Faye Wong, Who Had Asked Andy Lau And Faye Wong To Endorse, Was Hit By 250 Million Cheap Sale.

"Brand,

"!"

This is a famous line by Huang Bo, a clown in comedy movie "Crazy Stone" in 2006.

Accompanied by the laughter of people in the cinema, "Baleno"

Reputation has also spread throughout China.

But just a few days ago, Shanghai Baleno.

The limited company was sold by the listed parent company De Yongjia Group Limited (00321, HK) at a price of 250 million yuan.

De wing Jia said that the company is restructuring, the sale of Baleno can optimize resources, and the other side is Baleno's potential distributor - Shanghai Hui Ye Industrial Co., Ltd.

This sudden heavy news made Baleno, once a fashionable youth fashion brand, suddenly be in the draught of public opinion.

In the context of the fast fashion brand channel sinking, online shopping and the main market share of low-end clothing, Baleno was sold out. Did it really come to an end? So what caused the decline of Benny?

Once brilliant: the heavenly king endorsed, the 4400 stores, de Yongjia, repackaged Baleno, founded the Baleno Kingdom Ltd and BALENO (Baleno) casual wear brand, thus creating the first place of domestic casual clothing.

The sale of Baleno was sold at a low price.

Baleno, born in 1981 in Hongkong, has a history of 35 years, formerly known as Italy brand. After entering the mainland market, it was once one of the most popular trends in 1990s.

In 1980s, Baleno was first sought after in the Hongkong market.

In 1996, de Yongjia bought Baleno wholly. After entering the mainland market in 2003, Baleno took advantage of the marketing route of the young line to seize the market opportunity. At the peak stage, Baleno reached 4044 stores in the mainland (as of March 2012), and invited Andy Lau and Faye Wong to endorse it.

Andy Lau and Faye Wong, who served as spokesmen for Baleno

In the prevailing market environment, Baleno's scenery was not without reason.

It can be said that the precise positioning and channel advantages led Baleno to succeed.

The first is to establish a joint venture with the local state-owned commercial enterprises. The two is to develop franchised chain stores by means of franchising.

At that time, Baleno's goal was clear.

It targeted the target consumer group in the age of 18-40, the main line of the young line, male, female, neutral casual wear, endorsement star from Andy Lau, to Faye Wong, and F4, are the most popular Chinese "Heavenly King" stars, shaping the image of its first-line brand.

At the time when the domestic brand competition was not yet complete, Baleno was standing on the front line of the big cities, and won the support of a generation of young people for its more fashionable design.

In terms of channel, Chen Mianceng, director of retail business of Tokunaga Ka group, said, "we have mainly adopted two ways in the development of the mainland."

Baleno's several sub brands.

Chen Mian said that the partner of Baleno, in Guangzhou, has friendship, in Chongqing and Dasheng, in Beijing and Xingyu, in Shanghai, is the sea language.

In these companies, Baleno is the controlling party, but generally only about half of the shares.

The combination of two ways of self run stores and franchised stores allows Baleno to reduce the cost of expansion, and by using local companies' familiarity with local policies and market advantages, Baleno quickly "landed" successfully.

With this strategy, Baleno entered the mainland in 1996 and surpassed the brands such as Giordano, Pingguo, which entered the mainland in the past few years.

After that, they own S&K (living geometry), bambini (pure legend), I.P.Zone (Interactive Zone) and other sub brands, almost occupying the core position of the most prosperous business circle in a city.

Transformation dilemma: stores shrinking, lack of electricity providers

Especially in the first few years of twenty-first Century, the six best brands of Baleno occupy the best position in the best and most prosperous section of Beijing Road, Guangzhou.

In Xidan, where young people gather in Beijing, there are basically Baleno stores in several shopping malls in the central area.

However, the most beautiful scenery has not been accompanied by Baleno. In recent years, in the mainstream business circle of a second tier city, almost no Baleno has been seen.

It is understood that the origin of Baleno now only 43 stores in Hongkong, Shanghai left 54 stores, and Beijing is 56, although in the base camp Guangzhou will be more, but the brand in today's mainstream shopping malls, shopping malls are no trace, instead of all the small shops on the street.

As of September 30, 2015, the total number of Baleno stores decreased to 2849.

Baleno official website home page.

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From the core business circle, Baleno online predicament is self-evident, but in the online shopping popular line, Baleno is still difficult to break through.

On Baleno's official website, it still undertook the function of information display, no sales price and no purchase link. It also showed that the sale was restricted to the designated area only, and the last renewal time of shops was in April 23rd 2015.

