La Natsu Bell: The Management Of The Huge Direct Store Is Out Of The Question.

The success of an enterprise is inseparable from management. The success of an enterprise is based on the management of an enterprise.

And how did La Natsu Bell manage such a large direct store?

Online, offline, different products, different prices, different team operation of the "differentiation strategy", many clothing brands have made great efforts to O2O, but the "left and right hand to beat" marketing strategy in the long run is nothing more than self mutilation, it is more difficult to create a good consumer experience.

"In the O2O mode, online shop can be regarded as" air force ", and offline stores can be regarded as" Navy ".

In the past few years, the air force had been developing rapidly, and the Navy had been shrinking.

But consumers will eventually return to reality from the virtual space. The future must be a world of "air force" and "Navy" in collaboration, namely, online to offline, virtual to reality.

La Natsu Bell, former executive director and senior executive vice president Hu Gang, explained to reporters if the whole channel integration strategy was explained.

During his tenure at La Natsu Bell, Hu Gang ventured to make use of it.

Provide seamless shopping experience for consumers.

Under its trading platform, La Natsu Bell opened Tmall flagship store in August 2014. In the same year, the turnover of online platforms on the "double 11" and "double 12" days were more than 25 million yuan and 12 million yuan respectively, and the "double 12" ranks second only to UNIQLO and Bosideng in the traditional brand online sales ranking.

Today, La Natsu Bell's full channel mode has further boosted the group's performance.

According to La Natsu Bell's 2015 earnings report, group revenue and operating profit in 2015 were 9 billion 96 million yuan and 828 million yuan respectively, representing an increase of 16.4% and 12.9% respectively compared with 2014.

Net profit in 2015 was 615 million yuan, an increase of 22.2% over 2014.

Among them, online platform sales grew most rapidly, and sales increased rapidly from 37 million 610 thousand yuan in 2014 to 589 million yuan in 2015.

La Natsu Bell's announcement also indicates that the expansion of the group's retail network and the growth of online platform revenue are the main reasons for the revenue boost.

Constrained by the weak consumer market in 2015, China's Garment Retailing industry must face the pressure of channel expansion and high inventory and so on, and face the international fast fashion big and close.

In the difficult industry, how did La Natsu Bell break out of the "Chinese version of ZARA"? How can it overcome the bottleneck of management mechanism, which is rooted in the whole direct camp mode and the characteristic "shop partner system"?

"Full direct battalion" becomes a powerful weapon for O2O.

In the fashion industry, "full join" or "a few direct majority franchisee" mode, the separation of brands and agents, between agents and distributors or consumers caused by the disunity between online and offline has become the main problem that clothing brands can not really achieve O2O.

But the old straight battalion mode, which has not been favored, is now a powerful tool to get rid of online and offline double line operation and promote online and offline integration.

At the beginning of the founding, La Natsu Bell had been running the whole direct camp mode, and the operating profit rate was higher than the average level of 2%-6% in the clothing and textile industry.

Especially in recent years, under the background of "close shop boom", La Natsu Bell has been expanding against the trend. Up to December 31, 2015, its direct retail terminal has reached 7893.

And plans for the next three years, the number of outlets nationwide exceeded 1, covering 31 provinces, autonomous regions and municipalities directly under the central government, and went deep into the county market.

In this regard, Hu Gang believes that the La Natsu Bell direct camp mode to test the water business, O2O has inherent advantages: first, in the store can achieve the national layout, online and offline synchronization of new, synchronous activities, the same price.

Two, the total warehouse and store storage can be shared. The store is equivalent to the warehouse of the online store, achieving a complete synergy effect.

This will link the stock resources of the original isolated and fragmented Island store system into one.

Three, on the management of goods, La Natsu Bell emphasized fast turnover, rapid new and quick digestion, and new weekly, 30-50 new models each, 4-6 pieces each, directly sent to the store.

Such a large scale of direct battalion, to achieve synchronization under the line, the resistance is not great?

"Resistance comes from the difficulty of coordination among all parties and the traditional thinking needs to gradually adapt to the Internet, including online and offline, headquarters departments and regions."

Hu Gang explained that when the mode was first promoted, the incentive mechanism was not in place, and there were individual regions unwilling to cooperate, especially for the stores under the salable goods line.

Later, the O2O coordination group was set up. This is a virtual organization composed of the sales department, the marketing department, the electricity supplier department, the commodity department, the logistics department, the brand department and other departments. Hu Gang is the group leader who is responsible for coordinating resources and interests. After coordination, the departments will perform their duties.

"The" double 11 "line of discounts will cause the impact of the line under the line, the line is not positive and normal.

Later, the coordination group decided that no matter "double 11" and "double 12", the online and offline activities should be promoted together with the strength. The most important thing is not to let consumers feel the difference between different channels.

Hu Gang called it "the shoppers who go shopping for Tmall", and then they could send orders to stores for distribution. In fact, not only orders were given, but more consumers were re found.

This is the main function of O2O.

How to calculate online performance? Actually, it is a common assessment of common goals. This is a common problem in modern management. The key is to coordinate resources and internal mechanisms.

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"Six get through" urges all channels to upgrade operation

In addition to stationing in Tmall, La Natsu Bell then opened the shopping area on the WeChat public address, and joined the business platform such as Dangdang, vip.com, Jingdong and so on, laying the mainstream online shopping portal.

Under the line, we choose a collection of franchised experience stores with large business area and a collection of multiple sub brands.

Hu Gang said that after the implementation of the whole channel, the status of the entity store under the line is relatively weakened, which can be seen as a pformation.

The original stores are independent combat units, and now they must be integrated with the online.

