A Second-Hand Luxury Store Exploded &Nbsp Overnight; The Standard Behind Madness

Introduction: where the luxury market is booming, there will be a second-hand fire.

Milan station, moistening goods consignment, temple library consignment, Mi Lanxuan, Milan

The prosperity of the luxury goods market directly exploded the hot circulation of second-hand luxury goods.

Hong Tao, director of the Institute of Business Economics of Beijing Technology and Business University, believes that the generation of second hand luxury goods to some consumers who do not have a strong strength and consume large quantities of luxury goods eliminate some of the barriers to price consumption and provide an opportunity to achieve high material life.

Nowadays, the management mode of second-hand luxury stores covers second-hand and second-hand luxury websites.

In the category of products, brand packages become the focus of sales because of the high degree of standardization.

Overnight fire

Baidu search input "Milan station" three words, there are various search results: Milan fashion, Guangzhou Milan station, Milan station......

This makes Hongkong Milan Station General Manager Yao Xiuhui headache.

As the largest second-hand brand retail brand in Hongkong, Milan has won good reputation and market in Hongkong over the past 10 years.

In 2011, Milan station even landed on the Hong Kong stock exchange.

However, when she decided to enter the mainland market in a big way, he found that there were various "Shanzhai Milan stations" at this time.

Yao Xiuhui said that Milan station has applied for trademark protection, and is in communication with Baidu to coordinate this matter, hoping to enable Milan station to be easily searched by consumers on Internet search.

In line with the online cottage phenomenon, there are many solid Shanzhai Milan stores in cities such as the north, the upper, the broad and the deep.

It is not hard to predict that "counterfeiting" may take up a lot of energy in Milan for a long time.

Another phenomenon reflected by "Shanzhai" in Milan station is that the second-hand luxury market in the mainland is showing a hot market now.

Nowadays, not only big cities such as Beijing and Shanghai, but also two or three line cities such as Chengdu, Dalian and Zhengzhou, large and small luxury stores are mushrooming.

For example, there are several second-hand luxury stores in Beijing: Milan station, Beijing store, consignment consignment, Temple store consignment, Milan Xuan and so on.

In another luxury place, Shanghai, a company known as Mi Lan Fang, founded the first second-hand bag store on the famous Xinle road in 2004. Up to now, there are 7 stores, with an annual profit rate of over 10%.

One industry insider told reporters that the start-up capital of a retail store with a second hand luxury package will be as long as several hundred thousand yuan, and even small cities or even 100 thousand yuan will be enough. As long as business development achieves capital flow, monthly profits will generally exceed 5 digits, and large brand stores will be surprisingly profitable.

"The market is still in a mixed battle. Mainland China has not yet seen a famous brand like Milan station."

Zhou Ting, executive director of the luxury research center of the University of foreign trade and economics, said that the market of second hand luxury goods is huge. At present, the domestic market is still in its infancy.

The rise of second hand luxury goods is a microcosm of the huge volume of the luxury goods market.

"This is exactly the same as the development of the luxury goods market in Japan more than 10 years ago.

After these years of development, second-hand luxury goods have formed a relatively mature and complete industrial chain in Japan, and many large Brand Company have been born.

Zhou Ting said.

Consumer Vivian told reporters about his recent trip to Japan.

"There are all shops in the Middle Ages". In Japanese, they call second-hand "medieval", and the middle stores are shops that recycle and sell second-hand goods. "A whole building is full of six secondary luxury goods. Products are classified according to category, and everything has special certificates."

Here, Vivian has come to a Patek Philippe watch, and its price is less than the 2/3 of the domestic counter.

At present, some Japanese second-hand luxury retail enterprises are aiming at China's emerging luxury market.

BRAND OFF, which has nearly 20 years of history, has opened its first store in China recently in Nanjing West Road, Shanghai.

In Japan, the company has 37 chain stores.

People close to the company have told reporters that the company has made adjustments to the mainland market, with bags, watches and jewellery brands as its main products.

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Just like this, it is already a hot gold rush.

Lack of standards behind crazily

At present, there are mainly three ways of selling second-hand luxury stores in China: repurchase, consignment, and replacement.

As one of the earliest developers, Milan station has bought back all its products.

Yao Junda, founder of Milan station, has explained this way of operation: the exclusive and buyout pre-sale and after-sale services, which cater to consumers' shopping psychology and shopping needs.

An insider told reporters that buyout demand for enterprise funds is large, the level of personnel requirements are high, while the risk is relatively large.

But on the other hand, the buyout is the most profitable, because the ownership of the luxury goods has been pferred, so there is little dispute with the seller.

For most new small and medium retailers with limited financial strength, consignment is the main mode of cooperation, which is also the most widely used way of selling second-hand luxury goods in China.

