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A large number of stores "closed", why the streets appeared drugstores, real estate agents and restaurants?

I don't know if you found it, there is now a strange phenomenon in society, now many of the streets of the store in one after another closed , but the drugstore on the street is more and more open, and even a street can be opened several drugstores. Is it too many people who are sick to buy medicine now? In the case of other business are not doing well, a street can support several pharmacies. In fact, not only drugstores, real estate agents and restaurants are now full of streets, instead of those clothing stores and other stores in one after another closed, which also makes many streets of stores closed more and more, empty has been rented out, which makes a lot of investment in stores of people lose a lot. Because the store can not be rented out, not only no rental income, but also need to pay other miscellaneous fees such as property management fees.

In the past, there has been a rumor in society that ? A store to raise three generations? The saying is true that investing in stores in the past was very rewarding. It is known that in the past 20 years, with the rapid development of our country's economy, the living conditions of life are getting better and better, and a lot of business is getting better and better. This has made stores more and more sought-after and their rents higher and higher, so the returns from investing in stores are also very high. In a big city, if it is a good point store, a month's rent can be as high as several million dollars, so look at it? The store to raise three generations? The saying is not exaggerated. However, in recent years, once a store hard to find phenomenon slowly disappeared, followed by a large number of store closures, more and more stores are vacant up to rent out or even many streets and shopping malls have appeared in the phenomenon of large areas of stores closed. However, as mentioned above, as other business stores continue to close, the street above the drugstore, real estate agents and restaurants but more and more open, that is, the drugstore is now full of streets are open.

Why are so many stores closing now? Why can pharmacies, real estate agents and restaurants open so many against the trend? In my opinion, it is the following four reasons that cause this strange phenomenon in society.

The first reason: the rise of e-commerce, people are slowly getting used to online shopping

According to the data, the 2020 Tmall double 11 total turnover of 498.2 billion yuan, while in 2010, Taobao double 11 total turnover of only 936 million. You can see how fast our country's e-commerce has risen in just the past 10 years. In addition, with the rise of e-commerce and the logistics speed is getting faster and faster, people have slowly become accustomed to online shopping, and even many elderly people have become accustomed to shopping online. Therefore, under the impact of e-commerce, industries such as clothing, home appliances, digital, snacks and other industries have been hit the hardest by e-commerce, which is precisely the important reason why these stores have closed down.

And like drugs, intermediary services and catering, these things are not convenient to buy and sell online, although there are now online pharmacies, but people are sick with drugs are urgent, and do not have the time to wait for the drugs sent over by courier. Therefore, whether it is a pharmacy, real estate agents or restaurants, the impact of e-commerce on their impact is not as big as other industries. Of course, although the impact is not too big, but with the development of logistics speed and the emergence of new Internet models, the future of online shopping may also have an impact on these industries. For example, community group purchasing has already had a big impact on fruit and vegetable stores and daily necessities stores.

The second reason: house prices continue to rise, people are under increasing pressure to buy homes, spending power is getting lower and lower

Online shopping has a very big advantage, that is, the price will be a lot cheaper than brick-and-mortar stores, this is mainly because of the goods of the online store without rent and middlemen to earn the difference in price, the manufacturers can be directly through the network to customers. Nowadays, as housing prices continue to rise, people's pressure to buy a house is getting bigger and bigger, people will also be burdened with decades of mortgage after the purchase of the house. People basically do not have much spending power after their monthly salary is paid back to the mortgage. Therefore, due to the lack of spending power, people are more willing to choose to buy goods online. As more and more people choose to buy online, and slowly get used to online shopping, which formed a long-term impact on the physical stores.

The third reason: brick-and-mortar business is becoming more and more difficult to do, store rent is rising higher and higher

Now a large number of store closure is still because of the brick-and-mortar business is becoming more and more difficult, more and more do not earn money. Not only is the store business more and more difficult to do, with the rising house prices, store rent is also rising. Especially some landlords, no matter how good or bad the store business on a regular annual increase in rent, which makes many individual shopkeepers operating costs are getting higher and higher. For example, some shopkeepers complained that their hard work to open a store and work for a year, the money earned is basically used to pay the rent, is considered to give the landlord a year of work for nothing.

I have also opened a store, for individual stores, the biggest cost is the monthly rent. Many times the daily income of the store may not be enough to pay the rent, not to mention the daily profit. Therefore, a large number of stores closed down, if the main reason is the impact of online stores, then the rising rent is the last straw that crushed the brick-and-mortar stores.

The fourth reason: the more stores are built, a large number of customers are diverted

As in the case of housing resources, in the past, the resources of stores are also very scarce, and therefore the phenomenon of a store is difficult to find. The fewer the stores, the fewer the stores that are open, the greater the demand for goods, the better the business has been in the past, and for many people, the more money they have made in the past, the more money they have made.

However, nowadays the physical stores not only have the impact of online stores, is the physical stores between the competition is also more and more, this is because with the store more and more popular, developers build more and more stores. Nowadays, as long as a neighborhood below the construction of the stores, not far away may have a new commercial street and shopping malls. However, there are only so many customers, too many shopping streets and malls will naturally cause customer diversion, which also led to many stores business is getting worse and worse. For example, some old shopping malls, with the development of new shopping malls in the vicinity, these old shopping malls will slowly be eliminated. The same applies to other stores and shopping streets. As business becomes more and more difficult, it is only natural that stores will continue to close down. For store owners, they are more accustomed to collecting rents. Due to the high investment cost of setting up a store, there is also a high probability of loss, which leads to the fact that if the store is not rented out, the landlord would rather leave it vacant than open a store for business himself.

Summary: It can be seen, to a certain extent, a large number of physical store closure is also in line with the trend of economic development and the development of the times. Nowadays, under the influence of multiple factors, the physical store is really more and more difficult, physical store owners to earn money is more and more difficult, many store owners have said, now hard to open the store is not as good as their own go out to work to earn money. But the closure of a large number of stores does not mean that all stores business is bad, because even with the impact of outlets, people still have the habit of shopping, but people prefer to go to the busy commercial shopping. Therefore, for those stores with good locations, the same will always be sought after. About store investment, many insiders said, now store investment income is getting lower and lower, the probability of loss is very high. Therefore, it is not recommended to invest in stores indiscriminately.