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    Wenzhou Shoe Enterprises Seek Survival With Brand Innovation

    2008/1/9 0:00:00 10501

    Wenzhou Shoe Enterprises

    The Red Dragonfly shoe industry invested 20 million yuan to develop sports leather shoes only. Jordan's suit was a channel for restructuring and spent tens of millions of yuan. Tengxu costumes paid a yearly salary of 3 million yuan, and invited a fashion designer.

    In the process of becoming bigger and stronger, three traditional shoes and clothing enterprises in Wenzhou have invested a lot of manpower and material resources in different focal points.

    In the dialogue between reporters and three bosses, the most frequent word was "brand innovation".

    Whether the focus of the enterprise is on product development, channel development or design frontiers, the direction of the three CEOs in all directions is directed toward brand innovation.

    If brand innovation is regarded as a whole, product innovation, channel innovation, design innovation, etc.

    It is the DNA (the genetic material of life) that makes up this living organism.

    The organic rhythm of every DNA molecule can drive the whole brand to shine and make traditional industries achieve higher added value.

    Qian Jinbo, chairman of Red Dragonfly Group, explains this.

    High added value is the ultimate goal of brand innovation in traditional industries.

    In the exclusive store of red dragonflies, more than 20 men and women "sports leather shoes" are displayed on the shelves, and their prices are about 40% higher than those of ordinary leather shoes.

    In order to develop sports shoes, red dragonfly joined hands with the world top sports shoes design company Ace Kang, which has been developing sports shoes for Nike and Adidas.

    Through in-depth technological innovation and R & D cooperation, the two sides took the lead in bringing the leading edge shoe technology into China's traditional footwear industry.

    In addition to the response to the 2008 Olympic economy, sports shoes have a deeper consideration for Qian Jinbo.

    "High-tech products with leading domestic level, once accepted by the market, will establish a brand image in the minds of consumers."

    The innovation of traditional shoes and clothing industry not only comes from new products, but also attempts to innovate channels.

    "We didn't take the limited resources to advertise very much, but spent more money to do the channel terminal image."

    Shen Yingqin, chairman of Jordan clothing, believes that there is an irreplaceable advantage of doing direct business, that is, the straight line between the brand and the terminal can be achieved, and the middle tier distribution link can be bypassed, so that the management idea and marketing idea of the brand can reach the terminal directly, and the profit margin will also increase.

    Last year, Jordan opened a 500 square meter flagship store at The Dynasty Hotel in downtown area. Only the window display was updated every two Monday. A brand new leisure brand stood out.

    Now, Jordan has nearly 400 brand stores in the country, and these stores are gradually being reorganized into direct stores.

    Tengxu costumes design innovation as a special DNA.

    "I have introduced 35 excellent designers from South Korea, and even invited Armani's main designer to design for us, in order to increase the brand's fashionable gold content."

    Tengxu dress chairman Xu Yunxu said.

    From the simple introduction of designers to the cooperation with international fashion apparel brands, tengxu costumes, with the concept of design innovation, expand the field of brand internationalization.

    In November last year, tengxu costumes and Italy TRACEA group jointly launched the Italy fashion brand Trace to China International Fashion week. All the brand design, management, operation and promotion of Greater China are responsible for tengxu enterprises, and intellectual property is also owned by tengxu group.

    "This way of cooperation, in essence, is to lengthen the brand extension line, so that the traditional industry can also make a richer return than the high-tech industry."

    Xu Yunxu described the results of brand innovation in this way.

    At a seminar, Xu Yunxu raised the question: "can traditional shoes and clothing industry only survive on small profits but quick turnover?"

    If we only do the "world factory", we can only stay here forever.

    But to jump out of the "world factory", where does high profit come from?

    It can only come from brand innovation.

    Since the 90s of last century, shoes and clothing enterprises in Wenzhou have realized that if we want to jump out of the shackles of low added value and go up the value plateau, we must make independent brands.

    Then, is it enough to stick a brand logo on the product?

    Absolutely not.

    That brand is dead, because it does not create value at all.

    From the simple understanding of brand in the past, the shoe and clothing enterprises are no longer satisfied with simply relying on the traditional way of advertising, networking, affiliate, output value and so on, simply making the brand. As Shen Yingqin said, "we did not take the limited resources to advertise, but spent more money to build the brand foundation."

    Brand foundation and core competitiveness lie in brand innovation.

    Product innovation, channel innovation and design innovation aim at the action strategy of brand innovation and continuously pour vitality into brand.

    Therefore, brand is alive. It expands connotation and extension in continuous innovation. It is like a fertile soil, which can fully tap the high-end value of the main brand.

    The price of sports shoes is 40% higher than that of ordinary leather shoes; the leading edge design concept takes the brand to go abroad and opens up a broader world; the direct channel will continuously explore the potential of the existing market.

    The most direct, high profit and big market is emerging through the brand innovation in the traditional shoe and clothing industry.

    This is only part of the brand innovation system engineering, and there are still many innovations that can be done.

    For every trek, it means a new attempt, but as long as we walk, there will be a breakthrough in traditional industries.

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