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    Clothing Home Textiles "Network Dedicated" Cut Into The Electricity Supplier

    2012/11/17 13:16:00 22

    ClothingInternetTraditional Brands

     

    Compared to household appliances,

    clothing

    The price difference of home textile products on line and offline is not obvious, so the phenomenon of user pfer caused by price is almost rare.

    However, for apparel home textile enterprises, the online shopping experience can not be replaced by the online, so the industry is dedicated to the operation of the network, more for solving the channel conflict reasons.

    However, in order to successfully operate the textile and garment network mode, we need to further study the needs of Internet users, which is the most important homework for traditional brands.


      

    Avoid dealer's "revolution"


    Since 2009, traditional clothing brands have begun to focus on e-commerce.

    In 3 years or so, the traditional brand has found a breakthrough after experiencing the pains of innovation.

    Internet channel

    The key to the brand is to clarify the management structure of the online and offline channels.

    In 2012, the traditional textile and garment enterprises obviously accelerated the process of touch net, and their product strategy started from the "network only supply".


      

    The key to the supply chain is the design side.


    The key to the supply chain involved in the network is not in the manufacturing end, but in the development and design side.

    In depth study of the needs of Internet users will be the most important homework for traditional brands.


      

    Trouble of channel conflict


    In the case that channel conflict can not be effectively alleviated, some traditional brands take the solution to develop network dedicated contributions.


    It is understood that there are two ways for textile and clothing networks to be built: one is to build a sub brand online, for example, Metersbonwe launches online brand AMPM, the original brand of the e-commerce is the LOVO, the sub brand of BELLE shoe industry is Nell, and the other one is the same brand under the same line, but the products sold are different from those under the line.

    For example, in the Tmall flagship store of seven wolves, we can see a number of products developed for online consumers.


    However, it is a time-consuming and arduous task to re cultivate a brand online, and it is only devoted exclusively to the online industry.

    Therefore, most brands take the practice of multi legged walking.

    For example, BELLE has taken the following measures: brand on existing lines, cable products, and network for products.

    For products that are synchronized with the same line, the same price strategy is generally adopted; while those with the same line but different seasons, discount strategies are adopted; for online contributions, the pricing strategy is more suitable for users' psychological expectations.


    For China's strong garment manufacturing capability, the online mode of supply is not a difficult problem from the supply chain perspective, it only needs to produce different products on the original production line.

    But the key question is: what kind of products will be produced, and the network contributions must be in line with the aesthetic and preferences of network users.

    From this perspective, the key to the supply chain involved in the network is not in the manufacturing end, but in the development and design side.

    Therefore, in the future, in-depth study of the needs of Internet users will be the most important homework for traditional brands.


    {page_break}



    From the statistical data of Taobao platform over the years, clothing is the largest category, and the annual turnover is ranked first.

    However, among the big sellers who originally made up the clothing category, they could hardly see the traditional offline brands, until the sales volume of the big sellers doubled every year, and when some designer brands that seemed to have nothing had worked out, and even attracted the attention of international capital, the traditional brands began to really move.


    Whether clothing or home textile brand, the bigger the brand, the bigger the problem.

    A home textile brand of a main bamboo fiber product has exceeded 2000 stores under the line.

    The responsible person talked about his own difficulties in the exchange with reporters: the main line is the franchisee, the price is unified nationwide, and the company has implemented strict price control.

    However, in order to sterilize sales, individual dealers sell products on Taobao at 50 percent off prices.

    Since its brand appeared on the Internet for the first time, the company headquarters has been receiving complaints from other distributors, making its online channel strategy shelved.


    This phenomenon is not a case.

    But from the user's point of view, the channel conflict of clothing and home textile products is actually a false proposition.

    Because the coincidence between Internet channel and offline users is not large. When shopping online, the shopping experience and situational sense are more important.

    Very few people will try a piece of clothing online, and then go back to the line to search the order.


    However, clothing and textile products have encountered the most intense channel conflict, which is mainly caused by the agent distribution mode under most traditional brand lines.

    The so-called channel conflict comes mainly from distributors or offline franchisees.

    It is understood that UNIQLO vigorously launched the electricity supplier strategy, because UNIQLO is all direct outlets in the country, and there is no need to struggle to resolve conflicts of interest.


      

    Fuanna

    Explosive charge +o2o


    From network dedicated contributions to online and offline interaction


    In last year's "double eleven" Tmall (then Taobao mall) sales promotion, fuanna sold 28 million yuan a day.


    As soon as we entered the 2012, Shenzhen fuanna home furnishing Limited by Share Ltd (hereinafter referred to as fuanna) set up a new channel management center, and began to vigorously expand e-commerce channels.

