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    Can "Hybrid" Charm Lead The Luxury Electric Business?

    2015/9/17 13:16:00 103

    Luxury GoodsE-CommerceBrandO2OAlibaba

    With the decline in global performance, more and more luxury brands began to "lay down their bodies" to explore new sales channels. Compared to the sluggish offline retail channels, the continued growth of the e-commerce platform has begun to attract some luxury brands. Even Chanel Chanel, which has always resisted luxury electric business, is planning to launch a global electricity supplier network in 2016.

    Huge luxuries in China consumer market It has also spawned a group of luxury electric providers, which mainly focus on different categories and different prices. From 2009 to 2011, China's luxury electric business ushered in the outbreak period. Jiapin net, Shang pin net, Xiu Xiu net, temple library network and so on all obtained capital intervention.

    However, due to the unstable supply chain and inadequate service, from the end of 2011, China's luxury electric business suddenly became cold or shut down or transformed, giving the outside world doubts about the future of the entire industry.

    After several years of struggle, since May this year, only a few surviving luxury electric providers in China have regained their capital: C completed a $30 million round of financing for the C, and the first round of external financing for the $60 million prize.

    Brand direct authorized supply chain has prominent advantages.

    Eliminate intermediate links and sell the best prices.

    In fact, unlike other luxury electric providers in China, glamour is not a pure local business enterprise, but more like a "hybrid". Glamour was founded by three fashionable French Thibault Villet (Wei Yibo), Olivier Chouvet and Alain Soulas. In 2009, the website was launched in Tokyo. In April 2010, glamour China was formally launched and its headquarters moved to Shanghai. With half of the luxury brands, France's genes are rooted in luxury consumer countries, China has attracted the attention of Alibaba.

    Glamour Hui, incumbent CEO Wei Yibo, has 20 years experience in luxury industry. He came to China in 1999 and served as vice president of L'OREAL China in 5 years. He was mainly responsible for the business of luxury goods department. During that time, he promoted Lancome to develop e-commerce business in China, and became president of Coach Greater China from 2007 to 2009. This identity background makes it easier for glamour to coordinate and communicate with the international luxury group, and the advantages of the supply chain are self-evident.

    At present, all products of glamour benefit are directly authorized and supplied by the brand dealers. What is worth mentioning is that it is the only partner of some brands in the domestic electricity supplier, such as the 280 brands of Paris's old Buddha, Armani, Zegna, Michael, Guerlain and so on.

    Shi Xiyu, President of glamour group, told the China Commercial Daily reporter. brand Direct licensing has several advantages: first, it is the direct supply of the brand that can guarantee that the merchandise is one hundred percent genuine. The second is to ensure the good quality of goods. If there is no brand authorization, the supply of goods through other channels can not guarantee the quality of goods and after-sales service. Third, we can keep the source of goods stable and diversified. In official cooperation, brand dealers will adopt a long-term direct supply mode. If the supplier himself purchases overseas through parallel imports, the source of supply may be very unstable. Fourth, because it is directly cooperating with the brand, it eliminates all the intermediate links, so it can get the lowest discount and give it to consumers at the most favorable price. Fifth, no inventory pressure. The brand puts the goods in the warehouse of charming charm, the charm is responsible for the sale, and after the sale is settled, the goods that are not sold are returned to the brand. Because there is no stock, charm can ensure that cash reaches the highest efficiency.

    "Many domestic luxury electric providers have died in inventory because they have to buy goods first. Overseas, whether through agents or buyers of their own buyers, they have to invest a lot of money, but the goods they buy are not necessarily sold. This has become a stock. This mode consumes a lot of money. " Shi Xiyu told the China Commercial Daily reporter that even if there is no brand that has yet to enter China, the glamour benefits insist that these brands are authorized by the general agent authorized by China.

    "All the goods we sell are brand official authorization cooperation, which is believed to be the core competitiveness of our field. Therefore, we have a very strong advantage in the supply side. Intensive farming has maintained a growth rate of more than 3 digits for several years, and has not encountered the so-called "cold winter" in the luxury goods industry.

    {page_break}

    Upgrade service experience and extend "luxury" gene

    And Ali joint efforts to brand more online and offline interaction

    The supply of goods is a life and death "lifeline" for luxury electric business, but for luxury goods industry, supply is only the first step. Besides the high pursuit of commodity quality, luxury consumers often do not relax their requirements for services. Shi Xiyu told reporters that Chinese consumers are very concerned about the shopping experience. The service attitude of the businessmen, the timeliness of dealing with problems, even the packaging and sticker of boxes, and so on, all show the attitude of making luxury goods, and consumers want the ultimate experience.

    Shi Xiyu revealed that in addition to serving, Luxury goods The standards require themselves, in order to continue the "luxury" gene, the core employees of glamour now come from luxury goods and fashion companies. They have good cognition and taste for fashion. The first thing that attractive buyers do is to maintain good communication with the brand. Secondly, buyers will pick out some of the commodities that consumers think they like most from the supply of brand suppliers. They should combine and match according to the latest fashion trends, so that they can pick out fashionable luxury goods and share them with consumers instead of throwing all SKU to consumers. That is of no value. Luxury electric providers themselves must establish the authority of the fashion industry.

    "Ali started Taobao from the beginning and then developed Tmall, from a rich C2C platform to a more quality B2C platform, which is catering to the upgrading of consumer demand. In the growing process of consumers, Ali found that in terms of luxury and fashion, glamour benefits can be complementary to Alibaba, which is the reason why we join forces with ALI. Shi Xiyu said.

    In July this year, Alibaba gained more than $100 million in strategic investment. Not long ago, Wei Yibo, the founder of glamour, said at the 2015 new Internet commerce summit that in the first 6 months of this year, the brand of glamour has reached 2600, spanning 14 different product categories. Among them, clothing is the largest category, accounting for 30%, 445 brands; second cosmetics, 19%; footwear 19%; home furnishings and home accessories are on the rise, accounting for 11%. At present, the price of glamour is 900 yuan, and its annual growth rate is 15%.

    When it comes to the strategic layout of the future, Shi Xiyu told reporters that glamour will use Ali's investment in two aspects, the first is to upgrade the customer experience, so that consumers can enjoy a more luxurious shopping experience when shopping for glamour shopping; the second is to quickly develop business, and Ali together to achieve faster growth than before. For now Online retailers The O2O business, which is striving for the first layout, said the charm benefits from the interactive activities under the line. But in the long run, glamour will have 020 more cooperation modes with the brand directly, giving value to users continuously, and bringing the target users to the brand.

    As more and more luxury brands begin to "lay down their feet", the charm of the cooperation with some luxury brands has already come to the official entrance of more first-line brands. At the same time, in order to lock in more users, glamour will continue to develop more diversified businesses.

    "We are advocating high-end lifestyle, taking the route of luxury and light extravagance, and creating the global charm, first of all, the leader of online luxury and experience in China." Shi Xiyu said.

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