Amoy Brands Want To Achieve Rapid Growth. It Is Getting Harder And Harder To Rely On Taobao Alone.

From the earliest wheat bags and Martha Marceau to the current industry, the brand name of the Korean brands, including Han Du Yi house, Yin man, rime and silk, and so on, have become the trend makers.

The trend of this trend was once occupied by the major media.

Now, the news of the hot news has not yet dissipated. Some of the brands have suddenly changed their tone of voice.

The biggest difference is the first batch of online women's clothing set up online shop.

Six months ago, CEO Fang Jianhua issued a bold statement: "in 2012, Yin man will expand the more than 60 self operated stores and more than 60 joint stores with a total of 130 stores in the way of direct camp + joint venture, and the relevant policies are basically ready."

Now, Xu Xianling, director of public relations, said: "not long ago, our strategy has been readjusted, concentrating our efforts on online business, and not mentioning it online."

There is no coincidence.

It is also a famous bag brand wheat bag developed from Taobao. Two or three years ago, it opened its first offline experience shop on a street in Jiaxing Jiyang road.

Last year, Ms. Han, assistant president of wheat packaging, said publicly that the sale of wheat bags in the first half of the year was mainly directed at the official website and Tao Baohe line, and revealed: "in the future, we will see the high-end experience shop of wheat bags in Shanghai, Beijing, Shenzhen and Guangzhou."

But so far, wheat bag has never seen any action on the high-end experiential shop.

And its marketing staff euphemistically said that the main focus would be on Taobao.

On the contrary,

With the trend of selling wheat bags and under the line of the man line, they opened their first physical store in Shandong and Beijing SOGO Zhuang Sheng Guang Guang Department store.

Neither advance nor retreat

Scale war, multi-channel integration and expansion

After that, there were troops.

Taobao, which is strong, seems to be losing its warmth as a waiter.

This increasingly powerful channel also has increasingly powerful voice.

As a Taobao shopkeeper has said, "Taobao is returning to the role of a market administrator, making gameplay and rules is the focus of its work."

In 2010, the advertising price of Taobao's big customers was 1 million 500 thousand yuan, 3 million yuan and 5 million yuan three stalls, and 5 million yuan in 2011 increased to 8 million yuan directly.

More abundant capital

This is the opportunity to speed up the enclosure, but for young Amoy brands, the weakness of operation is exposed.

Kong Yuceng, chief executive of the network, said: "Taobao's resources are limited.

Now Taobao sells hundreds of millions of brands, and there are still some bottlenecks if we want to continue expanding the scale.

After the scale, the seller's IT system needs to be changed first.

In addition, because Taobao relies on Wangwang communication, a customer service can be limited to one day, which is also an obstacle to scale. "

Move forward, or you'll fall behind.

To continue to achieve rapid growth, it is becoming increasingly difficult to walk on one leg by Taobao alone.

Online traditional brand pursuit, Taobao has provided resources gradually lost, network marketing costs rising steadily, electricity providers are hard to find, the ceiling of growth......

All kinds of practical problems are imminent, so that these new vertical business providers who grew up in Taobao are forced to upgrade.

These growing brands are no longer satisfied with relying solely on the "breast milk" platform of Taobao. They hope to supplement their nutritional growth through other routes.

Therefore, some of the initial brand names are trying to diversify sales channels and large-scale Internet promotion, such as wheat bags are vigorously promoting their own official website; Mai Bao, Han DOUSHE and other brands have also entered the Jingdong mall, Dangdang, excellent, Amazon and other three party B2C platform sales, and the same brand of such as Podcas.

Choosing offline development is also one of the ways.

Just like wheat bag CEO Ye Haifeng, there is no difference between online and offline. There is no contradiction between the online products of wheat bags and those brands under the line. This is actually a fusion, a supplement.

The pure Internet brand is hard to surpass the offline future.

Wheat bags have the idea of marching down, but they will not adopt traditional methods. There are some embryonic ideas that have not yet been understood.

Senior analyst Lu Bo Wang predicted that the ultimate destination of traditional e-commerce enterprises is online and offline integration.

Such remarks are being accepted by more and more traditional enterprises and e-commerce enterprises.

Therefore, the attack against the line is also a channel for the Amoy brands to choose to try.

On the other hand, it was the beginning of the trial line under the fire. On the other hand, the wheat bag and the Yin man who had already touched the stone crossing the river had a 180 degree reversal of the attitude towards the line.

The reason is somewhat intriguing.

There is a lot of ambitions or ambitions hidden behind it.

"Weaning" for survival

Cost increases Taobao indigenous's "independence"

Taobao is both the survival soil and the main selling channel.

Most of them are built from scratch. When the project started, there was no injection of angel investment, no deep social connections, or even Internet marketing experience. But with the help of Taobao's platform, they accumulated experience in trial and error and developed into today's vigorous situation.

They grow together with Taobao, but now these Amoy brands are no longer the original small sellers, and Taobao is no longer the original "shop assistant".

South Korea's clothing shed grew from the initial sales scale to 90 million yuan in 2011, which is expected to increase to 600 million yuan in 2012.

As of October 2011, the number of employees has changed from the initial few to more than 1100.

But the cost of running Taobao is also rising.

The focal point screen of Taobao's home page costs 100 thousand -15 yuan per day.

Taobao Juhuasuan has more than 100 locations every day, and each location is sold by bidding. The highest price is obtained after a bloody fight by the sellers. These more than 100 Juhuasuan positions are generally priced at 50 thousand -20 yuan.

The "through train" on the right-hand side of Taobao page is relatively cost-effective, compared with the previous two.

As Fang Jianhua, founder of Yin man brand, said, "the commercialization of traffic will make the cost of electric business enterprises increase significantly, which is certain."

