Semir President Qiu Jianqiang: I Have Been Making Clothes For So Many Years.

This is a special family business. Qiu Guang and Qiu Qiang two have been running with Semir for 15 years.

It has deviated from the narrow sense of traditional family businesses and changed to standardized management.

In the 15 years of development, Semir has gone through three major stages, until the cooperation with McKinsey in 2009 led to a clear strategic development plan and achieved a qualitative change.

Semir's two strategic shift

In 2009, the target was to achieve sales of 35 billion in 2014, with market share increasing by more than 30% annually.

Financial Weekly: do you know how much your share price is now?

Qiu Jianqiang: yesterday, my dad told me that he said he had increased 3%, 50 more than before. I didn't know about it before, and fell to more than 40 all the time. I didn't know that a friend called to ask me how much you lost, and how much it dropped to forty. I said you can rest assured that we will rise. I said this sentence and said nothing.

I am not very concerned about this. I have always asked them not to pay attention to it. In fact, the stock price is honest.

Financial Weekly: your line has been relatively low-key, more firmly, and this seems like a significant difference from other industries.

Qiu Jianqiang: I still agree with this very much. First of all, we insist on our main business and never expand arbitrarily. Many other investments in the past few years are also very good. I think we must be tempted to do so. I talked about the costumes most of the students from CEIBS. I feel that after so many years, I can only make clothes and others will not do it.

So in this process, you recognize the direction clearly, for example, ask McKinsey to make strategies, or to make adjustments in the process, help us with many external resources, and clarify our thinking, but every year, we aim to go in this direction.

Financial Weekly: what is the most important turning point for Semir?

Qiu Jianqiang: first of all, when the first five year plan came into being, around 2000, when we discussed much more, what kind of enterprise do you want to be?

Financial Weekly: what puzzles did you encounter at that time?

Qiu Jianqiang: there will be confusion, just like many Chinese companies have done for several years.

At that time, I want to go to Shanghai to get the land, because if it is difficult to expand in Wenzhou, there will be a great talent bottleneck.

To move office, you have to think about what your business really wants to accomplish. Many Chinese enterprises have begun to split up in 5 years, some have made investments in pformation, some have sold, others have developed naturally.

That is my father is still relatively firm, he relies on the clothing industry; second, in recent years, the whole Chinese market has changed, and then decided to come to Shanghai.

At that time, it was decided that the enterprise should be bigger and stronger.

But until 2009, we only know that we continue to do this, but no one is particularly clear when we will achieve anything.

Financial Weekly: there are qualitative concepts, but there are no quantitative concepts.

Qiu Jianqiang: Yes, at that time, my dad also proposed to become China's first casual wear brand.

But what is the first and how to do it? It should be said that until 2009, McKinsey and I worked together to make strategic planning.

Financial Weekly: what is McKinsey's strategic plan for Semir?

Qiu Jianqiang: This is a relatively complete development strategy of channel, product and brand.

Many questions were fairly clear at that time.

Apart from giving us the strategy of building and implementing brand development and channel standards, McKinsey set us the target of achieving 35 billion sales in 2014 and increasing market share by more than 30% annually.

Now we are reviewing, correcting some.

In the process, we have found many other strategic companies to cooperate again.

The trend of multi brand strategy

If it goes well, I hope we will have a new brand next year.

If the new brand goes smoothly, maybe I will have more and faster next.

Financial Weekly: you originally wanted to be China H&M, but they gave you away, how do you realize this dream?

Qiu Jianqiang: they denied my idea at that time and thought that they had to focus on their customers and turn to focus on the 16-25 year old group.

But they also suggested that Semir could not make H&M, but you can stand in Semir shares, you can do it.

That is, you can develop many brands.

For example, you can make a brand, that is, between 25-35 years old.

You can also do 35-40, which you can do at this level.

Originally, Semir also has successful experience in this area, you can copy this pattern and put it in again.

Financial Weekly: now your new brand plan has startup code?

Qiu Jianqiang: in startup.

If it goes well, I hope we will have a new brand next year.

In the process, if the new brand goes smoothly, I will probably have more and more quickly next.

I have contacts with Japan and Europe now.

Financial Weekly: what kind of cooperation will you use?

Qiu Jianqiang: we still have more brand cooperation.

We may prefer the way of joint venture.

Or the way to start the general agency in China.

In this process, we must learn some experience of foreign brands.

Then working with this team to cooperate with the free brand is the way.

It is not to finish its own brand immediately.

Financial Weekly: equivalent to borrowing chicken eggs.

Qiu Jianqiang: you can understand that too.

You can do a free brand now, and to be honest, you should fumble and return to your old routine to do things.

Semir VS United States

If we are enslaved to the ideas and practices of the United States, we will be lost if we do not have our own ideas.

Financial Weekly: everyone will take the news.

How do you view this competitor?

Qiu Jianqiang: first of all, I never looked at Smith as a competitor.

Why? Because I look at the current statistics, our two share may be less than 2%, and more than 95% of the space.

