City Beauty Sells Clothing Products Directly To Consumers.

"In the next 10 years, urban beauty will realize the" Wan Dian plan ". In April 2nd, the vice president and chief information officer of the urban beauty group, Sha Sha, made a high-profile announcement on the launching ceremony of the cooperation between IBM and urban beauty. He said that the urban beauty is deploying smart business solutions through the deployment of smart stores and sales systems, so as to accelerate the realization of the strategic blueprint of 8000 stores in 2015.

　　 Shop against the trend

Recent two years clothing Industry "go stock" campaign, still did not solve the stubborn disease of high inventory. Data show that as of April 17th, Spin There are 50 listed companies in the 2012 annual report released by the clothing industry, with a total inventory of about 57 billion yuan. In addition, influenced by internal and external factors such as the rising cost of production factors, China's garment industry is facing heavy pressure of upgrading and transformation. Under pressure, domestic garment enterprises have been exploring ways of transformation and upgrading, especially the transition to "fast fashion" has attracted considerable attention.

With the development of 14 years, the urban beauty who is positioned by fast fashion underwear has reached 4800 stores, mostly based on Commercial Street shops. In many Brand clothing When the entity store is in the "closing shop tide", the beauty of the city is making radical expansion with the "Wan Dian plan". It is estimated that by 2015, the number of experiential shopping stores in urban beauty will jump from nearly 4000 to 8000.

"In China, consumers are faced with the escalating demand for fashion consumption, and the fashion concept of mass underwear consumption created by urban beauty has not only put forward a new concept of underwear consumption, but more importantly, it has opened up the process of transformation of underwear fast fashion industry chain." Said Sha Shuang.

Fast fashion, characterized by "fast", not only requires enterprises to grasp the trend quickly, but also needs to build up a fast communication channel between customers and brands online and offline. To achieve this goal, urban beauty must adopt advanced IT solutions, which will promote the expansion of the company over time and support cross channel business. For this reason, city beauty combines IBM intelligent business solution with actual business. At the present stage, by deploying smart stores and building intelligent sales system, it creates a competitive business model and realizes the growth of enterprises themselves.

　 Enhance the competitiveness of stores

"In the future, every store will grow at a rate of not less than 15% per store per year, but it will be a real store, otherwise it will be turned off." Said Sha Shuang. As the main channel for enterprises to provide products and services, the quality of their operation will affect their business performance. How to increase sales of stores to cope with fierce market competition?

Urban beauty mainly focuses on the replenishment system and scheduling system of stores. On the one hand, compared with other industries, inventory risk is particularly important for business management of fast fashion industry. How to control inventory and ensure timely replenishment? Urban beauty knows well the importance of establishing intelligent replenishment system. They learn from the market oriented replenishment strategy adopted by foreign fast fashion brands. According to the regional characteristics of each store and the attributes of different consumers, timely adjust the inventory distribution between stores and distribution warehouses, and realize the intelligent optimization of replenishment quantity and category through the system to solve the challenge of replenishment and create the largest sales profits.

On the other hand, in the face of the increasing human cost, urban beauty also manages and optimizes the rules through the effective scheduling mechanism in the store operation to ensure that stores provide excellent customer service and complete sales tasks, so as to achieve the best balance between the company's optimal profit and employee satisfaction, and help the store manager to maximize the benefits.

"Customer satisfaction and employee satisfaction must be reflected in scheduling." Liu Boxin, director of intelligent business consulting at IBM Greater China, explains: "experienced salesmen have good service and quick checkout, which can improve customer satisfaction. During the rush hour, the time arrangement of the staff members is related to the completion of the employees' work goals, and will also directly affect employee satisfaction. Liu Boxin calculated an account: assuming that there are 1 stores, the monthly salary of each shop assistant is 3500 yuan. The new store manager has to train for 4 hours, and only 2 weeks later, it needs to be trained for 2 weeks every year. Assuming that the working day is 20 days per day, it can save 87 million yuan on investment cost per year only on the store manager.

　　 Sell products directly to consumers

"Now many customers do not buy clothes shop. clothes Rather, it looked at which clothes to try on first, then saw the colors and sizes, and then went home to buy them online. As a result, the shop became the fitting shop of the shop. Said Sha Shuang. The overall economic downturn, market competition and consumer new shopping habits and other factors have caused domestic brands to rely on product advertising and wholesale growth mode.

To this end, urban beauty has changed the mode of selling products to channels, franchisees, distributors and partners by traditional clothing enterprises, but has created intelligent sales system, effectively integrated online and offline resources, and provided an overall e-commerce service platform for enterprise customers and consumers, and sold products directly to consumers. "The electricity supplier is cold, and the store is hot. The enthusiasm of the shop assistants and the appeal of the products can make the channel expand more rapidly, so that underwear sales can become" side sales. " Said Sha Shuang.

Under this blueprint, the 17 million members of the city beauty will become the main customers of the electricity supplier, so as to achieve repeat purchase. City beauty turns all online sales orders into (recent) physical store revenue, and through member management, mining customer information to achieve precision marketing. Consumers will enjoy the one-stop shopping experience provided by urban beauty both in the physical stores and the Internet. Suppose that in 17 million members, multi-channel fusion mode triggers the regular buying behavior of 5 million members. If people buy more than 100 yuan per year, they can generate 500 million yuan of sales revenue.

　　 Transformation to fast fashion supply chain

"The boundaries between" camp "and" sales "are becoming smaller and smaller. The change of consumer behavior will lead to a great change in business in the future. In the online discussion of China's largest CIO knowledge network community ITValue based on knowledge sharing, community member CIO reached this consensus.

In the era of customer led business, customers expect enterprises to respect their time, preferences, values and privacy. To meet these expectations, enterprises need insight and innovation, and can provide intelligent guidance customer experience system from all aspects. "The perfect intelligent business system enables us to collect and capture demand information through network channels, use traditional stores to catch consumers, and analyze the information to the back end supply chain for precision production and supply chain planning. So as to complete the transformation of the fast fashion supply chain captured by the urban beauty from the fashion trend to the new product listing. Said Sha Shuang.

Although the implementation time of fast fashion supply chain is still short, the specific value of smart commerce for urban beauty can not be accurately measured at present. However, research reports show that the rate of return on investment brought by intelligent commerce is 12.05 times, of which 60% comes from indirect benefits, such as the promotion of productivity, and 40% comes from direct benefits, such as the reduction of operating costs.

In the future, urban beauty will continue to improve order management system, warehousing management and performance management to consolidate its leading position in the fast fashion underwear industry.