Can The Spanformation Of Department Stores Usher In An Astonishing Counter Attack?

The traditional retail industry has gone through a change from the game with the electricity supplier to actively seeking cooperation. As Yonghui takes the lead in Jingdong, Wanda has joined hands with Tencent, Yintai and Suning have launched strategic cooperation with ALI. The online and offline accelerated integration mode of O2O has become the trend of the retail industry.

Large department stores are developing in the direction of "big and all", choosing shopping centers and small department stores to develop in the direction of "small and fine", spanforming into a specialty store or a number of related categories. According to the Department Store spanformation discount store, the traditional department store belongs to the flagship store. The users who come here have the goal, and the discount stores belong to the "Taobao type" shop. The core is to stimulate unplanned consumption.

There are many department stores in the United States trying out new retail attempts through small shops and discount stores. These include the discount shop Nordstrom Racks, North Branch, which owns 252 branches in the United States, 132 of which are discount stores. According to its Q2 earnings report issued in August, Nordstrom Rack and the same name electricity supplier's discount business increased by 16%, of which the Nordstrom Nordstrom revenue of the entity store business increased by 13% to 900 million dollars.

In July 2015, the United States officially launched a new discount shop Off Aisle by Kohl "s", 2015 in September, the 5 discount stores of Messi stores began to open, and plans to open 50 discount stores in the next 2 years. Another Bloomingdale's brand, Messi store, opened a outlet discount store in 2010, and is now preparing to start its fourteenth store in Manhattan. In October 2015, old Buddha's department store announced its acceleration. Discount stores Expansion. In addition, the old high-end department store Saks also has a discount store Saks Off Fifth.

The NPD Group Inc., an American research institution, said that more and more retailers have joined the low price competition in the Red Sea. According to statistics from February 2014 to February 2015, the sales performance of retailers in the US market with low price increased by 2.5% to 23 billion 200 million dollars.

In the Chinese market, the form of a department store is shown as a micro department store. The new industry of micro department stores is becoming a dark horse in the trend of expansion. Like the recent sudden explosion of famous products, there are also micro stores such as life without worries, big innovation living houses, excellent home products and so on.

The purpose of a department store to open a discount store is very simple, mainly to assist the main department stores to share some of the accumulated goods. However, this discount shop mode is also risky. Discount goods are not easy to get consumers' trust. Once the quality problems arise, they will damage the brand. The most taboo in retailing industry is to open up their discount stores and full price stores, which not only affect the sales of full stores, but also damage the image of the main brands.

At present, department stores can start from three aspects: store network expansion, business mode optimization and new technology application. First of all, there are few real national networks in the department stores in China. Therefore, the expansion of store networks is particularly important. Secondly, the optimization of business models should focus on the ability to operate independently, and the manpower, capital and business resources needed for self-supporting capability must be accumulated and cultivated for a long time, so this will remain the core strength of domestic department stores. Finally, in terms of the application of new technologies, Department store We should enter the online business from localized life and offline experience and services, and move towards mobile and online retail channels.

Department stores are also moving into the net, seeking the extension of online spanformation. The most recent move in the Internet spanformation of department stores is the establishment of the "global congregation platform" for BBK, which combines 22 enterprises such as Tianhong mall, Shandong Jia Jia Yue, Shanghai city supermarket, Beijing super market hair, Wuhan Nanpu. This is a centralized and large-scale layout line of traditional retailing.

The history of Internet spanformation of traditional retail enterprises is not very short. For example, by the end of 2006, Bailian Group had set up an e-commerce company. In 2013, Wanda also began to test the water electricity supplier. Electronic business platform Wan Hui network; in 2014, the big business group's electronic business platform was launched. At the end of the year, Chongqing department store also announced that it would spend 1 billion yuan to build a platform for "century purchase" and so on.

Dong Minglun, President and chief executive of WAL-MART global, said after buying 1 shop, "if there is no Internet, WAL-MART's business may not develop so fast. "This may represent a lot of traditional retail attitudes.

However, in the spanformation of many retail enterprises, there are many failures. Although many department stores have their own electricity providers and online, they are simply copying the existing models. There are no bright spots in the Internet spanformation, no personality, just drift with the tide. Shen Danyang, a spokesman for China's Ministry of Commerce, has made it clear that "many domestic department stores are trying to find a spanformation, but many companies seem to have failed to test water O2O. The spanformation of retail entities on the O2O platform is still critical to finding a clear pattern of improving the service consumers' ability and meeting the needs of consumers. It is to focus on the most essential human services of physical retailing, and further improve the service level under the conditions of informatization."