- Creating More Value with Low-Cost High-Efficient Supply Chain and Comprehensive Online/Offline Business
- Achieving “3 Deliveries/Day; Precise Delivery; Installation with Delivery” in 200 cities
Hong Kong, 2014-6-12 — /EPR Retail News/ — Guided by its “Omni-Channel Retailer” strategy and driven by its cost-efficient supply chain, GOME Electrical Appliances Holding Limited (HKSE: 493, “GOME” or “The Company”, together with its subsidiaries, “The Group”) will continue to expand its store network, enable full development of its online and offline businesses, enhance the customer experience and strengthen its sales management and internal control capabilities. The Group is confident that it will maintain stable gross and net profit margins so as to create greater value for its shareholders and consumers.
Continuous Enhancement in Sales Management and Internal Control Capabilities Guided by its “Omni-Channel Retailer” strategy, the Group has been actively optimizing its store network since 2013. From the first quarter of 2013, GOME has recorded double-digit growth in sales revenue and same store sales for five consecutive quarters; meanwhile, the Group’s gross margin has been maintained at around 18%. The Group has consistently outperformed its peers. Furthermore, effective staff management and store area optimization have enabled the Group to effectively control major operating costs that include labour and rental expenses, bringing the Group’s total operating expense-to-sales ratio down from 17.1% in 1Q 2013 to 16.4% in 1Q 2014. These indicators fully demonstrate the continuous improvement in GOME’s sales management and internal control capabilities since 2013. Looking forward, the Group is confident that it will sustain its growth momentum and will continue to outperform the industry average through further implementation of its “Omni-Channel Retailer” strategy.
In May this year, the Group officially announced that it will establish the highest logistics services standards in the industry and pledged to provide “3 Deliveries/Day; Precise Delivery; Installation with Delivery” and to advocate the enhancement of logistics services throughout the industry.
Achieving “3 Deliveries/Day; Precise Delivery; Installation with Delivery” in 200 cities in China GOME currently provides intraday logistics services in 178 cities. The Group expects to achieve “3 Deliveries/Day; Precise Delivery; Installation with Delivery” across 200 cities in China by the end of 2014 and to gradually expand its presence to more than 400 cities, building nationwide coverage with a personalized service system which will ultimately enhance the customer experience. GOME targets to meet the practical needs of consumers through better services that are more user-friendly and flexible.
Mr. Wang Junzhou, CEO of GOME, said, “Customer satisfaction and the user experience are two key objectives the Group is pursuing. GOME believes that under the leadership of the Board and the management, we will seize opportunities in the mobile Internet era. GOME will set three benchmarks in the home appliance retail industry, and will provide customers with comprehensive services of the highest standards. We will gradually become China’s largest and most professional O2M Omni-Channel Retailer, and will generate maximum returns for our shareholders and consumers.”
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About GOME Electrical Appliances Holding Limited
GOME Electrical Appliances Holding Limited was listed on The Hong Kong Stock Exchange in July 2004 (HKSE: 00493). The GOME Group was founded in China in 1987 and is engaged in the electrical appliances and consumer electronics retail business in China. It is the largest electrical appliances and
consumer electronics retail chain and the largest retail chain enterprise in China.
Please visit our website for more information: www.gome.com.hk.
For further enquiries, please contact:
Hill+Knowlton Strategies Asia
Samantha Wang Candy Chan
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