Daphne Increases Discount Rate To Stimulate Sales Growth

< p > > a target= "_blank" href= "http://www.91se91.com/" > clothing < /a > industry continues to be cold, a target= "_blank" href= "_blank" > shoes < > industry is not optimistic.

Recently, thousands of companies, Daphne, BELLE and others have released the first half performance notice, net profit negative growth and the same store sales decline. Accompanied by the slowdown in the pace of expansion, the reporter learned that, due to poor sales volume, the group's deep discounts and promotions in the industry have led to a decline in gross margins. "The current situation of footwear industry is similar to that of sports a target=" _blank "href=" http://www.91se91.com/ "> brand clothing < /a >. If we do not deal with it early, we may follow suit.

One industry insider expressed this.

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< p > < strong > the same store sales are now showing negative growth < /strong > < /p >

< p > the first half of the year, the sales of the same store decreased by about 9.6% in the two quarter, down 5.1% from the same period in the first half of the year, and the net profit is expected to decline by 10%-15% compared with the same period last year.

The announcement shows that the same store sales in the first quarter of the year still had a 1.7% increase, indicating that sales in the two quarter were significantly blocked.

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< p > in fact, in the face of the decline in profits and not only a thousand, Daphne has also disclosed the first half performance notice, including the core brand business of Daphne and shoe brands, the same store sales in the two quarter, a year-on-year decline of 13.7%, compared with the same store sales growth rate of 13.5% during the same period last year, Daphne is expected to have a 9.2% decline in the same store sales in the first half of this year.

Affected by this, the turnover of the core brand is also only low year-on-year growth in the number of units, while net profit will decline significantly.

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< p > even BELLE, the industry leader, can not escape the slowdown of the industry. Its recent domestic operation data show that footwear growth in the two quarter is only 0.5%, while sports a target= "_blank" href= "http://www.91se91.com/" > dress < /a > business growth is 2.5%, while in the first quarter, BELLE's footwear business grew 4.5% in the same store, and sportswear reached 11%.

In addition, on a quarterly basis Saturday, net profit in the first half of the year was forecast to decrease by 10%-40% compared to the same period last year, with a net profit of 47 million 600 thousand yuan in the same period last year.

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< p > < strong > the pace of expansion obviously slowed down < /strong > < /p >

< p > in fact, at present, all brands have significantly reduced the speed of expansion, with a net increase of 216 stores in the same period last year, and the number of net shops in the first half of this year has shrunk to 29.

Daphne's core brand business increased by 212 in the first half of this year, compared with 366 in the same period last year.

BELLE's new store has also dropped from 537 to 426.

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< p > Daphne has been divided into three factors: slow economic growth, low consumption desire, bad weather and unusual cold spring. Avian influenza has been widely spread in East China.

Daphne said that since mid March, poor weather and more severe cold weather than spring have caused significant additional pressure on sales.

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What is even more worrying is that Daphne has slightly increased its discount rate in the two quarter to stimulate sales growth, coupled with greater efforts to clean up the over season stocks, but sales growth is still lower than expected, which has led to a decline in gross margin and a possible increase in the number of days of inventory turnover in the same period of P.

On Saturday, it also said that factors such as declining unit price, labor costs and financial costs rose year by year and other factors are expected to lower the net profit level of the company.

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< p > reporters also visited the market yesterday to see that the proportion of new products in the women's footwear industry has been greatly reduced, and the discount goods in the store occupy the majority.

Take the BELLE counters of Tianhe department store as an example. Apart from a few new products, all women's shoes are sold at 40 percent off or 25% off, and there is a promotion price of "one price 399". The number of goods sold by the journalists is almost 9.

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