How To Reduce The Market Risk Of High Price Leather Clothing?
At the headquarters of Beijing South Fourth Ring Road, a fashion ceremony of "clothing is vivid and vivid" has been staged.
After the press conference, China's leather industry development seminar attracted the attention of media both inside and outside the industry.
The upgrading of leather industry has added new ideas to the garment agents who are looking for new business space. But how can we enter the door of high-end clothing brands such as fur clothing and fur?
What kind of price do you need to pay for such brands?
How much market return can it get?
At the 2008 autumn and winter new products released by CHO Sidi, when the models dressed in elegant leather clothing, beautiful evening dress and luxurious fur top came out, many agents at the scene began to comment spontaneously: "this style will sell well this year!"
"I like this layered design."
"That fur has a good sense of silhouette."
It is this kind of pure and simple design style, unique aesthetic feeling and strong artistic pursuit, which together with diversified product ideas, has brought good market feedback to the market of CHO Sidi brand for several years.
The brand has now formed the development layout of Hongkong as the center of management decision, Beijing as the production base and the marketing center of China, and the two major sales outlets of large and medium-sized shopping malls self operated and acting customers operate with an annual turnover of 200 million yuan.
Having learned about the market situation of the sustainable development of the original leather brand such as CHO SDI, we will return to the problems mentioned earlier.
What is the first thing to consider when choosing a high-end leather brand?
How high is the market risk?
高額貨款是最大障礙
As a cutting-edge brand in the clothing market, CHO Si Di, like most garment enterprises, has chosen the parallel development path of self employment and agency.
Self operated stores mainly operate A-type markets, which radiate and influence the surrounding market. The role of agents in franchisees is reflected in increasing market share and enhancing brand awareness.
In the process of contacting with agents, the official of CHO Si Di felt that the agent for the development of the leather brand is more difficult, for example, the strength of the agent is not good enough, and the brand loyalty is not enough. The direct reason for these difficulties is that the agents need to invest too much.
On the basis of ensuring the normal operation of the business, the initial payment for the agent can not be less than 100 thousand yuan according to the basic distribution requirements.
For the annual purchase volume, CHO Si Di's agent book also clearly stated that the provincial capital city is no less than 1 million 600 thousand yuan, the prefecture level city is not less than 1 million 200 thousand yuan, and the county level city is not less than 900 thousand yuan.
Therefore, without strong financial support, it is difficult to walk into the door of leather brand.
At the same time, the value of materials and the limitations of traditional leather products such as simplicity and seasonality make the leather enterprises want to increase the market share by means of agents joining channels, and the difficulty of expanding the sales network is different from that of other categories.
Huge investment also means increased risk, but it also represents enough profit margin. What kind of leather brand is the smaller risk factor?
Rich product line to reduce operational risk
Around the core of fur clothing and fur, Sdi has continuously added rich products such as gowns, ready-made clothes, weekend jackets, shuttle knitwear, shirts, trousers, accessories, bags, shoes and so on, and has also broken the fate of traditional leather clothing enterprises limited by geographical and seasonal restrictions. This will enable business representatives to have business opportunities and business in the four seasons.
At the press conference, the company also presented awards to the agents, and identified ten excellent agents and four outstanding agents.
It is understood that some of these winning agents were represented by Li Chengduo, chairman of the company when he started from scratch, and some of them were gradually joined in the sales team with the development and promotion of CHO SDI.
They have made outstanding achievements in developing the market with Cho SDI, and the main reason for attracting them and guiding them to success is that they have rich product lines and strong product development and production capabilities, and cooperate with advanced production management experience.
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