What is the point if we look at our competitors now? If we are controlled by the ideas and practices of the United States, we will lose it if we do not have our own ideas.

In such a process, many of its strategies and actions will affect the adjustment of your business, so that your business will be in a hurry.

Secondly, Smith Barney is a company we respect. Mr. Zhou Chengjian is very bold and has made many attempts and contributions to the industry.

We learned a lot.

Our models are different, but every mode can lead to success.

Financial Weekly: why is Semir so partial to franchisee?

Qiu Jianqiang: first of all, I also think that direct business is good, but different companies are different.

After all these years, I think Semir needs to solve many problems if it adopts direct battalion.

The first is the human problem.

So many clothing companies, so many clothing stores, each need the general manager of the clothing branch.

The development of Chinese clothing itself is relatively late, and the talent is so poor. How can you copy these talents at high speed? You can't do that.

You just copy such talents, and you have to give them a very high salary.

You can not give treatment, you can not retain talented people.

To tell the truth, I personally think that Semir has not yet considered clearly, and there is no very good way to solve it.

So I don't think we need to do this.

Back to the reason why we can succeed in joining, we look at it at a low level, which is a matter of interest.

Financial Weekly: how do Semir and franchisees cooperate? What is the core interest mechanism?

Qiu Jianqiang: of course, we will discuss the feelings with the franchisees, but first of all, we should emphasize the profit.

With this level, in fact, in the future with the franchisee will gradually upgrade to a strategy.

When it comes to the core, we do a little bit.

It is so simple to see if there is the courage to put the stock in his own warehouse in the past.

The first is that I first set up the goods to the franchisee, and so on.

Others, I think, are just small steps.

For example, the discount I return to the point, that is always an economic compensation for joining.

The key is this.

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Financial Weekly: Semir now has more than 4000 stores, almost all cities.

I would like to know how this model will encounter its ceiling and risks. How do you prevent and adjust it?

We implemented the order system in 2007. First, our dealers have retail capacity.

To tell the truth, I am an ideal person.

I have been asking my team what we should do.

Each method is different. You need to quickly adjust your organization and product.

Second, how is your overall operation and service capability? Have you formulated a standardized and standardized operation instruction to standardize your work?

In these processes, we know what the focus of every phase is.

Then we constantly optimize these, so that we can help our terminals to upgrade.

Financial Weekly: from the perspective of time cycle, how long can this pattern grow at a high speed?

Qiu Jianqiang: in the next five or ten years, it will not face too many problems.

Back to the industry, first, its space is not large and its concentration is not high, so casual wear is still developing and expanding at a high speed.

That is to say, the whole background is good first.

Second, consumption in China's GDP share is very low, it will be more and more pulled up.

Moreover, it is completely inactive to return to this mode.

First, its own channel layout has not yet been perfected; second, its channel standards have not yet been perfected, and there is much room for it; third, it is still in the market channel for orderly competition.

These three aspects will bring about rapid growth in the next few years.

Financial Weekly: in the course of future development, the big consumption industry is changing not only inside the industry, but also in the external environment.

For example, electronic commerce, it will impact on the entity store, how to deal with it?

Qiu Jianqiang: we have already set up.

We have two goals in building e-commerce platform. The first goal is that all the brands I want want to join my platform. This is my goal.

The second is to let all consumers come to this platform, and I think consumers of this age group.

We set a very clear goal for our final demand customers. Based on this, we can build this platform.

Stick to employee first

In the next five or ten years, the high growth of Semir clothing will not be faced with too many problems.

Financial Weekly:

Qiu Jianqiang: for me, employee satisfaction is the first.

Because only the staff are satisfied, the guests will be satisfied; the staff are not satisfied, no guests will be satisfied.

Financial Weekly: This reminds me of the idea that Ma once said.

There was a time before.

Qiu Jianqiang: Yes, I am logically speaking.

With employee satisfaction, it is possible to increase productivity.

In theory, productivity increases will bring customer satisfaction.

We now have 48 equity incentives, and we are now making second batches, which will be available later.

Financial Weekly: what kind of employees do you want your employees to be?

Qiu Jianqiang: a few days ago, the freshmen came to do the training. I went up to give lectures. Finally, I shared with them 3 points. I said that there was no special experience. In 70s, some old men's work experience shared 3 with you. First, they were full of harm and humility. Second, it was impossible for them to go straight to the sky when they accumulated and worked. It is a tortuous process. You must learn to do it yourself; third, work is for life, and it is very important to be unhappy.

What is the position of shareholders in your mind?

Qiu Jianqiang: maybe because I am a shareholder, so I don't think much about it.

Some time ago, corporate culture was sorted.

I think the first thing to do is to arrange employees and the other to say shareholders.

I said shareholders have a good platoon. He said you had enough.

Later, I think it is wrong. This is a listed company. Shareholders are not just me, but a group of people.

Financial Weekly: listed companies will face such a problem.

Qiu Jianqiang: I didn't think about that before.

But now we are facing this problem, so we need to adjust it.