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    Under The Trend Of E-Commerce, Clothing Entrepreneurs Are Slowing Down.

    2012/5/13 22:41:00 106

    ListingE-CommerceCustomers

    In the first quarter of this year, just after the big and small exhibitions and forums, journalists heard that the most talked about topic of clothing executives is enterprise strategy, and there are two core words: listing and e-commerce.

    But when the topic goes deep, it suddenly turns to "do not necessarily have to go public", not necessarily push it from talking about "whether to go public, whether to push electronic commerce", "when to go public and He Shitui's e-commerce".

    Electronic Commerce

    Come up.

    Then, I heard a concluding statement: "strategy is not right or wrong, as long as it suits itself best!" and this view seems to have been widely recognized.


    People can not help but ask, what slowed down the footsteps of those who aspire to start the listing process and do big business?


      

    E-commerce: losing money and making money?


      

    Event playback


    In May 2nd, the research organization was looking forward to the 2012 consumer survey report on online shopping in China.

    The report shows that the online shopping scale of 2011 reached 809 billion yuan, accounting for 4.4% of the total retail sales of social goods in the whole country.

    Among them, China's clothing online shopping is even more outstanding, the market size in 2011 has exceeded 267 billion yuan, the year-on-year growth rate is as high as 93.5%, higher than the overall online shopping market growth rate of 20.6 percentage points.


    So shocking numbers have not been exchanged for any family.

    Apparel online shopping Enterprises

    Profit.

    Instead, a bitter chill is attacking the clothing business.

    Now, Dangdang and Mcglaughlin both issued an astonishing financial loss for their annual losses. In 2012, vip.com, the first IPO to the US, broke its first day and dropped nearly 30% compared with the issue price on the two day of listing.

    The product convergence network directly announced that it could not continue operation because of the chain break.

    What is even more unthinkable is that Jingdong mall, which went on line in 2004, maintained more than 200% growth every year, and sold more than 20 billion yuan in 2011, has yet to make a profit.


    Take PPG as an example, the PPG set up in 2005, through the integration of e-commerce and traditional retail industry, relies on the call center for sale.

    Soon, its low cost bundling strategy has become a dazzling new star for online men's clothing direct selling website, which makes consumers feel that "even if the product is not good, buying it will not lose anywhere", thus stimulating their initial purchase behavior.


    Accompanied by huge media, TV media advertising fees and celebrity endorsements, PPG reached the peak of his career in 2007.

    Even at this time, the company did not put customers first, and complaints about "rough workmanship, shrinkage and untimely return" were everywhere.

    PPG, which lost customer trust, has also reached the end of its efforts to increase the scale of advertising investment with cheap products.


    In January 2010, PPG was sentenced to economic compensation by the Shanghai district court. The bank's 1 million 800 thousand yuan deposit was frozen and the company's surplus materials were moved away.

    "Aircraft carriers in the clothing industry" fell to the ground.


      

    Now, the same large-scale deployment of advertising strategy is another aircraft carrier - fan.


    Since 2007, fan has completed 6 rounds of financing, totaling $more than 400 million, and its promotional cost is estimated to be as high as 1 billion yuan.

    In 2012, even though fans were in a series of troubles such as "advertising door", "leaving door", "loss gate" and so on, the money was still burning.

    In April 3rd, "there is no fear in spring," and Han Hanxin's endorsement of the ubiquitous advertisement entered the streets of 10 cities in China.

    "Hold on, it means everything."

    Chen said.

    As Xue Shengwen, a senior researcher at CIC, has analyzed, most of the business people know that large-scale investment in advertising is not a benign development path, but they are hard to "get the best of themselves".

    In the industry, the market share can only be further promoted through large-scale publicity. If the promotion is not enough and the customers will not accumulate enough, even if they have superior prices and quality services, it will be difficult for them to survive without naming their hometown.


    Zhang Dazhi, a management consultant, pointed out the rapid development of e-commerce and the embarrassment of money smashing. He thought, "no way, people are too easy to forget that no fatigue and bombing dies faster."


    Weekly commentary: the growth of domestic e-business is more like a spoil of growth, a rapid start of brand, attracting huge user volume, forming tens of times or even a hundredfold growth in performance, and then attracting another round of financing, and finally reaching the ultimate goal of listing.

