The popular collection store Tomatokou has been withdrawn successively in Beijing.
htmlOn September 8, the editor of the business story visited Sanlitun, Beijing and found that the Tomato Pocket Sanlitun image store, which opened in November last year, has been withdrawn, the store has been evacuated, and the door has been locked. The Tomato Pocket Facade also has its signature orange color scheme.
According to a nearby staff member, the Tomato Pocket Sanlitun Image Store was moved away a few days ago. "I heard that the store was withdrawn." Regarding the reasons for the closure, the editor contacted Beijing Tomato Pocket Commercial Management Co., Ltd. for inquiries. The relevant staff said: " The epidemic has had a great impact and has not yet recovered ."
Speaking of this Tomato Pocket Sanlitun Image Store, the editor still remembers the scene of its crowded city when it first opened. On the day of opening, the store was crowded with people, and many internet celebrities came to check in and take photos. A consumer previously left a message saying: "The tomato plates I wanted to buy have been sold out, and basically two people in Sanlitun took a bag of tomato LOGO."
Previously, the Tomato Pocket Sanlitun Image Store
Not only Sanlitun Image Store, but also Heshenghui Store closed the store. It turns out that the tomato pocket on the B1 floor has now been covered with a fence. As for who will replace the store, the fence is not displayed. The name of Tomato Pocket can no longer be found on the guide map of Heshenghui.
Heshenghui Store is the first store opened by Tomato Pocket nationwide, so the disappearance of this store is somewhat sad.
According to the Tomato Pocket official account, in addition to the above two stores, Tomato Pocket currently has three Xidan Joy City Store, Chaoyang Joy City Store and Daxing Huiju Store in Beijing.
Xidan Joy City Tomato Pocket Store
A store closed will be selected for another location and reopened? In response to this, relevant staff of Jingfan Tomato Pocket Commercial Management Co., Ltd. said that has just opened a Beijing Huiju store this year due to the slowdown in the overall external environment. It is expected that the Shenzhen store will open at the end of the year. The company is continuing to expand to in Beijing and other first-tier and new first-tier cities.
In recent times, news of store closures like Tomato Pocket has been rumored one after another. Previously, the beauty collection store THE COLORIST colorist closed its offline stores in R&F Plaza, Fengtai Aeon Dream City, and Xin Zhongguan Shopping Center. Judging from Dianping, there is currently only one store that has not yet opened in Beijing. Another beauty collection store, KKV, has also closed the Fengke Wanda Plaza store and Wangfujing APM store. Its first store in the country in Minying Guomao City, Dongguan, was closed as early as April last year.
Shuangjing R&F Plaza colorist store
Although the collection store is popular among consumers and capitalists, there are also voices outside that "the collection store is an upgraded 10 yuan store". When these collection stores just entered the market with the popularity, they were once labeled as good-looking styles, personalized decorations, internet celebrity check-in places, and super high cost-effectiveness. However, in the subsequent development, these labels are very different from the implementation situation.
For young consumers who focus on cost-effectiveness, the price of products in the collection store is not cheap. Taking the accessories in tomato pockets as an example, the price is mostly concentrated at around 49 yuan. The price of similar jewelry collection store ACC Super Jewelry spans between 19.9 yuan and 200 yuan, and there is a lot of room for choice. The editor compared the same earrings on Tomato Pocket Store and Taobao and found that the price on Taobao is about 10-30 yuan, and the price of some of the same styles is only single digits.
Tomato pocket self-operated online mall pricing has no advantages over other platforms. For example, a Schwarzone bubble hair dye, the Tomato Pocket Mini Program Mall is priced at 85 yuan, the Taobao official flagship store is priced at 72 yuan, and the Tmall International is priced at 69 yuan.
Retail expert Hu Chuncai believes that the collection store has a huge competitor in China - e-commerce.For consumers, if they can find similar products on e-commerce and the prices are lower, most of them will not go to the collective store to spend.
