Retailing, Franchising, and Consumerism Business Intelligence in China

Suning Enters China's Catering Industry

Suning, known for its electronics and appliaces stores, has announced that the company will enter the catering industry in China.

Its first gourmet city will soon open on the B1 floor of its Shangmao Century Plaza store, Nanjing. This is Suning's another multi-sectoral operation after it opened a department store.

Six famous food brands, including J-Kungfu, Mr. Qbread and Ajisen Ramen, will reportedly open restaurants in the gourmet city. These restaurants will offer different kinds of foods such as fast food, ramen, hot pot, dessert and bread.

In regards to the reasons for the entry into the catering industry, Tao Jinghai, general manager of Suning Nanjing area, explains that the flagship stores advocated by Suning should be multi-functional, which can satisfy the different demands of customers. At present, Suning has introduced other business functions into many of its flagship stores which have enriched those home appliance flagship stores and offered more services to consumers.

Suning's introduction of restaurant chain brands into its Shangmao Century Plaza store is an innovation in the home appliance retail industry. At present, more and more customers tend to do one-stop purchases and buy an entire set of household appliances, which will take them lots of time. The opening of the catering area can not only meet consumers' dining demands, but also can save them time for finding a restaurant while purchasing.

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