Ye Haifeng: From Net Goods To Brand Manufacturing

It is both a private brand and a channel.

In January 23rd, the "wheat package 2010 spring and summer fashion new product conference" was held in Jiaxing. This is a very meaningful moment - "wheat bag" became the first "online goods brand" to hold its own brand large-scale fashion conference.

On the same day, the "Mai Bao" company displayed nearly 150 fashion packages of several brands. The DCM investment group and the senior executives of Lenovo investment also attended the press conference, and its degree of being sought after by capital was obvious.

CEO Ye Haifeng sent the photos of the conference to micro-blog with interest.

Because in his view, any kind of brand promotion useful methods are willing to try.

For him, after more than two years of online brand promotion, "wheat bag" has achieved a stage victory.

"Every quarter of the year, we will launch such a fashion new product conference."

He said.

As a brand enterprise pformed from traditional OEM enterprise, 3 years time, the report of wheat bag has been praised by numerous industry insiders.

Over the years, Mai Bao has been very focused on its own brand cultivation and promotion. Its practice has become the "standardized configuration" that many e-business people are competing to imitate. Apart from its B2C website, Taobao and some famous domestic e-commerce platforms have opened stores, and even surrogate their products through the platform, further expanding their channels and influence.

The online sale mode of its own multi brand is Ye Haifeng's definition of the wheat bag mode.

At present, the wheat bag has created more than ten fashion brands, which are gathered under the big brand of "wheat bag".

In the traditional brand channel business, it is almost impossible for more than ten brands to run at the same time. How does the wheat bag turn the multi brand mode into reality through the "electronic" means?

Seize the big market

In fact, Ye Haifeng's own brand is not as thoughtful as he imagined.

In 2006, Ye Haifeng, who specializes in luggage and OEM business, encountered the bottleneck of his career. "Profit is too thin!" Ye Haifeng told reporters that the gross profit margin of the OEM business was usually 5%, plus the pressure of homogenization competition, and sometimes the gross margin of 3% was also needed to do the order.

"Hundreds of millions of big businesses, in the end, they can earn 1 million yuan."

This changed Ye Haifeng's business thinking.

For this almost no bargaining power of the industry status, Ye Haifeng is very sober, customer demand for cost is low and low, no matter how big, OEM production business is always in the low end of the industrial chain.

"If it's a brand, everything will become more active."

In 2007, Ye Haifeng began to pform from OEM enterprises to branding enterprises, relying on his own brand, with millions of funds accumulated before.

At the beginning of the establishment of wheat bag, he decided to fight a protracted war.

As imagined, the beginning of career is not smooth.

At first, Mai Bao built a B2C website in addition to its own, and opened 60 offline chain stores throughout the country, taking a combination of offline and offline businesses.

But a few months later, Ye Haifeng found that the sales volume of offline stores was almost zero.

"The cost of online marketing is 55% lower than that of offline stores, and the cost of channels is 47% lower, and the response to products under the line is very slow."

Through research, Ye Haifeng thought that the "heavy" entity mode obviously can not match its resources, so we must get rid of this business mode and shift to an increasingly "light" line.

Despite a brief trial and error experience, one thing Ye Haifeng wanted to understand from the very beginning: always grasp the biggest market, and this market is Taobao.

Unlike many early B2C websites that avoided Taobao, wheat bags chose to seize it from the very beginning.

"My idea is very simple. Since Taobao occupies 80% of online shopping, I will do it."

Ye Haifeng believes that even the highest level in 20% of the market does not mean anything - it is only a minority.

Even at the beginning of the weak period, Ye Haifeng had never relaxed the promotion of brands.

Every month, Mai Bao will take out hundreds of thousands of yuan to buy Taobao P2P advertising.

At the same time, alliances, search marketing, e-mail marketing and so on are considered effective ways, and wheat bags will try.

"Since my admission time is good, I must take advantage of the heat to occupy the highlands and raise the threshold of the latecomers."

Ye Haifeng's speech is full of strategic ambitions.

Taking the lead in occupying Taobao is like occupying the most commercial pedestrian street under the line, and the cost is much lower than that under the line. This is undoubtedly a good opportunity for its own brand.

This is the reason why Mai Bao's brand is really familiar to the public. "Many people think that the wheat bag is built through Taobao."

Ye Haifeng said with a smile.

In fact, through Taobao's big platform, the wheat bag also promoted its own independent B2C platform. First, it promoted the reputation and sales volume of the Taobao platform; two, it pushed the independent platform and brand of the wheat bag to the market through the big platform.

In the face of many sellers' doubts between Taobao and the independent B2C website, Ye Haifeng, who believes in customers as God, said, "I never consider where God bought my things, but I only consider how to let God buy my things".

In 2008, wheat bags gradually standardized, it officially entered the Taobao mall, more and more customers of wheat bags, sales gradually have brand and channel.

In 2009, Mai Bao became the only KA major customer of Taobao bags and set up the Mai Tao project group. At present, sales of Taobao are only about ten million yuan per month.

"Up and down" channels

The rapid growth of wheat bags is no accident.

In addition to "catching Taobao" vision, butting up famous brands, wheat bags are channel providers, and private brands are extended downwards, and wheat bags are sold through multi-channel through authorized agents.

Ye Haifeng, once a well-known brand, seems to be more fortunate than the self-made seller, OEM.

As we all know, a brand from creation, establishment to consolidate, undoubtedly need a lot of money and time.

In the early days of entrepreneurs, capital is thin and there is no money to lose.

"You might as well start with some big selling rights."

