How Does The Department Store Industry In Shanghai Change?

The operation of department stores is facing the decline of cliff style.

The sample monitoring data from Shanghai commercial information center showed that 58 large and medium-sized department stores in Shanghai sold 31 billion 960 million yuan in 2014, down 1.9% from the same period last year.

After 1.1% negative growth in 2012, sales fell again.

In terms of trend, the department store industry in Shanghai has changed from rapid growth in earlier years to slow growth or even negative growth.

Statistics show that Shanghai City

The growth of performance is not optimistic.

Various promotions can hardly conceal the weakness of sales.

In the city's business circles, the sales performance of the municipal business circle decreased year-on-year, except for the central business circle.

The total sales volume of urban department stores decreased by 3.4% compared with the same period last year, which is 10 percentage points lower than that in the suburbs.

Although the performance of rural department stores is better than that of urban areas, the growth rate tends to slow down, except for a few districts and counties, with varying degrees of decline, with a drop of 14.7%.

And the decline in the department stores is not just the case.

According to Chen Yunfeng, Secretary General of China real estate managers Union, from the data of the national department store in 2014, less than 20% of the shopping malls can maintain the level of sales in 2013, and 80% of the shopping malls have dropped sharply. The average decline of these stores has reached 20% -30%, and some even reached 40%-50%.

Under such pressure of performance, it is not surprising to choose shops and adjust formats.

In desperation, many department stores can only choose to close stores.

A statistics from Lian Shang network showed that in 2014, there were 23 stores in China, including 4 of Parkson Department stores, which became the largest department stores last year.

It is reported that since June 2013, Parkson has closed 7 stores in Guiyang, Shanghai, Shijiazhuang and Beijing.

Last year, the department stores that closed down the stores also involved Hua Tang shopping mall and Zhong Du department store (3 each), Shang Tai Department store, NOVO department store, Baole department store (2 each), and Wangfujing department store, Tianhong shopping center, Xinguang department store, modern department store, Spring Department Store, Ruifu Ole, Nanning department store (1 families).

China's department store industry development and forecast report 2013-2014 issued by iMall, a professional research institute, points out that the department store industry, as a traditional retail channel, has been seriously impacted and has entered the pition period.

Meanwhile, department stores have entered a mature stage in the life cycle of China's retail channels, and their competition is becoming increasingly fierce.

IMall data show that 17% of traditional department stores began to turn to shopping centers, while in the nationwide department stores, the proportion of pformed shopping centers was as high as 42%.