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    High Inventory Raises Interest Conflicts And Conflicts, Brand Discount Sales Promotion, And Inventory Solving.

    2012/9/20 13:02:00 24

    DaphneInventory PressurePEAKSports Brand

     

    Recently, Daphne should have a headache.

    First, the media said, according to Daphne internal staff broke the news, Daphne in

    Shanghai

    The headquarter laid off nearly 300 employees and 3 directors of the electricity supplier department.

    Later, the media also revealed that a large number of franchisees from Daphne poured into Shanghai's request for comment from all sides.


    The reason is that Daphne has unilaterally announced a contract with franchisees in order to promote its direct mode.

    Although there is news that Daphne may take compensation to quell the anger of the franchisees, but in the past 3 years, Daphne has laid down three or four cities on the market base of thousands of franchisees, in the time to be abandoned when the anger is compensation can be solved, Daphne at this time, "let go of the bridge", so that they can not accept.


    All appearances show that the mission of the franchisee has been completed, and the next is Daphne's own feast. The franchisee will become the first victim after Daphne's initial pformation.

    But on the surface, it seems to be a "ungrateful" drama of the club, but behind it is a stock pressure that has plagued many brands since 2012.


    The battle between the brand and franchisee, Daphne is not the first, nor will it be the last one. The conflicting interests and conflicts caused by high inventory will make the strategy of brand development complicated and confusing.

    It is true that inventory pressure has become a major problem for many brands.


    At the end of August, many brands were on sale, and slogans such as "full court half off" and "buy one get one" were everywhere.

    Apart from some fast fashion brands, leisure sports brands also appear "restless" in the discount army.

    Adidas, Lining, Nike, Anta, 360 degrees, PEAK, Jordan, XTEP and other sports brands are listed in it, taking the Beijing Xidan shopping mall PEAK counters as an example, the original price is 398 yuan.

    Gym shoes

    They cleared 99 yuan at the end of the season, and the shoes were very complete.


    Many people are puzzled, fashion brands may be affected by the trend of popularity, why the sports brand is so eager to promote the promotion? Look at the listed brands in the newspaper can be aware of the reason.

    As of August 22nd, China's 5 local sporting goods brands reported that except for the first half of August 22nd, the net profit of the company rose by 0.3%, and the rest of the 4 companies' revenue and net profit fell to varying degrees. Among them, Lining ranked 84.9% in net profit, and the net profit in 31st, PEAK and Anta fell 22.99%, 43.35% and 17% respectively in the first half of this year.


    In many financial institutions' reports on these stocks, it is pointed out that with the slowdown of domestic economic growth and the rise of store rentals, labor costs and logistics costs, the cost of raw materials, which is brought by the rise in cotton prices, remains high.

    High inventory

    In trouble.

    This year, the slowdown in the domestic retail market has also affected the speed of eliminating inventory in the sporting goods industry.


    Clear inventory is very important, but the method of clearing is benevolence and benevolence.

    Compared with most brands' discount promotions, the men's brand brand notched an emotional card and put forward the new concept of "83 men's Day", which successfully cut into the promotion war of the men's consumer market, not only effectively aroused the emotional resonance of customers, but also tasted the sweetness of a larger increase in sales.


    {page_break}


     


    In this activity, not only did he organize online "men's Day" promotion activities online, but also launched various online activities such as "men's Day" topic discussion, sharing Festival speeches or photos, and so on on the Internet.

    Not only that, but for many specific customers, Nash also sent tens of thousands of specially customized men's mysterious holiday gifts.


    It is understood that last year, the "men's Day" marketing campaign of Shanghai's first eight hundred companion department stores has been a great success. In the "summer light" season, the sales achieved a year-on-year growth of nearly 40%.

    As a "fast fashion" men's brand, after successfully promoting the fashion concept of "men's Day" to nearly one million member customers and the public last year, this year, even on the line, online and offline jointly organized a series of "men's Day" theme events.


    According to the insiders, in July and August, various festivals such as season changing and Tanabata have been gathered, and the intensity of discount is stronger than that of other months.

    For men's clothing brands such as the odd ones, their customers are different from those of women's clothing brands. The words "promotion" and "discount" generally do not allow them to pay more.

    Therefore, who can attract consumers' attention through innovative and powerful differentiation marketing methods, and can enhance the consumption experience and arouse the emotional resonance of consumers, will be able to break through from the sales force.


    Admittedly, high inventory is really a big worry for brands, but clearing inventory is not only based on discount sales, but also can not be solved at the expense of franchisees.

    A few years ago, the "factory store" model introduced from abroad has also become one of the ways that many brands handle memory.


    The factory store, as the name suggests, is a shop directly opened near the factory or storehouse, far away from the center of the city, and the goods in the factory store are much cheaper than those in the commercial street.

    Factory stores bring together many styles of shoes and clothes, which make many consumers linger on.


    "Today, I returned to my factory with my husband and found that the factory shop of Gloria was nearby, and rushed directly into it. Finally, we picked 5 pants of 29 yuan, a 29 yuan T-shirt and a 59 yuan.

    Denim dress

    One more yuan can buy a dress, less than half an hour to buy so much, the total price is only 234 yuan.

    A customer who buys clothes at Gloria factory shop excitedly tells about his shopping experience, and such a discount will obviously attract more consumers to purchase inventory.

    In addition, more and more brands will choose online stores, discount stores and other channels to clean up inventory.

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