Independent Brand Successfully Build Women'S Shoes King

Now, I am afraid no shoemaker looks like Zhang Huarong.

More than a month ago, Premier Wen Jiabao visited Dongguan Huajian group, founded by Zhang Huarong, so that the industry "invisible champion" surfaced.

Its "

Hard start

When he was in a mess, he was saved by straw.

Zhang Huarong, who was born in Dongguan, encountered problems in management, talent and order. The company was once in debt and on the verge of bankruptcy.

About 300000 pairs of women's shoes are famous by traders.

Huajian's story begins here. It was in 1996, at a Taiwan shoe factory in Xiangyang Village, Houjie village, Houjie.

"The foundation of this factory is very good, but the boss of Taiwan is not well managed, and is about to go bankrupt.

In October of that year, the boss found me and asked me if I wanted to make it, asking for a price of 1 million yuan.

Zhang Huarong frowned and made a thick pile of money gestures. "In May, I just set up an office in Houjie, where I could get so much money, but his factory was really tempting."

What can I do? I can't afford to pay so much money. I pay the deposit first, and the rest can only be arrears or guarantees.

The shoe factory is good, but Zhang Huarong has indigestion after buying it.

"I used to make cloth shoes, but now I have to make leather shoes, how to manage them and how to find them."

"I didn't even have enough money to buy vegetables when I was miserable."

Zhang Huarong said that in less than a year, not only did he lose all the funds accumulated in Nanchang, but he also had debts.

At the end of the year, Zhang Huarong felt that he could not keep up. He began to plan to spend some money to escape to Russia.

When I talked with my family on the phone, my old mother was so scared that she could not sleep.

At that time, Zhang Huarong, a village director of Xiangyang Village, found that he had difficulty telling me that he could not shut down the factory.

Zhang Huarong, who served as a soldier, felt that the crucial moment was coming to an end. He tried every means to maintain the operation of the factory.

Soon, the famous international trading company, pun Meng, threw out the "straw" - a large order for producing about 300000 pairs of shoes.

Zhang Huarong recalled that many foreign shoe factories at that time were very powerful, and foreign purchasers could not keep their prices down, so they thought of the local shoe factories in mainland China.

"At that time, Huajian studied and made shoes in the morning from 7 a.m. to 12 p. m., and they were very practical and honest in doing business, so they picked us."

The about 300000 double startled big list still can not let Zhang Huarong laugh.

"The price of the pie is very low, and Huajian's difficulty is still unsolved, but the image is much better."

Zhang Huarong said that when the supplier heard that he was ordering orders for Huajian, he began to support him. Machines and raw materials were all on credit, "because we felt that we had a future."

Relying on the "straw" of the company, Huajian survived the cold winter and gradually began to make profits.

Then, Huajian attacked and managed to recruit middle-level managers in some enterprises.

"It's all about making shoes. Come to Huajian. There's more room for development here, and we can do better."

Under Zhang Huarong's "initiative", a batch of middle-level cadres began to take charge of Huajian's procurement, R & D, production and purchase orders, and once changed the embarrassment of maintaining good operation in the past, relying on Jiangxi's old watch relations, "the good guys can't get it and the poor can't do it".

With the 5-10% price lower than that of Taiwan funded factories and Hong Kong funded factories, Huajian soon became invincible on exports, and the enterprises were in their fast growing period.

Gradient pfer

Improve the industrial chain and turn to low profit links

Huajian, which grew up at a low price, was attacked by some colleagues at the time, and the upper shoe material of the company was cut off.

In desperation, Huajian built up a perfect industrial chain through new ways or mergers and acquisitions, and completed the industrial gradient pfer step by step, and enhanced the ability to resist risks.

A tree attracts the wind.

Huajian, who grew up at a low price, "broke the rules". At this point, some shoe companies joined forces to crush it.

In 1999, Huajian could not buy shoe material.

But Huajian did not sit up and dry up.

Recruit people, buy machines, and open shoe factories.

In May 1999, Huajian PU big bottom plant was established. In November 2000, Huajian two shoe materials were set up.

In April 2002, Huajian shoemaking four factory was established, and the Huajian mould factory was also established. In June, Hua Kun industry and Trade Co., Ltd. was established.

In the short period of 5 years from May 1999 to 2003, Huajian gradually opened or acquired the PU upstream base branch, shoe material branch plant, leather branch plant, printing branch plant, machinery branch plant and other upstream industry supporting enterprises, and established a more perfect industrial chain within the enterprise.

In today's industry segmentation, will Huajian's "big and all" approach work?

"Facts have proved that our model is good."

Zhang Huarong believes that although the original self built industrial chain is forced out, but this model can effectively reduce the intermediate links, reduce costs, and easy to control quality.

