Quickening The Layout Of The Two Or Three Line City Becomes The Next Goal Of The King Of Nine Herd

"I really don't know how much the stock price is today. I rarely pay much attention to that." Faced with the issue of stock prices thrown by reporters, Joeone Chairman Lin Congying said, he also said that listing is a great opportunity for the development of the company, but after the listing, he has put more energy into "doing business well".

In order to "do business well", Lin Congying saw the two or three line market. With sufficient funds raised, the company has a more efficient operation capability, and speed up the layout of the two or three line city to become the next goal of the king.

This is indeed the case. In fact, clothing companies list After that, the first thing to do is to increase the store expansion marketing network. Whether the seven wolves, or the good news birds, and the newly listed card slave Road, the capital raised by IPO is used to expand their marketing channels.

Channel sink

Lin Congying believes that "clothing like this large flow of brands, a major feature is to enable consumers to buy anywhere and anytime."

In the semi annual report, the nine Mu Wang made clear that he hoped that Future Ltd would increase its market share in the southwest, northwest and northeast areas in order to maintain steady growth in key areas. During the reporting period, the company's operating income in the northeast region increased by 48.79% over the same period last year, making it the fastest growing region in the company's revenue.

According to the development plan of nine Mu Wang, in the two or three tier cities, nine Mu Wang will adopt more franchisee mode, adding 300-500 stores every year. Make full use of the resources, connections and funds of local distributors, and win the fastest development with minimal input. This is called "speed of nine herd kings" by Lin Congying.

Similarly, the focus of the opening of the seven wolves is obviously from the first tier cities to the two or three line cities. Seven wolves 2011 China Daily reported that as of the three quarter of 2011, the number of terminal stores was 3830, and the intensity of channel sinking in 2011 increased. The retail terminal in the three or four tier city layout, the terminal store in the future is expected to maintain an average annual growth rate of about 10%.

Zhou Shaoxiong, chairman of the seven wolves, paid special attention to the promotion of channels in 2011, and positioned it as "image integration and upgrading year". In order to support the strategic plan, the seven wolves act frequently in the capital market. In November 8, 2011, the company announced a non public issuance plan, raising 1 billion 800 million yuan to invest in the construction of the "marketing network optimization project". The project will increase 1200 sales terminals, including 60 flagship stores and 300 stores, and 140 flagship stores and 700 exclusive stores.

Li Lang also stepped up the development of the two or three line area. Public information shows that in the first half of 2011, the overall growth rate of sales in the northwestern region of Shaanxi was the highest, reaching 48.7%, and the most prominent one was in the province, with an average growth of over 30% in the same store.

In fact, with domestic sales market With the continuous warming, the competition between domestic and foreign brands in the Chinese market is becoming increasingly fierce. The saturation of domestic front-line market and the gradual increase of business cost make the two or three line market a new growth point of garment industry.

Another important reason for the sinking of the channel is the huge consumption potential of the two or three line market.

Xia Hua, President of the Yiwen group, believes that the simple development of the brand to the two or three tier cities is a one-sided business competition. In her view, in recent years, with the development of economy and the acceleration of urbanization, the emergence of new transportation tools such as high-speed rail and light rail has made the connection between cities and even towns and villages more closely, and it is possible for residents to concentrate on the two or three tier cities.

According to a survey released by Bain, about 67% of the mainland's luxury market growth in 2010 came from new consumers, and they came from a large number of two or three line cities. This attracted many luxury brands to join the battle of the two or three line market.

At present, more than 100 top international brands are accelerating the layout of luxury markets in China. Apart from big cities such as Beijing, Shanghai and Guangzhou, the branches of central and western cities are springing up. For example, LV has opened 27 stores in 22 cities in China, including Changsha, Xi'an, Qingdao, Xiamen, Wuxi, Wenzhou and other two or three cities, while Ningbo and Hangzhou have gathered almost all of the international luxury goods.

In the future, while continuing to consolidate the advantages of the first line market, the competition for men's clothing brands will become increasingly fierce against the two or three tier market. Meanwhile, the two or three line market will also become the main battleground for the handover of domestic brands and international brands. {page_break}

　　 Power supplier

At any time, the channel is always the focus of the battle for men's clothing market. And when the traditional channel competition is gradually tilting to the two or three line, the continuous force of e-commerce has become the highlight of the 2011 men's wear market.

Since its inception in June 2008, the seven wolves' e-commerce has been doing well. In 2010, seven wolves sold 25 million 830 thousand yuan online, an increase of 7.6 times compared with the previous year. By the first half of 2011, the sales of seven wolves had reached 32 million yuan, up 400% from the same period last year.

People's applause has not stopped. Last year, on the eve of "double 11", the seven wolves "marrying" the Taobao trend brand seven grid, combined with strong efforts to bring forth the new, and on the Internet for 7 days, "water feast", through the distribution of high coupons and thousands of free postage gifts and netizens hot interaction. During the "double 11" period, the seven wolves won the ninth place in the Taobao store rankings.

However, this score is much worse than that of GXG.

Founded in March 2007, it sold 8 million yuan that year, and last year, its brand sales exceeded 3 billion 500 million yuan. When many people are still strange and new to GXG, it has already killed a "blood road" in the men's clothing industry full of capital and has become a dark horse in the clothing industry.

Like the same line, GXG's online sales have also increased rapidly. Internet sales began only in August 2010. By 2011, the network sales volume was 150 million yuan. GXG sold most of its inventory in only a year and a half. More representative is that last year's "double 11" day, GXG Tmall (Taobao mall) flagship store sales as high as about 40000000.

In the same way, there is also a nine year herding king who is active in e-commerce channels, and its performance is also very rich. In fact, King Mu has always been a model for the development of e-commerce in Fujian style menswear. The official flagship store of Tmall has opened more than 100 million yuan over the past year.

Nowadays, Fujian men's men's clothing including Qipai, gifted scholar and tiger all have long been committed to the trend of e-commerce. Compared with the Fujian Style Men's own war, Wenzhou set up a "electricity supplier alliance" at the beginning of this year. The goal is to strive to achieve a breakthrough of 10 billion yuan in 2015 on the annual sales volume of clothing online in Wenzhou.

In fact, the development of online channels has not only been restricted to inventory rejection. E-commerce with good momentum has become a new platform for many garment enterprises to cultivate young potential customers, and e-commerce is expected to become an important platform for brand building through specific products and even the main products.

It is understood that the seven wolves are now working to create a "commodity trading platform" for dealers under the broad line. In addition, the seven wolves will soon establish the "CRM brand ecological system" to complete the online and offline membership database. All these efforts and plans are aimed at achieving the ultimate goal of the seven wolves, the "O2O" online and offline linkage. When the entity shops and online stores complement each other, the user experience will be improved to enable customers to enjoy the same services both offline and offline.

According to Zhou Shaoxiong, chairman of the seven wolves, it is estimated that the proportion of online retail revenue will reach 10% in 2011. According to the company's revenue scale of 2 billion 100 million yuan in 2010, the sales of the seven wolf business in 2011 will exceed 200 million yuan.