Shops at Dongmen Street Turning to Online Marketing to Stay Competitive

Shops at Dongmen Street Turning to Online Marketing to Stay CompetitiveLast August 28 the fifth shopping festival was launched in Dongmen Shopping street but this year it was done differently. Sellers and merchants in Dongmen Street, the oldest shopping center adopted an online marketing approach in order to stay competitive as e-commerce stores are on top of the retail market. Shopkeepers now adopt online marketing methods as these e-commerce stores challenge them and the opening of Huaqianhbeo Commercial Street might have an impact on the businesses in Dongmen Street.

A owner of a local phone shop is planning to sell other goods as the business seen a downturn in recent years, he said that the shop suffered a deficit for the past two years and recently lost 10,000 yuan in sales in just three months. Some department stores used to enjoy 10 to 15 percent annual growth every year, but recently it has become difficult to keep such growth. Another owner of a clothing wholesale store said he created a online shop in 2010 to keep up with the trend of e-commerce , but with limited funds and resources they can only display goods online without any transactions done.

Another shopkeeper said that a number of customers are starting to purchase goods on Taobao in 2011, and many shopkeepers are now willing to open their own online shops to meet the demand of non-local customers. A deputy marketing director for Sun Department Store said that the store’s WeChat and Weibo accounts have over 200,000 followers and the daily amount of WeChat payments reached 200,000 yuan as the store start to accept WeChat payments six months ago.

Physical stores are also changing their approach in order to meet customer’s demands by adding more sales counter for cosmetics since more customers are buying their clothes online but cautious on purchasing cosmetics online.

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