China 2015: BRAND PROFILE | 29. Suning
COMPANY Suning Commerce Group Company, Ltd.
BRAND VALUE US$ 2.0 Billion
YEAR-ON-YEAR CHANGE 24%
YEAR FORMED 1990
Suning advanced plans to strengthen its core appliance business with its physical stores, while opening its online platform to more third-party collaboration. Online sales increased during the first half of 2014, but not enough to offset an overall revenue decline.
Suning closed underperforming physical stores but continued to expand, opening 62 stores during the first half of 2014, mostly in second and third tier cities. As of June 2014, Suning operated 1,583 stores in mainland China, 27 in Hong Kong and 13 in Japan. In addition:
- The company received regulatory approval to launch an insurance company, the first retailer to offer insurance nationwide.
- Suning also became the first ecommerce company to receive a license to operate an international express delivery service, which potentially will support overseas ecommerce business.
Revenue declined to $8.3 billion, in the first half of 2014. For the full year 2013, net income fell 86 percent to $60 million on a 10 percent revenue rise to $17.1 billion. Established in 1990, Suning was listed on the Shenzhen Stock Exchange in 2004.