Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

Deeply disassemble the three key points of the 120% growth of the private sector of "old department stores".

As a single "old department store" opened in 1999, Hanguang Department Store has continued to emerge in recent years because of its "new". With new platforms, channels and methods, At present, the omni channel sales of Hanguang has exceeded 3 billion yuan, and nearly 100 brands in the store have achieved the first sales in China or Beijing During the epidemic, the online performance of Hanguang accounted for 70%, and the growth of GMV of small programs exceeded 20% in 2022.

The new achievements of "old department stores" can not be separated from the "be prepared for danger" of Hanguang.

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

The "Dark Horse" on the Digital Road
Growth repeatedly breaks the ceiling
In 2014, when many department stores were still enjoying the best time, Hanguang had seen the crisis of the rise of online e-commerce, and became the first group of department stores seeking digital transformation. In 2014, we made an H5 and moved the physical card membership card to the online public account.
Shortly after the launch of WeChat applet in 2017, Hanguang quickly changed its H5 into a member center of applet version, and the online mall was also successfully launched, Won the third place in the list of small programs in three months
Of course, this is just a "small test" on the digital road of Hanguang.
Three years later, Hanguang once again made a great success. During the Double National Day in 2020 GMV reached 3400W, up 130% year on year.
In the eyes of others, Han Guang took the best script and had a smooth journey, as if there was no pain.
However, behind the high growth of sales, and behind the functions of electronic membership card, online shopping, counter dynamics, and remote order calling, there are a series of technical problems: cloud server architecture, commodity inventory system, logistics system, permission system, search engine, etc., but also a series of private domains operate The strategy problem of.
Technical problems can now be solved through products and tools, while operational problems are the core and key.
Baishi Interaction In the live broadcast, the consulting team deeply explored the private domain operation actions of Hanguang, such as daily flash purchase, free application, customer interaction activities, and promotion activities, and dug out the key strategy of "daily gathering potential energy, promoting node explosion" of Hanguang's private domain operation, and shared it with everyone

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

Aggregation potential energy
Cultivation of "amphibious customers"

As mentioned earlier, Hanguang has already set up an online "market" for online membership, online shopping mall goods and online shopping mall information, but where is the "person"?

From offline to online, the most difficult thing is not to build a small app store, but how to make customers willing to buy online.

Han Guang knew that "sugar", regardless of its size, could only attract people once. So although the discount benefits are attractive enough at the promotion nodes such as 618 and the Double 11, they can only attract people to shop online once, and they have all bought online. What should we do offline?

 

1. Flash purchase, order "sugar" every Monday

Start small and lead online customers to online first.

How about frequency?
Every week.

Hanguang insists on releasing flash purchase activities on the public account every Monday. The discount for flash purchase is very large, basically 50% off, or even as low as 20%, which is very attractive to the mid tier customers of Hanguang Department Store who pay attention to cost performance.

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

Thanks to the abundant SKUs in the department store, the goods are different every week, limited in time and quantity, and can be purchased before every Sunday.

If all online purchases are made, customers must pick up offline from Thursday to Sunday every week. Fans of the online public account can reach the online mall through the article, and can place orders during non business hours.
Through "offline self collection", customers are guided to shop to buy, and through the guidance of shopping guides, the order carrying rate is effectively improved. Data shows that, The offline band single rate of Hanguang can reach 40%.

In fact, flash purchase products have large discounts and low profits. If you look at the sales volume alone, it is not cost-effective, but Han Guang's flash purchase does not focus on sales. Instead, it is to use the "sugar" of weekly flash purchase to let customers develop the habit of shopping in Han Guang's online stores next time. This is a good deal. It is equivalent to giving up this part of profits to advertise your own small programs.

 

2. Apply for free and deepen the habit

Not only the discount products with super low discount, but also the free application. Hanguang Department Store has effectively used its own advanced brand resources and regularly launched new products for free on Tuesday. New cosmetics like Lancome and Xiulike are worth between 100 yuan and 1000 yuan, and free application is really an attractive "hook".

