Market Analysis: The 10 Billion Legion Of Major Shopping Malls Is Still Vacant

2020 is a year full of challenges and changes. The sudden outbreak of the epidemic forced the shopping malls, which had been "riveting their strength", to press the pause button. Although they were temporarily suspended, they tried their best to spur self innovation, change and progress in the face of not too high consumption enthusiasm after the resumption of business.

Now, 2020 has passed. In this special year, what kind of report card has the enterprising shopping mall handed over? Based on the investigation of the hot city of Hangzhou in recent years, under the impact of the epidemic situation and the fierce competition in the market environment, the sales situation of shopping malls in operation in 2020 will be achieved.

Through the investigation, we found that:

The 10 billion Legion is still vacant, with Hangzhou building leading the way with 8 billion;

The expansion of 5 billion legions, Hangzhou Vientiane city for the first time;

2-4 billion legions are scarce, and there is a large space for breakthroughs;

Nearly 30% of the shopping malls showed a year-on-year decline and the overall performance was stable;

High end shopping malls are eye-catching, with top 4 occupying two seats;

Department stores and olaipine were more effective.

TIPS：

1. The data are provided by the project parties or listed enterprises' financial report, brand side, third party, etc.

2. Due to the different statistical caliber of the performance of each project, for example, in addition to retail sales, some shopping malls also include other performances such as rental income. Therefore, this statistical ranking only serves as a reference for the sales scale and development trend of shopping malls.

3. Projects that do not disclose data temporarily and projects with large differences in survey data from different channels are not included in this statistics.

1、 The total sales volume of 21 shopping malls was 47.928 billion yuan

The total sales of 21 shopping malls that have been disclosed in the survey will reach 47.928 billion yuan in 2020, which is lower than that of the 23 stores surveyed in 2019 with a sales volume of 51.3 billion yuan, but the average is basically the same. Although the impact of the epidemic on major shopping malls varies, the performance of Hangzhou shopping malls in 2020 is still commendable.

Specifically, excluding three shopping malls with no reference data in 2019, there are 5 shopping malls with a year-on-year decline in 2020, accounting for about 27%. It can be seen that the sales volume of more than 70% of shopping malls in 2020 will increase year on year. And more than 10% increase in Hangzhou tower, Hangzhou lakeside Yintai in77, Hangzhou Vientiane City, Longhu Hangzhou Binjiang Tianjie, Hangzhou Yuanyang ledi port, Hangzhou Jindi Plaza.

2、 Hangzhou building continues to lead

Hangzhou tower is still the leader in the performance of shopping malls in Hangzhou. In 2020, the annual sales volume is 8 billion yuan. Although it has not yet reached the national 10 billion club, according to its public financial report of listing in 2019, the sales in 2020 increased by 38.22% year-on-year, which is also Hangzhou ＇ s.

The year 2020 is the eleventh year for Hangzhou tower to be upgraded into a shopping center, and also a key year for its new three-year adjustment and reform plan ("three centers", "one life" and "one service") from 2019 to 2021. Through marketing, service, commodity and other means, the consumption market will be further prosperous, the consumption potential will be released, and the consumption quality will be improved. In 2020, the sales in three days will exceed 300 million yuan.

3、 Hangzhou Vientiane City rushes into 5 billion Legion

Although the status of Hangzhou tower can not be shaken for the time being, the overall pattern is more "blooming". In 2020, another member will be added to the 5 billion legion, namely, the 5.1 billion Vientiane City in Hangzhou.

In 2020, the upgrading of Vientiane city will be the reappearance of the original 30000 square "Shangtai department store" after 600 days of transformation. In addition to upgrading the hardware decoration, but also in the commodity power.

It is reported that the reconstructed area spans four floors of b1-l4, including supermarkets, department stores and catering categories. It has gathered international fashion, sports trend, Chinese and foreign catering, quality life and other major cutting-edge brands and fashionable commodities. It has gathered 70 brands and introduced several first brands in China and Zhejiang, including the first Meissen Meissen boutique in China.

What can be seen is that since last year, Wulin Yintai and Hangzhou Hubin Yintai in77 broke the pattern that only Hangzhou building is "the only one with the largest company" of the 5 billion legion, the shopping malls in the store have more energy. It is hoped that more and more shopping malls can rush into the 5 billion Legion. However, at present, 2-3 billion legions are still relatively scarce, and most shopping malls have a performance of about 1 billion, and there is still a lot of space in the future.

In addition, some of the new venues, which have been open for only one year, also have good performance. For example, Longhu Hangzhou Xixi Tianjie and Longhu Hangzhou zijingtian Street recorded sales of 1.2 billion and 628 million respectively.

4、 Strong momentum in high-end shopping malls

It can be seen from the data that among the 21 shopping malls surveyed, Hangzhou tower, Hangzhou Hubin Yintai in77, Wulin Yintai and Vientiane City have the most outstanding sales performance. Hangzhou building, Wulin Yintai and Hubin Yintai in77 have always been strong competitors in Hangzhou. The rise of Vientiane city and the sales increase of nearly 40% of Hangzhou building are very large The degree reflects that high-end shopping malls in the "epidemic year" have unique dividends of luxury brands.

