Home shopping district is now iron triangle Suning Gome three minutes of the world

"The number of chain stores is not equal, in fact will cause unfairness." Suning CEO Ling Guosheng said yesterday that the East China area two years in Shanghai market, home appliance chain stores will have a "dynamic balance of iron triangle", each district will have a home appliance Suning, Gome, Yongle and enter, so at the end of the year the Shanghai home appliance chain store total will from now on the more than and 120 to 160 growth about.

In the trend of competition

"Iron triangle" instead of point to point contest

According to statistics, the current Shanghai home appliance chain store number has been ranking first in the city, and still showed a rapid increasing trend in the city, Suning, Gome, Yongle three chain distribution within 100 meters of the home appliance business is not uncommon. In May three, Sichuan, Tianlin gongkang District, Suning recently signed the three flagship store will be opened in July. In the three District, Gome, Yongle has already entered the price war can hardly be avoided. According to reports, during the May Day golden week, because Yongle stationed in Zhongshan Park, from Suning, Gome too close, resulting in some price sensitive commodity price adjustment within a day more than and 10.

Analysis of the industry, the current saturation of household appliance market in Shanghai is not absolute, three in Yongle stores occupy advantage, market share is still higher than Suning, Gome, the uneven distribution of benefits will inevitably lead to three home shopping, from the market expanding and competitors share dilution, still can form the basis of survival the new shop, with three small "iron triangle" will continue to increase, is expected to end this year, Suning, Gome, Yongle formed three of the world, each one of the largest home appliance stable pattern, the "iron triangle" formed, but also the formation of latecomers insurmountable threshold.

In the direction of expansion

Focus on building a competitive flagship store

Three behind the fierce competition, the giants do not seem to intend to slow down the pace of expansion. Ling Guosheng said that in 2006 the number of Suning stores will not be lower than last year, but will be more focused on the competitive advantage of the flagship store and the construction and transformation of large central store. Wing wing news spokesman Huang Jianping said that during the year, the total size of Yongle stores in Shanghai will reach more than 70. The United States also known as the end of the total number of stores will reach about 60.

However, the rapid expansion of the chain giant, while the total sales increase, while the entire appliance chain industry are facing a decline in the quality of individual operations. Ling Guosheng said that the reason for its two main points, the entire industry is in a high-speed expansion stage, a city in the number of stores more and more, and the entire market in limited circumstances will inevitably lead to single sales decline; on the other hand is more consumers tend to have the grade of the flagship store. From the sales point of view, the flagship store, the store has the advantage of the size of the chain has not been affected by the decline of the industry as a whole, sales performance does not fall or rise. Flagship store has a sample all, positioning high-end, wide range of radiation and other characteristics, compared to the impact of the ordinary chain stores strong, but also have the survival advantage, but also the main trend of the subsequent chain. Ling Guosheng said, Shanghai Suning will be combined with the large-scale construction of rail transit in the city to open stores in a number of opportunities, rail transportation hub, build quality, and enrich the marketing channel in the retail store at the same time, strengthen the focus on the development of group purchase, engineering, B2C online shopping and other sales channels, improve sales volume.

- business strategy

Increase the proportion of flagship store 3C appliances

Flagship store is a major direction of the marketing of 3C appliances. Since the second half of last year, Suning, Yongle, the United States have changed their strategy, out of the flagship store, improve the proportion of 3C appliances. From Changning road Suning flagship store business, the proportion will not affect the traditional 3C promote the digital home appliance sales, enrich the whole category line is more conducive to the diversification of marketing construction, relative air conditioning, color TV, ice wash and other traditional items, update frequency, digital mobile phone products higher, huge market capacity. Suning through the construction of new generation large scale sourcing experience consumption environment, sales price advantage, customer service service in 3C service network, different from the traditional channels of "one-stop" service characteristics of construction, has become a powerful capital market nuggets 3C. It is reported that the Soviet Union opened three 3C flagship store total operating area of more than 19000 square meters. Ling Guosheng expects three new flagship store will generate annual sales of more than 1 billion yuan.