"In the past two years, the environment is not good, our profits are still 2-3 points higher than the average profit of the industry, that is to prove."

Through the internal integration of the industrial chain, Huajian not only improved the manufacturing capability rapidly, but also developed the order from the passive waiting guests to the order.

Nowadays, famous brands like COACH grow together with Huajian.

In addition to expanding the industrial chain internally, Huajian also took the step of industrial gradient pfer step by step.

And this touched point is Spring Festival.

"Every Spring Festival, some Jiangxi old cousins want to go home for the Spring Festival, but one vote is hard to come by.

Even if you buy a ticket, you will have to pay one or two months' wages. Is it not a great convenience for employees to open a factory in Jiangxi? "Recalls Zhang Huarong, the cost is the decisive factor." the cost of returning to Jiangxi is lower, and Huajian has got many preferential policies. "

In early 2002, Huajian international shoe city, which invested 500 million yuan, broke ground in Ganzhou, Jiangxi Province, and took the lead in successfully achieving industrial gradient pfer in the industry.

"The low profit list is handed over to the new factory in Ganzhou. Dongguan is doing small bills with high added value and high profits, and is committed to R & D, design, trade and brand building."

Zhang Huarong said that after several years of development, enterprises in Dongguan and Ganzhou have been developed.

In July 2003, Huajian went to Vietnam to invest in the establishment of a shoe-making enterprise, becoming one of the first batch of enterprises to invest in Vietnam in Dongguan.

In this way, Hua Jian became the pioneer of the "industrial pfer" in the footwear industry of Dongguan, and became a successful model of China's footwear industry.

Huajian then focused on industrial engineering improvement (Process Reengineering).

At present, they have reached a cooperation intention with Tsinghua University. "Dongguan Tsinghua Huajian Engineering Research Center" is about to be established.

"This is very important!" Zhang Huarong stressed that by optimizing production and process reengineering, enterprises can increase the efficiency of 3%.

It is worth mentioning that the centre will be open to all sectors to enhance the efficiency of the whole industry.

obm

Join hands to increase R & D and create brand

Huajian, with its manufacturing advantages, has turned its attention to its own brand. It is relying on its own manufacturing advantages to form a common interest community with strong traders.

Huajian hopes to open 3000 special store counters in China in 5-8 years.

In 2004, Huajian faced a new choice, is it necessary to create its own brand?

"At that time, the profit of OEM processing was considerable."

Zhang Huarong said, but the increasingly complex industrial situation makes him feel that the road of brand must go and must go.

To make a brand, we must first cross the mountain of sales channels.

"Is the sales channel not wide spread?" according to this train of thought, Huajian has opened more than 200 direct stores nationwide.

However, the market has given the focus on manufacturing Huajian a "big horse", "invested heavily but with limited effectiveness".

Zhang Huarong revisited Huajian: its manufacturing advantages are obvious, and it has good cooperation with traders. OEM products are very popular in the market.

Why not join forces with traders who have extensive channels and sales experience?

Think of it.

Since last year, Huajian has taken the initiative to throw olive branches and form an interest community with a trader.

"To a certain extent, both sides have grown up, and we are going to merge them into the capsule through mergers and acquisitions."

Relying on this magic wand, Zhang Huarong started the road of turning gold into gold. He introduced Jackie Chan, bought Carver and created COLCO brand. Huajian's goal was to open 3000 special store counters in China in 5-8 years.

Referring to the future development goals, Zhang Huarong said: "we will do better and better in the industry, adhere to industrial upgrading, establish excellent domestic brands in 5 to 8 years, and develop our own international brands in 10 to 20 years."

Supporting Zhang Huarong's bottom line is his pride in manufacturing and research and development capabilities.

At present, Huajian group has only 42 women's shoes production lines, with a staff of more than 20 thousand. It can be said that the largest middle and high-end women shoes manufacturer in the whole country and even the world.

In terms of R & D, Huajian has more than 3000 people engaged in R & D work, of which only 4 are designers in Italy. Last year, R & D expenditure in the version room was invested nearly 30 million yuan.

{page_break}

Future vision

Build service platform to upgrade Dongguan shoe industry

Huajian hopes to build a foreign shoe industry new technology, new material and new information through the world shoe industry (Asia) headquarters base, and pfer to China's undertaking platform and Dongguan and even China shoe enterprise pformation and upgrading service platform.

Zhang Huarong has another dream to build the world shoe industry (Asia) headquarters base.

Behind Zhang Huarong's dream is the grim reality of China's footwear industry: the about 10000000 people in the country are engaged in the footwear industry, but there is no authoritative training base for talents. 50-60%'s high-grade leather in shoe materials comes from Italy.