    According to the assistant director of Fu Anna and the director of new channel management center, China has implemented a network special contribution strategy. At present, there are more than 200 SKU (minimum stock unit) on fuanna line, which basically realizes the online and offline segmentation of products, and assumes the responsibility of promoting brand online.


      

    Boost sales by exploding money


    Before 2012, fuanna's way of electronic commerce was very cautious.


    As a listed company, the sales of fuanna mainly rely on offline traditional channels, and there are more than 1700 stores and counters in the country.

    Before considering the impact of online sales on traditional channels, the company did not invest heavily in e-commerce in order not to touch the interests of listed companies.


    Let the company executives realize that online sales have potential and are likely to become new growth points of performance.

    It is understood that as a home textile listed company, Luo Lai started e-commerce earlier, and founded LOVO as a exclusive brand of network sales.

    However, its electricity supplier Department has bought the "fuanna" as the key word to guide traffic to the shopping website of Luo Lai, thus triggering the rights and prosecution of fuanna.


    After more than 2 years of litigation, although the court ruled that Luo Lai lost the lawsuit, fuanna also learned the lesson, but also realized that we must use the new channel of e-commerce to deal with the market pformation.

    According to Hua, although the company has launched a brand name "holy flower" for online sales, more than 6 of the online sales are still from the "fuanna" brand, and the sales account for Saint flower is 30%.

    The operation of fuanna's e-commerce is not based on the expansion of SKU, but mainly by explosion.

    For example, in last year's "double eleven" promotion, sales of 5 products reached 4000~5000, and sales of single products exceeded 2 million yuan.


    {page_break}



    Although fuanna has already realized the division of products on line and offline, it is not absolute.

    To China, the company will launch more than 90 dedicated network contributions in one year, compared with 20% of all online sales.


      

    From Internet to o2o


    For traditional enterprises, the success of channel operation depends largely on the success of the management structure.

    Last year, the sales performance of the "double eleven" promotion made the management of fuanna not only see the potential of e-commerce channels, but also realized the potential of fuanna brand on the Internet.


    China has repeatedly stressed to reporters that fuanna pays more attention to brand image and brand connotation, and such "enterprise gene" will also be brought into the electricity supplier field.

    As a result, the official store, which is about to be launched, can support online sales, but it is not the main purpose. It is mainly through the official website to display the brand to make up for the brand display that can not be completed on the integrated e-commerce platform.


    The practice is very simple. There are fuanna's unified LOGO, hue and style on the official website. When other online platforms sell fuanna products, the shop and page "decoration" can be used directly, so as to avoid the influence of different styles on brand image.


    In addition, the official website is also a window for interaction between users and brands. The design of network dedicated contributions can be completed under the participation of users.

    For example, a specially designed network can be placed on the Internet for buyers to make comments and grading, and adjust the design and production according to the buyers' opinions.

    When the product is actually online, the participating buyers can buy it at a lower discount.


    In fact, the attempt to make contributions to the Internet under the mode of user interaction has completely surpassed the significance of selling products, but a typical o2o (from online to offline) mode.

    To China, fuanna is opening up the online and offline sectors, such as placing orders online, customers can pick up goods from their nearest physical stores, and can also buy from online stores after experiencing the physical stores.

    This advantage can bring about the upgrading of the physical store. Only a larger area and richer stores can meet the needs of online buyers.


    {page_break}


    Of course, if we want to really achieve the o2o model, we will face many difficulties.

    For example, this vision mode is easier to achieve in Direct stores, but for franchisees, how to cut profits with headquarters is a difficult problem.


      

    Striding across the "primary stage"


    Fuanna hopes that e-commerce strategy can get rid of the "low price whirlpool" and still maintain the high-end positioning of the brand.

    The picture shows Fuan's offline store.


    What kind of ideas and ways do brand enterprises enter e-commerce? In fact, the network contribution is only the "initial stage" for traditional enterprises to enter the channel of e-commerce.

    In the long run, enterprises will experience the following three stages: from the initial stage of online sales to the stage of chaos and confusion, the online and offline channels will be relatively clear, from chaos to governance at the initial stage, and finally leap to online and offline to consider and extend the stage of enterprise brand.


    In recent years, with the rapid development of e-commerce, traditional enterprises have been involved in online flagship stores, full platform operations, self operated commercial centers and so on. Various means are being used, and e-commerce is expected to become a new sales growth pole for enterprises.

    However, careful observation of the traditional enterprises that have already carried out e-commerce has only two main modes: first, to create a brand new pure e-commerce brand, such as the LOVO of Luo Lai, the saint flower of fuanna, and the two is to sell with the entity brand in parallel.


