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    Jewelry Market Chaos Comes From The Temptation Of 11 Billion.

    2013/8/13 11:18:00 31

    Jewelry MarketJewelleryMarket

    Invest 200 million to do business. This is the decision made by Hubao group, the largest jewelry manufacturer in Asia this year. In August 6th, the private brand "alloth jewellery" launched by the jewellery manufacturer, which has been low-key, entered Tmall mall. Previously, the jewelry company, which owns 6 jewelry factories in China, is rarely known.


    "Although China's jewelry processing and manufacturing industry is developing rapidly, but because of the long-term value chain's low end, the whole industry needs to be adjusted and baptized." Eros, director of the Shenzhen alos jewellery Limited by Share Ltd (hereinafter referred to as "the" director ") of Changsha, said in an interview with reporters in August 6th.


    With the help of electricity providers, the use of price advantage to create their own brand, perhaps the best choice for Chinese jewelry manufacturers.


    Chaos in jewelry market


    Sha Jianhuan believes that China's jewelry market has great potential, but the industry needs urgent upgrading.


    One data is that in 2012, the total retail sales of jewelry in China exceeded 400 billion yuan, and the total demand was the highest in the world. In 2012, sales of gold, silver and jewellery increased by 11.4% year-on-year in 3000 key retail businesses monitored by the Ministry of Commerce. China's deep-rooted traditional culture still supports people's demand for jade market. With the pursuit of beauty, jade, diamond, color, pearl and other markets are still promising, and the market potential is still great.


    A reality is that in a water and jewelry market in Shenzhen, a beautifully designed platinum necklace does not sell either 81.36,0.00,0.00% or Cartire's silver necklace.


    "Although Shenzhen Shui Bei has become China's jewelry design, manufacture and sales center, but because of the neglect of brand building for a long time, there is no jewellery brand that has been heard in the whole country, and the industrial form is still dominated by wholesale." Sha Jianhuan said.


    Homogenization is an important issue in the domestic jewelry industry. Sha Jianhuan believes that in most aspects, such as mode, product, brand, marketing and service, most jewellery enterprises have serious homogenization, and have no sustainable core competitiveness. In terms of products, they can not represent their own brand image. A large number of jewellery products are still dominated by quantity of goods, and price competition is inevitable.


    Elos, the predecessor of the world's largest luxury jewelry brand agent factory, has been a foundry for many well-known luxury brands. According to our reporter, Eros, who was first built in 1989, owns its own colored gemstone mineral in Brazil, and has set up 6 jewellery factories in China. It has built an Asia's largest garden jewelry production base with an area of more than 500 mu, and has trained more than 4000 experienced jewelry employees. It has become the largest jewelry manufacturer in Asia.


    "We have a complete chain of jewelry industry, which is the foundation for building our own brand." Sha Jianhuan said.


    Temptation from 11 billion


    For the power business, Sha Jianhuan believes that the opportunity for jewelry enterprises to create their own brands is the development of e-commerce. The impact of e-commerce is making jewelry companies change in the way of selling and selling with the help of the Internet. It is no longer an option but a necessity for jewellery enterprises to develop electronically.


    Statistics show that in the past 2012, the output value of jewelry has reached 11 billion yuan, which has gone through 10 years from 0-110 billion yuan to e-commerce. The 10 years are also the 10 year of the rapid development of e-commerce. It is an important turning point of online shopping from virtual to physical objects to valuable jewellery. Industry experts predict that in the most three years, the future growth will climb to more than 110 billion yuan, occupying half of the output value of jewellery.


    In the view of Guo Zhi Guo, a frantic marketing agency, under the impetus of enterprises, when the competition between these three traditional electricity supplier industries is becoming more and more intense, the jewellery industry is gradually starting to push forward under the impetus of consumers, and in the next three years, it will become another major industry of the electricity supplier. In particular, the most popular colored gemstones such as turquoise, amber, honey, lapis lazuli, coral, crystal, cat's eye stone and so on are the important products chain to promote the jewellery industry to become the mainstream of e-commerce.


    "The most important factor is that the prices of jewellery and online are very different. Without the stripping of intermediate channels, shopping malls, wholesalers and so on, many commodities are cheaper than 50% below the line. According to Chi guo analysis, jewellery and jade products have no brand barrier at all. As long as they are the same thing, consumers will think they have taken advantage of the same quality. Therefore, more and more consumers choose to buy online.


    Reporters noted that in the Tmall mall, ALWORTH jewelry flagship store, a retail price of a Blue Topaz Pendant with a market price of several thousand yuan is only 400 yuan.


    "We have our own gem mines, we have our own perfect processing plant, through the electronic business platform, to consumers is naturally more affordable prices." Sha Jianhuan said.


    Pressure on Transformation of foundries


    In the eyes of the industry, it is still a long way to go before the transformation of the company from the factory to its own brand.


    "Despite the bright prospects for the development of the jewelry industry, there is an indisputable objective reality that the jewellery industry has a surplus of production capacity, a surplus of professional markets and a surplus of sales channels." China's jewelry and jade jewelry industry association deputy secretary general, Changsha Bao Li branch secretary, said that at present, the lack of production and processing enterprises, lack of investment in jewelry professional market, single store sales performance decline is more common.


    There are many problems in the electricity supplier level. The familiar e-commerce models such as B2B, B2C, C2C and so on have been used by many traditional jewelry enterprises, but the results are not satisfactory. Due to the particularity of traditional jewelry enterprises, the special psychology of consumers in e-commerce brings new challenges to the business philosophy of enterprises. For example, the quality of products and brand trust, the questioning of product prices and the consideration of the integrity of logistics links, businessmen must face the advantages and disadvantages of e-commerce, and also consider the consideration and construction of supporting facilities outside the main business scope.


    "All kinds of management problems also highlight the relatively late start of China's jewelry industry, which is relatively backward in terms of management and management." In the view of Zhang Yuefeng, an analyst at Changjiang Securities, there are many small and medium-sized enterprises in the jewelry industry. Most of them are characterized by family characteristics. Therefore, most enterprises in the industry do not have a modern enterprise system, and the corporate governance mechanism is not perfect.


    This is evident from Sha Jian ring.


    "Capital operation based on mergers and acquisitions, restructuring and listing financing is the external development strategy of enterprises. The core competitiveness of jewelry enterprises in pursuit of product management is the internal driving force for their development." Sha Jianhuan told reporters that the reason why alos jewelry invested heavily in its own brand is the organic combination of capital and enterprises.

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