Jingdong, Dangdang And Other B2C Bigwigs Have Developed Brand Clothing.

For a whole year, Dangdang net finally launched its own home brand "Dangdang" on the home page, and also included its own brand children's "DangDang Baby".

In the first place to lay the book B2C, sales of offensive department stores and joint Gome's entry into the 3C area, Dangdang will go to another city to speed up its own brand layout.

The reporter learned exclusively, and Jingdong mall will soon join in.

Dangdang enters its own brand two degrees

A year ago, Dangdang CEO Li Guoqing, in an interview with reporters, revealed that Dangdang had to make its own brand of basic funds, and has hired managers who originally worked in WAL-MART's own brand to build.

"The gross profit margin of clothing is 60%, much higher than that of books."

Li Guoqing said.

After a year of dormancy, Dangdang has its own home brand "Dangdang top quality" on Monday.

The page shows that Dangdang products have launched many products such as sheets, quilts, pillows and so on.

Dangdang said that because "from the factory into Dangdang warehouse, save many intermediate links, reduce the cost", the price is cheaper than the market similar brand 30% or even more than 50%.

This is Dangdang's latest move to extend its upstream supply chain after launching its own clothing brand in March this year.

However, Dangdang senior public relations director Guo He said in an interview with reporters that Dangdang is currently trying on its own brand, but will not announce any specific strategy before the scale of the scale is formed.

He revealed that home, home textiles,

Reporters learned from a Dangdang insider, has entered the design and production of clothing, home textiles and home 3 categories.

The first batch of private brand clothing will reach 70-80 styles. Home textiles are mainly bedding, and furniture supplies will include daily life, kitchen supplies and so on.

According to Li Guoqing's statement, Dangdang's own clothing is to take the route of UNIQLO, which belongs to the basic market, but its positioning will be higher than that of all customers, and at the same time, it will build a fashion department store mode.

This is not the first time that Dangdang has entered its own brand.

In 2007, Dangdang, which was not yet listed, used to imitate the fashion sale mode of PPG which was very popular at the moment. It launched its own brand named "Bond Street", and sold men's shirts. But because of poor management, it soon got off the shelves.

At that time, Fan Cheng pin was just established.

For this time, the re launch of its own brand is due to the fact that clothing is the next target category after the layout of household products, maternity products and skin care products.

Three giants compete for new battlefields

Dangdang, from the book heavy B2C mall, expanded to the integrated B2C mall and open platform, total revenue in 2011 reached 575 million US dollars, an increase of 59% over the same period, but a net loss of about $36 million 300 thousand over the same period, compared with a net profit of 30 million 800 thousand US dollars in the same period last year.

In the same period, Dangdang gross profit margin declined from 22.2% in 2010 to 13.8%.

Dangdang CFO Yang Jiahong said it was mainly influenced by changes in product mix.

"Our department stores revenue has increased by more than 200%, accounting for 39% of total revenue."

Dangdang network CFO Yang Jiahong said earlier.

"Compared with books, department stores and 3C, the gross profit margin of private brand can reach more than 30%."

Chen Shousong, an analyst with Analysys International, believes that for Dangdang's integrated B2C to enter its own brand, more consideration is still to achieve the goal of expanding trading volume and raising gross margin, especially for Dangdang listed companies.

"From the current situation, private brand is mainly used as a supplementary business to reallocate existing resources."

Chen Shou believes that using existing channels to sell its own brands can effectively save logistics costs and market costs, and produce synergistic effects on commodities, which will help to increase profit margins.

"However, this kind of electricity supplier will not easily mention its own brand and the strategic level of B2C, which is also as high as the comprehensive category, because this means that the reconstruction of a" Van guest "will involve" strategic pformation ".

And a long term leader for the domestic brand, Mr. Yang told reporters that once Dangdang and Jingdong accelerate the layout of their own brand clothing, it means that their competitors will also be like UNIQLO, except for customers.

"The clothing industry is now facing the problems of rising raw material costs and rising labor costs. How to choose a guaranteed foundries and guarantee low prices? Moreover, large scale foundries usually use cash settlement mode, coupled with large scale R & D costs, and difficult to control the risks of storage, which require high cash flow for enterprises."

He believes that even if there are already hundreds of suppliers of all customers, the successful reorganization of the standardized production of clothing routes, have not achieved profits, the Internet's own brand is difficult to see profit margins in the short term.

However, high profits always attract the eye of competitors.

Reporters learned from insiders in April 10th that Jingdong mall will soon join in the battle for its own brand clothing, and will be personally led by Wu Sheng, vice president of Jingdong, who is a guest dealer.

It remains to be seen whether he can reorganize the advantages of all customers to the resources of the organization into the existing structure of Jingdong to achieve synergy.

Comprehensive B2C brand

Operational capacity is being tested

Unlike the comprehensive B2C, which focuses on "selling", private brand is more emphasis on the "product end" operational capability.

"The grasp of users' fashion needs, the control of product quality from production, pportation to sales, and the shaping of brand awareness of products are not what B2C is good at."

Analysys International analyst Chen Shousong believes that Dangdang and Jingdong's advantage lies in the flow, logistics warehousing and distributors, suppliers constitute the overall operation advantage.

"In fact, though the gross profit margin is high, the private brand has great market input in brand building, and in the short term, the platform will earn more money than its own brand."