Hundreds of homes that have suffered huge losses test new retail sales and make a comeback! Winning geometry?

The first floor of Auchan Supermarket in Beijing's southwest Fourth Ring Road is Lehua Meilan Kexing Store. In fact, during the 14 years of its entry into China, Leroy Merlin has been the only store in Kexing.


The reporter saw here that this is a large-scale home store. The business model is the home supermarket model. Consumers choose their own furniture, building materials and other products.


However, unlike other professional home stores, Lehua Meilan is characterized by a large number of small household items, outdoor products and small accessories, most of the customers, even if do not buy large furniture, building materials, as long as the mall will enter Picking out a few small items that you like, this is one of the advantages and characteristics of Leroy Merlin.


Another advantage of Leroy Merlin is the home improvement segment. At the entrance to the hypermarket, it is the home improvement room and design showroom of Leroy Merlin. The reporter saw that there are still many customers who negotiate renovations inside. Unlike other decoration companies, Leroy Merlin is not a customer service person but a home improvement designer. In the negotiation area, each reception room is a designer's workshop and exhibition room.


A young designer who had just received the customer told the reporter that the customers who wanted to decorate in Leroy Merlin would visit them first and communicate with the designer to determine the decoration style and cost budget. After signing the contract, the customer would receive a Zhang Lehua Mei Lan home supermarket VIP card, Cary can be stored, with this card in Leroy Merlin to buy furniture, building materials, etc. can get a discount.


According to their company's regulations, all of the customer's decoration main materials must be purchased at Leroy Merlin, because Leroy Merlin's products have quality assurance and there will be no quality problems after the completion of the renovation. And Leroy Merlin's products are very rich and can fully meet the different needs of customers' decoration.


According to the reporter's understanding, since 2004, after Leroy Merlin entered China, for more than a decade, there has been only one store in Beijing Kexing Store. However, since 2017, Leroy Merlin has suddenly been working hard and has opened four new stores - Lehua Meilan Fangshan Store, Sijiqing Store, Yuegezhuang Store, and the world's florist. The locations of the shops are larger and the surrounding area is more prosperous. Business area. Leroy Merlin's own branded products and inspiration for overseas home furnishings are its biggest highlights. It is reported that Leroy Merlin owns 13 brands owned by the group.


B&Q opens five stores at the same time


Like Leroy Merlin, B&Q is also a domestic supermarket business. When it first entered China, B&Q's momentum was fierce. In just a few years, a number of branches were opened, and domestic domestic stores were once exclaimed as “the wolf.”


B&Q's first choice of market competition strategy was price warfare. It had claimed that the price of its products in the stores was the lowest. If consumers found that the same products had lower prices than B&Q in other places, B&Q would pay double the money. The reason why B&J dared to display such advertisements was based on the fact that it had bought out such products from suppliers and the price was very low. But no matter how you buy it, the price is not the lowest, only lower.


Not long afterwards, there were a number of incidents in which consumers found and claimed similar products of lower price than B&Q in other places. Lastly, the price war of B&Q is gone. The most important thing is that B&Q's DIY supermarket sales business has encountered dissatisfaction in China, because Chinese consumers rarely have their own hands-on decoration, and most of them are all entrusted to the decoration company.


Therefore, a few years later, B & Q China suffered a substantial loss, contracted stores, and there was an incident of debt collection by suppliers. In the end, only one or two stores in Beijing’s Baianju are struggling to support it.


However, in 2018, Bianjue, who has been quiet for many years, broke a big news in the home industry and announced that it will open five new B&T home retail smart home stores at the same time. This is the first batch of new retail home smart stores that are all covered simultaneously.


Home retail enters a new era


Why does the international home giant suddenly make a comeback and expand rapidly? Industry experts believe that the most important point is that the home furnishing market has entered a turning point, and new retailing and intelligence will become a major trend in the future development of the home furnishing industry.


For home stores, in the new era, everyone is on the same starting line. A new era of competition has already come. The giants of foreign home chain stores that have been crushed in China have again shaken their spirits and displayed their advantages. New competition started.


In fact, the relevant person in charge of B&Q also stated that 2017, which was just past, was called the first year of new retail sales. New retail started with the digital transformation of all aspects of the traditional retail industry. The core of the new retail is centered on the consumer and the goods and services. Data such as payments, membership, and inventory are communicative and common, providing consumers with cross-channel and seamless service experiences. The new format will bring new opportunities. The B&Q's five new retail smart home stores will open the same way. It can be seen that B&Q handed over the first answer to the new retail exploration of the Chinese home industry.


B&Q will focus on products and will use innovative technologies and means such as artificial intelligence, black technology, big data, and the Internet of Things to integrate the three core elements of “people, goods, and market” into a smart technology empowerment store. Upgrade to create a new shopping experience centered on consumer home demand, and upgrade the traditional home industry to a new retail model.


I do not know in the future of the home market, China's domestic retail companies will not dominate the world as before?

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