On December 16, 2020, Bain, a well-known strategic consulting company, released a research report on China's luxury market, which shows that the global luxury market will shrink by 23% this year, but the luxury consumption in China will rise by 48% to 346 billion yuan. According to the report, China is expected to become the global luxury market by 2025.

Guo Xinye, a member of Lianshang senior advisory group, said that department stores and shopping centers with high-end positioning are absolute beneficiaries of the epidemic. Affected by the global epidemic situation, luxury goods purchasing agents and duty-free shops have both suffered setbacks, and their outbound travel has been hindered, which greatly promotes the return of consumption, and the luxury business of domestic high-end department stores has been greatly boosted. Under the rule of 28, 20% of shopping malls earn 80% of the total. Therefore, in the future, the business of high-end shopping malls will still be good. Of course, it is crucial to continuously improve the consumption experience and pay attention to customer value.

The same is true for the medium and high-end Hangzhou Hubin Yintai in77. Gucci, LV, Hermes, balischijia and other heavy luxury in area a must have contributed a lot of sales. It is reported that in 2020, 248 new brands were signed in in77, more than 30 brands won the first place in national sales, and more than 100 brands ranked first in Zhejiang.

Relatively speaking, popular shopping malls with young positioning and families are more affected by the epidemic situation. On the one hand, the consumption demand of consumers has decreased. On the other hand, the increase of empty shops in shopping malls leads to the decrease of rental income. The brand side needs support. The rent reduction at the beginning of the year also has a great impact on the final business performance. Moreover, in the current severe prevention and control situation, we should not take it lightly 。

5、 "Old shopping malls" becoming younger

Although shopping malls are hard to escape the impact of the epidemic, they began to show signs of recovery in the second half of last year. They have continued to maintain vitality by means of IP marketing, flash marketing, market marketing, discount and brand upgrading. In particular, the opening of new stores often brings a lot of sales dividends. Therefore, we can see that in terms of the year-on-year increase in sales, Hangzhou shopping malls will still be quite considerable in 2020.

On the whole, aiming at generation Z and the new middle class solution is the mainstream customer group of major shopping malls in Hangzhou in 2020, and a lot of marketing services and commodity power improvement work have been done for the customer groups.

In particular, Hangzhou tower, Vientiane City, Wulin Yintai and other "old shopping malls" with more than 10 years of operation have kept their original genes and become younger, which is directly reflected in the introduction of the first store economy of "Internet red commercial economic form" in recent years.

According to the latest statistics of Lianshang Retail Research Center, in 2020, Hangzhou shopping malls have introduced 211 first store brands above the city level, of which the top three are Hubin Yintai in77 (49), Hangzhou tower (47) and Hangzhou Vientiane City (20). It can be seen that these mature shopping malls are still properties that can give more "sense of security" to the brand.

Taking Wulin Yintai as an example, in 2020, in addition to upgrading its beauty industry, such as the introduction of two luxury fragrance brands, namely, Elizabeth Arden and Estee Lauder, Kilian kellian and editionsde Parfums Frederic mall, as well as the current popular online brands, such as double, an original service-oriented coffee brand Win caf é, Zhejiang's * Nike kickslouge L1, which is loved by young people, etc.

6、 Department stores have the highest efficiency

In terms of turf efficiency, department stores have the highest flat efficiency, which is the same as last year. The main reason is that the public space utilization rate of department stores is higher than that of shopping centers, and most of the department stores introduce cosmetics, jewelry and other formats with high rental rate, especially for high-end positioning department stores. Therefore, the flat efficiency of department stores is much higher than that of shopping centers.

In 2020, the top three of pingefifciency were 108000 per year in Wulin Yintai, 58000 per year in Hangzhou building and 33000 per year in Hangzhou Hubin Yintai in77. Last year's top three sand boat outlets is still 32000 / average / year, ranking the fourth, because the 46 day suspension of epidemic prevention and control has a great impact on its performance.

summary

With the entry of foreign capital such as Vientiane City, Wanda, CapitaLand, Baolong, Yinli, central enterprises, Kerry Center, Hang Lung, Sun Hung Kai, new world and other Hong Kong capital, Hangzhou commercial pattern has broken the pattern of Hangzhou mansion, Yintai and other local powerful towns, and the competition trend of this diversified business form is still expanding.

According to the statistics of Lianshang Retail Research Center, in 2020, there will be 12 new shopping centers in Hangzhou, with a new stock of nearly one million cubic meters. In 2021, the supply market will pour into about 20 new businesses, with fierce competition. In such a big environment, how to maintain self advantage and data growth is a test that many stores need to face.

At the same time, although the commercial giants competed to enter Hangzhou, the pattern of "polarization" was still seen from the final sales data. The high-quality projects continued to advance vigorously, and the weak projects showed signs of fatigue. The bigger point is that although the business is "blooming", the first three years of performance have always been the local Hangzhou building and Yintai. Who can break this pattern in terms of performance?

In 2021, the epidemic situation in the whole country is on the rise again, and the management and control in various places are becoming more and more strict. The panic consumption sentiment has not yet completely subsided, and the situation is still unpredictable. It is still necessary to test the skills of the store operation team.