2017-01-25

Taroko (1432) entered the Chinese market and targets 20 exhibition stores in three years
Transforming the DNA of China’s shopping malls to build the last mile to consumers

Under the competition of high homogeneity of Chinese shopping malls and e-commerce price wars, Taroko’s innovative experiential consumption model has given shopping malls and shopping malls a niche point of “only here can be experienced”, providing consumers with a reason to “have to come”. This element of “Only Taroko” has been invited by Vanke Group, the world’s top three real estate companies, to cooperate in the Chinese market, and signed a strategic cooperation agreement with Taroko to jointly explore domestic consumption opportunities.
Taroko creates the potential of the consumer market and gives a new definition to China’s shopping malls
E-commerce is growing at a rate of 15-20% per year, constantly eroding the operating performance of physical shopping malls and declining profits. Combining experiential consumption of sports leisure and social entertainment, Taroko will introduce the essence into the flow of people, and jointly create a consumption ecosystem with shopping malls, giving consumers a reason to “have to come” with the actual leisure and entertainment experience that e-commerce cannot provide. With more than ten years of experience in sports and leisure and entertainment, Taroko has entered Chinese shopping malls with key main stores with a large number of customer absorption capabilities, transformed the DNA of Chinese shopping malls, seized the experiential consumption gap in the Chinese market, and built the last mile road from Chinese shopping malls to consumers.
Taroko lays the foundation for the successful model of Suzhou and Chengdu and joins hands with Vanke to expand China’s shopping malls
After winning the affirmation of Aeon Group, the largest real estate developer in Japan and Wharf, the top three real estate developers in Hong Kong, this time it will sign a strategic cooperation agreement with Vanke Group, which has many years of experience in Operational Real Estate. Vanke, one of the world’s top three real estate developers, has built a number of “Vanke Plaza” shopping malls in major first-tier cities in China, and is positioned as a one-stop service consumer shopping mall, which is quite in line with the operation model of Taroko’s specialized in-store experience. The strategic cooperation between Taroko and Vanke Group further expands the future development space of Taroko in the Chinese market, and also proves that the sports and leisure solutions that Taroko is good at are the key to China’s shopping malls breaking through the dilemma of e-commerce erosion. In the future, Taroko will work with Vanke Group to create a new type of leisure and entertainment consumption model in China, and will enter the main store in Shanghai Vanke Center at the end of 2015 and Shanghai Vanke Plaza in 2016, which will create a wave of experience economy!
Cultivating the initial exhibition results in the Chinese market The operation performance of Daluge Suzhou Wuzhong store and Chengdu store is eye-catching!
The Chengdu Chunxi store opened in the Chengdu International Finance Center has created a fashionable sports bar for office workers and group guests to pursue life experience and enjoyment, which has been open for three months since its opening in November 2014, and its turnover has reached RMB 900,000 (equivalent to about NT$4.5 million) in the second month of opening.
Aiming at the gradually emerging family consumption trend, Suzhou Wuzhong Store has developed a sports and leisure hall combined with parent-child entertainment, which has been opened in April 2014 for nearly a year, with an average monthly consumption of 20,000 person-times, and an initial average monthly turnover of 60~800,000 yuan, equivalent to about NT$300~4 million. In the future, Taroko will take Tier 1 and Tier 2 cities as its main development goals to open up the Chinese market, aiming to have 20 stores within three years.

Remark:
Taroko Textile Co., Ltd
Taroko Fiber started as a textile company, and in recent years has actively transformed into commercial real estate development and operation. As Taroko has nearly 10 years of profound experience in operating the sports and leisure industry, it provides differentiated service solutions for shopping malls with innovative experiential consumption models, and has been recognized by many well-known real estate developers in China, actively discussing cooperation opportunities with Taroko. In 2014, Taroko opened two stores in Suzhou with AEON Group and in Chengdu with Wharf Group. In the future, Taroko will continue to deepen the layout of the cross-strait market and carry out bilateral cooperation with major real estate developers.
Vanke Group
Vanke entered the real estate industry in 1988 and is a leading global real estate developer, with a total sales of RMB174.06 billion (about NT$870.3 billion) in 2013, the largest among real estate developers in China. Vanke Group’s business scope covers the three major cities of the Pearl River Delta, Yangtze River Delta and Bohai Rim, and its sales scale is also among the best in the world. Vanke’s most iconic shopping mall is Longgang Vanke Plaza in Shenzhen, which is a one-stop shopping mall integrating leisure, entertainment, catering and shopping. In recent years, Vanke has actively carried out the layout of commercial plazas, following Shenzhen Longgang Vanke Plaza, Guangzhou Nanhai Vanke Plaza, Beijing Jinyu Vanke Plaza and Dongguan Chang’an Vanke Plaza have opened one after another. In the future, Vanke will continue to deepen its exploration power, become a new landmark of major cities, and shape a new pattern of modern cities.
Wharf Group
Wharf Holdings Limited is a Hong Kong-listed conglomerate with a strategic focus on the development of real estate and infrastructure businesses in both Hong Kong and Hong Kong, with a combined asset value of HK$391.2 billion (approximately NT$1.56 trillion), making it one of the largest real estate investment companies in Hong Kong. Quality investment properties are the backbone of Wharf’s business model, with its landmark properties Harbour City and Times Square accounting for nearly 10% of Hong Kong’s total retail sales, providing the Group with solid recurring revenue and value-added opportunities. In recent years, it has actively expanded China’s domestic assets, and in the next two years, it will build an international financial center in the most prosperous central areas of Suzhou, Chongqing, Changsha and Wuxi. The Group’s assets also include a number of key terminals located along the coast of China, which is the most prosperous coastline for global freight in the coming decades.