    However, a situation that can not be ignored is that the impetuous atmosphere of e-commerce tends to cause enterprises to be controlled by sales volume. Only the sales volume is supreme, and the network is not considered too much. It also needs to emphasize the differentiation of product positioning, and also emphasizes the customer experience brought by the logistics and purchase process, so as to highlight the brand tonality.


    In fact, home textile business can not simply be equivalent to "home textiles + e-commerce".

    Take fuanna as an example, the high-end positioning of the brand and the natural low price of network sales have formed obvious contradictions and conflicts.

    Fuanna is a high-end position in the home textile industry, and is pursuing its profits above the average level of peers to support its performance as a listed company.

    However, Internet sales emphasize on squeezing water and attracting buyers at low prices.

    Under such a contradiction, fuanna obviously can not let the low price image on the Internet impact the high-end brand image that is hard to build up under the line, and is unwilling to operate the high-end positioning home textile brand with the operation idea of the public electricity supplier.

    Therefore, the newly established electricity supplier department emphasizes that the purpose of marketing is not to sell, but to undertake the task of network publicity and brand promotion, so as to avoid falling into the "low price vortex".

    From another point of view, its rival Roley home textile has already done a good job in e-commerce business. It is hard to repeat the old road of "overtaking". Instead, it is better to explore a new way to achieve differential development.


    An obvious trend is that traditional enterprises have begun to diversify their way into e-commerce, and no longer regard sales as the sole purpose.

    Since this change is inevitable, early change is easier to take advantage of than late change.

    Therefore, the Internet is only a "primary stage". The traditional enterprises must go beyond this stage if they want to go further into e-commerce.


      

    Channel breakthrough weapon


    In the era of highly pparent e-commerce channels, user pfer is almost without cost.


    Most of the traditional clothing brands regard e-commerce as a pure sales channel, but this choice is also facing an unavoidable practical problem, that is, channel conflict and price system.


    {page_break}



    First of all, the traditional clothing brand lines are generally composed of two main parts: Direct stores and franchisees.

    For many brands, franchisees are the core driving force to support their brand development, directly controlling the brand's life and death power.

    Therefore, if online retailing of traditional clothing brands only sell the product styles under the offline channels, even if the price is the same as that of the same line, when the sales volume reaches a certain scale, it will inevitably lead to complaints and complaints from the franchisees on the line, thus affecting the development of franchised stores under the line. This is the result that the traditional clothing brands are unwilling to see.


    Although the current online retail market has begun to develop in the direction of quality and branding, there are still a large number of Internet users who still recognize "low price".

    Online, the bargaining power of traditional clothing brands can be increased by 3 times or 5 times if they are very strong, but this practice is not feasible online.


    In the era of highly pparent e-commerce channels, user pfer is almost without cost.

    It can be imagined: in the competition with the pure network clothing brand, the advantage under the line will become the online weakness.

    The online special clothing or "sub brand" is an excellent strategy to solve the conflict between channel and price. It is also a secret weapon for the traditional clothing brand to seize the initiative in the new round of competition in the Internet age.


      

    Positioning determines success or failure.


    For those who already have mature brands under the Internet, it is a way of losing money and taking risks if products are not carefully planned and thought.


    The audience positioning of the traditional clothing brands is generally the middle income group, so they have to play a good role in the network, so they have to consider the differentiation characteristics of users.

    It can be said that the positioning of online products and "sub brands" will determine the direct success or failure of their e-commerce projects.


    According to one research data, the coincidence degree between the customer base of e-commerce and the customer group under the traditional clothing brand line is not high. There is a certain gap between the two customer groups.

    What kind of products the channel sells depends on its customer positioning.

    With the rapid development of online shopping market, online shopping consumers are gradually evolving into a group with unique consumption habits and aesthetic characteristics.


    If the traditional clothing brand wants to seize the opportunity of electronic commerce, it must recognize that it can not only expand the sales channels to the Internet, but also combine the characteristics of online shopping users to make product innovation.

    For example, the "love" brand on the love line is positioned in "fast fashion", pricing is only 1/2 or even 1/3, which is the main brand that admired its customers, so as to meet the consumption needs of the special user group. For example, Metersbonwe's online brand AMPM is more fashionable than the line, but the price is cheaper than offline.

    The above cases are the reference models for traditional clothing brands to take the initiative to adapt to Internet consumer preferences.


    Taking a look at the current case of traditional clothing brand operators entering the electricity supplier, the traditional offline products, the same price of the same products or different prices of the same products are copied into the Internet operation. The final result is nothing more than that: the sales volume is mediocre, or the protests from the offline channels are long enough to die for a long time until the failure is announced.

    Therefore, for those who already have mature brands under the Internet, it is a way of losing money and taking risks if products are not carefully planned and thought.

    If we use the Internet for products or "sub brands" to cut into the electricity supplier market, we may find a new blue ocean market.

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