Liqun shares： the road to evergreen of a century-old brand

　　Since 1933, Liqun brand has been deposited in Shandong Province for nearly 90 years.

　　Compared with modern shopping centers such as () and Vientiane City, which represent the young trend, "Liqun" is more like an "old brand" specializing in department stores and home appliance supermarkets in the impression of local people. However, it is this old brand that stands firm in the shopping mall. As an evergreen tree in Shandong’s commercial field, it continues to grow and flourish.

　　Reconstruct traditional commercial elements and launch "quasi-shopping center"

　　Compared with the business format of shopping centers, "department stores and supermarkets add appliances" is the "three axes" of Liqun’s traditional offline business format, which has made a good record for improving the territory. Facing the change of modern consumption concept and the diversified impact of shopping centers, Liqun chose its own development road-"quasi-shopping centers".

　　Once upon a time, "department store-shopping center" became a fixed upgrading model of the industry. Some people think that the biggest difference between shopping centers and department stores is the difference in thinking. The former is flow thinking and demand orientation, while the latter is sales thinking and performance orientation. "The shopping center is a market, and the department store is a business". The most essential difference between shopping centers and department stores is the separation of place management and retail management. The advantages of shopping centers lie in their large area, various formats and complete types of goods, but there are also disadvantages such as large investment, low rate of return, lack of brand resources and difficulty in realizing traffic.

　　Is there only one way for traditional department stores to upgrade to shopping centers? () gives a negative answer. The company’s concept of "quasi-shopping center" focuses on the organic combination of the two advantages: Liqun’s superior business layout of traditional "department stores, supermarkets and electrical appliances", plus various business elements such as shopping center catering, cinemas and entertainment, so that emerging, young and distinctive brands can find the display position closest to consumers, and Liqun can also meet consumers’ consumption needs with more diversified goods and services, and improve its own business performance.

　　The concept of "shopping+eating, drinking and having fun" is perfectly reflected in Jinding Square on the west coast of Liqun in Huangdao District, Qingdao: here, customers can buy inexpensive necessities such as people’s livelihood and home, high-quality and fidelity jewelry, gold ornaments and cosmetics of well-known brands, fashionable household appliances and clothing, and enjoy delicious meals and drinks, reading, watching movies, equestrian skating and so on after shopping. In the future, Liqun will continue to upgrade on this basis to create a unique shopping style belonging to Liqun.

　　Stick to the essence of retail and open up digital operation

　　Someone said, "The sadness of China Department Store is that when the market share is not big enough, it meets e-commerce. The business model has not yet begun to change, and it has met the shopping center. "

　　The impact of e-commerce on physical retail seems to be an indisputable fact. According to the data of the top 100 chain enterprises in China, the sales of the top 100 chain enterprises accounted for 9.3% of the total retail sales of social consumer goods in 2012, which was lower than the level of 11% in 2011. This is the first time that the proportion has decreased since 2003, and it also proves that the traditional retail industry is constantly being squeezed by e-commerce.

　　Since then, many physical retail enterprises have begun to practice hard and pursue transformation in various ways, and have spawned various new concepts and models, such as new entities, new consumption and new retail.

　　As early as 2004, Liqun began to set foot in the emerging format of e-commerce, set up an e-commerce company, opened Liqun. com and started to build a PC. After the rise of mobile e-commerce, the company began to develop O2O services. In August 2017, Liqun’s online procurement platform was launched, serving the bulk procurement of enterprises, institutions, restaurants, convenience stores and other front-end channels, which indicates that Liqun’s O2O and B2B business models have achieved certain results. In 2018, Liqun started the intelligent and digital reconstruction of the supply chain, used new technical means to improve operational efficiency and reduce operating costs, and built a smart supply chain information management platform, which was successfully launched in 2021, providing an effective guarantee for Liqun to realize the standardization, standardization and simplification of business operations. Today, the "Liqun Online Merchant" APP has moved more than 1 million items operated by nearly 100 shopping malls and supermarkets online. (1) It is deeply integrated, sharing inventory at the same price, and customers can stay at home and visit Liqun. With its smart logistics system, it can deliver goods to consumers efficiently, safely and quickly.

