BELLE Lost Geox Mainland Agent Brand Self Running Or Coming One After Another.

Some analysts pointed out that no longer dissatisfied with the agency brand.

If we lose sight of one another, we will repeat the incident.

Geox Beijing, Tianjin and Shanghai self opening shop

Geox, known for its concept of "breathing shoes", is one of BELLE's multiple agency brands. At present, Geox has opened up to 340 outlets in the mainland through BELLE.

According to Geox's founder and chairman, Mario Moretti Polegato, the company's cooperation with BELLE will expire at the end of this year and will not be renewed next year.

The company will start its own operation in Beijing next year.

And three major cities in Tianjin, while the remaining two or three cities are sold to the mainland's high-end footwear brand Nissin.

According to Geox's staff responsible for the mainland's business, BELLE has only focused on sales growth over the past 5 years of cooperation, focusing on the growth of sales volume, with numerous types of proprietary and agent brands, and unclear positioning.

In the past more than 10 years, Geox has been selected as the new agent for the two or three tier cities in the mainland.

In cooperation, Geox believes that it is more competent than BELLE in the agency business of the company.

Polegato also said that in order to maintain better contact with the market and be able to synchronize with fashion trends, self cooperation is more desirable than agency cooperation mode, especially in the Asian market that will attack the main force in the future.

Goex's first Asian flagship store opened in Hong Kong last week. The company plans to increase the number of branches in Hong Kong and Macao to 20 next year.

With the beginning of the end of next year's cooperation with BELLE, Goex will close or reorganize 340 sales outlets in the mainland, and will add new sales outlets. It is estimated that self sales will reach 80 in 5 years and distributors will reach 382 points.

Brand self running or coming one after another

Some analysts said that they did not rule out the fact that the agency brand was dissatisfied with BELLE, or that its business had matured and terminated its cooperation with BELLE.

Lin Weijun, an analyst at Everbright Securities, said that BELLE's current business is mainly based on its own brand business, which is much more profitable than the agency business. Therefore, it is believed that even if it loses the brand of individual agents, its impact on the overall business will not be too great.

As of the end of 6 this year, BELLE shoes own brand business accounted for about 57.2% of the revenue, the rest of the agency business mainly represented Nike and Adidas and other sports apparel brands, footwear agency business accounted for only about 5.5% of revenue.

Su Jingpei, an asset management analyst at ho Cheng, pointed out that BELLE's competitiveness in the market position of its agents in the mainland is still relatively high compared with other domestic small and medium enterprises or overseas enterprises. Because of its large scale of brand and operation, it has relatively high bargaining power in the selection and rental of shops in addition to controlling the cost of production and logistics.