Wolves "Wolf" Sex Fade Away Industry Development Downturn Leads To Shop Tide

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< p > < strong > industry downturn leads to shop closing tide < /strong > < /p >

< p > in the latest report of the seven wolf annual reports, the most reluctant to see is the first decline in 2013's performance since listing.

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< p > 2013, the company's operating income was 2 billion 773 million yuan, a decrease of 20.23%, operating profit of 464 million yuan, a decrease of 38.47%, net profit of 379 million yuan, a decrease of 32.44%.

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< p > "except for" a target= "_blank" href= "http://www.91se91.com/" > clothing < /a > the retail industry is weak, and the company orders decline, in order to reduce the pressure of distribution channel inventory, the company restores more inventory is an important reason.

Seven wolves company explains.

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< p > in fact, the revenue growth of the seven wolf company began to decline quarterly by the second half of 2012.

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< p > for the seven wolves, 2012 is a turning point.

In 2011 and 2012, seven wolves were expanding abroad for two years: in 2011, there were 3976 terminal outlets for the seven wolf stores. In the following year, although the overall domestic demand of the clothing industry was not ideal, its stores still increased by 31.

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After P, the shop tide began.

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< p > open shop expansion directly caused excessive inventory and difficulty of cost control. In addition, many stores in 2011 expired, so from 2013, the seven wolves no longer took the expansion Road, but began to close inefficient shops.

At present, there are 464 stores and 3038 franchisees in the seven wolves, which have decreased by about 65 and 440 respectively.

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The cause of this result is that besides the wolf wolf's own problems, the downturn in the clothing industry's environment has also had a great impact on P.

In 2013, the net profit of many men's clothing companies including YOUNGOR and the wedding bird fell sharply.

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< p > according to the statistics of the China National Business Information Center, in 2013, the retail sales of 100 major major retail enterprises increased by only 5% over the same period last year, and the growth rate slowed sharply by 7.3 percentage points over the previous year.

Among them, the retail sales of men's clothing showed a negative growth, down 1.3% compared to the same period last year, and the growth rate was 12.4 percentage points lower than that of the same period last year.

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"P" and this year, seven wolves are still facing great pressure in clothing.

In the first two quarters of 2014, the company ordered a double digit decline. Relevant analysts predict that the main industry's revenue and earnings will continue to decline.

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< p > < strong > inventory pain spot < /strong > < /p >.

The malpractice caused by the expansion of "P" broke out in 2013. Like most garment manufacturers, the seven wolves also faced severe inventory problems.

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< p > because of the recycling agent part < a href= "http://www.91se91.com/" > inventory < /a >, in 2013, seven wolves inventory merchandise reached 7 million 461 thousand and 100, an increase of 15.24% compared to 2012, while inventory accounted for 0.61% of the total assets of the company, but the total value of the stock rose from 566 million yuan in 2012 to 657 million yuan.

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< p > inventory increased from the third quarter of 2012. In order to clean up inventory as soon as possible, the seven wolves also opened 7 factory stores while closing down inefficient stores.

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< p > last year, seven wolves set the price down to prepare, with a sum of up to 100 million yuan.

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< p > "one year last year, seven wolves were making great efforts to adjust. One was to adjust the mode, from the agency based mode to the direct one, and the other one was to close the store. Now the industry cost a store at least 1 million yuan per store. After adjustment and adjustment, the company's performance is expected to rise from bottom to bottom in the next half year."

Feng Dehu, vice president of China Apparel Association.

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Besides, P also revealed that in the last three years, seven wolves have been involved in finance, real estate and other industries. This has made seven wolves one of the reasons why their performance has declined.

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< p > on the one hand, in order to clean up inventory, on the other hand, in order to expand new sales channels, the seven wolves are trying to do business.

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< p > 2013, its electricity supplier's revenue was about 290 million yuan, mainly in the over season inventory, while supporting a small number of dedicated Internet products.

The seven wolves are not shy about this. They say that their network channels are still mainly sold over the quarter, and only a small number of networks are dedicated to products.

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< p > in addition, the seven wolves micro mall has also been opened, goods are still mainly to inventory, WeChat payment link has been achieved, and later will consider docking with offline stores.

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< p > "seven wolves have been very puzzled in the aspect of electric business. For a while, it is a clearance strategy, and then a network strategy. For the seven wolves, the Internet is not just a simple sale. I think O2O is the ultimate business direction."

Wan Zhen consulting CEO Lu Zhen Wang told the new financial reporter.

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< p > next, the seven wolves will face the docking problem of the new business mode and the original franchising channel structure.

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< p > < strong > Internet thinking needs to be strengthened < /strong > < /p >

< p > fortunately, despite the difficulties, a href= "http://www.91se91.com/" and "seven wolves" /a are still looking for online opportunities.

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< p > last year, seven wolves accounted for 10% of online sales, but this is only the beginning.

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< p > the latest move is that, according to a new supplier of financial services to the new financial reporter, the seven wolves are reorganizing the electricity supplier department, and hiring the director of electricity from 300 thousand to 500 thousand, and recruiting the Tmall direct shop manager with an annual salary of 200 thousand to 300 thousand yuan.

Online sales are expected to reach 250 million yuan in 2014.

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< p > in the first half of 2013, the Electronic Commerce Department of the seven wolves was upgraded to an independent company.

The company is composed of the commodity department, the channel department, the operation Department and the marketing department.

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< p > seven wolves electric business thought start time is not late, as early as 2008, it opened a brand flagship store on Taobao.

At that time, as the starting point of the rise of domestic electricity providers, the seven wolves in the electricity business one day the most revenue is only 1000 yuan.

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< p > except for the flagship store, many Taobao stores have sold seven wolves clothing, and this is still the case today.

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< p > in 2013, during the "double 11" period, the seven wolves used the strategy of creating "fashionable and light and colorful down garments", and the single day sales volume went to 120 million yuan.

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< p > "this is a good start, but the biggest difficulty for the next seven wolves is the dilemma between the left and right hands."

IT analyst Wang Penghui told the new financial reporter, "this is a test of whether the seven wolves really have Internet thinking."

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< p > for this reason, the seven wolves have not yet shown a fully mature business model, and there is a situation that the existing channel structure and operation background do not match, and many details are still being explored.

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< p > the convergence trend of "seven wolves electricity supplier channel will be more and more obvious."

This is the focus of the next step of Zhou Shaoxiong, the chairman of the seven wolves.

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