In addition to Taobao and Pinduoduo, the collection store also has to face the fierce competition from its peers. Nowadays, you can see several collection stores in a large area. The editor saw that in Xidan Joy City, in addition to tomato pockets, there are also Jiumu Miscellaneous Society, IPSTAR Trendy Planet, Excellent Product , etc. In Chaoyang Joy City , Tomato Pocket also faces five competing stores, including Jiumu Miscellaneous Company, WOW COLOUR, wonderful life, cute product collection, and blind box market, to compete for customers.
Chief expert of Beijing International Trade Center Research Base Lai Yang said that the store design of the collection store is more trendy and grand, attracting consumers to stop and check in, but the single product is not very attractive. There are many people coming, but few people buying, which will lead to the inability to convert store traffic into sales, which will lead to problems such as difficulty in profit and backlog of goods.
Indeed, some research shows that there are only a few collection stores that can achieve high conversion of customer flow. The "2021 China Beauty Collection Store Industry Research Report" released by iResearch Consulting shows that the order conversion rate of new beauty collection stores is relatively low. According to observation and statistics, in 2021, the average daily passenger flow of a new beauty collection store was 750 people, with a conversion rate of 20%, and an average average customer price of 100 yuan; while the average daily customer flow of a traditional beauty collection store was lower, with only 480 people, but the conversion rate was as high as 33%, with an average customer price of 148 yuan.
Even so, the collection store is also the hot money is constantly pouring in. Statistics released by Guanchao Xin Consumer show that in 2021, there were 14 financing incidents in the collective store industry, of which March, August and the end of the year were relatively concentrated.
Tianyancha shows that less than two months after Tomato Pocket was established, it received investment from the MissFresh Ecological Chain Fund and completed an angel round of financing of tens of millions of yuan; it achieved A+ round of financing in August 2021.
In addition, colorist and KKV parent company KK Group have completed seven rounds of financing from Pre-A to F rounds within six years of its establishment. Among them, in 2019, KK Group completed two rounds of financing within one year, with 400 million yuan in round C and 100 million US dollars in round D.
Lai Yang believes that collective stores only attract investment and expand in large quantities through emerging concepts, which is not conducive to their long-term development. "At present, some collective store brands have invested a lot of costs in operations, manpower, supply chain, etc. in the early stage, but in fact, there is no good performance after the revenue conversion."
Hu Chuncai pointed out that this type of collective store may want to imitate Miniso, but Miniso's success is based on two conditions. One is that the development of e-commerce was limited at that time, and the other is that with years of precipitation, Miniso has cultivated a group of loyal customers and the store repurchase rate is high. The emerging collection stores are small in size, so it is very difficult to quickly form mature business formats.
It is difficult to make a profit, and it is difficult for the collection store to survive. The "Survey of Collective Stores" research by Yingshang Cloud Think Tank shows that the overall opening and closing ratio of lifestyle collective stores in 2021 is 0.89, and it is in a period of transition from pain to pain. After the "new retail" trend, some offline stores opened by online brands "are not adaptable to the local conditions" and left the market sadly; during the same period, the overall opening and closing ratio of beauty collection stores was 0.65, and the pace of store expansion slowed down. Among them, affordable brands suffered the most obvious setback; from 2021 to Q1 2022, the overall opening and closing ratio of clothing collection stores was 0.77 and 0.67 respectively, continuing the decline and showing a contraction trend. The ratio of
The ratio of "switch store ratio" of 1 means that the development of the brand store is in an expansion state; the ratio = 1 means that the development of the brand store is in a flat state; if the ratio is 1, it means that the development of the brand store is in a shrinking state.
To sum up, the overall development of collective stores in 2021 is not optimistic, and the closing of beauty collection stores is relatively serious.
Lai Yang said that every item is a separate system from design, production, procurement, and listing, and needs to be managed by a professional team. Due to the limited capabilities of the enterprise, brand development cannot be greedy for the overall situation. We should concentrate resources to do what we are good at, gradually accumulate commercial operation capabilities, form a stable system, and gradually expand the scale of business.
- END -
text｜Hu Jingrong
photography｜Hu Jingrong Liu Zhuolan
Editing｜Kong Yaoyao
Part of the picture source｜Tomato Pocket Official Micro
