Operation Analysis Of Shoe Brand Direct Operation Mode (Two)
Fully demonstrating the conditions of regional direct operation
Whether or not the regional direct operation should be carried out depends on the two levels of comprehensive analysis and demonstration, namely, the necessity of direct operation and the feasibility of direct operation.
The necessity of direct operation is reflected in the determination of headquarters to carry out regional direct battalion. The feasibility of direct operation is reflected in the ability of headquarters to develop regional direct battalion.
The necessity and feasibility of direct operation should be established at the same time, and the direct determination and the ability of direct operation can be achieved simultaneously, so as to achieve the regional direct business of shoe and clothing brand.
(1) prerequisites for determining the necessity of regional direct operations:
First condition: strategic conception of docking enterprise listing
The shoe clothing brand, which plans to go public, repurchases the channel network of regional agents in the mode of regional direct operation. Its purpose is to rapidly increase the value of channel assets and quickly increase the sales and profits in the financial statements, so as to submit a qualified business performance answer to the Underwriters and potential investors.
For the shoes and clothing brands that have been listed successfully, the regional market will be more successful.
be run directly by a manufacturer
As a preferred strategy to enhance brand awareness and enhance channel control.
Second conditions: supporting regional leading strategy position
Because of the dissatisfaction of the current regional market operation of agents, shoes and clothing enterprises hope to directly operate their own direct team, and rapidly enhance the regional brand status and sales volume, so as to create a regional model market and lay a regional leading strategy.
This will also become a realistic reason for the shoe and garment enterprises to reclaim the regional market of agents. It also hopes to achieve the strategic goal of encouraging agents to develop regional markets and radiating the surrounding market.
Third conditions: promoting pformation of channel mode
The existence of three levels of headquarters, regional agents and terminal retailers has resulted in the reduction of the effectiveness of the channel policy. Similarly, the competition is becoming increasingly fierce, and the profit distribution space of the existing channels is not enough to support the strong market offensive of the shoe and clothing enterprises.
Therefore, the trend of enterprises to reduce channel level and grasp channel leadership is irresistible.
From the perspective of channel strategy planning, the direct mode can be used as the starting point of the dual track system, which is based on the current monorail system relying on regional agents to the two legs of the regional agent mode and the regional direct mode. It can also serve as a starting point for the flat and compound channel, and the same can serve as the starting point for optimizing, refining and exporting the retail management mode.
Any of the above three conditions is sufficient to support the strategic decision of regional market direct operation, and it is also enough to promote the strategic thinking of the regional headquarters of the shoe and clothing brand headquarters.
(2) prerequisites for determining the feasibility of regional direct operation:
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Even if the necessity of regional direct operation is determined, it is necessary to determine whether the feasibility conditions of regional direct operation are available.
First condition: strong fund
The original regional agency mode requires the payment by regional agents, market development, advertising and so on. Under the regional direct operation mode, shoes and clothing enterprises need to undertake their own businesses.
In addition to,
be run directly by a manufacturer
Regional personnel costs, office rents and travel expenses also need to be considered as a whole.
In addition, the pfer of the inventory with the agent and the pfer of the debts owed by the franchisee also need to be invested accordingly.
Finally, in order to quickly reverse the unfavorable situation in the regional market, the additional cost of brand dissemination, market promotion and direct expansion will be a great investment.
All these four costs require the shoe and clothing enterprises to put in the short term.
Without systematic direct investment in the current and long-term capital investment plans, it will probably make the regional direct strategy fall short, and the result is much more difficult than the original regional agency mode.
Second conditions: effective team
The main channel of shoe and clothing brand operation is shopping malls and franchised stores, and the number and quality requirements of the direct battalion team at the branch level and terminal level will increase exponentially.
How to evaluate the professionalism and professional ethics of the direct battalion branch and how to assess the regional management capability and management capability of the direct sub branch team is a practical problem facing the shoe and clothing enterprises.
The third condition: effective management and control mode.
Funds are regional markets.
be run directly by a manufacturer
Prerequisites.
How does the direct battalion team make good use of the limited funds and make full use of them? This involves the management and control mode of the direct battalion branch, including the organizational structure of the direct branch company, the allocation of responsibilities and rights of departments and posts, the cross departmental operation procedures and operation specifications, key management systems and job forms, remuneration system and assessment system, and authorization mechanism.
Therefore, the strategy of regional direct operation is not a spur of the moment, but based on careful analysis and rigorous demonstration, it can take advantage of the basis of fully assessing and confirming the necessity and feasibility of direct operation.
Any regional direct approach to quick success and urgency is likely to be unpaid.
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