2024 representative color Peach Fuzz brings connection and trust

        Mastering popular culture is a fundamental skill for retailers, especially the annual representative color of cultural trends, which cannot be missed. PANTONE, a global color authority, selects a color every year to represent the current spirit of the times. In 2023, after experiencing war, celebrity deaths, and the rise of artificial intelligence, it is full of uncertainty. The representative color selected in 2024, "Peach Fuzzy," highlights the atmosphere of society's desire for intimacy and connection in the new year.

                The desire for intimacy, connection, and trust is not only reflected in color, but also in the brand's commercial success. According to the latest report released by Management Consultant Deloitte on the retail industry, brands with higher trust have higher returns; Another survey found that increasing the trust of existing loyalty program customers in the brand through various activities can increase the annual consumption potential by 30%.

        Entering 2024, although the global overall economic situation continues to be under inflation and international war pressure, its growth and development tend to be conservative; The National Accounting Office and the Central Bank still predict that Taiwan's economic growth is expected to exceed 3%. How can the department store industry combine consumer psychology and seize consumption momentum to create new peaks? Deloitte suggests that making good use of technology to enhance customer trust and consumer experience are two major opportunities.

        Accumulate heartwarming trust assets with technological power

        As PANTONE mentioned, the soft peach furry texture makes people instinctively want to reach out and touch, reminding us to pull away from the screen and meet others face-to-face in reality. Among all consumer channels, physical storefronts are also the most popular interactive environment for consumers. Through real contact, brand trust can be effectively enhanced; Therefore, using technological power to increase the number of physical stores, and helping to enhance the brand experience of physical stores and accumulate brand trust assets, is the focus of driving growth in 2024.

        The FE SOGO Department stores app and the seven unique clubs in the industry are our best weapons. The FE SOGO Department stores have gradually improved their membership app system during the epidemic period and rapidly expanded their membership numbers, surpassing 1.4 million in 2023, becoming the fastest growing dark horse in the industry. This year, they will actively move towards 2 million.

        Starting from convenient services, Clubs cover different fields such as beauty, fashion, parent-child, etc., and strengthen interactive stickiness for different customer groups to cultivate active customer use. Then, through the SOGO customer data platform for targeted labeling, detailed marketing communication is carried out. In addition, the member app is combined with SOGOplus to vigorously promote click and collect, specifically improving opportunities for physical store services, from face-to-face warm contact, Solidly accumulate the trust assets of FE SOGO Department stores. According to statistics, the 20% of members who are most active in consumer interaction on SOGO Club are also a stable source of support that brings in over 70% of performance!

        Expanding new strongholds and innovating experiences to write a new chapter

        To promote a good physical consumption experience through technology, it is necessary to continuously update physical stores as the best experience scenario, and then achieve consistent brand goodwill accumulation across channels through data analysis and personalized services. Target in the United States recently pointed out that within one year of store renovation, the average revenue increases by 2% to 4%; Observing the revenue performance of all department stores in Taiwan in 2023, the modification of international top tier boutique counters is an important indicator to stimulate performance growth.

        The FE SOGO Department stores also underwent full store renovations in 2023, and the Zhongxiao Hall, known as the "King of Pingxiao," achieved double growth in customer numbers and performance through the renovations. In 2024, Fuxing SOGO Department Store will continue its renovation and expansion plan for three major brands. It is expected that its performance will experience a bouncing growth after completion in 2025. Not only that, the FE SOGO Department stores have also laid out a new base, integrating ESG venue planning with the Big Dome new hall that breaks the daily routine of department stores. It is about to meet consumers with a new and unique appearance. In the first half of 2024, 14 restaurants in Zone D were the first to open, providing a glimpse into the new style of the Big Egg in terms of theme content and spatial design. And Chongqing Far Eastern Group City, which has been preparing for a long time to cross the straits, will also open in the first half of 2024 with the promise of "becoming a local consumer landmark for all customers and the leader of ESG fashion in Chinese Mainland".

        2023 is a fruitful year, with the total revenue of department stores in Taiwan reaching an all-time high of NTD 449.2 billion. The FE SOGO Department stores have not yet expanded to new stores, but have exploded with flat efficiency, breaking through the NTD 50 billion mark and becoming the only department store in the industry with double-digit growth. In 2024, FE SOGO Department stores will continue to strive for the best service evaluation in the industry, creating warm and textured services, and witnessing a new peak in department store retail with gentle trust!

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