The Way To Calculate The Profit Model Of Clothing Brand Agents

Clothing brand agents and franchisees from the signing of the brand retail agency agreement, the most important thing is the profit model accounting. As the saying goes, is how to make money faster. What way can make the retail shop to get profits quickly, can make the store become a profit channel mode to copy and operate, is the most concerned problem for agents and franchisees.

The key basis for solving these problems is the cost of clothing stores

How to make investment accounting for a store depends on the retail price of the agent's clothing brand and the terminal location of the retail price of the clothing brand product market.

The price of the product is high and the location is high.

First, store rental operation.

In the operation of the rental payment of retail stores, agents have been using the lowest price as the basis of the lease for many years without considering the investment cycle and payment cycle.

In fact, judging from the rental investment cycle of store rents, the most suitable way to invest in the brand rental shops is the short term shop rent payment method.

Although it doesn't matter if the price is high every month, the agent should save the amount of investment in his own hands, lease the shop with the least money, sign the agreement in the form of the fastest payment, and do not sign the agreement of long-term shop rent.

For example, a long term rent agreement paid once a year, two years or three years.

On the surface, the rent for a year or two years is low, but in fact, there are great variables in the market's survival and brand changes in the market operation, which can not protect the investment in two or three years.

Therefore, it is the first cost accounting principle and concept to strive for the time difference of store rentals in the investment link.

Second, shop decoration (investment control)

After the operation of the whole store, the cost of decoration accounted for 10%-20% of the total investment of a single store.

Shop decoration has become a very important part of venture capital.

Over the years, agents have refused and counterbalanced for various reasons. But since 2006, with the increasing popularity of terminal retail stores and the support of professional visual communication, agents and franchisees have been able to accept the high cost of terminal decoration of the brand, and can also invest in the cost and recognize that they can benefit. This is a relatively big change in the past two years.

However, some of the overinvestment in store investment is over standard decoration costs.

From the current domestic market retail shop decoration standards, the high-end brand decoration costs in the shopping malls are as high as 2200 yuan -2600 yuan / 2500 yuan -2800 yuan in the first class market roadside shop decoration, the decoration cost in the two or three level market is 1200 yuan -1500 yuan, and the four level market is between 600 yuan -800 yuan.

The above standard basically belongs to the decoration standard of women's clothing brand, if it is men's clothing, it is necessary to add a 30%-50% on the basis of the cost.

In the early stage of shop decoration, such a large amount of expenses should be paid, but also a series of brand standards and visual communication positioning features should be accurately restored.

In this way, agents and franchisees are required to remove the investment in hardware decoration, and spend all kinds of software decoration costs.

This makes decoration not only for investment, but also for investment and expenditure in the restoration of decorative brand image.

There is no way to save on this cost, and we must be careful in increasing costs.

Third, the investment in goods is the biggest expense in the overall retail store investment operation.

It has to pay for the investment of three grade goods, the first is the investment in the early stage, second is the investment in the futures, and the third is the supplementary investment in the operation period. The three stage investment may happen at the same time.

From a proportional perspective, the investment share of 1:2:0.3 is better than the state.

This is the largest amount of investment in retail terminal stores, accounting for 60% of total investment.

Moreover, this investment has a relatively large risk. Often agents and franchisees do not prepare enough funds for the three phase of investment, and the bad timing of payment control will lead to the fragmentation of the investment capital chain, which seriously affects the later orders and supplementary products of retail terminals, and it is the key to cause shop sales to fail.

Agents and franchisees stick to their own business.

One side is unable to get the goods they want, nor can they catch the immediate demand, and the other side can not give the quantity they want. This is a huge problem existing in the retail terminal of the domestic trade, which affects the quality of the brand store in the sales promotion and the profit gaining.