Many consumers are also more willing to choose the way of consignment, because the price of the consignment is higher than the price of the repurchase.

Of course, there are exceptions.

For example, there are three ways of Milan famous station, and the Temple store has been buying and selling consignments before, and recently began to try to buy some buyouts.

"We are very cautious in buying buy-out because we must ensure a certain profit margin.

Product brand, style, color, new and old will be particularly important.

Li Li, the chief appraiser of temple library, praised it.

Free trade and negotiated bargaining are the two most prominent characteristics of the second hand luxury business model.

Lin Tao, the owner of V2, a second-hand luxury retailer, has seen the rise of the second hand luxury market in China. But no relevant legal regulation has caused him a headache.

"There is no explicit provision on how much to sell. We only negotiate a price with our customers."

He worried that if the scale of the industry expanded, it would lead to unfair competition.

Zhou Ting, executive director of the luxury research center of the University of foreign trade and economics, has recently conducted a survey on luxury purchases.

The survey results show that in the second hand luxury purchase, the product authenticity and after-sales service are most concerned by consumers, and the former is more concerned.

At present, in the second hand luxury store in China, the appraiser is basically a shopkeeper himself. The product is entirely empirical, and there is no such professional skill training and certification as "luxury appraiser" in China.

No standard practitioners are likely to become the bottleneck restricting the development of the industry.

A shopkeeper complained: "always wanted to open a branch store or meet the requirements of those who wanted to join, but because of the lack of appraisers, they dare not, afraid of affecting the quality."

In the interview, there were big shops who admitted that they had received fake products in their early operation because of lack of experience, but later they "destroyed themselves".

It is hard to conclude whether all companies face such self discipline and bottom line in such a situation.

"What we have identified will not be recognized in another store, or the counter will probably be a fake."

An appraiser said that for the identification of second-hand luxury goods, companies currently have their own set of standards, and the degree of their identification also depends entirely on the professional competence of the appraisers. "There is a lack of a credible industry standard."

Zhou Ting is worried that in the current chaotic competition, businesses are going to spell prices, and low prices will easily lead to the prevalence of counterfeit goods, so that the ultimate interests will be damaged by the whole industry.

"If we want to make the whole industry chain and standardized, we can develop healthily and orderly."

She believes that the current luxury goods circulation enterprises need to embrace together to promote the introduction of industry regulations, carry out unified functional training and personnel training, and have a good relationship with the upstream luxury brands.

There is indeed a similar effort.

Li Rixue, founder and CEO of temple library, said the temple library is working with the national consignment commission to discuss relevant industry norms.

At present, the temple library and some business representatives have submitted relevant submissions, hoping to standardize and standardize the preliminary identification technology of industry services and goods.

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Case

Temple Library: selling customer experience.

Vivian login Temple library website, after entering her personal account, the page quickly shows the details of several packages she sells on this website: Hermes Birkin price 120 thousand, Burberry 70% new package 3600 yuan, and GUCCI bag......

Since the discovery of the luxury circulation website named Temple library, Vivian has found a home for its second-hand brand Pack: "many brand packages can sell 1/3 at the original price, and some limited money is even more expensive."

For the bags sold, the Temple store charges 10% Commission on each paction.

What Vivian is using is a new business called "online consignment" launched by Temple library.

"Users have luxury goods to sell, they can take photos by themselves, directly to the back of the temple library, and the appraisers identify products online.

Once identified, users can directly consign online.

Temple library CEO Li School of Japanese interpretation.

However, even so, the items still need to be sent to the Temple store for disinfection and cleaning. Once the authenticity is confirmed, the goods will be mailed to the consignor.

If other users take the product, they will be shipped directly by the consignor.

In other words, the packages sold by Vivian online are likely to be displayed online at the store next time.

The role of the network is to expand the crowd contact area of goods and facilitate the rapid development of pactions.

Li Rixue said that after the launch of online consignment service, consumers responded well.

Online business is only part of the overall strategy of temple library.

For the temple library, its aim is to create a one-stop service for second-hand brand packages.

Take the Temple store in Beijing Jinbao Street newly opened experience shop as an example. This shop has an area of 1100 square meters, and its style is luxurious. Its products include Louis Weedon, Gucci, Prada, Burberry and other famous brand handbags, belts, sunglasses, watches and clocks.

The reporter found: experience shop is divided into three areas, namely identification hall, sales area, after-sales service center.

"The three tightly coupled parts form a complete set of processes."

Temple library operations department said.

For the lack of qualified personnel in the consignment industry and the difficulty in distinguishing the authenticity of the goods, the temple library has been trying to solve it since its establishment.

