Why do high-end shops in many shopping malls still stand still when no one cares?

A classmate sells underwear to his boss in a famous shopping mall or second shop in this city (a fifth-tier city). In recent years, he has been saying that business is not good and it is very bleak. I asked, how did your boss survive so badly? Pay such an expensive rent every year and spend so much money on decoration. This classmate said that no matter how bad it is, the boss earns at least several hundred thousand dollars every year. . . . . . .

Every industry has secrets that ordinary people can't see through at a glance.

If you see that no one cares about the counters in high-end shopping malls, it is easy to question whether others are going to close down or subsidizing shopping malls, which are all psychosexuality.

Any consumption is divided into consumption levels. We can see and be familiar with the consumption phenomenon of our own consumption level, but we don't know the consumption phenomenon and consumption psychology of other consumption levels.

Many years ago, I came into contact with several high-end brands for work reasons. At that time, I asked one of the managers why they had to be tough when their shops were empty. They laughed without saying a word, saying that business was actually good.

It was not until one day later that I saw the actual sales log of a brand that I found that my original judgment was outrageous:

For high-end brands, ordinary consumers are never the target of sales, but a small group of people. It is unrealistic to expect a sea of people to sell.

As the sales target of high-end brands, their spending power and spending amount are also different from ordinary consumers, just as you can't expect as many people who can afford villas as those who can afford cabbages. Consumers who buy villas may have more spending power than a truckload of ordinary people.

Last month, I was invited to participate in a celebration of high-end liquor, which opened my eyes: a 60-year-old ordinary elder can easily distinguish the nuances of different batches of a high-end liquor.

Later, I learned that this is a business owner worth hundreds of millions. Drinking several hundred thousand yuan of Maotai liquor every year naturally makes him intuitively sensitive to the quality difference of high-end liquor.

Can you expect high-end liquor to compare with Tsingtao beer? Similarly, you can't expect anyone to drink hundreds of thousands of Tsingtao beer a year.

Therefore, as an ordinary consumer, there is no need to worry about eating carrots. When you don't have the consumption power of high-end brands, try to strengthen your economic strength. When you really have the spending power of high-end brands, you will find different scenery.

There are two kinds of shops in shopping malls, one is high-grade shops, which make money by high profits, and the other is middle and low-grade shops, which make money by quantity.

When I first graduated, I especially didn't like shopping in the mall. At that time, I thought everything in the mall was very expensive, which was a luxury for people with a monthly salary of 1800.

Now I finally have the courage to go shopping and find a very strange phenomenon. Some stores have many people waiting in line to check out, and some stores have few people.

There is a more strange phenomenon. The shops waiting in line to check out have changed a lot in recent years, while those with few doors have not changed much in recent years.

Obviously, few people buy high-end shops, why can they survive for a long time? And why are shops with large passenger flow constantly being eliminated? There are roughly two reasons:

Every store has a different customer base. Shops with large passenger flow are often oriented to the working class, while high-end shops with small passenger flow are often oriented to high-income people.

The 28 Law tells us that 80% of wealth is in the hands of 20% of people, which means that there are not many high-income people and there are not many shops in customer orientation for high-income people, so there is little competition among similar people. Every high-end store has its brand effect, and it is difficult for similar products to defend their position.

Conversely, let's look at the shops with heavy traffic. The competition pressure of the same kind is very great, and the same product has to rely on price and flow to win.

Walking into those shops that nobody cares about, any scarf costs thousands to tens of thousands of yuan, and the cost of a scarf is very low, which shows how high the gross profit margin of its goods is.

In order to get higher passenger flow, shops with large traffic will set the price very low, with similar pricing and cost, and low gross profit margin. Considering the labor cost, some shops operate at a loss.

Whether it is a high-end store that nobody cares about or a store with a large flow of people, if you want to make a profit, you have to start from the customer, and the store that brings value to the customer will last longer.

Why do high-end shops in many shopping malls still stand still when no one cares? On the surface, this phenomenon goes against the common sense of economics. In fact, the water behind is very deep!

Everyone must have noticed this strange phenomenon. Obviously, there are fewer shops, fewer customers and even more shop assistants than customers. Why haven't these shops closed down for so many years? Don't these stores have any operating costs? Is it free to rent a store? How expensive the shops are now!

Take today for example. I'm going to buy a down jacket. The weather in Harbin is very cold these days, but I don't want to buy it online, because the clothes bought online are always dissatisfied, which is not as good as the fit of the physical store. Therefore, I visited Song Lei, Yuanda and Lin Qiu all morning.