　　Liqun shares believe that cultivating consumers’ habits is the core work of the retail industry. Whether it is live broadcast with goods or new formats such as community group buying, it is essentially a change in habits brought about by technology to better cater to and even create the needs of consumers. The company will adhere to this core theory, work hard and quietly in its own main business field, and provide the most comfortable service to consumers with the concept of "high quality and low price, complete categories", "saving every penny for you" and the spirit of "doing with heart and never being satisfied".

　　Deeply ploughing retail is the foundation, and perfecting supply chain is the guidance.

　　Liqun shares describe its business model as a supply chain integrated enterprise that adheres to the principle of "whole industry chain+self-management". The company is committed to building a four-in-one retail and platform operator of "source batch direct mining+brand agent operation+warehousing and logistics distribution+self-operated terminal retail (e-commerce)".

　　There is a saying that "one minute on the stage, ten years off the stage". The retail industry has a wide range of categories, and it is an industry that needs to be "finely crafted". There is no shortcut, and only the continuous refinement and innovation of the supply chain system is the "king". Liqun adopts the integrated operation mode of "whole industry chain+self-operation", focusing on source procurement and brand wholesale operation companies, and fully controls the whole supply chain link of "purchase, sale, adjustment and storage", thus making Liqun an industry leader in commodity selection, circulation and inventory control.

　　Today’s Liqun, in the field of brand wholesale operation, the source procurement channels of goods are all over the country. Fuxingxiang Logistics Group, a subsidiary of Fuxingxiang Logistics Group, has more than 30 brand agents and wholesale operation companies, all of which are mainly operated by buyout and self-operation, and are equipped with professional buyers and operation and maintenance teams, covering all categories of commodities such as grain and oil, drinks, supermarkets, household appliances, clothing, shoes and hats, baby products, sports, cosmetics and jewelry, forming a diversified and professional brand agent echelon. Operating more than 4,000 brands, with channels and channel agency rights of more than 500 well-known brands; We have established a stable cooperative relationship with nearly 3,000 upstream suppliers, and the proportion of supermarkets and home appliances is 95%.

　　In terms of terminal distribution capacity, Liqun’s brand export operation has continued to expand, and its market share has continued to increase. The sales share of some brand operating companies’ non-Liqun systems has exceeded Liqun’s internal distribution, and external customers involve other commercial enterprises, large farmers’ markets, convenience stores, enterprises and institutions, schools and military units, showing strong anti-risk ability.

　　At the same time of channel operation, Liqun has continuously consolidated the construction of supply chain hardware facilities in recent years, and successively invested 5 billion to build more than 500,000 square meters of Fuxingxiang Logistics two large-scale smart warehousing and logistics centers in Huai ‘an, Jiangsu and Licha, Jiaozhou, enabling Liqun to expand rapidly around 300 kilometers with the support of the two major logistics bases in the north and south. Among them, JIAOZHOU Smart Logistics and Supply Chain Base is the first commercial supply chain base in China to build an automatic unmanned operation system of "automatic warehouse building+circular shuttle car +3D vision reading, disassembling and stacking robot", with a dynamic inventory of about 3 billion yuan. Liqun’s central kitchen can provide more than a thousand kinds of processed products, such as Chinese and Western pastry, hot halogen products, aquatic products, box lunch, prefabricated vegetables, etc., with a daily designed output of more than 80 tons and an annual designed output value of 500 million yuan; Bean products factory is the largest and most modernized new bean products processing factory in Shandong province with single format. It designs and puts into production 40 tons of dried beans and produces more than 60 kinds of bean products in a single day, and the bean sprouts factory designs and produces 30 tons of bean sprouts in a single day. Healthy baking brand "Maiguqianqian", bean product brand "Fuxing Tofu" designated by Shanghe Summit in 2018, and natural rice brand "Gurenzhuang" with "farm food and native flavor".

　　On the one hand, the supply side constantly innovates the supply of goods to reduce costs and increase efficiency. On the other hand, the continuous innovation on the sales side can improve the quality of service and marketing and enhance the customer experience. From Liqun, an old brand, we can’t help thinking: Perhaps, throwing away the routine, discarding the false and retaining the true, returning to the essence of the retail industry, and impressing consumers with "more, faster, better and more economical" is the way for commercial enterprises to last forever. (CIS)