In addition, it is learned that on the other business platforms such as Tmall and Jingdong, which are mainly relied on by its e-commerce business, Baleno's Tmall flagship store is far less concerned than other competing products.

Baleno's Tmall flagship store has only 19 thousand concerns, while Metersbonwe's concern is 930 thousand and Giordano's attention is 270 thousand.

The total score of the store's dynamic score is 4.8, the service attitude is 4.7, and the logistics service is 4.7.

Poor reviews are focused on after-sale services, with poor size, poor cotton quality and poor after-sales service.

Baleno Tmall flagship store information.

The low price strategy was once one of the strategies that Baleno wanted to get rid of, after all, it had to digest the pressure of inventory.

But now, the low price strategy is not as effective as expected.

"Consumers who like these brands have already entered the workplace. When the income level rises, they prefer a more upscale brand. The price of clothing such as Baleno is not big, and it is still hard to lock young consumers."

A Baleno store clerk revealed.

In the industry, heavy quality, light marketing and marketing methods are also the main reasons why Baleno was finally eliminated by the times.

At the present stage, the top 36 thousand of the sales list in Baleno flagship store is the T-shirt priced at 45 yuan, with a monthly sales volume of 36 thousand, and the price of the products with monthly sales of more than 1000 is around 45 yuan, 69 yuan, 89 yuan, 99 yuan and so on.

The monthly sales of clothes priced at more than 100 yuan are mostly between 20-30, and the monthly sales of products from 149 yuan to 329 yuan are mostly less than 100.

The most expensive piece of sweater worth 329 yuan is only 75 pieces sold in the month.

Low price was once a strategy for Baleno to get out of trouble.

Offline "shut shop tide", online difficult to get out of trouble, Baleno's predicament also makes the parent company De Yongjia has a new consideration.

According to the results of the second, third quarter of 2015, the group's two major businesses, textile business and retail business, recorded a year-on-year increase of 15.5% in the first half of fiscal year after the fall in the three fiscal year. The sales volume increased by 22.2%, and the gross profit margin improved from 21.9% to 22.5%. The latter only gained 0.5% increase and recorded a loss of 53 million yuan.

In this way, de Yongjia is obviously inclined to bring a steady profit textile business to the company, so it seems reasonable to throw away the burden of Baleno.

"There is no weak market, only weak products".

In the fast fashion brand popular today, in addition to Baleno, this is actually every traditional fashion brand business are facing problems.

The dilemma of "Guan Dian Chao" is not only on Baleno brand, but also for BELLE, Giordano, Daphne and other international brands.

Compared with the old brand, the new clothing brand is another scene.

The fast fashion brands represented by UNIQLO, H&M, ZARA and GAP have been expanding rapidly in China since 2006.

These fast fashion brands quickly get the favor of young people with a small amount of money, quick updates and moderate prices.

Today, fast fashion brands accelerate the layout of the two or three tier cities, and continue to strengthen their leading position and competitive edge in the market.

UNIQLO's overseas store growth data in recent years.

By the end of May 2015, the number of stores in the Greater China region had reached 442.

Zara from Spain, its parent company Inditex group, has opened more than 582 stores in Greater China, of which Zara has 188.

As of March 31st this year, the total number of H&M stores in mainland China has reached 317.

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In addition to the fast fashion brand, the Internet environment has also spawned the emergence of Korean brands such as Korean clothes house and Yin man. The clothing purchasing channels and brand screening of consumers have become rich and diversified. This also squeezes the survival space of Baleno's traditional leisure brands.

Baleno's "franchising" mode, joint design and collection store concept have gradually been submerged in the imitation of brands.

Behind this contrast, the brand aging phenomenon of traditional fashion brands represented by Baleno is serious. The marketing methods are single, and there is a certain relationship between propaganda and communication with consumers.

In the age of Internet that is changing faster and faster, the update speed and rhythm of these brands have been derailed.

Baleno has no big move in the past ten years, and it is also one of the reasons for its gradual loss of heart.

Compared with the operation mode of fast fashion brands, Baleno and other brands are still in accordance with the traditional production process, a garment from design to production takes a few 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, to cater to the needs of young consumers after 90.

Shanghai Hui Ye Industrial Co., Ltd., as a "feeder" side, has numerous business operations: investment management consulting, electrical and mechanical equipment and accessories, computer hardware and software development, development, sales, daily necessities, chemical raw materials sales and many other aspects.

It can be said that the understanding of clothing is absolutely no more professional than German Yongjia, and even the clothing industry is not the core key industry chain, which makes the outside world worry about the future of Baleno.

Before it has its own development mode of dilemma, and then has fast fashion, Amoy brand pressing step by step, "sell" Baleno's future uncertain.