These shopping malls are high-end shopping places in Harbin, occupying prime locations and weekends, but frankly speaking, the passenger flow is really not so good, and we didn't see the expected jostling. Some shops are even empty, especially those selling brand-name clothes.

My favorite down jacket is actually more than 3000 yuan, which is a bit staggering, equivalent to the salary of ordinary Harbin people for one month! I've changed my mind and I'm not going to buy it. Let's go to the online flagship store to buy it. Although you can look at the physical store, try it on and check the damage and stains of clothes on the spot, the price is much different from that of the online store.

So there is a reason why physical stores can't compete with online stores now. Too high a price is fatal. Therefore, it is normal that many high-end shops are neglected.

So, why didn't these shops close down? There are several reasons:

1, subsidy support from brand manufacturers. For many high-end store operators, the subsidy from brand manufacturers is almost the most important income. Some people may think that these brand manufacturers are stupid. In fact, on the contrary, these high-end brand stores are generally located in prime locations. Such a good location, no matter whether the store has customers or not, is an invisible advertisement as long as it stands there. This is much cheaper than advertising on TV and other media, so the manufacturers are very smart!

2, the store sells goods with high profit. High-end brand stores, such as high-end clothing and cosmetics, are expensive. They are not for ordinary consumers, but for high-income people. These people are insensitive to price and pursue taste and taste, so they will buy it no matter how expensive it is. These high-end goods have a large profit margin, and stores only need to sell one or two orders a day, and the cost of one day may be earned back. That is to say, "if you don't open a day, you will eat for three years."

3. The online operation of the store contributed some profits. Some stores operate flexibly, both online and offline, and offline stores play a "tangible" role in addition to selling goods. Do what you want, let consumers experience offline, and place orders online, which is the best of both worlds. It is expected that this sales method will become a trend in the future.

To sum up, although many shops seem to have bad business, there is always a reason why one person insists on not closing down for a long time. After all, they are not stupid. Nobody wants to keep losing money in business, do you think?

Why do high-end shops in many shopping malls still stand still when no one cares? This is something that is difficult for a layman to understand, and there must be a mystery. Dry goods analysis is as follows:

If you are a listed company, is there any way to show the brand value of the company? It's simple. Rent a place in the most prosperous and upscale local shopping mall and make your own brand flagship store. Or some companies that plan to go public, in order to raise shares, are also strategies to create an atmosphere.

This kind of company is often the type that venture capitalists like. In order to be a model shop in the early stage, they did not hesitate to spend a lot of money to open a shop for publicity. This marketing method, regardless of the cost, can really achieve the goal of opening stores quickly in a short time, especially some distinctive stores, some of which have been successfully listed.

For example, many standard clothing related brands in first-tier shopping malls such as HM, ZARA, Uniqlo, DB, etc. , high-end cosmetics, luggage, luxury goods such as Prada, Chanel, LV, Givenchy, etc. In high-end shopping malls, it is also a symbol of its identity. Do these brands rely on small profits but quick turnover? What a mistake!

There used to be a case of "next to famous brands", saying why the position of real kung fu is always next to KFC? As we all know, KFC is an international first-line catering brand. If there has always been a real Kung Fu noodle restaurant next to it, what does it mean? Explain that real kung fu is also a high-end brand! It is this stereotype, so it is not surprising that there are many such brand-name behaviors in high-end shopping malls!

This is not uncommon in recent years. Many brands, especially the first-line brands, need decoration subsidies from the other side if they enter such shopping malls, because the introduction of these brands is of great benefit to improving the level of shopping malls and even developers.

In short, there are many shops in high-end shopping malls, but they still stand. This is the strategic planning of many companies and the means for some shopping malls to achieve their goals.

I have traveled all over the country, made many friends and learned many unknown things. And the lifestyle of high-end stores has also been learned by me. Here are the secrets for everyone.

The following contents are purely true, please forgive me if there are any differences.

This is limited to some top luxury brands in the world, and the treatment is completely different. Shopping malls in order to enhance their image, gain recognition and attract people. Therefore, we will take the initiative to find some top luxury brands, eliminating all venue leasing, and the interior decoration will be carried out according to the brand design.

Then this luxury store hired two shopping guides, one at ordinary times and one at weekends. So what is the cost of luxury goods? It is the salary of these two shopping guides.

The profit from selling a bag completely covers the cost, so as a beautiful vase, he has no reason not to do it.

