Shang Tai Evacuated The Market, Sparking Hot Debate, And The Main Department Stores Were Becoming Ribs.

Recently, in Hangzhou's retail market, department stores and shopping malls have once again been faced with a separate situation. In October 16th, Shang Tai Department store, located in Vientiane City, Hangzhou, issued a notice that it would formally suspend business and withdraw in December 1st. As soon as the news came out, the public was in an uproar: "the performance of the main department stores is poor, the shopping centers are ribs" and "the department store industry is in an awkward position".

In fact, the fate of shopping centres and main department stores is not new. Taking the development of the retail industry in the north of Guangdong Province as an example, the main department store's withdrawal from shopping centers seems to be the norm. Beijing Chaoyang Joy City and the main store Yong Wang Department Store cancelling; Guangzhou's China Plaza retreats its main department store Chinese department store, Hong Kong Hui square retreats Hong Kong Hui new wing department store, and Shanghai's Dragon dream shopping center retreats dragon dream store.

"The main department stores account for a large proportion of shopping centers." A deep industry insider said, "in the actual development process, the rent, the contribution and occupation area of the flow of people are seriously out of balance." He believes that in the future optimization and upgrading of shopping centers, going to department stores will become a trend. Reporter Zhu Mei

Shang Tai's withdrawal is the adjustment of the parent company's business strategy.

The Mixc: do not rule out further exploration of department stores

Since last month, there have been reports in the industry that Shang Tai Department store will be closed from the Mixc, Hangzhou. Last week, the news was officially confirmed that the Shang Tai Department, which entered the Hangzhou market in 2010, will be officially closed in December 1st.

In recent the Mixc official micro-blog and WeChat, there are also relevant declarations. "Ladies and gentlemen, based on the unified decision of Shang Tai headquarters, Hangzhou the Mixc store of Shang Tai Department is going to say goodbye to us. Thank the Thailand friend for four years' day and night... " Affirming that there is a reminder at the end: Shang Tai Department Store Hangzhou the Mixc business hours as at 22 o'clock on November 30, 2014.

"Shang Tai has been introduced into China by Huarun, and the two sides have maintained good cooperative relations." Hangzhou the Mixc relevant official told reporters that the operation of Shang Tai did not meet expectations, and the termination of cooperation between the two sides was due to the overall market operation strategy of Shang Tai parent company.

It is reported that Shang Tai Department Store is the largest tenant in the Mixc, Hangzhou. Its early withdrawal will have some impact on the shopping center. The industry is more concerned about who will pick up the plate?

"We will decide on the combination of tenants and formats according to the local market and the actual situation in the Mixc. The goal is to make Hangzhou the Mixc the most competitive shopping mall in the local market." The Department official said, "department store is a traditional and innovative business form. It is constantly changing and developing, and shopping center is not only a competitor but also a partner. As a partner, the department store's operation in shopping mall is a very big topic, and it is not easy to do it. Shopping centers all over the country are the same.

He said that the Mixc is a large volume, comprehensive shopping center, and strive to do all kinds of formats, businesses and business categories. "So everything is possible now, and we will not rule out further exploration of shopping centres without department stores."

　　 Fast fashion + brand collection shop + popular restaurant + children format

Going to department stores or shopping centres

Cinema, KTV, Department store It is the main store of shopping centers, because shopping centers need entertainment experience to increase their experience, and they also need department stores to increase customer loyalty and improve passenger flow. With the development, there is a phenomenon of shopping center customers returning to the main department stores. Because of this, many shopping centers began to cancel their main department stores. This phenomenon is known as "shopping malls to department stores" in the industry.

"Not Shopping Mall Do not want department stores, but the reality in front of them, have to give up. A business network official said that more and more shopping centers began to retreat department stores. There are many reasons, one of which is that the Department's internal investment and shopping center investment are easy to fight. Moreover, at present, the Department's popularity is not as good as that of supermarkets.

Other business experts believe that if shopping centers can not get richer brands and their exclusive labels through department stores, they can not bring fresh feelings to consumers. "Shopping centers' new look" will be an inevitable trend.

In fact, if you observe carefully, you will find that more and more shopping centers are beginning to pay more attention to the proportion of catering and entertainment formats, and on this basis, we should increase the introduction of fast fashion brands or brand collection shops that are more attractive to young fashion groups.

"Fast fashion + brand collection shop + popular dining + children's format" will be a new combination of shopping centers in the future, and the brand collection store will largely replace the department stores, becoming a new highlight of shopping centers. Take Beijing Chaoyang Joy City as an example, which first started involving department stores. In April 2012, it adjusted and upgraded, while strengthening fashion features, increased catering and entertainment formats, and strengthened children's formats. After second years of upgrading, sales increased by 40%.

According to the latest report of Hangzhou's three quarter market report and China property investment guide, the number of shopping centers in Hangzhou will explode in the next two or three years. Homogenization will become increasingly serious. "If shopping centers can't get richer products from department stores or their own exclusive labels, there is no way to bring freshness to consumers, then going to department stores is also an attempt." Hangzhou the Mixc relevant responsible person said that the most important thing for shopping centers to consider now is how to improve the competitiveness of shopping malls.