    The rapid growth and cash in all these are due to the urgency of investors and website creators.

    To be more precise, investors are in a hurry. They are eager to let investment websites take a firm foothold in the chaotic Chinese e-commerce market.

    It is conceivable that a market that lacks patience will explore the business opportunities in China's huge e-commerce market.


      

    After listing: are you ready?


    Event playback


      

    Domestic garment enterprises

    Behind the scenes of seeking listing is the reality that competition is becoming more and more serious in this field.

    With many international brands and large domestic garment enterprises eyeing the Chinese market, this kind of competition is not only confined to a single aspect such as brand, price, channel, capital and so on, but is increasingly reflected in the competition of overall strength.


    Under such circumstances, it is necessary to widen the gap and get the opportunity to develop.

    Embracing capital and actively listing is the only way for garment enterprises to seek greater development at a certain stage. It is also an effective way for a mature garment enterprise to implement capital strategy.


    Big consumption is a good industry driven by favorable policies. From a market point of view, this advantage has no difference in stimulating consumption. Combined with the development scale of domestic garment enterprises, the garment enterprises are in the stage of brand building, and the expansion of consumer market and the upgrading of the third consumer structure will bring a new development platform for China's garment industry.

    According to the steps of the rise of some European and Japanese clothing brands, in the next round of consumption trend, China will form a number of clothing brands with international competitive advantages.


    With the involvement of a new round of capital strength,

    Clothing industry

    The competition pattern will also undergo major changes.

    Take the domestic menswear brand as an example. For most of the first-line men's clothing brands that are currently operating at a scale of $23 billion, brand influence and channel coverage are not large, this round of listing is tantamount to a new starting line.

    Only if we get the qualification first, can we lead the race ahead.


      

    However, for listing, entrepreneurs have their own thoughts.


    Regarding capital, Tian Qiming, chairman of Shishi textile and clothing association, and chairman of the company called China Limited, attached great importance to it.

    In his view, in the future business field, industrialists and financiers should be the best partners. The real brand operation must enter the level of capital operation. If the capital chain can not be grasped in the operation of enterprises, it will face serious problems. At present, many brand operations are blocked, to some extent, it is not due to improper operation, but a problem in the capital chain. If the problem is not solved well, the brand will be badly hurt.

    "At a certain time, we must enter the capital market. If we understand the operation capital and have enough funds to grasp, your business mode can be implemented.

    Let enterprises enter the public capital market, it is a way for entrepreneurs to consider, but I don't want to ask for love when it comes to market.

    Since last year, clothing companies have been listed frequently.

    A careful analysis of the reasons why these enterprises are listed or not questioned is actually not complicated, and some errors even appear to be low. There are more or less the impulse to blindly go public, and some lucky ideas exist.

    The mentality and behavior of such a "fight" or "gamble" can be fatal to an enterprise.

    Even for listed companies, the market image, brand value and personal reputation of entrepreneurs will inevitably be affected. It may take a long time to digest.


    Why can not we resolve it early and formulate effective capital strategy? Rather than blindly impulsive preparation for war, hurry up and go steady, so that we can walk steadily and steadily.

    On the way to the capital market, a well prepared team is far more likely to win than unprepared or hastily challenged teams.

    If you do not plan, you will not stand up. If you hold the dream and passion of listing and grasp the capital strategy, you can make your dream closer.


    However, in a sense, listing is only an admission ticket.

    In the face of more complex internal management, channel sinking and resource replication capabilities after the listing, how should local fashion brands cope?


    Weekly commentary: for some listed companies, corporate strategy can be divided into two categories: one is to concentrate on the main business; the other is to develop the sideline industry with clothing as the leading force.

    These two strategies have no right or wrong points. They do not mean that garment enterprises must go all out to develop the garment industry.

    In fact, all industries are complementary to each other, for example, in expanding channels, the sideline enterprises involved in real estate development will inevitably not consider themselves.

    Clothing brand

    Open more exclusive stores.

    For example, the sideline involved in oil development enterprises, the industrial chain will always involve textile.

    In a speculative way of thinking, the strategic deployment of entrepreneurs must be a comprehensive consideration of a series of systematization and scale issues such as leading groups, financial strength, policies and regulations.

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