Interview With Liao Wenwei, General Manager Of "Next Door Girl"

After years of precipitation, Quanzhou women's clothing has gradually risen.

In the process, unlike Quanzhou sporting goods and men's clothing industry, it was more popular than ever before.

Enterprises realize their channel expansion through single shop profits.

Liao Wenwei, a general manager of the neighborhood girl, understands his unique "light asset development model".

Reporter: why do neighbourhood girls use light asset mode? How do we achieve "small quantity"?

Liao Wenwei: the core value of the girl next door is "sharing and win-win". I want to give this part of the profits to others, because win win is the long way to do business. Only when everyone makes money, can the enterprise grow and grow.

The girl next door started from a single store and was initially a group cargo. But now, through light asset mode, we have more than 100 very deep cooperation suppliers, and a supplier has at least 10 designers.

Reporter: the distribution system enterprises must bear greater inventory risk. Why do the neighbour girls use the distribution system?

Liao Wenwei: next door women's clothing is more willing to create a community of interests with dealers instead of blindly shifting inventory risk to distributors.

We must protect the interests of dealers.

This year, many dealers who make sports brands have to turn to the shops next door to girls. But we check them strictly. Next door girls will consider whether they have enough capital strength and common ideas.

There must be risks in doing business. It is not a shift to take risks entirely from one side. In other words, if franchisees are losing money, in fact, we can not get a good development.

At the very beginning, the girl from the neighbourhood set up a profitable shop as the bottom line for the development and expansion of the shop.

From 2003 to now, the profit of the neighbourhood girl can not be less than 500 of the company's requirements. That is to say, if we do not check it strictly, the number of girls in the neighbourhood has doubled.

Under such a premise, over the past decade, there are fewer than 30 shops in neighbourhood girls closing because of losses.

Reporter: is the stock pressure big this year?

Liao Wenwei: now, do not want to handle inventory as easily as twenty or thirty years ago.

The needs of the whole society have changed a lot, and consumers are reluctant to buy the past products.

Women's clothing style change is particularly fast.

We have followed this rule all along: "hungry and eating again".

Many dealers will ask me when they want to join them. I will tell them how the girl next door is distributing. As we are making tea, you drink and the cup has room for pouring tea. I will pour the tea into your cup. If you do not drink, the cup is full, you will not pour tea into your cup again.

And rationing is the same thing. We do not blindly distribute goods.

We told the franchisee very clearly at the beginning, "how much to eat and how much to digest".

We will try our best to make the least waste, but we can not promise that we can not sell it.

This is like a child. If a parent makes a mistake, the child will always make mistakes.

This is a natural law. We do not take advantage of it.

Reporter:

There are quite a few successful cases in China. How can fast fashion be called shouting slogans? Where is the success of a girl next door?

Liao Wenwei: in fact, the girl next door is a private brand retailer. We do not want to label "fast fashion" labels on ourselves. Shouting is useless. It is useless to expand blindly. We must survive first.

It doesn't matter if you stick to your principles and beliefs.

Reporter: now many enterprises are talking about "wholesale" pformation "retail", but the neighborhood girls are private brand retailers from the beginning. What is the difference between you and them?

The neighborhood girl's shop was opened by a family, opened shop as the foundation of the development and production, from the channel brand, rather than from the production development.

These are two different modes, so there are different management concepts.

We are also developing to brand operators, but I don't care what labels we put on them.