Physical stores are getting harder and harder, and many bosses are struggling to get by, do physical

I often hear many brick-and-mortar store owners say this: 20 years ago or earlier, a shop could support several generations, 10 years ago or earlier, if you bought a shop, you can feed a family of three and achieve a well-off life, and what you are still doing now will have to be maintained by several generations.

In the past, we walked on the bustling streets, and the roads were full of ** surging, and there were merchants shouting, which was really a prosperous scene. Nowadays, there are few bricks on the road, and physical stores are either discounted or closed, and the scene has long been gone. Some people say that this is the fault of the rise of e-commerce!

Some people believe that this is due to the current economic downturn, so why is there such a large-scale "wave of bankruptcies"?

Nowadays, physical business is indeed getting more and more difficult to do, and many people don't understand why the business of physical stores is getting more and more difficult, and a boss only used 3 sentences to tell the real reason!

First, if housing prices are high, rents cannot be low. Second, the competition of e-commerce is large, and the ranking rules are caused by the platform merchants who lose money and have to support it, and there are more merchants with small profits or money, and buyers will naturally choose online shopping channels when they get benefits, so the popularity is there, the platform is profitable, and the physical store can't hold up. Third, the employment methods of young people are diversified, coupled with the fact that young people are unwilling to endure hardships and be angry, everyone wants to be the boss, and the labor cost of businesses is high.

Connecting physical stores to the mobile Internet can be said to be a once-in-a-lifetime opportunity. No matter how rapid technology develops in the future, the way of shopping in offline physical stores is irreplaceable online. However, under the impact of the mobile Internet, if the physical store wants to develop better, it must break the routine, break the shackles, and change the existing business thinking.

Changing business thinking is not a complete copy of the Internet model, but a combination of offline and online on the basis of physical stores.

In the past 40 years, physical stores have been based on material needs and selling goods to make the difference, relying on low prices to purchase goods and sell them for huge profits. With the intensification of overcapacity and homogeneous competition, retail brick-and-mortar stores have meager margins, and it is becoming more and more difficult to do business. If brick-and-mortar stores want to develop in the future, they must meet the new needs of consumers through differentiated positioning.

There is no shortage of smart people in this era, and the truly wise people are those who are wise and foolish. Be smart, even if you win, sooner or later, you'll lose everything. If you don't advance, you will retreat, and if you don't learn, you will really be abandoned by the times. For brick-and-mortar stores, you should prepare early and prepare for the transformation of the Internet.

I think there must be, and if the domestic brick-and-mortar stores can do the best service like the Japanese brick-and-mortar stores, I don't think they will be eliminated.

There is a future. Because even if online shopping is developed, people will still choose physical stores as the first choice for shopping in their daily lives.

I think of course there is a future, and if the physical store can do a good job, then it will not go out of business.

First, this year, affected by the repeated epidemics, many cities have adopted strict epidemic prevention measures, and many citizens have been locked down at home for several months, even if they want to go out to shop and consume, there is no such possibility, and they can only maintain the most basic living needs through the distribution of relief materials and some goods online. Therefore, affected by the epidemic in the first half of the year, residents' consumption demand fell to the freezing point.

In the second half of the year, many companies began to lay off employees and reduce salaries due to poor efficiency. Many workers are afraid that they will be unemployed at home in the future and have no income**. So, he began to save money and save the money in the bank in case he needed to fight.

Obviously, now that ordinary people are reluctant to consume, the demand for consumer market has shrunk sharply, and it is not surprising that some people feel that business is becoming more and more difficult.

Second, the competition in the industry is fierce, and of course it will be more and more difficult to do business. At present, private capital is not allowed to set foot in some lucrative monopoly industries in China. For example, tobacco, petroleum, telecommunications, electricity, finance and other industries, and it is often some traditional industries that allow private capital to get involved.

As a result, everyone is crowded into traditional industries to make money, and more and more people are entering, and finally these industries are in a state of overcapacity. Therefore, it is not difficult to understand that all walks of life will find it difficult to do business.

Third, e-commerce has a greater impact on physical enterprises. Nowadays, many young people like to spend online and are reluctant to go shopping, which is mainly due to online shopping** cheap and can be delivered to your home. Shopping in physical stores is not only more expensive, but it is difficult for customers to exchange or return goods.

Nowadays, a large part of the business of physical stores has been snatched away by e-commerce, live streaming, etc., so physical stores will find it more and more difficult to do business.

Based on a lot of data and trends, brick-and-mortar stores do face more and more challenges and difficulties. Here are some of the factors that can make it difficult to operate a brick-and-mortar store:

1.Fierce e-commerce competition: More and more people are choosing to shop online, which has led to a decline in sales due to stiff competition from e-commerce platforms.

2.Increased competition from the market: Increased competition between brick-and-mortar stores with the same or similar products or services in the same region, making it more difficult to attract and retain customers.

3.Urbanization trends: Many people live and work in cities, which in some cases weakens customer traffic to brick-and-mortar stores in suburban or rural areas.

4.High rents: In many cities, rents are high in commercial areas, which in some cases can make brick-and-mortar stores cost-prohibitive, making it difficult for businesses to make a profit.

5.Impact of the pandemic: The COVID-19 pandemic has forced many brick-and-mortar stores to close, losing customers and sales revenue, making it more difficult to operate and make a profit.

To sum up, brick-and-mortar stores do face many challenges and difficulties, but some brick-and-mortar stores have succeeded by adopting methods such as differentiation and improving the consumer experience.

Now that the epidemic prevention and control is normalized, people feel that it is not safe to go out, especially when shopping, people have to wear masks, so people have chosen to shop online, but it is not absolutely difficult to do physical stores, depending on what you want to do, people still have to eat and drink, and open a food store or supermarket, fresh food store or make money. In short, I think there are two reasons.

First, many people are now actively preventing the epidemic.

After the epidemic was released in early December last year, many people in China were sleepy, and everyone was lying at home to rest or **, and they all tried to minimize the number of trips. Even many young people have started to cook at home, instead of ordering takeout or going to restaurants to eat. As a result, consumer demand has declined rapidly in the short term.

In this case, I am afraid that only the anti-epidemic drugs in pharmacies have seen a "retributive rebound", while all other industries have been significantly impacted.

Second, it is affected by e-commerce.

After the epidemic control was relaxed at the end of last year, many people tried to minimize the number of times they went out to spend and chose to meet their basic consumption needs through e-commerce shopping. Therefore, the business of physical stores has once again been diverted by e-commerce. In addition, it is not only the physical store business that is becoming more and more difficult to do, even the small and medium-sized e-commerce business is not easy to do now, the real money is the head e-commerce in various fields, because of the lack of financial strength for the head e-commerce, you can spend money to buy traffic, and small and medium-sized e-commerce has limited funds in hand, it is difficult to invest a lot of money to attract more traffic.