AchainoflocalcosmeticsbrandsonthestreetRaidersForprofessionalchainbrands,departmentstoresandshoppingcentersinthefaceofthegrowingdeclineinperformance,aswellaselectricityprovidersincreasinglybeingsqueezedlivingspace,istocontinuetowaitandsee,orturningtoonline?OranotherwaytolookfornewgrowthPoint?Plantdoctorsdidnotfollowthecrowd,butthestrategicshiftprofitstoughhotline,butcontinuetobethemaindepartmentstoresandshoppingcentersonthebasisofmoreenergyandinterestintotheexpansionofthestreetstalls.Oneyear,Beijing,streetYunnan,Chengdu,Chongqing,Shanghaiandotherplaces,pouringmorethan100stores,andinthisyear,therewillbenearly200newstoresinthestreetsaround.Thisyearmorethan300ofitsstoreopeningprogram,morethan50%ofthenewstoreswillberolledoutinthestreetinsteadoftheoriginalmall,asahandfuloflocalcosmeticsenterpriseperformancecontinuedtogrowmorethantenyears,thecountryhasnearly300cities,shoppingmalls,departmentstoresandsupermarketshas1morethan1,100storesinthechainbrandmonopoly,itwillalsogivetheindustrytheplantdoctorssendaverystrongsignal:cosmeticschainchannelexpansionorinflectionpoint.OffensiveStreetShopAtleastfornow,thecommercialentityhasnotsufferedwinterembodiedintheplantdoctors,malltrafficdeclineisnotthemainreasonfortheirturntostreetstalls.Purelyfromtheresults,theplantdoctorsin2013thanin2012,anincreaseof46%Salesrosefrom350millionto410million,itdidnotaffected.Ofcourse,therapidgrowthoftheplantdoctorsalsobenefitedfromtheriseinrecentyears,thedomesticcosmeticsbrandafewyearsago,L’Oreal,EsteeLauderandotherforeignbrandsstilloccupies80%shareoftheChinesemarket,nowthisproportionhaddroppedtoabout50%.Althoughthedomesticcosmeticsareontherise,butthedeclineofthedepartmentstoreindustry,itisanindisputablefact.Datashowthatin2013,theannualsalesofhundredsoflarge-scaleretailenterprisesgrewonly8.9%,netprices,laborcostsandotherfactors,manyofwhichareenterednegativegrowth,moreimportantly,theover-exploitationofcommercialrealestatewillleadtofuturetrafficand2operationsmanagementinthecommercialcomplexwillexperienceamoreseveresituation,therentalcostofthebrandmerchantsneedtopayhigherandhigher,alltheeggsareputObviouslynotinonebasketchainbranddevelopmentbest.Streetstallsaregivenunlimitedextensionpossibilitiesofplantdoctors.PossibilityfarbeyondthetraditionalboundariesoflargecommercialenterprisescangiveAlthoughChinacurrentlyshoppingmallseverywhere,eventoreachtensofthousandsofyearslater,butfornowandwords,departmentstoresandshoppingcentersreallywelldonealsoabout1000,‘whichalsomeansadoctorifonlystareattheplantthischannelwillcarveoutagoodstorethisnumber.’BeijingAkihiroElectronicsCo.,Ltd.(PlantDoctorforsolution-Yong,generalmanagerofitsbrands,said:‘pavedstreetisnotthesame,Chinahasalargenumberofhighstreetshopsforcosmeticsspecialtychain,wealsohavetheopportunitytoatleasttensofthousands.’Infact,asearlyas2010,doctorstrytoopenaplantstreet,butthenthemarketandtheirbrandsarenotmatureenough,Streetnumberhasbeenhoveringinthesingledigits,donothavetheabilitytoscalereplication.Explosivegrowth3oftheturningpointin2013,morethan100streetstallsstoresopenedquickly,thenumbergrewfrom2percentin2012to14%helicopter,performanceisalsogrowingatarateof100%,significantlyhigherthantheoverallperformancelevelofnearly50%growth.However,notallofthemonopolychainbusinesscanshopinthestreetlikeaduckonthischannel.EarliercrazyexpansionofLiNing,ChinaDongxiang,361degrees,Anta,Xtepandotherclothingbrandsinthefirsthalfof2013amountedtoclosestores2249,moresupermarkets,householdappliancesandotherlargechainenterpriseshavealsoreducedtheshop’sexpansionplansandmanyanalystsbelievethatthestorehasnowayout.‘Whetherfromthestructure,theformatormode,thestorewillbeamajoradjustment,thisisanewreshuffle.’ChineseDeputySecretaryDavidDuCommunityBusinessWorkingCommitteebelievesthatthereisnophysicalcommercialcityandthestreetsarenotavailableimagine.chainbrandhigh-margin,high-trafficwillwininthisroundofreshuffle.‘Weoftensingadifferenttune.’Yongsamesolutiontothiscrisisasarareopportunity,‘Itisoutoftheseclothingstore,makeaplaceforus.’Hesaid:4‘PlantDoctorItcanchoosethehighestqualitystreet,evenwearestillChongqingandChengduandotherareasoverthepastseveralAppleshops.‘5