easy to get high-end luxury goods. "Brand is unlikely to attack the original entity store sales business."

Insiders said.

12 million duty free shops

Beijing Business Daily reporter learned that the temple treasury to 12 million yuan in the shares of Jiangsu's Chinese clothing tax exempt products Co., Ltd. 20% of the shares.

Temple library side said that the two sides will rely on their respective resources and capabilities in brand, technology and channel, focusing on brand operation, big data and precision promotion, online and offline joint scene, smart new retail and other fields to carry out a new mode of cooperation.

At the same time, the duty free shop in Nanjing is also about to open.

For this action, Li Rixue, founder of temple library, forwarded messages to friends circle.

The Beijing business daily sent a detailed interview to the temple library, but no reply was received before the deadline.

Temple library hopes tax free business brings new growth point.

It is understood that the opening of the city duty free shop in Nanjing Hexi New Town CBD gold Austria International Shopping Center.

In the form of joint ventures, we will enter the duty-free consumption industry. In joint marketing and promotion, temple library said that it will help to accurately promote the diversion, enhance user stickiness, and carry out the online and offline interactive experience with the help of the big data analysis of its consumption history in the new media platform and high-end users.

Temple treasury latest report shows that in the three quarter of 2018, net income was 1 billion 570 million yuan, an increase of 60.1% over the same period, the net profit in the three quarter was 44 million 900 thousand yuan, an increase of 31.7% over the previous year, and the total turnover in the three quarter was 2 billion 190 million yuan, up 57.4% over the same period last year.

In fact, this is not the first time that temple library has expanded its participation in the duty free business.

Temple Library in June 2018 signed a strategic framework agreement with the Hainan provincial industrial and commercial office. With the help of its own platform and resource advantages in the field of international luxury goods sales and services, it worked hard to develop online and offline tax-free businesses, set up tax-free shopping centers and urban duty-free shops.

"Luxuries" pformation

Although monastery's largest revenue still comes from online, it has always been in the layout of the full channel marketing, to seize the channel to sink dividends.

Last year, the temple library and the department store brand Baisheng Group signed an agreement to establish a full line sales network under the online and offline channels.

In addition, the monastery also co operated with the retail business operators to create resources to integrate with offline sales channels.

Today, Jingdong, Tmall, Amazon and other platforms are in the layout of luxury goods industry, the competition of luxury electronic business platform is increasing, and the temple library built by second-hand luxury goods is being pformed into "luxuries".

It is understood that the current commercial layout of temple library includes high-end luxury, Chinese fine products, tourism life, art auction, preview bar, etc., while carrying out international station operation, creating joint experience space, ecological energy cloud and storehouse plan.

Zhang Peiying, an honorary consultant of the China luxury Confederation, believes that the temple library has always been "extravagant" in the field of products, taking the middle end area.

In the field of luxury development, it has begun to layout in the fast fashion, food and other fields, and adjust the strategic direction for the entry and exit in a comprehensive way of life.

At the same time, we can see that the temple library is constantly laying down the channel layout. On the one hand, the competition in the luxury goods industry is fierce. The temple library is largely restricted by the brand in the form of cooperation, and is also in line with today's community marketing.

The specific effect and whether it can compete with online marketing still needs to be considered.

"Dare to eat crab" or "look beautiful"?

Although many companies are eager to explore the city's duty-free shops, there are few people who eat crabs.

On the one hand, influenced by policy factors, on the one hand, it is also related to brand price competition.

The Beijing Commercial Daily reporter learned that there are several companies that have tax exempt business licenses in China, including China Central, offshore, pearl, Shenzhen, Shenzhen, China and overseas Chinese.

At present, most of the domestic duty-free shops are located at airport ports. Until January this year, only one city duty-free shop was opened in Haikou and Boao. Meanwhile, two cities in Beijing and Shanghai will open a city duty free shop this year. The duty-free shops in the city, though more convenient for consumers, still need to be observed in brand structure and profitability.

Temple library wants to be the first enterprise to eat crab, but there are still many problems to be solved in terms of brand choice, revenue structure and so on.

Zhang Peiying believes that the existing duty-free shops in the city have not yet formed a certain scale of industry, and the concept of tax exemption remains at the airport.

City duty-free shops need to integrate brands, including supply chain, logistics and so on.

There may be bottlenecks when integrating luxury brand resources. In other words, international licensing has certain limitations in terms of sales authorization.

At the same time, Zhang Peiying said that the duty free goods are usually exempt from import duties and value-added tax and consumption tax levied in the import link. The price is generally cheaper than that of the domestic similar goods, and some brands with high cost layout shops are unlikely to attack the original entity store sale business themselves. 10%-45%

In this case, enterprises need to rely on niche brands to make profits, and will face greater challenges when integrating niche brands, including market acceptance, supply chain and other product lines.