Garment Retailing Industry Must Reform And Innovate In The Direction Of Marketization.

"P" recently disclosed in Shanghai's Seventeenth International a href= "//www.sjfzxm.com/news/index_c.asp" commercial < /a > forum, which is affected by internal and external factors such as market saturation, rising costs, and electricity supplier shocks. The average profit margin of the national retail industry is only about 1%, and the pformation of upgrading is imminent.

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< p > according to the statistics of the business department, Shanghai's 6432 chain business outlets in the early part of this century doubled to 12608 in 2008, with an average annual growth rate of 15%. After 2008, the growth rate began to slow down, and the annual increment is only 2% to 3%.

From 2012 onwards, the momentum of Shanghai department store industry was obviously insufficient, and the sales volume of the whole year decreased by 1.1%. In 2013, the total sales volume of 54 department stores in Shanghai totaled 30 billion 993 million yuan, up only 0.2% from the same period last year.

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< p > cost increases directly lead to some retail outlets "shut down".

Shanghai a href= "//www.sjfzxm.com/news/index_c.asp" > chain industry < /a > association data show that in 2012, after a large number of convenience stores expired, the rents increased from 150 thousand yuan a year to 400 thousand to 450 thousand yuan, so that some convenience stores were forced to close.

According to incomplete statistics, the average rent in China's convenience store industry has reached 57% of the total operating cost in 2012, and most single stores have made it difficult to make profits.

At the same time, labor costs such as labor and rentals are also rising rapidly.

After sorting out the annual reports of listed companies, the China National Business Information Center found that in 2012, the median profit margin of 29 listed companies in the top 100 retail enterprises was 8.8%, a 11.6 percentage point decrease over the same period in 2011, a total net profit of 11 billion 800 million yuan, a decrease of 8% compared with that in 2011, and 11 net profit declines in 29 of the upper retail enterprises.

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< p > the rise of online shopping has also reduced some traditional department stores to the "fitting rooms" of e-commerce.

The number of commercial streets and shopping centers based on physical stores has begun to increase.

According to the investigation by Lai Fang real estate brokerage company, the vacancy rate of shopping centers in the first tier cities increased from 7.9% last year to 8.4% this year. The vacancy rate in the second tier cities rose from 10.2% last year to 10.5% this year.

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< p > Zhang Guoqing, a special correspondent of the Ministry of Commerce in Shanghai, pointed out that the above problems led to a marked decline in the industry profit margin of < a href= "//www.sjfzxm.com/news/index_s.asp" > retail < /a >.

He believes that business is an important part of the third industry.

In 2013, China's business (including wholesale and retail trade, accommodation and catering industry) increased by 67166 billion yuan, accounting for 11.8% of the total GDP, accounting for 25.6% of the third industry, and contributed 29% to the growth of the third industry.

But in the face of the internal and external pressure of development, the retailing industry must take market orientation as the direction, informationalization as the means, systematization as the foundation and standardization as the key point to carry out reform and innovation.

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