Reverse Development Of Chinese Footwear Industry For Survival

Li Guangdou, Ding Mingliang and Xu Gehui are at the forum.

Recently, del Hui (China) Co., Ltd. held a "further March" in Jinjiang Baolong Hotel, Jinjiang. Xu Gehui, a famous host of Phoenix Satellite TV, a public welfare Ambassador of del Hui culture, a famous brand marketing master in China, Mr. Li Guangdou, a consultant with Mr. del Hui brand, and Mr. Ding Mingliang, President of del Hui (China) Co., Ltd., gathered together to talk about the 09 years of China's economy and the development of China's footwear industry under the influence of the financial crisis, and the development strategy of the 09 year old del Hui brand.

In 2008, China's economy and China's footwear industry were all very unquiet for a year. But in this challenging 08 years, del Hui all overcame a lot of difficulties and achieved good results. In the past 08 years, del Hui has gone against the trend and achieved a 37% growth, which has made a great contribution to the development history of more than 20 years.

Say goodbye to 2008 and usher in 2009. The impact of the financial crisis has not receded. As Li Guangdou said, 2009 is full of uncertainty. How can China's footwear industry get through this cold winter trough and achieve an upward trend?

　 "Uncertain" 2009

Xu Gehui: 2009 is not an easy year. The global economy has been in a low ebb and has entered the cold winter. How can we do this, like the theme of our conference, "go further?" Next, I would like to invite two people to share with you a lot of cases, experiences and experiences in the coming time, and to share their valuable experience accumulated in the actual combat process, so as to tell us how to pass the trough and pass through the cold winter. How can we make further progress? Next, please send Mr. Ding Mingliang, President of del Hui, a famous brand expert in China, Mr. Li Guangdou, the brand consultant of Dell Hui.

Xu Gehui: we are here today to do this forum, which is a bit like "celebrity face to face". Today, we are sitting here. Let's talk about the feelings and experiences of 2008.

Li Guangdou: in 2008, we can use a word called "unexpected" to describe. From the beginning of the snowstorm to the earthquake, we opened an unparalleled Olympic Games in China. In the past 08 years, a lot of things that we didn't expect have happened. The development of del Hui also made us "unexpectedly". I didn't expect del Hui to open more than 800 terminal stores in the market, so that it could grow 37% against the trend. If 2008 is "unexpected", 2009 is "uncertain". Because the financial crisis is still affecting China's economic development, 2009 is full of uncertainty. Despite many uncertainties, confidence is more important than gold and money, according to Premier Wen Jiabao.

　　 Turning crisis into a turning point

Xu Gehui: many people are talking about the economic crisis. Is the current economic severe winter the lowest and the worst? What kind of ditch will you encounter?

Li Guangdou: this economic crisis is unprecedented, but many people say that China is the first country to recover from the crisis. Because the biggest impact of the economic crisis on China is foreign trade exports, and exports have been severely hit. But for the more than 3000 independent brands of the retailer, we have the most solid foundation in mainland China. At this time, it is a chance for us. Why do you say that?

Our growth depends on the delicacy of our stores, whether the number of our stores is large, and whether our effective shops can be very strong. On the other hand, under the economic crisis, the price of assets is also decreasing. Recently, a popular research is called "anti cycle". As an entrepreneur and a retailer, making money in prosperity is not a real skill. The key is how to make money when you are in a recession. A lot of people want to copy the bottom. I think 09 years is a good time to hunt the bottom. It's also a good time to expand.

Xu Gehui: Ding, you are also emphasizing that crisis is a turning point. How can we turn the crisis into a turning point?

Ding Mingliang: we always have confidence in ourselves and believe that crisis is a turning point. Shoes and clothing products are people's daily necessities, so it is bright and promising from the perspective of our industry development. How to achieve a "turning point" in crisis is a great necessity to turn the danger into a "machine" confidence. The key is whether you have the confidence to welcome the coming turnaround. On the other hand, under such circumstances, the cost of all aspects is also decreasing. For example, in the first two or three years, it is very difficult to find a shop, and now it is cheap to rent a store. These are all opportunities.

