Life And Death Decisions Of Physical Stores: Serious Homogeneity Of Stores

The definition of retail is the whole activity of selling consumer goods and related services to consumers or individuals in the end for their ultimate consumption. Then, a store is a place to sell goods or services to the final consumers or agencies.

However, the process of commodity circulation can not be completed only in stores. Retail formats are divided into two main categories: one is sales of physical stores represented by department stores, convenience stores and supermarkets; one is sales of non shop outlets represented by mail order, catalog marketing, telemarketing and TV marketing, and of course, the most mainstream way of shop sales is e-commerce.

Physical stores as commodities Circulation link The end is an important part of the final realization of commodity circulation. It needs to convey a lot of information to the end consumers. Why is it closed now?

It is undeniable that since the end of the last century, the retail stores in China have entered a stage of rapid growth. With the increasing number of stores, all kinds of commodities have entered the view of consumers. Open shelves sales, sales promotion, advertising, on-site experience and personnel promotion have been arousing the potential consumer demand of consumers and cultivating people's new hobbies and needs. At that time, stores have led to consumption tendency, fashion and fashion, and have opened up a broader market for the expansion of reproduction, creating new material conditions for the continuous improvement of consumption level. At the same time, the development of consumer goods has become more and more important. In 90s, China's retail stores have been developing rapidly.

But after entering 2010, the number of terminal stores has entered a relative bottleneck period. The number of similar stores serving the same terminal consumers is increasing day by day, and the competition among stores is also increasing. There are only a few hypermarkets in a city, and now basically a community has two or more stores. According to the statistics of China Chain Association, the sales growth of China's chain top 100 from 2010~2014 was 21%, 12%, 10.8%, 9.9% and 5.1% respectively. In 2014, it has become the lowest growth year in statistics, and the situation in 2015 is still not optimistic.

Chain stores in the process of expansion follow the standard shop mode, lack of innovation awareness in terms of commodity positioning, store layout, business mode and so on. However, the stores that suit local conditions and innovate continuously naturally gain more market opportunities.

　　 store Concern over the upgrading of formats is greater than the integration of the procurement industry chain. Within the chain retail enterprises, what kinds of changes have taken place in store display, and what information technology has been used to open up new stores in a new area, and pay more attention to it. For upstream production and supply, there is little concern about the integrated management of the industrial chain of its own products.

All stores are fighting their own internal operation of small abacus, profit is not enough from the upstream extrusion or even exploitation, never considered how to cooperate with upstream enterprises to enhance the overall efficiency of the operation, how to help upstream in their terminal to solve the urgent need for manufacturing.

The operation of stores is a knowledge, and more and more needs. follow And patience. With the increasingly wide application of big data, stores as a service terminal have more and more demands for feedback and tracking of consumers' needs. And our traditional stores are often used as the terminal sales department of production enterprises, or just a branch of sales goods, which is indifferent to the needs of consumers. This indifference also encourages consumers to move towards a more flexible and diversified network business platform.

The above problem is attributed to the increasing operating costs faced by stores and the asymmetry of profitability due to external declining profitability. Rent, labor costs and logistics costs have risen at least several times in the more than ten years of rapid development of chain retailers, and the stores have to plunge into vicious competition price competition and even a sharp drop in passenger traffic because of homogenization. The huge gap between expenditure and revenue has led to the closure of a large number of stores.