The Secret Of Fast Fashion Brand Management To Make Money

Here in the world Clothing shoes and hats What the editor of www. qq.com introduces is that fast fashion ≠ making fast money, and analyzes the secret of fast fashion brand management.

Some people say that Zara is more like a logistics company, while H&M and Uniqlo are design companies and technology companies respectively. From fast fashion foreign brands to compete in the Chinese market, we can see the "transformation" of traditional industries.

When fast fashion domestic brands such as Bennilou and Metersbonwe shrink their battle lines, foreign brands such as Zara, H&M and Uniqlo quickly seize the Chinese market. At present, the number of stores of the top ten international fast fashion brands in China has exceeded 1000. Will their spring still be bright today when the latecomers keep emerging? Why do foreign fast fashion brands rise rapidly? This issue of "Comparison" reveals the secrets of fast fashion brand management through the analysis of Sanyang brand.

Zara: Create affordable luxury at top speed

Zara, the most famous clothing brand under the Spanish Inditex Group, was established in 1975, ranking the third in the world and the first in Spain. It has 1757 stores in 72 countries and regions around the world.

?

It is not surprising that Zara has attracted wide attention in the industry. It has created affordable luxury with "first-class design, second class materials and third class prices". It is not only good at smart "innovation" of big brand design, but also has created its brand image and status due to its strict control of the industrial chain. The fast supply chain model is regarded as an industry model.

"We pay more attention to quality and accuracy than speed." Jess ú s Echevarr í a, Zara's global communications officer, once told the media that Zara presents the right goods to customers at the right time. We want customers to see Zara's enthusiasm for fashion through physical stores and online stores, and to be able to access these pieces. This is our idea. "In his eyes," accurate fashion brand "may better define Zara

According to Shi Zhangqiang, Secretary General of the Brand Committee of Shanghai Modern Service Industry Federation and founder of Shanghai Jinkun Cultural Development Group, Zara's rapid response capability is mainly reflected in its rapid information conversion capability and rapid supply chain production capability. This powerful industrial chain control mode makes Zara a leader among several brands.

"We have always said that Zara is an affordable and fast fashion. These five words are easy to say, but difficult to do," said Shi Zhangqiang.

He believes that most of the well-known brands in the market now carry out brand positioning and differentiated competition based on the differentiated design of products. New products are accompanied by a large number of advertising campaigns to create a fashion in the market, but this model requires enterprises to invest a lot of manpower and material resources in product research and development, design and dissemination. It is inevitable that consumers will not buy it, and the most direct reason for inventory is misprediction.

"Zara goes in the opposite direction, so as to understand and determine the needs of consumers at the first time, and try to meet the needs of consumers as quickly as possible." Shi Zhangqiang said that this practice puts forward high requirements for Zara's rapid response ability, which is just the basis for supporting this enterprise to continue to expand worldwide.

Zara's design team will appear in cinemas, bars, streets and various fashion conferences every day to capture and summarize current trend indicators from various fashion trend information sources, and draw top design concepts from them. In terms of the production capacity of the fast supply chain, Zara includes both the traditional outsourcing process and the internal integration of upstream and downstream integrated production process.

Shi Zhangqiang said that under the constraint of small batch production, Zara adopts vertical integrated production for the most sensitive styles to new trends. From design to production, Zara controls quality and speed. "Although the cost has increased, the price cannot play a decisive role in the pursuit of the latest and fastest fashion crowd."

Secondly, Zara outsources the trend sensitive part to the suppliers near the market to ensure speed, and more basic styles that are price sensitive rather than trend sensitive are outsourced to Asian suppliers. The combination of the two reflects "fast" and "fashion" vividly.

Finally, Zara's own factories are highly automated and specialized according to the type of clothing, and focus on capital intensive links in the production process, such as style design, tailoring, processing and inspection. On this basis, the construction of the high-speed supply chain puts forward high requirements for the connectivity and information processing capacity of each link.

In order to ensure the delivery speed, Zara has applied underground conveyor belt, laser barcode sorting, direct order distribution, high-speed logistics and other means of distribution. The whole process from design to procurement, production, and sales in clothing stores around the world only takes 15 days. The delivery speed is 24 hours to Europe, 48 hours to the United States, and 72 hours to stores in Shanghai and Japan.

"Indeed, Inditex has absolute control over the garment manufacturers that produce its subordinate clothing brands," said Xu Junsong, an industry researcher at the China Business Information Network Industry Research Institute. {page_break}

Although Zara model has been studied most by the outside world, it is not easy to copy and imitate it.