Online shops mainly play the role of brand display. Under the line, there are 4-7 brand counters on the average, and each sub brand has its own storefront inventory, so it is more suitable for a full channel delivery shop.

At that time, La Natsu Bell had 400 franchised stores joining the whole channel project, covering 26 provinces and 118 cities, which basically met the demand for online order delivery at this stage.

But Hu Gang believes that only if the eligible stores are brought into full play, can we realize the full channel operation.

In its all channel blueprint, online and offline consumers will no longer be clear-cut, more like "amphibians", which requires brands to get through all shopping scenarios and constantly optimize shopping experience.

In order to truly integrate and innovate online and offline, the premise is to achieve six aspects of commodities, inventory, marketing, traffic, payment and membership.

Hu Gang said he understood "the essence of the whole channel" to achieve the eight character policy -- "customer satisfaction and operational upgrading".

First, commodities are open.

If consumers want to buy anything in any channel, they must make all the products of the company a stock.

At present, he can connect all the ERP systems linked to stores and big storehouses with the order management system, and then connect the order management system with the electronic business platform system.

Two, inventory is open.

"Stores can't sell large warehouses.

You can't sell other stores.

Each store is like an island.

Customers enter a shop and can only buy the goods, but for stores, they can only be sold to customers who enter the store.

To put an end to the above drawbacks, Hu Gang said that goods inventory information must be opened horizontally from stores and stores, stores and big storehouses.

The three is marketing.

After the integration of online and offline, it is necessary to let consumers get the service and experience without distinction, and also to achieve consistency in marketing.

At present, La Natsu Bell has basically realized the synchronization and cooperation between online and offline activities.

The four is traffic flow.

The whole channel is the exchange of traffic between online and offline stores.

Mutual drainage, so that the original dispersed traffic is no longer wasted, not only improve the conversion rate, but also reduce the marketing costs.

The five is to pay through.

In September 2015, La Natsu Bell and Alipay launched entity store payment cooperation, covering more than 700 stores under the line, achieving an overall opening rate of more than 90%, and sales increased by 8% over the same period in 2014.

Six, members get through.

After the opening of the new retail system, the online and offline members will completely get through the function, which is a unified La Natsu Bell member.

Members will have a virtual membership card, and all the privileges and rights they enjoy will be recorded in the card.

The coupons that members receive online can be used offline, and online discount can also be enjoyed online.

The key to "shop partnership" lies in "rule by man".

Thousands of stores across the country, how to achieve effective unified management? I am afraid no less than the test brought online and offline.

In the operation of stores, La Natsu Bell introduced the "shop partner system".

The pilot system at the end of 2014 has achieved results so far.

La Natsu Bell's latest financial report shows that at present, it has successfully launched a store partnership system in all 31 provinces, municipalities directly under the central government and autonomous regions, accounting for about 76% of the existing retail outlets.

In the future, salary and motivation will be increased in various functional departments.

The cumulative sales volume of La Natsu Bell's pilot retail stores also increased by about 5% in June 2015 compared with non partner stores.

Hu Gang believes that the partnership system is very hot in the current domestic entrepreneurship system.

For garment enterprises, the larger the discount, the higher the proportion of the cost of the enterprise, the smaller the profit space.

La Natsu Bell's shop partnership system helps to help store managers and salesmen turn from "sales" indicators to "cost" and "profit" indicators.

Reflected in the assessment system, that is, store managers and shopkeepers sharing shop management results, is a positive incentive mechanism.

But Hu did not agree that the shop partner system was a kind of disguised open alliance.

"The purpose of shop partnership is to enable employees to realize that they are the operators of the stores, enhance their sense of belonging and enhance their initiative, creativity and responsibility."

He said.

The implementation of such a system, Hu Gang said, before the shop manager on a shop marketing, cost, employment issues and so on, usually do not care enough, and the new system design is to within a feasible scope to store partners with greater responsibility and right space, enhance the management ability and business vitality of shops, to achieve maximum performance.

In fact, active marketing and maximizing performance are also what La Natsu Bell, who has been pursuing cost control and profit, relies heavily on.

However, for the partner system, the problem of "human" management can not be ignored.

Hu Gang gave some countermeasures from the aspects of distribution mechanism, talent management and system structure.

One is to prevent the distribution of the original interests, so that the income of the shop assistants will be linked to the performance, that is, the allocation of personal and organizational profits from the incremental profits, and encourage the competent people to get more work and more money.

At the same time, we should avoid the enthusiasm of employees for public affairs due to encouraging individual performance.

Two, from the perspective of independent accounting, the training of salespersons' sense of business and awareness of income increase can be developed from "traders" to "traders". During this period, relevant training can be introduced.

The three is to raise risk awareness. In order to prevent the manager from damaging his own business, he can set up posts in different stores and set down the minimum number of staff.

Even if the sales revenue of the store is stable, if the management is not good, it will lead to a decline in performance. In the short term, every salesperson's income is raised, but with the decrease of staffing and the decline of service level, the loss of the old customers will be very serious, and the final interests will be damaged.

The four is to improve the management level of the store manager, so as to learn the system of "switch from headquarters to shop leading", that is, "star shopkeeper" system.

For a "star shopkeeper", the provisions of UNIQLO are: thinking about the sales plan fully, making efforts to improve customer satisfaction, creating a shopping mall without loopholes, rewarding and punishments, and responsible for the growth and future of subordinates.

The five is to expand the scope of authorization and mobilize the enthusiasm of the store manager.

For the "star shopkeeper", the headquarters of UNIQLO will decentralize the important powers such as inventory adjustment, shop display and branch rights, and directly link the business profit objectives of the branch with the bonus, and will also strictly screen from these super store managers.

Will become the core manager of UNIQLO or become the future leader of headquarters.