Today, the report I will share with you is "Special Report on Hard Discount in the Retail Industry: Pioneers of Hard Discount Supermarket", the report has a total of 21 pages, for more important content and core views, please refer to the original report.
This report mainly provides an in-depth understanding of the development trend and industrial logic of hard discount chain brands, and analyzes the key factors for their model polishing and competitiveness.
1.Industrial logic:Hard discount chain brands have developed rapidly in recent years, mainly due to the high-quality pan-product ** chain, the increase in social inventory and the decline in store rents in sinking markets. At the same time, the growth rate of CPI on the demand side has slowed down, consumption expectations have declined, the price comparison system has been strengthened, and the demand for cost performance has become more common. In addition, online traffic has migrated to offline, and store traffic is gradually returning. Together, these factors provide a favorable environment for the development of hard discount chain brands.
2.Model grinding:The model of a hard discount chain brand has the characteristics of simplifying the whole chain process and low-cost operation. For example, its SKU is basically less than 1000, and the cost is achieved with a single product scaleThe façade area is between 300-500 square meters, and the location favors the cheap rent but the largest locationThe façade decoration is simple, and the number of days of commodity turnover is about 10-15 days;The monthly sales range from 100 to 2 million yuan, and the gross profit is about 15%;Rent + labor costs account for less than 10% of sales, and the net profit margin is about 2% after deducting headquarters expenses and miscellaneous expenses. In addition, entrepreneurs seek differentiated subdivision positioning by breaking through the surface, first deeply cultivating the region in the province, and opening up the first-class chain system in the region after the single-store model runs through, so as to create a regional moat with extreme efficiency.
3.Competitiveness Improvement:The competitiveness of hard discount chain brands is mainly reflected in the following aspects: store management, chain building and private label building. In terms of store management, these chain brands usually adopt a flat organizational structure and a refined management method to achieve efficient operations. In terms of the first chain, they focus on polishing and optimizing the procurement and first links to achieve lower costs and higher efficiency. In terms of private labels, they actively develop private label products to improve product control and customer loyalty, as well as increase gross profit margins. For example, the private label rates of Outler, Discount Cow, and Hema Outlet have reached % respectively.
In these ways, hard discount chain brands are able to maintain their advantage in a competitive market and achieve sustainable growth.
Due to space limitations, only part of the report is displayed, please refer to the original report for more important content and core views.
Disclaimer: This platform only collects and shares content, the copyright of the report belongs to the original writing and publishing agency, collected and sorted by the Wild Research Society, if it involves infringement, please contact us to delete;If you have any doubts about the content of the report, please contact the author or publisher.