Zara has established strong advantages in terms of logistics foundation and information system, and has certain barriers to entry for outsiders. Tim Worstall, a researcher at Adam Smith Research Institute in London, UK, wrote that from an economic perspective, Wal Mart, Amazon and Inditex are essentially logistics companies, and their competition and absolute advantage come from this.

Xu Junsong said that Zara's absolute advantages in supplier management platform and logistics center make it difficult for imitators to be as fast, fashionable and cheap as Zara. In addition, Zara brand has high influence and loyalty, and other clothing brands are difficult to imitate.

　　 H&M: Outstanding design capability

In Zara Leading Fast Fashion, the author Enrique Badia first mentioned H&M when talking about Zara's main competitors. It is a group from Sweden and the largest clothing retailer in Europe. Inditex regards it as an international competitor.

Relatively speaking, H&M does not have a comprehensive supply chain like Zara, but this does not affect its reputation as a fast fashion brand. With strong design capability and years of brand loyalty, H&M is qualified to compete with Zara.

According to public data, in 2013, H&M added 71 stores in mainland China and Hong Kong. This year, the company plans to open more than 70 new stores, and has opened 11 new stores in the first four months, including 4 in Beijing, 1 in Guangzhou, and 6 in second and third tier cities.

Unlike Zara, H&M does not have its own factory, but has 22 procurement centers around the world, and more than 700 suppliers purchase goods. H&M places 60% of its production in Asia, and the rest of its production lines in Europe. Its internal information system, OFS (Offer Follow up System), tracks the production plan of the supply chain.

H&M has an incomparable team of designers in various fashion centers around the world. More than 160 designers, pattern makers, purchasers and other concept teams provide customized services for customer needs, and each year they launch dazzling thousands of styles in franchise stores around the world. In addition, it is the first fashion company to launch a global recycling plan for used clothes, and has officially launched recycling plans in 49 countries and regions around the world.

"As a company based on fashion and design, the designers of our headquarters constantly draw inspiration every day and quickly transform new ideas into clothes to bring you the latest fashion." Magnus, general manager of H&M Greater China and Southeast Asia, said in an interview with the media that H&M can effectively retain old customers and attract new customers, Because the shop window and the clothes on display are updated every day.

Different from Zara's innovation based on big brands, H&M has taken another approach to design - launch cooperation series with various big brands.

In 2014, H&M cooperated with Wang Daren, a Chinese American designer, to launch limited edition works to continue this design advantage. "In fact, we are the first enterprise to cooperate with famous designers, and we hope to constantly surprise our customers," Magnus said.

In Shi Zhangqiang's view, H&M can systematize and structure the design, quickly launch products with its own culture, style and brand characteristics, and ensure that the brand can quickly supplement design elements and popular trends.

"In terms of model, H&M is more inclined to give consideration to both delivery time and product cost. Although its speed is not as fast as ZARA, it has a place in this industry relying on cost leadership," said Xu Junsong.

Speaking of H&M, I have to mention Forever21. Due to their similar styles, they are similar in product positioning, price positioning and many other aspects. Forerver21 also regards H&M as the largest competitor.

"But in fact, there are also great differences between the two. Forever21 claims that the production of products is mainly in southern California, but in fact, most of the goods are produced cheaply in the labor force of the third world countries to obtain greater profits." Xu Junsong said.

Shi Zhangqiang said that Zara and H&M are both manufacturers' brands, while Forever21 is more a retail brand or channel brand. Like a clothing store, it is supplied by a third party. Forever21 carries out large circulation and turnover to win by volume.

"Because Forever21 has a short distribution cycle and a fast update, it is relatively slow in terms of quantity and update speed, even catching up with Zara. H&M's update cycle." Xu Junsong said that Forever21 itself has 10 years of online channel experience, which is easier to break through than online operations, and attaches more importance to e-commerce, while H&M does not attach importance to e-commerce in China, and online business is relatively small, Its advantage lies in the store layout.

Uniqlo: excellent innovation gene

Compared with the previous brands that all advertise fashion elements, Uniqlo, a Japanese clothing brand, has created another style.

This is a Japanese clothing brand with excellent innovation gene. Its full name is UNIQUE CLOTHING WAREHOUSE, which means that by abandoning the warehouse stores with unnecessary decoration and decoration, it adopts the supermarket style self-service shopping method to reasonably