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

A lot of department stores also have similar activities. They send samples and come from the Woolen Party. The final joint sales are not high, and they think the effect is not good.
However, Hanguang did not position the "effect" of the free application activity as sales, and dropped heavy resources, first to lead customers online, and second to interact with customers to improve brand influence and communication.
Therefore, there are two requirements for the free application activity of Hanguang. One is that customers need to pick up at the store, and the other is that customers must write a trial report. At the same time, customers can leave a message at the application trial office to increase the probability of winning.
Online application+communication, offline experience of picking up goods, Hanguang uses the characteristics of two different markets to allow customers to switch online and offline freely.

From 2014 to 2019, Han Guang has been insisting on such actions. The Juhui flash purchase on Monday and the free application sample on Tuesday (irregularly) are like the "sugar" that attracts customers to hang out in the online shopping mall of Hanguang. As time goes by, the customers of Hanguang have formed the habit of hanging out online and offline at regular intervals every week.

 

3. Change and unchanged of epidemic situation

The epidemic in early 2020 broke this rhythm.

The opening time of offline shopping malls was affected, and the online "market" had to take more responsibility. The free application has to be suspended, and the flash purchase activity has begun to change its form, from supporting online self mention to supporting online mail and offline self mention.
Online activities are also more diversified, increasing the daily limited time and quantity discount seckill and other activities, turning every day into flash buying.
The foundation of this change is the formation of user habits from 2014 to 2019. After five years of conscious guidance, Hanguang has stable online and offline shopping customers in Hanguang. At this time, they no longer worry about it, but they have the confidence to let customers choose freely.
This also broadens the boundary of Hanguang Department Store. Customers can choose to pick up goods online and offline freely according to their habits, which also makes Hanguang become more attractive as the center of regional department stores, and its influence has begun to radiate to the surrounding areas of Beijing.

Of course, the strategy is still consciously inclined to offline. Unlike a package/free shipping of JD or Taobao merchants, most goods (especially those below 500) need to pay express fees. Similar policies will still make some people choose offline shopping malls.

 

4. The magic of shopping vouchers

Not only is it guided by the lever of picking up goods, but with the opening of online and offline data, Hanguang is also increasingly making good use of shopping vouchers to guide customers to switch from online to offline. Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

Dong Youliang, the product director of the e-commerce department of Hanguang Department Store, once shared: "Suppose there is an activity in Hanguang Department Store that returns 100 yuan coupons after 1000 yuan. The customer buys a pair of 800 yuan shoes offline and finds that 100 yuan coupons can be obtained when he buys another 200 yuan when he goes home. At this time, if he buys another 200 yuan commodity on his mobile phone, his account can still get coupons, which can be used online and offline."

This online and offline interworking experience has greatly improved the user's sense of experience, and made users experience the super value with ease. Hanguang finally has a wave of its own "amphibious customers".

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

Aggregation potential energy
Interactive activities link customers
At the stage of department store 1.0, the department store only needs to set up a good platform to sell goods. At this time, the department store will focus on "market" and "goods".
At the initial stage of digital transformation of Hanguang, such goods yards are still being built online. of course, The early performance of Hanguang also proved the feasibility of this approach for fashion department stores in the early stage of transformation.
For fashion department stores with a wider customer base, unlike single category brands, which are limited by the characteristics of goods, many goods, high, medium and low customer orders, high, medium and low frequency goods are their main advantages. Therefore, weekly discount promotions such as flash purchase, free application, and shopping vouchers can be extended for a long time, and various flow fields are built up by activities in series to support the performance growth of the whole year.
However, is it the same as before in the 2.0 phase? Is "market" just enough to facilitate the purchase and sale between brands?
Han Guang realized that It seems that it is not enough to pay attention to "people", so although "selling goods" is still dominant, Han Guang also began to try to pay more attention to "people" on the court.
So, when the brand and the mall start to pay attention to the "people" in the market at the same time, how to balance the relationship between the three?
Hanguang has done member experience activities. While "selling" and "cultivating", it also increased interaction with customers. Hanguang has also done excellent experience activities.
In May of this year, Hanguang held a big name running group activity. Beijing Railway Station, jointly with Anta, organized a morning running activity in the Forbidden City. Customers can register and participate after screening.
The prize of the event does not seem to be the "Koi" award. Except that the first prize is Anta, which is a direct gift, other prizes are Anta coupons. However, the participation in the activity is still high.