Bao Wenqing, an e-commerce expert, highly admired Ye Haifeng's approach.

At the beginning of the business, Mai Bao was just an online dealer or a channel dealer. The independent B2C website was not only for selling its products, but also from the industrial chain.

Ye Haifeng said that through his 10 years of accumulation in traditional industries, wheat bags successfully introduced Mitch, Goldlion and Pierre very early.

More than ten international brands such as Cardan.

According to the expert analysis, the big brand's own effect will bring the natural flow, and the trial and error cost is very low.

At the same time, with the help of famous brands at home and abroad, through the way of word of mouth marketing, the consumer's recognition has been gradually obtained.

Through these large brands or direct retail or channel wholesale training, to train their own sales, channel team and network, and gradually let their own brand products ship out of the sea, homeopathic.

But in the face of too many homogeneous products, the competition of channel B2C is becoming more and more intense. Apart from competing in the B2C of the same kind, and facing the pressure of Taobao and mature brand to do e-commerce, the reality of channel B2C's difficulty in product premium is exposed.

Looking back, this just inspired the decision of Mai Bao marketing pformation.

At present, Mai Bao sells more than 10 thousand kinds of single products from 34 brands, of which more than a dozen private brands are the main ones, reaching 70%. of sales volume.

"I think the core is brand.

We live in a time of material accumulation, and any product you make may have forerunners.

No matter what we do, we end up doing brand. Traditional business is also the same. Platform based WAL-MART has only one, and the more vertical each brand is, the higher its value. "

What Mai Bao wants to do is such a fast fashion modern women's channel brand.

According to different target groups, each brand of wheat bag has its own style and price.

"DUDU" is based on the first layer of cowhide as a raw material. It is very suitable for the OL crowd: "flying space" is positioned as a little girl under 25 years old, highlighting the "lovely" element: "wave beauty" follows some international brand names in style, suitable for the 30 year old European and American children. "Ka Tang" takes the Korean version of the route, with the "neutral" as the main style: "Alfa" takes the classic style, and the main age is 32-42 years old mature women.

And how to expand these private brand channels, wheat bags are to reach any place that can be sold.

In China, a successful marketing rule proved by countless times is that there is no market size without agents.

Looking at DELL, this giant, which is famous for its direct selling worldwide, finally had to compromise and develop its own agent channel.

A native wheat bag is well versed in its way. According to statistics, wheat bags even exceed 300 agents at the peak of Taobao, bringing the big sellers on Taobao.

Today, the average daily sales of wheat bags are up to 5000.

This is not only a channel but also a private brand, which can draw high profit margins. B2C, which can extend its own brand, is looking for the best balance.

Supply chain upgrading

"Because I didn't do it well, so I did it."

This sentence is also from Ye Haifeng's mouth.

It's not easy to do private brand these years, but he thinks this is his threshold and advantage.

Ye Haifeng told reporters that every brand, from positioning, procurement, production, inspection, supply chain......

Each link is different. "We have 12 teams, which are responsible for the research and development of different brands".

Just because of this, Ye Haifeng placed more emphasis on the management of the backstage, and in the course of development, it has naturally formed three upgrading of supply chain: the first is goods sold; the end of 2008 is sold at the end of the design; now it is a semi custom mode according to the consumers' preferences. "Our greatest strength is the adoption of a unique supply chain management mode based on network order driven production and management, that is, the M2C system (factory to terminal)".

Ye Haifeng said that this management mode is somewhat similar to WAL-MART's QR supply chain management mode, which is to share and share information with sales, inventory information, production information and cost information.

It is understood that the system has changed the traditional sales mode of container delivery, and is automatically displayed on the handheld terminal of the responsible person in the procurement, production, warehousing, logistics and other aspects through the order driver.

Through the handheld terminal, the staff of the wheat bag will understand the requirements of consumers for their links and complete the tasks accordingly.

At the same time, we can adjust the production plan and material purchase plan in time, and let the enterprises prepare well for the purchase and save a lot of stock space.

"Any purchase behavior of a customer will have a linear impact on the product."

Ye Haifeng hopes that everything is based on direct customer demand.

At the same time, the core value of this system is "quick response". "ZARA's mode is that, from a signal to a finished product, they can always make the fastest response."

According to the experience of traditional garment factories, the reaction time usually is 2-3 months, while ZARA can be controlled for 15 days. Ye Haifeng strongly agrees with this business idea. He thinks it is the result of good integration of all resources.

According to statistics, at present, a set of products of wheat bags can be controlled in 10 minutes from online display, customer order, purchase and sale to logistics.

"Fast" has become the core competitiveness of wheat bags in fine management, logistics time and cost control.

According to statistics, 60% of customers who buy in the "wheat bag" will go shopping on the "Mai Bao" website again in three months.

According to the analysis of the insiders, although the process is difficult, the advantages of the independent brand are obvious: first of all, the way similar to M2C reduces the intermediate channel, self pricing, independent control cost, and the gross margin is very high. Secondly, compared with the mature brand, its own brand is out of the network and easy to control the price system; more importantly, its own brand will have special brand attributes and characteristics, reduce the homogenization competition, and at the same time, it can also greatly enhance the customer's viscosity and easy to maintain loyal consumers.

Ye Haifeng said that the ultimate mode of e-commerce is still "business", and "Electronics" is just an acceleration tool.

In the future, the term "electronic commerce" is likely to disappear, or enterprise standard.

The future business world is flat, and everything must start from a business perspective.

And this fundamental is always the control of product quality, strict management system and good team.