When shopping, do you often find some shops selling clothes and shoes, and the prices are outrageous? A dress may cost 5000 yuan, and a pair of shoes may cost 8000 yuan. The point is that you don't know what brand it is.

Do you think this kind of store has sales? Of course there is!

I once repaired high heels with two female friends. I really don't know the brand of shoes. At first I thought it was a few hundred dollars.

My first female friend dragged me to an ordinary shoe repair shop. She said that this uncle is a good cook and can only trust him.

The uncle who repaired shoes took the shoes and looked at them carefully. I joked beside him: throw away a pair of shoes when they are broken. What's there to fix?

My female friend smiled contemptuously, and then asked the uncle who repaired shoes to guess the price. Uncle said: this pair of shoes should be around 4 thousand when you buy them. The female friend gave a thumbs-up and proved to be an expert.

The second time, another female friend also took me to repair shoes, but he went directly to the store. The shop is really ugly, but seeing the price of the same shoes, it can really be said that poverty has limited my imagination.

A pair of high-heeled sandals actually costs 8000 yuan. Is this a money grab? What do these female friends like about these shoes? I still don't understand. But I estimate that this shop sells a pair of shoes, with a profit of at least 7000 yuan.

I once knew a big brother who was drinking tea in a jade shop in a shopping mall. Not many people came to the store one day, and the price was high.

He told me that the cost of this shop is actually not much, and it is more than 20 thousand a month, which is not as good as what I earn by collecting two stones. This shop is open for a place to have tea and chat. In fact, the main business is not carried out through shops.

His daily job is to collect stones everywhere, sometimes at the scene, sometimes from the internet, and then resell them from his own circle. You can earn hundreds of thousands when you are lucky, and thousands when you are unlucky.

The shop is not completely empty. How many people come to spend money every month? The gross profit of jade sold here reaches 80%, and the boss told me that 20% discount is the purchase price.

So if you sell two or three stones a month, the cost will be recovered. The key to this matter lies in the professionalism of the boss, who has been in the jade industry for decades.

High-end clothing stores and jewelry stores in shopping malls can last for a long time. There are doorways inside.

Brand positioning is different.

The national income level is different. High-end brands are aimed at elites, but there are few elites themselves, and it is even more impossible to go shopping often.

However, on holidays, the purchasing power of these elite people is worth 100 yuan, and the high profits are enough to keep these shops for a long time.

Moreover, these elites have high loyalty to the brand and will not go shopping and look around like ordinary people. After repeated comparisons, it seems that there are many shops, but not many transactions.

These high-end brand stores have few people, large turnover and high profits.

The publicity effect of the brand is obvious.

The cost of renting huge billboards in downtown areas for a long time will not be less. You can rent a storefront in the shopping mall to manage and promote the brand.

The publicity effect of high-end brands itself will stimulate the willingness of potential consumers to spend. Merchants know the effect of investment best and will not do business at a loss.

As I said before, the influence of e-commerce on physical stores is to make physical stores more accurate, and high-end, professional and personalized physical stores will continue to develop.

Can you imagine that these internationally renowned brands will give up lucrative physical stores?

Someone asked:

The person who can ask this kind of question is a smart and thoughtful person with strong thirst for knowledge and curiosity. Curiosity is the key to building a great cause. Here, I recommend one.

Closer to home, the reason for this problem is that I don't understand the logic and profit system of business ... It happens that the family with dragon slaying skills, that is, the family of the author of this article, is the ancestral family of a commercial landlord. From the late Ming and early Qing dynasties to the late Republic of China (before liberation), my family were all landlords and capitalists, and I know a little about this.

Let me give an example to illustrate this problem:

When I was very young, I went to my grandfather's house to play. My grandfather opened a shop to do business (he was a landlord capitalist before liberation, but he returned to his old job after the reform and opening up and continued to open a shop to do business).

I also found this problem, that is, I stayed in grandpa's shop all day before I had one or two guests. ...

I asked my grandpa: grandpa, grandpa, only one or two people can't make money by buying your things a day. Don't starve to death.

My grandfather said: Good boy, you are so smart that you can think of this problem at an early age.

Grandpa went on to say: Look at this commodity, which is priced in 5 yuan. How much does it cost?

I said, at least two dollars?

My grandfather touched my head and said, good boy, this thing costs twenty cents.

Grandpa pointed to a big commodity in the distance and asked me, the price is 200. How much do you think it costs?

I said, is it at least 100 yuan?

Grandpa said with a smile: This price is 50 yuan. ...

