Suning play hit 200 million yuan to purchase a large estate to open flagship store – Su Ning, Zhang Jindong, Gome – HC Network Appliance Industry-hc360

Is to gain an advantage or a mad gamble? Suning for the first time since purchasing the property in the South to open flagship store

Lot of money buying real estate shop in the industry view, be regarded as a major home appliance industry taboo channels, while the "perimeter" has been Suning Appliance appears to be easily cross the past. Su Ning, director of Wuhan, Ren Bin, director of Office has confirmed that, Suning, Wuhan spend 204 million yuan to buy the work in the South Bank Plaza, B, C 1-5 level buildings, building area of 20,627.74 square meters, plans to open flagship store in home appliance chain. According to reports, the property is located in the heart of Central business district location, delivery of house no later than the end of this year, while Suning flagship store opening planned for early next year.

Themselves, "Landlord", to create the concept of Wuhan appliance MAIL

"Through our preliminary investigation found that Central business district of the 3C type of digital communications products sales very well." Ren Bin that South shopping district has formed a mobile phone and other communications products distribution center, together with the surrounding students, faculty and staff a lot of great potential for high-end consumer appliances. Suning flagship store in South Africa is prepared to come up with a layer of 3C products franchise of 2000 square meters. "This chain of home appliances in Wuhan is unprecedented."

Ren Bin said in the introduction of its flagship stores, including KFC fast food, sports apparel and cafes and other leisure Format, to create the concept of home appliances MAIL. As a "landlord" of Suning Appliance hope to be able to form a market in which businesses interact with to enhance the commercial value of buildings.

It is understood that the Wuchang Central business district is one of several important business district, early in 2005 the government proposed to build headquarters in Wuchang Economic Planning, in the South wishing to build a business and financial center. Central plate location and convenient transportation, in addition to more than 40 bus lines outside the planned subway line is also the intersection of 2,4. Central business district, the Hongshan Square in the South to the formation of large-scale mobile phone store, and has been around the industry and trade, country of beauty and force distribution of household appliances business, but also a Golden Horse home, Macao and China and other home decorating businesses in this lineup. Industry analysis, Suning's presence is bound to accelerate the business district within the same business state competition, while the Central region, home prices have led to upgrade.

The home appliance chain King Kai "big store strategy"

Shop a few years ago caused a large number of single home appliance chain store down the profitability of home appliances is already a channel for business problems can not be avoided. Suning's flagship store in Wuhan program speed, while local home appliance chain boss Wuhan by the end of April to complete the Trade and Industry also the largest of its central appliance stores – Tang Jiadun store's third re-Chang. The Wuhan Gome also disclose the development of flagship projects in Wuhan. According to ICBC Square project leader of high Ying introduced the country even before the United States and their contacts.

"Based on our experience in other cities, large stores open position is good, management ability is very strong." Ren Bin said that the flagship store with the main business district of geography, products rich, spacious shopping environment, one-stop shopping , appeal and strong, the proportion of higher-end new edge, with the growth of business hours, on the periphery can lead to rapid appreciation.

Industry recommendations: shop itself is the key radiation

Although the "flagship store sales ability 'pit one against ten' core business district to consolidate strengths and effective way", home appliances expert, Kuafu management consulting Liu Buchen, chief adviser that is not an authoritative statement that a large store on a certain to have high profitability, but on the other hand also shows that the upgrade home appliance chain industry as a whole, large shops can give consumers an interactive experience, enjoy higher.

But he also said that the flagship store just a part of home appliance chain store opening program, can not become mainstream, "Benz, BMW, though good, but not all cars are made of Mercedes-Benz, BMW." Also, if not well to radiation around the area, the cost is difficult to recover.

's Observation

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