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    Bosideng Will Launch A Brand Pformation Strategy That Is More In Line With Market Needs.

    2016/6/30 14:35:00 24

    BosidengBusinessBrand

     Bosideng

    In the evening of June 29th,

    Bosideng

    The annual performance bulletin for the year ended March 31, 2016 was released.

    During the reporting period, Bosideng achieved a revenue of about 5 billion 787 million yuan, down 8% from the same period last year.

    However, due to great efforts to control overall expenditure, actively clean up inventory and optimize the retail network, the total inventory and finished goods inventories of the company decreased by double digits, 14.7% and 17.9% respectively.

    Bosideng said, because the company last year

    business

    Clearing inventory, optimizing retail network, closing down poorly managed and inefficient shops, upgrading self operated and high quality retail channels, reducing average retail inventories and trade receivable turnover days to 204 days and 67 days respectively, greatly raised the reflux rate and inflow of cash flow.

    In Bosideng's view, in line with the brand pformation strategy, we should continue to close the sales outlets that are not competitive enough to optimize and upgrade the high quality and efficient sales network.

    Although the number of traditional sales channels has decreased, the group has adopted innovative sales and promotion methods in conjunction with consumption patterns.

    The reporter noted that the effectiveness of Bosideng's strategy was also reflected in other important financial indicators of the year.

    Data show that in the 2015 fiscal year, Bosideng business profit increased 69.8% to 338 million yuan, and net profit of the company achieved 281 million yuan, up 112.5% over the same period last year.

    Cash flow from operating activities increased from 390 million yuan in the same period last year to 710 million yuan in the current year.

    Talking about the future

    brand

    The direction of development, Mr. Mai Yun, executive director and chief financial officer of Bosideng, told the first financial reporter that the future is the new stage of the brand reconstruction of Bosideng. The enterprise will continue to study the consumption characteristics of the consumer market in order to enhance product differentiation and conform to the market consumption trend. Through in-depth analysis of the retail data, we will more accurately arrange the production of all kinds of products, including trial marketing of some main products and styles in the physical store before making the production plan, so as to test and understand the market reaction and formulate corresponding production and sales programs.

    In order to avoid the brand overlap, Bosideng will launch a brand pformation strategy that is more in line with market needs, and relocate and deploy the brand, making its brand portfolio more in line with the market trend.

    Reporters learned that the old down garment company will make a major adjustment to its brands in the future.

    The original Bosideng brand will continue to be positioned in the high-end fashion design, and the icy business focus will gradually shift to online sales.

    Considering the increasing demand of the market for the down garment design, the group decided to let the design style bias the traditional KangBo brand to withdraw from the down garment market, so that the group can concentrate its resources on other brands.

    In addition, taking into account the increasing number of consumers involved in outdoor activities in recent years, the focus has always been on the brand of snow sports, which will become an all-around outdoor clothing brand.

    Therefore, the group will gradually add more outdoor clothing products on the basis of the original snow flying feather clothing, so as to enrich the product mix of snow flying brand and provide consumers with more high-performance and cost-effective products choices.

    As for the diversified development of Bosideng, the company also revealed that it will actively utilize existing resources and operational experience of strategic investors, and explore more potential new clothing businesses and brands, so as to further enhance the strength of Bosideng in various garment sectors and to develop into the goal of multi brand integrated apparel operators.

    At present, China's garment industry is facing overcapacity and declining brand competitiveness. In addition, more and more overseas brands accelerate the pace of business expansion in the Chinese market, which makes the domestic garment industry still facing a serious situation.

    However, with the gradual success of inventory clearance, Bosideng said it is confident that important indicators related to the operation will also return to a more healthy level.

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