< p > China's retail market overall growth slowed down, and market competition intensified.

In the first quarter, Davies released a survey of Chinese retailers, showing that the growth of China's retail sales declined in 2012, and the growth rate of many categories in nominal terms has dropped to around 10%.

In the next five years, the growth of retail sales is unlikely to increase significantly, and the retail market has entered a slow growth stage.

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< p > < strong > entity store upgrade to enhance image < /strong > /p >

In the face of economic slowdown and increasing competition, how can retailers cope with p? More and more brands are no longer competing in the speed of opening stores and urban coverage, instead of being differentiated.

The first Taiping Davies survey of 100 retailers showed that 17% of retailers said they planned to upgrade their shops in the next 12 months, mainly in restaurants, general a target= "_blank" href= "//m.pmae.cn/" > clothing, /a, sports, lifestyle and entertainment, luxury five retail businesses. They plan to display products and enhance their image by consolidating and opening a large flagship flagship store in the core city.

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< p > take luxury brands as an example. The demand area of some brands has risen from 2000 square meters to 5000 square meters, so as to display or display their own brand names.

And some clothing brand demand area has also increased from one hundred or two hundred square meters to 1000 square meters, mainly to display its own brand.

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< p > < strong > actively carry out online business < /strong > < /p >

< p > retailers are developing online businesses under the impact of online retailing, while retaining only some of the physical stores to focus on image promotion and product display of physical stores.

According to the report, China's online retail sales amounted to RMB 1 trillion and 300 billion in 2012, an increase of 66.2% over the same period last year, accounting for 6.2% of total retail sales.

In the five categories of catering, clothing, sports, lifestyle and entertainment, luxuries surveyed by Davies, the clothing brand was most affected by online shops, especially for low price < a target= "_blank" href= "//m.pmae.cn/" > clothing < /a > store. In fact, the rising cost of body shops made it more difficult to compete with Taobao merchants or fan Kecheng products.

As a result, some brands begin to actively carry out online business through cooperation with operators, and only retain some physical stores, and pay more attention to image publicity and product display.

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At the same time, the impact of online retailing on physical shops, shopping center owners' attention to the atmosphere and experience of shopping centers is better than before, so as to attract consumers to P.

This may mean that experience types, such as beauty services and parent-child education, will play a more important role in shopping centers.

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< p > < strong > site selection is more demanding. < /strong > < /p >

"P", as sales growth slowed, rent continued to rise, labor costs rose, and retailers were increasingly demanding for site selection, and mature business circles became the best choice for most merchants.

The report shows that 84% of retailers are concerned about the first tier cities, of which two cities in Beijing and Shanghai are particularly concerned about brands.

In addition, 53% of respondents expressed concern about second tier cities, while only 24% of respondents considered three or four line cities.

95% of the respondents locked in the mature business circle, and only 15% of the merchants expressed willingness to consider the potential emerging business circle projects. Even so, whether the final entry or not need to consider the project itself and the developer background.

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