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    Traditional Women'S Shoes Industry Is Not Ideal Pformation Development Into The Final Way Out

    2015/10/16 9:20:00 51

    Women'S Shoes IndustryPformationBrandRetailersE-CommerceDevelopment StrategyFootwear MarketFootwear Industry

    Meanwhile, according to the first quarter financial results released by BELLE group in the first fiscal year of 2015/2016, the sales of footwear business in the same store decreased by 7.8%, and the number of stores decreased by 167.

    And its brand Belle also announced a complete withdrawal from the Hongkong market.

    In this regard, 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 been stabilizing, thus affecting profitability.

    However, this decline in performance is not a case in point.

      

    Traditional women's shoes

    Performance continued downturn

    Similarly, the Hongkong listed shoe business Daphne announced its interim results in the first half of the year, showing that the turnover in the first half of the year was HK $4 billion 374 million, a decrease of 13.9% compared with the same period last year, with net profit of HK $2 million 500 thousand, compared with 172 million Hong Kong dollars in the same period last year, a significant decrease of 98.5% over the same period last year.

    What is particularly noteworthy is that the turnover of Daphne core brand Daphne and shoe cabinet declined 13.9% to 4 billion 34 million yuan in the first half of the year, and at the same time, 181 stores were closed in the first half of the year.

    According to Daphne, the decline in group performance was mainly due to the slowdown in macroeconomic growth and weak consumer spending intention. The rapid growth of e-commerce channels made it more competitive with retailers.

    Group management believes that the delay in spring and summer brings additional challenges, and the early sale of some parts of the popular women's shoes market has led to fierce competition in the market.

    {page_break}

    As a matter of fact, the traditional shoe retailers are faced with the pformation of pformation. Almost no traditional enterprise survived this storm.

    Reporters visited the women's shoes counters of the major traditional department stores, and found that the traditional women's shoes counters had a lot of bleak business compared with previous years.

    In the interview, reporters learned that in the face of traditional department stores' brand sales, consumers prefer to concentrate on brands, and buy through filtered buyer shops or new department stores.

    Analysts pointed out that with the prosperity of e-commerce business, designer brand and foreign brands entering the market, consumers have more choices and diverted customers.

    By increasing the number of retail outlets, the number of crowded stores, and the high frequency of marketing tools that appear before consumers, it seems to be less effective in the face of the new market background.

    The pformation of the new growth point has become an inevitable choice.

    BELLE chief executive Sheng Bai Chai said publicly at the shareholders' meeting that, although the current sales of e-commerce business accounted for a small proportion, the proportion was 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.

    Recently, there was news that Daphne and Tmall also reached a depth of strategic cooperation, plans to extend its advantages in the All-Star marketing to the electronic business platform, this initiative also shows the layout of the electricity supplier development strategy.

    According to the analysis of the relevant personages, for the brand, the electricity supplier is a competitor, and it can also help the brand to spread and sell the channel. For women shoe brand business, developing online business is a good thing. However, at present, the brand regards the electric business as a channel to clean up the stock, and has not achieved the expected effect of brand promotion in the interaction with the line.

    Therefore, how to face the problems at the present stage and effectively solve the problem of better pformation and development is the biggest test that every traditional women's shoes enterprise is facing at this stage.

    "All kinds of traditional brands are facing downward pressure on weaker market demand. The main reason is the lack of product innovation, the higher degree of homogenization, the lower attractiveness of consumers, and the fact that most brands still have difficulty in managing internet channels.

    The external reasons are mainly: first, after years of extensive development, the footwear market tends to be saturated; secondly, the economic prosperity is not high and consumer demand is decreasing.

    Zhu Qinghua, a light industry researcher from China investment advisor, said in an interview with the China national economic news reporter.

    At the same time, insiders also pointed out that the footwear industry is now facing the whole.

    Retail channel

    The problem of change can no longer be blindly expanded on a large scale.

    After the explosion of the shop, the market has become saturated. With the rising cost of rent and advertising and the impact of electric business, the shoe industry has gone through the golden period of development, closing or will become the norm.

    If we do not consider pformation, we will still face great pressure in the next few years.

    {page_break}

    Transformation and development are inevitable.

    Facing the market saturation and the continuous impact of the electricity supplier, the demand of the traditional women's shoes brand for sales growth should be changed.

    According to Zhu Qinghua analysis, in the new situation, the pformation of traditional women's shoes needs to be reflected. On the one hand, it is necessary to carry out the design pformation, enhance product innovation, and get consumers' favor through product differentiation. The traditional women's shoes brand can make full use of big data tools to analyze consumer preferences; on the other hand, carry out pricing pformation and take the middle and low end route; under the background of economic slowdown, consumers' purchase level will be reduced, and they will be more inclined to buy products with higher cost performance.

    In addition to its main business, BELLE also manages sports and apparel, especially the sports category, which relieves the pressure on footwear business to some extent. Quarterly report data also show that sales of sports and clothing business increased by 12.4%.

    It is reported that Sheng Bai pepper at the shareholders' meeting said that the movement and clothing business has experienced a downturn in the past few years, the market has completed the inventory, performance is better, the profit margin trend is benign, expect in the current shoe industry weak environment, can help with sports and clothing business.

    In fact, in the context of the market becoming saturated and the continuous impact of the electricity supplier, the growth of the traditional brand of women's shoes depends on the growth of the number of shops joining the store, turning to the demand for store and product retailing capabilities, while the growth of store efficiency is restricted by the product acquisition and the full channel O2O marketing capability.

    Zhu Qinghua pointed out that in order to make better pformation, women's shoes brands should choose the best according to their own situations.

    Transformation

    Ways.

    Similar to BELLE's positioning of high-end brand shoes can be appropriately launched some low-end products, in order to better adapt to market demand; for Daphne similar positioning of low-end shoes brand, can make the product style richer, enhance design innovation.

    It is not difficult to see that the major traditional women's shoes brands are actively pforming, looking for new breakthrough in sales growth. In the upcoming double eleven business carnival, the effect of the pformation of traditional women's shoes industry will be a test.


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