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To maintain high traffic volume and high turnover, all kinds of promotional and operating costs are required. For the first-rate Amoy brands whose annual sales are basically measured by tens of millions, there are some "meat pains".

Take the Korean clothing house as an example, its sales volume is expected to be 600 million yuan in 2012. If the Commission is to be charged by the clothing industry 8%, the 48 million yuan will be directly entered into Taobao's account.

This kind of pain like "cut meat" must be deeply rooted in bone marrow.

Not only that.

Most of these predecessors were manufacturers of OEM factories or Taobao C stores. Now they have to face more and more "new neighbors". They are often very rich and powerful.

When Taobao Mall attracts more and more traditional brands to enter, the original Taobao indigenous people are facing increasingly fierce competition for survival.

Liao Ping, a senior marketing expert of Vishaman, once revealed that the traditional brands such as Vero Moda, JACK&JONES (Jack Jones), Only and so on are very famous. The annual sales of online sales can reach several hundred million yuan.

Moreover, local traditional brands usually operate in groups. For example, there are more than ten companies in Bo Yang Group, such as Bo Yang home textile, Ives, Tonlion and so on, and there are 8 e-commerce teams in the red bean group.

Bo Yang home textile Taobao shop, only customer service there are 200 people.

This means that even with the same resources, the conversion rate of Amoy brands is not as good as that of traditional brands.

Pie or trap?

Seek the path of wandering under the robust line

This is not only for the needs of growth and development, but also for further exploration of brand names.

At present, the brand of Amoy brands with a slight climate, though its annual sales volume is often tens of millions, is not long, and many of them are not more than five years old.

They have only completed the primitive accumulation of grassroots entrepreneurship, and there is still a long way to go to build a real brand.

Therefore, many of them set their sights on the offline stores to develop independent brands.

Yu Lei, a well-known marketing expert, said: "brand must have an independent personality. It can cooperate with all kinds of platforms, but it will not lose its individuality.

In the history of retailing, there are few brands that are set up for a single retail system unless it is a store own brand.

The store's own brand is often a flower in the greenhouse, rarely can cross its own system and exist on the market independently. In essence, Amoy brands are not real brands.

But is the offline channel really a bright road for the Amoy brand? There are countless e-commerce brands that have been repeatedly defeated on the way down the line.

In 2011, Mcglaughlin continued to lose money, and the number of physical stores continued to decrease, from more than 500 in the peak to 406.

Martha Marceau closed the store in Beijing's world trade scale in March of this year.

The frustration of the shops under these brand lines and the abrupt change in the attitude of Mai Bao and Yin man to the entity store can explain a message: at least in the short term, the entity store can not bring tangible benefits to them, or even become a burden to them.

Chen Xinceng, chief executive officer of Korea's clothing house, said publicly that at present, the cost of Han Du's clothing store in Shandong, including rent, decoration, personnel wages and so on, basically controls the annual investment of about 700 thousand yuan.

Because the location of the shopping area in Ji'nan college students and fashion groups often go shopping, the current sales volume of the entity store can basically reach ten thousand yuan per day.

The luckily for Han Du's house is that its physical store is located in Shandong, where the cost of operation is relatively low. At the beginning of the year, Marceau's store, which is located on the world trade scale in Beijing, has already accounted for nearly 70% of the store's sales.

There is also a rapid expansion of the offline brand of the brand in the form of franchising: the men's Amoy brand, Shanghai, has opened more than a dozen franchises in Songjiang, Guangxi, Yunnan, Henan, Shandong, Anhui and Xiamen last year.

To this end, before opening a store, he spent a whole year doing preparatory preparations for market research, image layout, retail system and so on.

Now, the company is under all the main Internet sales channels and lines.

According to its founder Wu Shihui, sales from Taobao mall now account for only half of sales, and 90% of sales in 2009 were on Taobao platform.

"The proportion of Taobao has been declining, but overall sales have been rising.

We give other network platforms higher buckle points. "

Wu Shihui said.

Whether the "offline" development? This really makes the Amoy brands feel entangled.

Fang Jianhua, founder of the brand of Yin man, broke the line: "Amoy brand offline, see what you want, want to develop steadily, or simply engage in scale movement."

Fang Jianhua said: "we are not doing enough online, such as service and operation.

I think the electricity supplier is a fine job. It must be fun to play.

The most important thing is that we want to calm down and concentrate on one channel and do one thing well, just like I cut off the foreign trade and wholesale business with an annual profit of 6 million yuan at the end of last year.

Perhaps, after the first round of practical operations on the line, Inman realized that many channels, especially offline, are not necessarily healthy and benign for the current concealment. Therefore, the contraction of OAO strategy is obviously the return of steady development after rational weighing.

In this regard, it also wants to be very clear about it. In fact, Cai said: "the energy invested by the company in the physical store is not much. We regard this as a fun interest to do as a fun place to build, and there is little energy for real operation.

If we look at it as a channel, it will take a long time in the future.

As Yu Lei said, "the key to the evolution of Amoy brands is not necessarily to expand to offline, but they must learn to leave Taobao's infancy, face more picky consumers, and truly achieve brand standards: excellent product quality and supply chain capabilities, shocking people's brand spirit, rapid customer response, outstanding customer experience, and persistence."

Yu Lei said: "the truly great brand in the future should have both traditional enterprise genes (supply chain capabilities, manufacturing capabilities, brand marketing capabilities, channel management capabilities) and e-commerce enterprise genes (innovation capabilities, customer service capabilities, data analysis capabilities and internet promotion capabilities), both of which do not have a natural gap in themselves, and also a brand must face in the Internet age."