Find out the reason, Thematic ingenuity.

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

In the current healthy mainstream trend, sports is a thing worth showing. In addition, for customers, running around the Forbidden City in the morning is a novel experience, and they can also meet new friends. A few factors are favorable, and the participation in the event is very high. After the participation, customers are also willing to share their own sports photos/videos. Han Guang has made a wave of brand and store exposure.

For Anta, The customer is already the "KOC" of the event when he runs in the street wearing Anta sponsored sportswear Common people's grass planting is the most effective.
In addition, the participants are all target customers who love sports. Although the prizes won may not be direct physical goods, for those who have sports needs, there is an inherent need to buy sports goods, and there are coupons, so it is very possible to buy them. While exposing the brand, it also led a wave of brand consumption.
As for the mall, it has brought closer the relationship with its members, exposed and publicized the brand of the mall, and also prepared for the exposure and sales of other sports brands in the mall, killing three birds with one stone.

One event, customers, brands and shopping malls win.

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

Sales explosion
A big promotion of gradual progress
By making use of weekly free applications, flash purchases and live broadcasts, Hanguang successfully enabled users to develop the habit of shopping online and offline. At the same time, through irregular user interaction, it narrowed the distance with customers, gathered enough potential energy, and finally formed a rapid ten million GMV.
Like most department stores, Hanguang also makes Spring Festival, Autumn Festival, Anniversary, 618 and Double 11. However, if the promotion activity is not successfully undertaken, the potential energy accumulated in the early stage cannot be converted into explosive sales.
So every step is critical, and it is a series of interlocking links.
Preheating and exposure are key to the promotion.
In order to warm up and attract more people's attention during the promotion, Han Guang planned a honey box activity. In fact, it is the use of advanced brand resources to give samples to customers.
However, in order to avoid the wool party and effectively attract target customers, Hanguang Department Store has spent a lot of time in setting samples and rules.

Hanguang did not choose sample pieces, but carefully selected the middle samples of brand cosmetics to form a honey box worth 100 yuan, which has a strong attraction in terms of product value.

 Baishi Interaction | How does the department store leverage "big" growth through "small" welfare without price war

At the same time, in order to avoid the wool party, Hanguang Department Store has set a payment threshold, which must pay 20-200 yuan to obtain.

Will the increase of threshold lead to customer loss and failure to achieve the effect of preheating exposure? therefore In order to attract more customers, Hanguang has set up a key link.
Although the sample needs to be paid, Han Guang will give a large promotion equal amount of repurchase coupon to buy the sample, and each person is limited to one. That is, customers can get a 200 yuan promotion coupon when they buy a 200 yuan honey box, which gives customers a sense of cheap value and instantly improves their participation.
And because of the gift of coupons, it effectively improves the purchase probability of customers in the future.
The activities of a warm-up honey box are closely linked, making full preparations for the promotion.
Of course, preheating and exposure is only one part of the promotion activities. To do a good job in the promotion activities, we should also do a good job in the period of promoting the new, promoting the old, promoting the new, and locking up customers. During the activity period, we should do a good job in the superposition of new and welfare. During the return period, we should do a good job in the war report and print the list. During the print period, we should continue to print the list.
After nine years of unremitting private operation, Hanguang has finally broken through the ceiling of its own growth, not only growing but also multiplying.
Of course, transformation is not done in a day, but needs methods.

 

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