Physical Retailer's Profits Should Be Worried And Action Should Be Taken.

There are enterprises to stop shop, such as the Wangfujing department store Bulletin shows that the company's annual negative growth of 7.9%, from the store to see the bell shop closed shop, resulting in a substantial increase in the performance of the subsidiary of Beijing Shuang an 84.2%, while the expansion of the Fuzhou shop loss and Zhanjiang shop closed at a loss of 71 million 580 thousand. Lotus also adjusted some stores.

　　 Huarun The Department said that it chose to reduce the loss of retail business by improving operational efficiency. The main strategies include integrating logistics departments, unified supply chain procurement of goods to save costs, and developing global sourcing through joint venture advantage. Own brand Advanced technology of product, membership card management and customer relationship management to stimulate existing customers.

In addition, the development of new formats and electricity suppliers are many entities at present. Retail The choice of transformation. Carrefour, for example, is in a small convenience store in China, and Huarun will also strengthen the expansion of smaller stores, such as professional stores and convenience stores.

Increasing the number of fresh or experiential formats is also the direction of the entity industry. Huarun plans to reduce the number of existing stores and reduce the size of its shops to a new V+ format store, focusing on fresh food. Guangzhou Wangfujing is building a new regional community department store around life experience. Wangfujing in Hohhot will adjust some floors to "city center outlets", bringing new business into the local market.

Golden Eagle business is transforming the experience life style. "We have opened 5 new life centers since 2014, bringing the total number of life centers to 7. In addition, Changzhou Jiahong store also has new commercial area to put into operation. The new commercial area of the new shop and old shop has increased by 305 thousand square meters. In the next few years, the whole life format will be our focus. Now we can not do simple traditional department stores, but we need to experience development to deal with the electricity supplier. " Golden Eagle Business insider admitted.

Of course, there is also a way of "using the other way to solve the problem" - the entity operators themselves do business. Huarun launched its business plan this year. Its chief financial officer and executive director, Li Ruxiong, said that the pilot will be launched in 6 and July this year. Carrefour and so on are also planning to start the business.

"There are many difficulties in the real industry, but the transformation of the electricity supplier is not easy. The electricity supplier has huge cost, and its management, commodity classification and sales channels and operation modes are very different from the physical stores, especially the logistics coverage and cost is a headache, so the transformation of the entity business will take time." Senior retail expert Ding Haozhou analyzed.