Taking Dongguan as an example, the shoe matching environment is the first class in China. The Di Bao leather shoes under the banner of Houjie's shoe factory are already a high-end brand, but Yin Jiqi, the chief executive of the company, will fly to Italy and France many times every year to purchase high-grade leather and shoe material.

When Premier Wen Jiabao visited China, Zhang Huarong introduced his dream before the planning model of the headquarters base of the world shoe industry (Asia). The 180 thousand square meter base invested more than 600 million RMB. There would be 500 new materials enterprises and new technology factories. It was the sign of the Dongguan shoe industry.

Trading companies from the United States, Europe and the Middle East gathered in the base to form an international shoe research and development trade base.

Zhang Huarong also repeatedly clarified that "base is not a real estate project, nor is it a professional market in the traditional sense.

We rent space to our peers, and hope that it is a platform with multiple jobs.

Zhang Huarong's multi position is his assumption of the functions of the two platforms of the base: the platform for foreign shoe industry's new technology, new materials, new information, trade companies and industry standards to be pferred to China, and the service platform for pformation and upgrading of shoes enterprises in Dongguan and even the whole country.

The world shoe industry (Asia) headquarters is just one of Zhang Huarong's attempts to pform and upgrade Dongguan's footwear industry. Another important starting point is the world footwear development forum, which will also usher in the second session by the end of October this year.

"The essence of this idea is to create a" third industry cluster for the second industry ".

Huang Haitao, director of Dongguan Zhengtai United Company, commentates Zhang Huarong's efforts. He believes that this is in line with the future development direction of the Pearl River Delta city.

"Someone will wear shoes, and the footwear industry will always be a sunrise industry. As long as we can do the best in the industry, enterprises will not worry about their future.

The future trend of the footwear industry in Dongguan should be the processing, production and sale in Dongguan.

Zhang Huarong said.

Huajian theory

A whole three

Manufacturing enterprises should give full play to their own manufacturing advantages and actively integrate trade, brand and market, so as to achieve the purpose of building sales channels, acquiring brands and entering the market.

Achieve the goal of becoming bigger and stronger.

Manufacturing price fixing power

There is no low-end industry, there are no low-end links.

Manufacturing, trade, brand and market are indispensable links in the process of product value realization.

Who has greater pricing power, and who can take the initiative in cooperation, depends on who does better part of his business.

Brand Trilogy

Powerful large manufacturing enterprises can form interest communities with downstream brands or traders, and cooperate to launch independent brands.

After a certain stage of development, the two sides can form a new company through joint venture, and the manufacturing enterprise can purchase a joint venture to complete the creation of its own brand.

Reporter's notes

Grain + mode + patience = independent brand

The enthusiasm to create brand is not equal to the ability to create brand.

The invisible hand of the market will automatically allocate resources to the strong and make the stronger stronger.

The direct result of the survival of the fittest is that some enterprises are becoming stronger and stronger, and the industry threshold is also rising.

But from the perspective of brand creation, it is no doubt that it costs too much money.

Just imagine that behind the successful brand is not the result of advertising bombing and repeated intensification of sports emperor and music superstar.

So we can see: a large number of small and medium-sized enterprises are absorbed in OEM, simple production and labor-intensive. In fact, it is not that enterprises fail to win the battle and do not want to set up their own brands, but they are really powerless.

And large enterprises with capital and product strength also create an arduous process of exploration and treading.

Only large enterprises can take advantage of manufacturing and bind them with downstream traders and brands into interest communities, so that they can quickly enter the market and establish their own brands.

Huajian is a strong practitioner of this model, and has been very fortunate to have achieved some success.

But how to choose complementary traders and branding providers not only guarantees their brand strategy, but also does not threaten the interests of the original OEM customers. This requires companies to carefully select partners and design products that are not competing with the OEM customers, instead of a lightweight "no need to worry".

Huajian's brand was raised earlier, but even after several years of development, the company still has "no plan to earn much, and only hope not to lose too much".

When a company creates a brand, it must not forget a full patience, besides carrying enough grain and grass and suitable mode.

Information of Huajian group

Huajian group's predecessor was Dongguan Huajian shoes industry Co., Ltd., which was founded in Houjie in 1996. In 10 years, Zhang Hua Rong founded more than ten shoe industry upstream and downstream businesses.

At present, the group is a large enterprise group integrating brand operation, shoemaking, leather processing and footwear trade. It has large industrial bases, R & D centers and marketing centers in Dongguan, Jiangmen, Jiangxi, Ganzhou, Henan and Vietnam. It is China's largest manufacturer of women's shoes, and its products are sold all over the world.

In 2007, it exported 14 million 510 thousand pairs of high-end women's shoes, with an export volume of US $189 million.

In addition to the OEM production of NINEWEST, EASYSPIRIT and other internationally renowned women's shoes, it also owns Jackie Chan, Alan Delong, COLCO, Carver and other independent brands.