China'S Footwear Industry Is Facing A New Trend In Business.

Statistics show that in the first quarter of the first half of 2015, the performance of many domestic women's shoes brands such as Daphne and Saturday were not satisfactory.

Under the double impact of electricity supplier and mobile Internet, China made

Gradually down the line, resulting in a large area closed shop.

Domestic shoe industry faces shop closing trend

domestic

Brand giants such as BELLE, Saturday, Daphne and so on continue to close shop.

According to the retail business data from March to May, the number of retail outlets in the mainland decreased by 167 in March.

Business sales fell 7.8% year-on-year.

Previously, the scale of stores has always been the advantage of BELLE international.

Data show that in the most crazy days of 2011, BELLE international opened 2~3 stores every day.

Not only in the mainland, but also in the Hongkong market.

BeLLE, BELLE's brand name, withdrew from the Hongkong market in August 2015.

The official explanation is that the mainland market is linked to sales because of the variable cost of rental charges. Therefore, the profitability of the mainland market is less impaired. On the contrary, the rental market in Hongkong is fixed at a fixed cost and has always been stable, thus affecting profitability.

The semi annual report on Saturday showed that in the first half of 2015, the company's operating income was 845 million yuan, down 3.81% compared to the same period last year. Net profit was 27 million 24 thousand yuan, down 18.91% compared with the same period last year.

This is the first time since the first quarter of 2015, there was a double drop in net profit on Saturday.

Reporters visited shopping malls found that the sales volume of women's shoes decreased significantly compared with the previous years, especially in department stores.

For the closure of stores, Saturday said that the adjustment of shops in 2015 has come to an end and there will be no further adjustment to stores in 2015.

On Saturday, He Jianfeng, deputy director of the media, said that in the next Saturday, the Department will gradually drop from 80% to 40%, and shopping centers and online businesses will each account for 30%.

He Jianfeng pointed out that shopping centers are much more receptivity to online shoppers than department stores.

Because the rents of shopping centers are fixed, sales can be divided into sections by line or offline, and the revenue of department stores is divided into offline sales.

Optimistic about electricity providers to strive for new ways

Faced with such a weak format, the domestic shoe industry strives to pform and seek new growth points.

Despite repeated weakness, sales of BELLE's sports apparel business performed well, with a 12.4% increase in the first quarter of 2015.

It is understood that BELLE is the agent of several sports brands, including Nike, Adidas and CONVERSE.

The company's 2014 fiscal year report said that in the first 14 months of February 2014, the company's profits amounted to 5 billion 160 million yuan and the revenue was 43 billion yuan.

Among them, Nike and Adidas account for about 87% of the turnover of the company's sports apparel business.

The overall sports apparel business accounts for about 42% of the total revenue.

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It is understood that in order to save its performance, BELLE has long planned its cross-border pformation.

E-commerce is also highly regarded by shoe makers in the same industry. BELLE's e-commerce website has been awarded $200 million by the group, and it has achieved a substantial deficit reduction in 2014, which is close to breakeven for the first time.

BELLE said that although BELLE's current electricity business sales accounted for a small proportion, less than 3%~4%, the overall sales of limited help, but it has gradually seen the direction of integration online and offline, will invest more resources in this regard.

In addition, Daphne has reached a deep strategic cooperation with Tmall, and plans to extend its advantage in All-Star marketing to the electronic business platform.

In addition, the company has further developed its O2O strategy in order to better sell products and promote brands.