How to protect the rights of consumers who have purchased the goods in case of withdrawal of the store? The other party said that if the withdrawal situation occurs, Ouyada Home Hangzhou Branch will honor the service promise and be responsible to the consumers in the end, and cooperate with home factories and distributors to properly resolve all kinds of after-sales. Matters.

It was mid-summer, but the home furnishing industry was chilling. The home furnishing industry, which is the end industry chain of the real estate industry, has grown with the prosperity of the real estate industry, and is now sliding into a sluggish range with the downturn of the real estate industry. Since 2011, after many years of rapid expansion, Hangzhou has ushered in a collapse of the home market. In addition to the poor environment, the rapid expansion of the home shopping malls and the extensive profit model were also a "blade" for Waterloo.

Home shopping malls are chilling, Hangzhou has shut down nearly ten in three years

Let's start with Ouyada Riverside Store.

This is Ouyada's third store in Hangzhou, and it has attracted attention when it opened in 2011. In order to grab the beach in Hangzhou, Ouyada can be described as "a huge amount of investment"-

The volume of Binjiang Store is equivalent to the sum of the other 2 stores, with a scale of 120,000 square meters. The daily rent here is as high as 2.5 yuan / square meter, and the annual cost of shopping mall rent is as high as 100 million yuan, excluding shopping mall operation management and personnel expenses.

Helpless, catching up with the poor real estate situation, the market is weak, and high operating costs, the revenue is difficult to maintain the mall operations. As of the end of April this year, less than two years ago, aside from the previous fixed investment, Ouyada Binjiang Store's operating loss has reached as high as more than 100 million yuan, and the operation is unsustainable. (Data source: On May 9, Ouyada Group sent a "contact letter about the negotiation of the termination of the lease contract between the two parties" to the landlord "Zhongnan Construction Group")

"Hangzhou's home furnishing store has reached saturation, and Ouyada's occurrence of this situation is also expected." Yesterday, Jiang Hongyuan, president of the Zhejiang Furniture Industry Association, said that a few years ago, he clamored for a serious surplus in the home market, but no one ignored it.

The landlord of a home improvement store in Hangzhou recalled that from 2008 to 2010, it was the time when foreign chain home furnishing companies were rushing to Hangzhou. In order to seize the golden home business district and key locations, many store owners sought out various relationships. "On a good night before a day rent 2 yuan / square meter, the next day there is another door directly offer 2.4 yuan / square meter."

"Before 2009, the life of Hangzhou's home shopping malls was still relatively good." Jiang Hongyuan said that at that time, basically opened a family, but then the entire industry expanded blindly, coupled with many commercial real estate boosts, home shopping malls got angry.

In July 2011, the Hangzhou store of the national chain actually evacuated. Just in the same building, two years ago, the "Star Dragon" Home Expo Center opened sadly one year ago. In May 2011, the local home market in Hangzhou and the 12-year old Hangzhou home furnishing market, Heping Furniture, ceased operations. In the past two to three years, there are nearly ten shopping malls closed in Hangzhou.

At present, there are 15 home shopping malls in Hangzhou. Among them, 1/3 make a loss, 1/3 are flat, and 1/3 make money.

High-frequency sales

The more and more home shopping malls are opened, the more they are opened, they also have hard-to-read experiences.

"The worse the market, the more activities are needed. Don't push it or sell it." The relevant person in charge of the marketing department of a large home shopping mall in Hangzhou lamented.

Last weekend, they carried out two days and two nights of promotion, and the activity continued until early in the morning. Of course, the effect is okay: more than 20 million sales in two days.

Last year, there were 12 or 3 promotional activities in the mall. Every time you engage in promotional activities, it is the busiest day for the marketing team. "It takes a lot of effort to say that the cost is also considerable." The person in charge revealed that this two-day event, they smashed 1 million (including advertising and subsidies to merchants), this cost, the shopping malls actually paid for it.

Over a year, this cost is at least 10 million yuan. "There is no direct benefit from such input." The person in charge said.

Unlike traditional department stores, this pure rental home shopping mall has no sales commission. "To be clear, we are protecting from droughts and floods, but the market is not good, and the business households have not entered the account, we are worried that the rent will not be received."

Therefore, the logic of every special promotion is that the shopping malls will gain popularity through the promotion, the operating households have business, and the accounts have money, and the rent for next month will naturally be deducted.

"To be honest, we are also helpless in this kind of market." Mr. Shen, the head of another home shopping mall in Hangzhou, said that despite the sluggish market, the annual expenditure is rising, and the most important thing is marketing expenses, accounting for nearly 60%. . For example, a home shopping mall with an area of ​​100,000 square meters has an annual operating cost of about 16 million yuan. Excluding property, labor, taxes, etc., the marketing cost is about 10 million yuan. The situation of its peers is similar.

Most of the current home shopping malls in Hangzhou adopt a pure rental system, when the "second landlord" earns the difference in rent.

"This profit model is relatively simple, but it also exposes a lot of problems." Jiang Hongyuan, president of the Zhejiang Furniture Industry Association, said that the store makes profits through the rental fee, and the average rent paid by merchants accounts for 30% to 40% of sales. As a result, merchants are reluctant to enter the market because of their thin profits. In addition, too many shopping malls are opened too fast, there are more people sharing the same piece of cake, and fewer people are allocated to each house.

Merchants are confused: the store is more profit diluted

Facing the current complicated home furnishing market structure, merchants have become confused.

European business Mr. Fang home from Taizhou are 2078, his exact words were "a few years ago is sitting in money, in recent years is to boil the hope to succeed."

Mr. Fang currently has three stores in Hangzhou. The first one opened in 2007. It was the best market. It took less than two years to recover the investment. Immediately after 2010, the second one was opened. Three, this time he completely "planted" into it.

"European-style home investment is very large, and the decoration will be smashed into four or five million yuan at once." Mr. Fang's smallest store has 400 square meters, and the previous investment cost seven or eight hundred thousand. Indefinitely.

"The demand is just that. There are more stores and customers are diverted away." Mr. Fang said that in the past few years, the overall profit has become thinner and thinner. "Now there are more and more mall activities, and discounts are getting bigger and bigger. Now a 10% profit is already very good."

Around Mr. Fang, many merchants feel the same. "Everyone is standing by and staying. If they don't work, they can only withdraw." One of his home shopping malls has an annual update rate of about 50%. "New faces often appear."

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