Research On The Transformation Strategyof BS Department Store

Due to the slowing down of the economic growth,the consumer market changes from the sellers market to the buyers market,making the business competition more and more severe.Moreover,the on-line shopping is developing rapidly,and there exist the serious phenomena of the same industry over-saturation and the homogenization,thus the traditional department store industry enters into the serious winter period.The market pressure is still there,and the Internet patterns press hard,if BS Department Store wants to break out of the dilemma and swim against the stream,it urgently needs to adapt to the trend of the time and strive for the transformation development.As the leader of the traditional department store industry,BS Department Store has deposited certain development advantages in the long-term development process,such as the high brand awareness,possessing the marketing system that covers the whole country,the accurate market positioning,and the high quality membership groups.But in the e-commerce age,its disadvantages are obvious,and they are mainly embodied as the overall recession of the traditional department store industry under the pressing of e-commerce platforms and large-scale shopping centers,being unable to gain the bargaining advantages for the layout pattern,and unreasonable income structure,etc.Therefore,under the background of the new age,BS Department Store faces new challenges,such as the rapid development of e-commerce,the increase of costs caused by the customer diffluence brought by the large-scale commercial real estate being built,the increase of rent and labor charges,the loss of middle and senior managers,and many constraints brought from the traditional joint operation pattern.In the meantime,there also exist good development opportunities.Firstly,the continuous speeding up of the urbanization process in our country will bring strong core driving force for the consumption upgrade.Secondly,the per capita disposable income increases with the annual sustainable growth rate of 10%,bringingstrong sales guarantee for the retail market.Thirdly,there is a large space for the concentration ratio of the retail industrial market in the future,and there will be more merger and acquisition and integration within the industry in the future.Under such a market background,with the development and further expansion of the regional industrial leading enterprises,they will carry out the transregional merger and acquisition and integration,and the concentration ratio will be increased again.Based on the development environment and the analysis of SWOT,we believe that the problems faced by the transformation development of BS Department Store are mainly in the following aspects:(1)for the aspect of site selection,scientific layout can not be realized due to the land cost restriction;(2)the development of the Internet e-commerce platform is extremely not so smooth;(3)the impact of “the tide of closing up shops” becomes more and more obvious;(4)the senior management personnel change is too frequent,and it has influenced the enterprise's stable development.The transformation development of BS Department Store is imperative,and the strategic options can be carried out from the following aspects:(1)the ratio of the self-support commodities should be gradually increased,and the pattern of “shop-in-shop” can be properly developed to improve the traditional operation management pattern;(2)through the strategy of the integration of the supply chain and the product assortment,the profit model can be changed;(3)through the adjustment on the proportion of the publicity channels,the development of the e-commerce marketing,and the integration of both on-line and off-line channels,the marketing model can be improved.In order to guarantee the strategy implementation for the transformation of BS Department Store,the following specific measures can be adopted:(1)for the establishment of a new shop,in selecting a site,the blind affiliation to a large-scale plaza should be avoided;(2)reasonable adjustments should be carried out for the personnel structure;(3)excellent talents should be selected without sticking to one pattern;(4)the successful experience from O2 O e-commerce should be learned and used for reference.