Chain development effort into expanding secondary and tertiary market disruption
05 chain made the most fierce power moves, nothing less in the secondary and tertiary market expansion, huge consumer demand also led the national chain, between the national and regional chain between the chain and national chain , regional chains and local department stores, the battle between the agents. Although the national chain's success in a market so that they store and purchase quantity unmatched, but two, three geographical features and the market has the concept of consumer demand, also become home appliances chain resistance, secondary and tertiary markets For home appliances chain, but still a "hard nut to crack."
Mind expansion plans of the three
Business from the home appliance chain channels can be seen in this year's expansion plans, a secondary and tertiary markets started the campaign began. Gome Huang Guangyu, president in March in Shanghai, told the media that said the United States and two countries, three markets will be the overall planning of the Yangtze River Delta, Pearl River Delta and Bohai economic circle around tilting, in the consolidation of a market, it is a day the speed of opening a new store to the secondary and tertiary markets rapid expansion; in Sun Weimin, president of Suning Appliance Chain expansion plans this year, the will to occupy more than 2,000 county-level market, 350 secondary cities, to be completed in 90 cities in distribution, In addition, the Yangtze River Delta will be the Pearl River Delta around two, three market tilt; Paradise insists on county-level cities in the Yangtze River Delta region penetration, to the present, in Taicang, Taixing and other county-level cities have opened more than 30 stores, and said that this year will also intensify its efforts to open about 30 stores. Which originally belonged to medium and large regional home appliance chain industry, Five Star, a good home is also easy to deploy with their own active National Urban II in 2005, three market shop plan.
Home appliance chains such frequent attacks this year, two, three market? China Chain Store & Franchise Association Pei Liang of the Secretary-General, no more than three reasons: first, a market has become saturated, chain industry must find new profit growth point; second, second and third tier cities, home appliances consumer demand more strongly than the primary market, the market potential; Third, in order to avoid clashing with foreign home appliance chain retailers the most competitive of a city, forced the Gome and Suning chain giants such as China have changed the direction of expansion, vigorously develop the second, three markets.
Multiple resistance A market because of the national appliance chain, and other forms of home appliance retailers to enter earlier, formed a strong sales and management control, at present, the market dominance and the right to speak is the national chain to control; in the secondary market, the large appliance manufacturers have established a complete and sound marketing network and team, part of the products from home appliances retail chain, part of the office or branch, through its sale to the local department store and retail trade, other part of the distribution by the agents, the market dominance of the factory; in three markets, the major appliance circulation counter in an integrated appliance shopping centers and individual households bear the appliance business industry, market dominance controlled by the distributors.
Initiative from the above we can see that the market operators, secondary and tertiary markets a wide range of pattern formation of the channel, although the national focus turned to the second chain giant, three-tier market, but also face multiple obstacles:
First, face the great challenges of regional chains. Represents the regional chain to avoid the full market has been in the forefront of the national chain to control, has already begun to use local advantages and veteran influence, and reaches to the surrounding secondary and tertiary markets. If started in Shanghai, the Paradise, in a solid position of their boss in the Shanghai market, while the second radiation around Shanghai, there is no tertiary market is still slack; as Nanking, "the local snakes" five-star positioned in the beginning created two, three market, has been north of Jiangsu, Anhui, Shandong, Jiangxi, two, three cities its own dominant position strong; also easy to good home in the layout of the secondary market in Guangdong, they are on the national chain giant in two, three market strategy pose a direct threat.
Second, the greatest resistance is the contradiction with the traditional distribution channels. Manufacturers in the secondary and tertiary markets to establish their own channel construction, such as Gree store, Changhong air-conditioned warehouse marketing. In addition, Kelon, Haier, Panasonic, LG and other major air conditioning companies are active in the secondary and tertiary market penetration. This fight will be with old and new channels of home appliance chain's expansion have been very intense and frequent.
Third, in secondary and tertiary markets, competitors also include quick response, more flexible individual operators. Although the scale of individual operators will no match for large home appliance chain, but if these scattered individual operators to conduct joint regional scale within the retail purchase price of a certain competitiveness, competition will be on the home appliance chain early in the second, 3 expansion of the market to bring no small resistance.
80% of the market to be open
Good operation of the secondary and tertiary markets, said Wang Jian, vice president of Five Star: "chain currently in the secondary and tertiary markets accounted for only 20%, but some regions have begun to integrate. Now , Zhejiang, Jiangsu, Shandong, specialized chain has begun to develop in the direction, to the end of the year, chain ratio in the southeast coastal areas will account for 80%. a in the secondary and tertiary markets protracted war will be performed this year the most intense. "
Experts suggest that chain to the secondary and tertiary market expansion must grasp three points: First, from the market analysis to the current Chinese secondary and tertiary economic conditions in the market, select the secondary and tertiary markets between the densely populated, economically vibrant city, will be driving sales growth. If the country the United States, the first goal is the urban population of 50 million or more, per capita income of 6,000 yuan to 8,000 yuan over the city. Second, the rational planning and layout, to seize the secondary and tertiary markets for the high ground of central cities, the surrounding radiation. If just the acquisition of Five Star Yatai, who correctly identified that is outside of the Shandong Peninsula, Qingdao. Again, look for a competitive lot, only to seize the city's "heart" of the lot in order to secure their position in the local competition and visibility and also to deal with in the future, "the invasion of outsiders," ready.
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