Xu Gehui: in 2009, under the influence of the financial crisis, many enterprises began to cut costs, including research and development, promotion and other aspects of the cost. In this respect, what is the situation of del Hui? Is it reduced or maintained or increased?

Ding Mingliang: I think brands and products are the most important part of an enterprise. It is a must for an enterprise to improve its performance price ratio and improve its service quality. In addition, brand promotion should also be more practical. In these areas, we are prepared to have a relatively big improvement on the basis of 08 years.

　　 Counter cyclical development

Xu Gehui: the theme of our forum today is "go all the way and go further". "Du" means prudence and stability. How do you think companies should be "steady" and grasp business opportunities, Mr. Li?

Li Guangdou: I want to say three sentences. The opportunity is to give confidence to people. The opportunity is only given to one person. The opportunity is for those who are prepared. In the face of conservative stability and opportunities, some people keep their lives until the end of their depression. So it depends on how you measure it. You must be fearful when others are greedy and greedy when others are afraid. If you can't be greedy, at least calm down. Now we are all looking at the development of "counter cyclical" development, that is, how can we break through the expansion in the economic downturn? There are more opportunities in the troubled times as long as we can seize this opportunity.

Xu Gehui: a lot of things have been said before. It is very important that we should be good at seeing the hope in the crisis and seize the opportunity. What kind of new measures will be made in the 09 years?

Ding Mingliang: we follow a principle: do effective things, use useful people, and open effective stores. In the 09 year, del Hui will increase its investment and increase its advertising support to key markets. The focus of advertising will be on Phoenix Satellite TV, Hunan satellite TV, high speed billboards and tourist attractions.

In terms of product development, we have hired a famous Korean designer, and there will be an improvement in this regard. We will also continue to focus on Jay Chou's movie Panda Man and incorporate some of the elements into product development. In addition, we will continue to sign contracts with Jay Chou and Xu Gehui this year.

　　 "Sports shoes" effect

Xu Gehui: we can learn from the experience of the world and find business opportunities in the rules. I heard that in the economic downturn, people who wear sports shoes will increase. Is that so, Miss Li?

Li Guangdou: we have studied a data about how the way of life of our country will change after the Olympic Games. One of the changes is that more people wear casual clothes and more people wear sports shoes. This is a phenomenon that all over the world have hosted Olympic Games, including Korea, Australia, Spain and the United States. So we call it the "sports shoes" effect.

In the recession, sales of sports shoes will increase. In the past, when the economy was booming, everyone wore leather shoes to work. When the economy is depressed, the industries such as vacation industry and family industry will rise. I think this is also an opportunity for del Hui to do this industry.

If China's per capita sports shoes have to reach the level of the United States, I calculate that we should grow at least more than 20 times. Another point is that after the recession, rational consumption increases, so the financial crisis is the best opportunity for our brand. The financial crisis will have an impact on the US economy, and it will also affect the confidence of Chinese people in the US brand.

Xu Gehui: in fact, the brand image of our Chinese brand has been greatly improved in the past two years. I got a feedback from the audience that Jay Chou attracted a lot of young people as a brand spokesperson. They belonged to the type of "love you not negotiable". When you saw Jay Chou endorsing, they bought you this product.

Then, after working with Phoenix Satellite TV, del Hui also attracted a group of people who were not concerned about the brand, belonging to people over the age of 30. Because the audience saw that the "del Hui" brand appeared in Phoenix Satellite TV, and Xu Gehui was the cultural commonweal ambassador. They felt that the brand was not only a young group of twenty years old, but also had relations with us. So he successfully captured the two groups.

Xu Gehui: Well, thank you very much for coming to our symposium today. Finally, Mr. Ding and Mr. Li sent you the most simple sentence to look forward to and wish you all the best.

Ding Mingliang: this year is the year of the ox. The brand of del Hui is a lucky year from its establishment to this year. Here we wish you all the best luck and prosperity in the year of the ox.

Li Guangdou: we talked about it for 08 years. It was "unexpected" and "uncertainty" in 09 years. But in such an uncertain era, I can make a bold prediction: it is definite that Del Hui can go further.

Xu Gehui: Thank you again for the two guests and thank you for coming. Let's join hands with del Hui to start our journey again and start again in 09 years.