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    Shi Lei, A Madman Who Subverts China'S Underwear Industry

    2010/11/17 9:02:00 220

    E-Commerce In Underwear Industry


    A handle

    clothing

    Paper making the world's first "paper tycoon" began to pform at once.

    Underwear

    This change is a bit unexpected.

    Entering underwear, besides promising the prospect of the domestic industry, he found the defects of the domestic underwear market at present.

    European underwear

    market

    At that time, he was determined to produce a "underwear suitable for domestic women's shape" to fight against the "European version of underwear". Although this "anti European war" may last for 8 years, he resolutely walked ahead with the spirit of the pioneers.


    "Paper king" breaks into underwear industry


    Shi Lei has many names, such as "paper tycoon", "mad dog breaking into underwear industry", "underwear maniac" and so on.

    A man who made clothing paper the first in the world has rushed into the underwear industry, which makes people think.


    Shi Lei, who is only 36 years old this year, was born in an ordinary rural family in Chongqing.

    Because his family was poor, he dropped out of school after 16 and followed a distant relative to work in a paper company in Shenzhen.

    Because of his quick mind, he quickly worked as a business manager from production workers.

    In the process of running business to the market, he saw the huge profit margins of clothing paper. He earned about 3000000 yuan in 5 years by "fried paper".


    Then, he was "out of control."

    In 1999, founded its own Paper Co, relying on "call on demand, a piece of paper to send" quality services, the company has been developing smoothly.

    In just 6 years, he not only made his business from abroad, but also made the top priority of "clothing paper".


    Beginning in 2007, as the price of raw materials rose, the clothing industry was also facing a shuffle. The market of clothing paper also entered the recession with the shuffling of the industry.

    Shi Lei began to think about pformation.


    And let him shift from paper king to underwear industry, just because he visited a underwear exhibition.


    In 2009, many people expected, Shi Lei handed his Paper Co to a professional manager, but he plunge into a very strange underwear industry.

    Since then, his passion for underwear has gone out of hand.


    8 years of "anti EU strategy" and "healthy underwear" to abandon the steel ring.


    In September 9, 2009, Shi Lei bought a more than 1400 square meter office in CBD center of Dongguan, set up Kang's Clothing Co., Ltd., and at the same time he launched two brands of "Yi Fen" and "Fei Yue", and entered two completely different sales areas.

    Among them, according to the focus on online shopping market, positioning the 16-24 year old group, the Philippines and Vietnam are ready to take the "ground" entity store high-end line.


    Entering the underwear industry is based on the prospect of the industry.

    According to the analysis, China's underwear market is increasing at an annual rate of around 20%.

    In the next 3 to 5 years, the underwear industry will have a huge development space of 500 billion yuan.


    On the other hand, he also saw the shortage of underwear industry in China.

    In his view, the development of China's underwear industry is currently in the third ten years. The ten year characteristic is that the market is full of European underwear, which is not suitable for Chinese women's physical characteristics.


    He believes that wearing European versions of underwear will bring various kinds of problems that are harmful to the body. For example, there are signs of lacing, lacing, empty cups and armpit fleshy, trying to change this situation, and rewriting the history of most Chinese women's imitation of foreign brand underwear. "Healthy underwear" abandoning the steel ring is exactly one thing Shi Lei is committed to.


    Reporters saw Shi Lei's "healthy underwear".

    All of these styles have no steel rings. They are flat on the table, and buckle on the table is three-dimensional. It is achieved through cutting.

    Shi Lei said that in addition to the special way of cutting, these new underwear's supporting cups use thin and breathable 3D sponge, and 80% of the materials used are bamboo carbon fiber.

    He said that although some of the domestic counterparts of the underwear concept have noticed, some big brands are suffering from "no end" and can not abandon traditional steel rings.


    Therefore, Shi Lei formulated the so-called "anti EU strategy" and intends to fight a protracted war lasting for 8 years.

    To describe Shi Lei as "more women than women" is not too bad. In the past two or three years, in order to understand the dangers of Chinese women wearing European underwear, he consulted lovers, nurses, and University experts.

    {page_break}


    "Computer blindness" into e-commerce


    In November 2009, he entered the Taobao market in a high-profile fashion. At the same time, he started his B2C mall program. The goal is to make the brand he founded become the champion brand of the underwear industry in online shopping.


    But it is hard to imagine that Shi Lei, who tries to become the leader of the industry in the field of electronic commerce, is a computer blind who can't even type. His office is stacked with a stack of thick strategic plans, all written by himself.


    Shi Lei, the founder of Alibaba, is the founder of e-commerce.

    While making clothing paper, Shi Lei has been thinking about how to make his clothing paper go to the world.

    In a Ma Yun's speech, Ma Yun told him that in order to get to the world, it was very simple to join the e-commerce online trading platform.

    So Shi Lei began to march toward e-commerce.


    Risk warning


    Changing consumption outlook is not easy.


    Shi Lei frankly said that he also encountered many difficulties in selling underwear on the water trial website.


    As a result, underwear such personal items, not tried through the link, always let consumers feel uneasy, how to break through this restriction, in addition to improving customer service, we need another way.


    Second, the conversion rate of online promotion is not high, and revenue is not ideal.

    Shi Lei told reporters that his advertising in Taobao mall was 80 thousand yuan per day, and sales were only 5 to 60 thousand yuan a day, resulting in too low conversion rate.

    This year's advertising budget on Taobao is 3 million yuan, and there are only 700 thousand yuan left.

    Although there are 3000~5000 express packages sent every day, there are 300 thousand to 400 thousand yuan a month to account, but the income and cost are still very far away, so far the company has not yet realized profits.

    At present, the underwear business has to rely on the continuous flow of blood from the clothing paper factory.

    He can only hope that in November this year, the company's main product "breathable series underwear" on the line, for the company's revenue to bring ladder type growth.


    Small abacus


    Shi Lei said that e-commerce can save a lot of intermediate links.

    He counted the accounts for the reporters. If he walked into the shopping mall route, an underwear with a production cost of 40 yuan, from the manufacturer to the consumer's hand, would also superimpose the expenses of sales commission, shopping malls Commission, advertising and management fees. The cost would be as high as 320 yuan. If the selling price was 400 yuan, the profit of the manufacturer would actually be only 80 yuan.

    If you sell on the Internet, the cost generated in the middle is only 20 yuan from Taobao's Web site and the promotion fee of the website, and a underwear with a production cost of 80 yuan. If the manufacturer also makes 80 yuan profit, the selling price will be only 185 yuan on the Internet.


    This way of bumping around has made him known as "a mad dog who rushed into the underwear industry."

    But he describes this behavior as "flying a plane or hitting a bird, using different weapons".

    His goal is to make the brand he created become the champion brand of China's online shopping underwear industry.


    In line view, "he just hyped up".


    For Shi Lei's practice, Dongguan Zhong Ling group chairman Zhong said in an interview, "underwear market is a mess, do not understand".


    Shi Lei, the head of the Guangdong region of the cat international, said that "it's just hype and the market can't be overturned".

    "Online shopping is a good trend, but the proportion is very, very small, and can not easily replace offline sales.

    In addition, Mr. Shi may not know very well. When he first came to China, he copied foreign countries. But in the past decades, we have explored the underwear suitable for Chinese people. The concept of health has also been updated. For example, we have launched a "breathing Bra" this year.

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