The Department Store's Entry Into E-Commerce Is By No Means &Nbsp, But With Advantages And Disadvantages.

In China

It seems like a logical thing to move the shopping malls to the Internet in the past one billion years.

However, despite the online call for rain, although the Ministry of Commerce has also issued policies to support leading department stores to enter e-commerce.

But it is rare to regard e-commerce as the strategic development direction of the company and to open up a company with its own arm.

A few of them, though having their embryonic form, are still in the test stage and are hard to set an example for the industry.

The natural advantages of retail department stores are: good brand awareness and high credibility; many years of operation of department stores have formed gold lettered signboards, and have accumulated high brand credibility among consumers.

Under the environment of Chinese consumers' distrust of online shopping and the existence of fake and shoddy phenomenon of some small sellers or small websites, the trust of department store brands can form a "guarantee" for e-commerce, which can greatly increase the degree of trust.

The two is huge customer resources and supplier cooperation resources.

Customer resources can be guided and pformed to form a stable consumer group, supplier resources can make procurement more smoothly, and can be combined with offline business negotiations to enhance discourse power.

However, the disadvantages of the department store in e-commerce are obvious: the "simple replication" of business will bring about "overlap and conflict".

At present, the profit mode of online shopping mall and its company is conflicting. The traditional department store industry is a commercial real estate mode, and the profit of the shopping mall mainly depends on the sales of the points and suppliers' counters.

The strategic positioning of suppliers in retail stores is generally difficult to re-use e-commerce mode marketing, because this will generate two major conflicts: first, price conflicts, online prices are generally low, will have a impact on its sales; two, regional conflicts, electricity providers have no boundaries, A City shopping arcade online business will grab B Province market consumers, suppliers can not face the pressure of B province cooperation mall.

Some suppliers believe that the online sales market is not standardized, for example, many international brands are not allowed to sell online in China.

This makes the online business of the mall lose a lot of attraction.

Therefore, the online shopping mall can not copy the shops as simple as it used to be.

One is the dislocation of the crowd.

The location of department stores is generally broader, but seemingly large customers are not accustomed to online shopping. They should seriously analyze the composition of people who are keen on online shopping, and make precise positioning in age, education and occupation.

At the beginning of the net, it is best to position smaller ones, which will make the online customers cheaper and more efficient, forming a complement to offline businesses rather than replacing them.

The two is the misplacement of categories.

This paper analyzes the flat effect of shopping malls, lists the commodities with large display area but low contribution to flat products, more competitive commodities, or products that are seasonally strong and cause frequent adjustment of shopping malls in the physical shopping malls, and selects the categories that are popular among online shopping.

At the same time, online shopping mall can also keep the display space properly, and provide the service that the pure electric business enterprises can not achieve.

The three is the dislocation of selling points.

Offline shopping malls are attracted by good shopping environment, exquisite merchandise display and perfect shopping experience, while online shopping centers are attracted by convenience, expeditions and concessions.

Therefore, we should enjoy the focus of online products, fast and practical products.

Some commodities can focus on the trial sale or the end of season discount activities on the online shopping mall, which not only maintains the brand image of the line, but also can digest the stock rationally.

Through dislocation operation, it can form an appropriate separation between online and offline businesses, reduce the price conflicts caused by the same supplier, and form the normal operation of the online shopping mall.

After a large scale of online business, enough bargaining power is needed to further lock in some suppliers' products and get the exclusive right to distribute the network, which will further reduce regional conflicts.

In some of the less differentiated categories, private brands can also be appropriately launched, which can lead to greater price appeal.

The electronic commerce of the department store is the trend of the times. The early test of water is better than the wait and see, but the process needs to be explored and summarized.

The dislocation management strategy can make the earlier obstacles less and the advantage resources more effective.

It is hoped that China's department stores will emerge as early predators in the field of e-commerce.