Baleno Is Sold By 250 Million? The Decline Of Traditional Leisure Brands Is Related To The Rise Of Fast Fashion?

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The people born before the 80s of the last century must be impressed by them. The famous casual wear brands, big stars do image endorsements, and stores can advance.

The busiest commercial street...

But in recent years, these once tide brand chain stores have quietly withdrawn from the front-line business circle, which is located near the supermarket, the top grade discount stores and the tail goods market.

More news came out recently.

Baleno was sold at a price of 250 million.

Zhao Hongshan, director of marketing department of Beijing Institute Of Fashion Technology, analyzed that the decline of traditional leisure brands is closely related to the rise of foreign fast fashion.

Event Shanghai Baleno sold by 250 million?

Last Friday, news came out, the German group recently announced the reorganization of assets, in order to optimize the resources, will sell its subsidiary subsidiary, the subsidiary company of Shanghai Baleno Kingdom Limited, at 250 million prices.

This news immediately caused all parties to sigh and think of the fashionable leisure brands like Zhou Runfa, Andy Lau and Faye Wong, who had won the love and follow of many young people. But now they are marginalized and low-grade, and finally they are thrown away by the family as a burden. What is the reason behind this? The Beijing Youth Daily reporter yesterday called Hongkong de Yongjia group, Shanghai Baleno company, Guangzhou friendship Baleno company, and the three parties were all secretive about this topic, only the staff of Guangzhou Baleno Development Department asked reporters to send an email to the interview.

As of press release, no reply was received.

According to the official website of Germany Yongjia group, the group was founded in 1975 and registered on the stock exchange of Hongkong as a listed company in 1992.

The main business is the production and sale of knitted yarn and knitted fabric. The Affiliated Companies of the group provides garment production and garment retail.

Baleno group is a subsidiary enterprise of Germany Yongjia, mainly responsible for clothing retail business.

The global recession has seriously affected De Yongjia, which has also brought Baleno down.

In its 2015 annual report, the group said: "the US market has only slightly improved and consumer demand is still weak in mainland China."

The annual data show that compared with 2014, the total turnover in 2015 dropped by 5.5%, and the retail sales of clothing decreased by 4.7%.

The annual report also shows that in the past few years, due to declining retail sales, he has closed many shops with poor performance and strictly controlled inventory level.

In 2015, Baleno had 2865 stores in mainland China, compared with 3482 in 4 years ago.

De Yongjia group said that in 2016, it should focus on high value-added orders to strive for reasonable profits and strictly control costs.

Insiders speculate that this may be the root cause of the Shanghai Baleno being sold.

Beijing Baleno is mostly scattered in the suburbs.

Public information shows that Baleno has 43 stores in Hongkong, 54 in Shanghai and 56 in Beijing.

So what is the current state of Baleno's existence in Beijing?

According to the three platforms of Baleno official website, Baidu map and public comment, the reporter locked 5 Baleno chain stores: Xinjiekou Xinhua Department store, Xidan Shopping Center branch, Xidan North Street 174 branch, Xidan horizontal two branch 66, Wangfujing Xia Gong Fu 7 branch, the result discovered that only one family opened normally.

Among them, Xinhua Department store and Xidan shopping center two shopping malls desk staff told reporters that Baleno store has been withdrawn, long ago left.

Then the reporter found the 174 branch of Xidan North Street in accordance with Baidu navigation, and found that it had been demolished into a construction site.

The 7 of Wangfujing Xia Gong Fu was labeled as Baleno's "new store" on the public comment. However, the reporter visited the site on the spot. This is the apartment of Xia Gong Fu. There is no shadow of Baleno shop at all.

The only real opening of the 5 Baleno is Xidan's two horizontal branches.

At the end of the evening, Xidan is full of two lights and is very lively. It is a dining Street on the east side of Xidan North Street. It is the main street of Chongqing hot and sour powder, Wuhan duck neck, Taiwan fried chicken steak, meat floss cake and so on.

The Baleno shop opened at the T-junction of the street. The pavement was not big. It was full of T-shirts and casual pants. There were not many people in the shop to choose clothes. A waitress kept shouting with a loudspeaker: "sales promotion, 120 yuan and three pieces!" the whole style gives people a sense of street shop.

Baleno was originally a Italy brand, founded in 1981.

In 1996, Hongkong German wing Jia Group acquired the "Baleno" trademark and created the "Guang Zhou Friendship Baleno Company Limited" to re brand packaging.

In 2000, Baleno began to enter the golden period of development and became a household famous brand.

But over the past decade, Baleno is no longer brilliant now. Beijing's first line of business can't see its shadow at all.

Beiqing Daily reporter saw on Baleno's official website that Baleno chain stores are mainly distributed in Fengtai, Yanqing, Tongzhou, Haidian, Daxing, Miyun, Pinggu, Huairou, Changping and other places. The stores have specific locations such as supermarket hypermarkets, top grade discount stores, tail goods markets, shopping centers, wholesale clothing markets, Oteri J and so on.

Analysis suffers international fast fashion and network original impact

Reporter survey found that, similar to the fate of Baleno, there are a number of traditional leisure brands, such as Giordano, JEANSWEST, scarecrow, ONLY, ESPRIT, VEROMODAD, and so on. They are also in the process of declining.

"The main reason is the huge impact of international fast fashion."

Zhao Hongshan, director of marketing department of Beijing Institute Of Fashion Technology, said.

According to her analysis, the international fast fashion brand and traditional leisure brand are very similar in category, style and price, but the advantage of fast fashion is that the design is strong, the product is diverse, the update is fast, the fashion is high, and cater to the needs of young and fashionable consumers, so it is very popular.

Compared with the marketing mode of fast fashion brand, Baleno and other traditional brand design production cycle is too long, a garment from design to production takes several months, quarterly, mass production, and UNIQLO, ZARA and other international fast fashion brands, new products update speed up to one or two weeks, a small number of production, more popular among consumers.

Therefore, Zhao Hongshan believes that the brand new technology and business mode of international fast fashion brands will be disruptive to the traditional casual wear market and even to the entire clothing market.

In addition to international fast fashion brands, another competitive object of traditional casual wear brands is the original brand.

As people's shopping methods are gradually moving from the physical store to the Internet, the clothing business operators are extremely active. Their operation mode is "a small number of products, to set the market for production", to maximize the advantages of the Internet, and to have the competitive advantage of "many styles, fast updates, high cost performance", and effectively solve the most difficult inventory problem in the clothing industry.

It can be seen that in the fierce market competition, the traditional brands who are at a disadvantage are not waiting to die. They are trying to update, change and break through. They are making brand extensions and making children's clothing market, such as Baleno and seven wolves. Metersbonwe tries O2O mode, but marketing experts believe that this conventional management tool and product expansion is very weak, and the effect is not good. "Because when we all know that this is the economic growth point, this idea will not be competitive."

News memory H&M from T to shelf only 20 days.

"Fast fashion" originated from Europe in the middle of last century. It is a quick feedback and imitation of fashion show design.

With the increasing popularity of fashion design and terminal sales, fast fashion has been pformed into fashion fashion enterprises' quick response to fashion design in the late 19th century to the beginning of this century, and made into products that are closely related to the latest fashion trend.

The trend of traditional clothing brands released from the T platform continues to produce products, which usually take several months to go to stores and counters, and even high-end brands need half a year.

But according to the concept of "fast fashion", enterprises can pform the concept of products into consumer goods in a very short time. The initial process takes about 50 days. Today, the fastest business can be achieved within 20 days.

At present, the most representative brands of fast fashion are mainly ZARA, H&M, GAP, UNIQLO and so on.