Li Rixue said that temple library set up its own identification center very early. Now, Secoo Temple library luxury appraisal technology center has 5 senior experts, 7 national appraisers and 18 appraisers.

In the identification team of the temple library, there were also professional subdivisions of luxury leather goods, watches, jewelry and artworks.

Next, the monastery may be involved in new businesses such as yachts, private aircraft, sports cars and so on. At that time, it will still be supported by professional appraisal and valuation teams.

Not only that, temple library also set up a luxury vocational skills training center with foreign economic and trade university to cultivate professional appraisers.

Li day theory, not long ago, the temple library also dug three experts from a Japanese colleague company, of which two were appraisers and one was responsible for sales.

"They have provided technical assistance to the temple library, and put forward many useful suggestions in the management process."

Li Rixue said, before the temple library to identify, for door-to-door consignment guests are often evaluated by an assessor from beginning to end.

Later, it was found that such a way of work is not only inefficient, but also has a high rate of verification of products.

Now the temple Library's practice is: first, let the evaluation assistant register, fill in the agreement, carry on the preliminary appraisal to the visitor, then appraise the teacher to carry on two appraisal, the senior appraiser also needs to carry on three times appraisal.

After the product is put into storage, the subsequent assessors will conduct the final review.

In Temple store experience shop, there are four teams of identification, 3 in each group, plus three chief appraisers.

"For the temple library, now identification technology is not a problem, it is important to improve the system and management process."

Li Rixue said.

In July this year, the temple library received IDG million dollars investment. This round of financing will mainly be used for the luxury exchange experience of the first tier cities, the establishment of entity store club and the establishment of online identification system.

Li Rixue said that the next step will accelerate the pace of expansion of the physical store experience center and increase the proportion of direct business.

The style and function area of temple treasure Beijing Jinbao Street store will become the sample shop of the Temple store experience shop in the future.

In other words, all the experience shops of the future Temple store will have three functional areas, namely, appraisal hall, sale area and sale service department.

In Li Rixue's idea, customers come to the Temple store experience shop, can sit in the high-end compartment, drink coffee, use iPad to see their favorite bag, and the Temple store clerk will timely send customers to choose a good bag.

The experience of luxury consumption is very important.

We always tell ourselves: we can't sell luxury goods like cabbage.

Temple library chief appraiser Li Rimei said.

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Observation: social activities help new consumption

Theoretically speaking, as a disguised operator of luxury brands, Milan station has successfully created a business model.

Under the "M" type of social structure, the middle class is considered to be a group of people falling in spending power, but they have a special preference for famous brands.

Therefore, when the demand and consumption ability are not matched, the emergence of second-hand luxury retailers can satisfy their consumption demand to a certain extent.

It is foreseeable that this business model will have great room for development in the future market.

In spite of this, there are still several specific operational aspects of the circulation of second-hand brand packages: there is room for discussion.

As a whole, the domestic second-hand brand retail enterprises are still selling products and assembling prices, which is a relatively extensive mode of operation.

The second hand luxury goods market in Japan is driven by second-hand products, and the role of the product is only a carrier.

In the field of second-hand brand circulation in Japan, after decades of development, it has now formed a complete industrial system: identification service, after sale service, interaction with customers, activities, customer relationship maintenance, etc.

Zhou Ting, executive director of the luxury research center of the University of foreign trade and economics, told reporters that most of the second-hand brand stores in Japan can provide good customer service and experience, focus on customer relationship maintenance, and the second-hand bag paction has been successfully converted into a social consumption.

As we all know, in Asian culture, secondhand often means obsolescence and bad.

If a person sells used second-hand products, he will often be considered to be in poor financial condition and buyers will feel embarrassed.

How to cleverly break this psychological barrier, let second-hand bags naturally accepted by consumers, become a social consumption mentioned earlier, Japanese enterprises can think of a lot of ways.

Private gathering is one of the ways.

Japanese second-hand brand retailers will hold a number of high-end small gatherings of 5 or so people in high-end clubs, inviting guests with sales demand.

A theme is set at every party, and the activities of subcontracting are imperceptibly embedded in activities.

"Breaking through the social activities, the ordinary paction turned into a kind of exchange and appreciation, which makes people feel good about each other, making the paction a wonderful thing, and the business not only successfully completed the paction, but also accumulated good customer resources."

Zhou Ting commented.

In addition, the whole industry is short of uniform standards of employment and regulation, which calls for vigilance.

No threshold means disorderly entry, and the result of disorder is the disruption of the whole market and overdraft in the future.

You know that in Japan, most of the second hand luxury goods distributors and international luxury brands maintain a very friendly cooperative relationship, which will even provide many support services for the former.