It is estimated that friends, as consumers, you are all very happy after reading the conversation with my profiteer grandfather. ...

Why are you happy?

Because you are all victims, the actual cost of something worth 30 thousand you buy may only be 3 thousand ...

For example, my grandfather sold something worth 200 yuan and asked for 50 yuan. Generally, he needs to buy 100. Let's assume that he needs to buy 156 pieces, which is the price of 3 1200 yuan.

The cost is 50 X 156 = 7800 yuan, and the gross profit is 3 1200-7800 = 23400 yuan.

A customer earns more than 20 thousand, and the average person earns 5 thousand a month Can he save more than 20 thousand a year?

Going to the hospital, the medical expenses are 20,000 yuan, and the actual expenses (medical expenses, hospital utilities, labor costs, etc. ) It's also 3000 yuan. ...

In other words, if the medical expenses for seeing a doctor in a hospital are 20,000 yuan, then the profit of the hospital is likely to be 1.7 million yuan.

Brother, you work overtime in the factory every day 12 hours, which is enough for 30 days without rest. Do you really dare to say that you can make a monthly salary of 17000 yuan?

Most people earn four or five thousand or six or seven thousand a month in factories, which is enough for one month's income.

Hospitals, however, need only one patient, and it is possible to earn a profit of 17000 yuan.

Ladies and gentlemen, after reading the above two examples, did you suddenly realize?

The so-called "not open for three years, not open for three years", that is to say, the difference between the retail price and the purchase price of a merchant is often several times ... there is a lot of room in the middle.

When you understand this, you will understand that online stores are invincible. Because the profit of the physical store is really huge, as long as you can control the cost and have certain sales and marketing skills, you can basically make a lot of money. This gives the online shop a chance to win.

The difference between the retail price and the purchase price is often several times. However, in reality, the success rate of entrepreneurs is only 1% ...

In traditional physical stores, the gap between retail price and purchase price is several times. A customer can support a company and a store by entering the door for a day or even trading for a few days, but 99% people can't even do this.

What does this mean? This shows that in reality, most people fail in their professional quality. So, now everyone understands that one customer every day, or even a few days, is enough to support a shop or a small company.

Companies and shops only have one guest for a few days, and there are no guests most of the time. You didn't come and see the day when there were guests.

When a company or store finalizes a customer a few days later, what you see is "nobody cares".

Generally speaking, this situation can be divided into two possibilities.

The first possibility: the unit price is very high. Most high-end shops, although there are not many customers, have high per capita consumption, that is, high customer unit price. For example, luxury bags, a bag is even worth a month's sales of ordinary shops or even higher. Therefore, high-end stores do not take the volume. Of course, they seldom see lively scenes, but they still have a good time.

The second possibility: strategic deployment. For chain high-end brand stores, the overall brand effect is more significant than the profit and loss of a single store. Therefore, many internationally renowned luxury goods enterprises will set up chain stores in representative areas or locations. Profit and loss is not the main purpose, but more importantly, it is for the temporary brand image. The psychological hint reflected to consumers is that opening in a high-end shopping mall is a high-end brand store. In turn, the target group will consolidate its brand image.

In addition, we all know that individual physical stores have no real customers or few customers all the year round, and the unit price of customers is not high, which is basically to filter funds, commonly known as money laundering. Generally, this kind of store will not be opened in shopping malls. First, industry stores suitable for such stores are generally not suitable for shopping malls. Second, after all, there is an extra layer of supervision in shopping malls, and the defense cost of doing bad things will be even greater.

We know that more goods are now sold through online channels, but now customers have developed the habit of experiencing online purchases offline. In other words, without offline experience, customers can't talk about online purchase. So offline is actually for online from this perspective. For example, we know that not only clothing, but also many electronic products have experience stores, which is also a truth. Like Xiaomi's online mobile phone, it is very popular, but it still needs to be an offline experience store.

Take marketing strategies through customers' offline behaviors to see what styles customers are interested in, where they stay more, and what hesitation points they have. According to these, we can quickly adjust the distribution strategy of online products. For example, which style can be promoted, which style should be discounted, which product should be mass-produced and so on.

Although physical stores are more expensive, there are still many big customers who are rich, which is equivalent to layering customers, paying attention to prices or buying them online, or waiting for discounts. If you don't care, you can even buy crazily without looking at the price.

And we know that many high-end stores take the luxury route, and the profits are very large. The cost of selling a piece a day or even a few days will come back.

So to sum up, high-end physical stores are still necessary.