subject: Why helpless giant home appliance chain 23 market? - Suning Appliance, Five Star - HC Network Appliance Industry-hc360 [print this page] Why helpless giant home appliance chain 23 market? - Suning Appliance, Five Star - HC Network Appliance Industry-hc360
After several years of ferocious in Happy Valley enclosure and powerful alliances, law of the jungle, the former home appliance chain giant, already depleted
Country United States
,
Suning
No doubt to rank the remaining strong in the first two. Now, these two giants have been firmly in control of home appliance chain in Beijing, Shanghai, Guangzhou and other large cities and the capital city where a large household appliances market is almost 100% market share, and more than 80%
Small appliances
Market share. In the primary market, is absolutely
Monopoly
Position. In addition to these small cities outside the city, that 23 market, it is always very awkward position. With "unpalatable gesture" to describe their feelings on the 23 market is the most fitting. In a market all-powerful, do anything they want in the home appliance chain giant, why the 23 market, even reduced to the point? Thin, come to nothing more than the following reasons: 1. Chain giant's own reasons: chain giant in the development of 23 markets, because of time constraints because shop, often the local site, publicity, communication with the government's lack of preparation for the opening and the normal operation after left hidden. To the author of 23 of Shandong where the market as an example: the secondary market has Zibo Gome and Suning have closed shop due to improper location of the case occurred, but more serious was the
Five Star
For the sake of one shot, in the early days of opening the campaign directed at the most powerful of the local commercial Zibo, Zibo commercial joint causing major manufacturers and other businesses on the block five-star, the objective is also to promote the open five-star twice in Zibo shop, they closed shop twice and eventually defeated Zibo market outcome. On the other hand, most of the 23 markets in the chain are two divisions, many brands do not separate procurement, the procurement needs of a segment after the internal allocation, the corresponding activities, giveaways is the process which led to OTC information sources and activities of the lag and volume of the delays in upgrading. Retail sales do not increase, the market in the region occupied by the natural market share is not high, then the chain's position in the regional market can imagine. 2. Local comprehensive shopping malls or exclusive presence of appliances: Shandong market is an example. Around the city, Shandong province in which the secondary market, both local comprehensive shopping malls or home appliance franchise there. Commercial buildings such as Zibo, Dongying 100 large, Yantai Zhenhua, Jining Kowloon. These shopping centers in the local business for many years, with considerable strength and credibility, and the incredible network of contacts and popularity. Which is new to the giant home appliance chain is absolutely second to none. In addition, these local shopping malls and chain operators in the war have learned a lot of chain of "elements" such as had never been in charge of the factory site, Dianqing, electricity and other collection. This results in a local mall with more "ammunition" to deal with the giant chain. In addition, local businesses do for the chain of negative publicity, such as: "a rented storefront, goods and
Sell
Staff are manufacturers, "and so its objective the improvement in the local share of added a lot of resistance. There is a card issued by the local business spending, consumer electronics of all cardholders full circle to its own consumer store, as chain can only "hope cards sigh." 3. Manufacturers of reasons: as manufacturers, which sell good businesses will naturally be more willing to support businesses which are called like "icing on the cake" and not like the "timely help." But doing business is too large, it is "Scared." On the one hand the need for businessmen to enhance the strength of their sales and market share, the other businesses to do too much instead of the manufacturers make all kinds of harsh conditions, such as can not meet the co-operation will be to stop the threat. So the manufacturers, in a regional market requires considerable strength and balance of several businesses to each other, so are not themselves in a passive position. On the chain giant, its with the big contract manufacturers in the country has been its relatively favorable, so naturally, as manufacturers will not give her a more preferential policies, there would Yanghuweihuan situation. In turn, will give manufacturers a number of good policies for local businesses to respond to a nationwide chain of the agreement due to the formation of the price advantage. Such an outcome will naturally arise is at least equal situation. Of course, this is a case of manufacturers, want to see. But on the chain for the obstacles to its bigger. 4. Customer reasons: the customer is the reason in a mall to buy a particular brand of goods, nothing more than fancy price of the mall,
Service
And shopping malls in the plot, or that consumption habits.