Fang Jianhua: Internet Clothing Brands Do Not Have No Future Under The Line.

At the beginning of the month

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And so on.

"Hui Mei Group formally applied to the China Securities Regulatory Commission to apply for public offerings and listed on the gem, causing widespread concern in the industry.

After the success of IPO, Hui Mei Group is expected to become the largest Internet fashion brand group in China.

At present, the competition between Internet clothing brands is fierce, and all of them are struggling to swim to the capital market, competing for the throne of "the first brand of Amoy brand".

Fang Jianhua, chairman and CEO of Hui Mei Group, said in an exclusive interview with reporters that the cost of online brand online drainage is high, and that the bonus period of online development has passed. If there is "walking on one leg", there is no future.

He disclosed that in the next three years, Hui Mei Group will focus on reconstructing the commercial retail mode and comprehensively promoting the online and offline integrated development strategy.

It is reported that a large part of the fund-raising group's listed funds will be used to create the offline channel matrix of "thousand cities and thousands of stores".

As one of the leading women in the Internet, it has incubated more than 10 independent brands, including Yin man, Chu language and left life. Meanwhile, the company's main brand has derived many related sub brands, such as home brand HOME, children's wear brand Kid.

According to the prospectus disclosed by Hui Mei Group, in the past three years, the operating income of sina Group continued to grow steadily, 589 million 611 thousand and 600 yuan in 2013, 949 million 177 thousand and 600 yuan in 2014, 1 billion 140 million 788 thousand and 400 yuan in 2015, and 60.73%, 20.35% in 2014 and 2015.

Thanks to its good performance, the Hui Mei Group is favored by well-known capital organizations such as the RMB fund of IDG group launched in China.

At the beginning of 2015, the listed clothing enterprises searched for 324 million yuan to invest in the Hui Mei Group.

Hui Mei Group intends to issue 80 million shares to the society. After the issue, the total share capital will be 320 million shares. After IPO, it is expected to become the largest listed "Amoy brand".

"The listing of Hui Mei Group is a matter of course. This is a new starting point."

Fang Jianhua disclosed that the funds raised by the group after the listing were planned to be put into three major projects, including the paction and interaction channel upgrading project (i.e. the O2O project), the fashion brand incubation construction project and the information construction project.

The total investment of the three major projects is 450 million 348 thousand and 700 yuan, all of which come from the listed capital.

Channel integration on the offline offline is the trend of the times.

Clothing shoes and hats as an important category of people's daily consumer goods, is the most popular sales category in the online shopping market, and spawned numerous "Amoy brands".

A few years ago, there was a round of investment rush in the investment community. In the first half of this year, dozens of Internet brands launched the listing plan.

Fang Jianhua said that Hui Mei Group is committed to building the "most influential fashion ecosystem" to achieve multi brand, multi category, multi-channel strategic upgrading, and establish a first mover advantage in a number of Internet brand enterprises.

"Only online and offline, Internet brands will have no future."

Fang Jianhua believes that the cost of online apparel brand online drainage is very high, and the conversion cost of users is as high as 300 yuan per user. It can be said that the bonus period of online expansion has passed. At present, the offline cost of three or four line cities has been on the line with online, and some areas are even lower than those on the line.

"Under the line and online convergence is the future trend of development, two legs can run faster and farther."

Fang Jianhua said that in the next three years, Hui Mei Group will focus on reconstructing the commercial retail mode, comprehensively promoting the online and offline integration strategy, and making use of the "fans effect" to quickly copy the brand influence from the online to offline.

In July 2015, the group began to move from the line to the next line, and launched the "O2O + thousand" City store project. Under the online channel layout, it planned to open 10000 entities in 1000 cities nationwide in the past 5 years, and build a "fan community" based on this.

Among them, the first tier cities are directly battalion and cooperate with large department stores; the 234 tier cities will be open to join.

As of April this year, the "thousand city stores" project has signed more than 250 stores offline, the sales volume next month has exceeded 10 million yuan.

"Unlike the traditional clothing industry franchise stores, we are not simply investing in offline stores, taking the traditional way of expanding brand and scale, but building a slow life circle based on fans."

Fang Jianhua said that the fans economy has become a force that can not be ignored. Consumers are gradually evolving into a partner of enterprises. Therefore, the innovation of the business mode of Hui Mei Group lies in inviting fans to create value, participating in corporate decisions with highly recognized fans, giving constructive suggestions for product improvement, and using their social resources to strengthen the marketing and promotion of enterprises to help companies attract more new customers.

Fang Jianhua said that compared with the traditional fashion enterprises' joining mode, the candidates of franchisees in "thousand city and ten thousand shops" were generated in the fans of the Yin man brand.

With the maturity of the mode of "Yin man + thousand cities and ten thousand stores", the Hui Mei Group will further copy it to other brands of its brand so as to realize the integration and optimization of the brand sales channel resources.

The prospectus shows that the Group intends to invest 139 million 790 thousand yuan for the construction of O2O line stores, and the investment funds will be used for shop decoration, equipment acquisition costs, project team building and basic reserve fees. The construction period of the project is 3 years.

Fang Jianhua said that the sales revenue of Sini group is expected to exceed 200 million yuan this year, accounting for more than 10% of the total revenue. "Our goal is to earn five to five points online and offline after 5 years".

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According to CNNIC's Research Report on China's online shopping market in 2013, the 20-39 year olds accounted for 79% of the online shopping population in 2013.

"80" and "after 90" have become the main consumers of consumption, and their consumption demands have changed greatly.

Fang Jianhua believes that the three characteristics of consumption upgrading in the new consumption era are: first, consumers pay more attention to experience; two, more pursuit of personalization; three, the process of consumption is intermediation.

"Consumers have changed, and our brand has to be differentiated. Small and beautiful products are not big and full.

Fang Jianhua said, "in the Internet age, the small group is the public. The Hui Mei Group has been building a brand with unique personality and high recognition, making people screaming personalized products."

It is understood that in addition to the O2O project, a large block will be invested in the fashion brand incubation project.

According to the introduction, in 2015, there were more than 6000 new clothes on the line, and the production volume of each group was relatively small.

While other similar listed companies develop less than the amount of new products each year, and each new type of production is relatively large.

"Compared with the traditional offline business mode, the advantages of style and quantity distract the risk of design failure and reduce the risk of unsalable inventory."

At present, Hui Mei Group has nearly 10 million of its large customer base and has a large number of consumer behavior data of group fans.

In the face of the future, Fang Jianhua is ambitious: "according to these data, Hui Mei Group will provide customers with multi brand, multi style, multi category, multi-channel quality products and rich shopping choices, and create a most influential fashion platform ecosystem, which will be the core competitiveness of sina."

In addition, the category of Hui Mei Group has extended from single women's clothing to luggage, accessories, children's wear, furniture and other fashionable lifestyle categories that meet the brand's tonality.

Fang Jianhua said that in the next 3-5 years, Hui Mei Group will continue to expand its business scale, strengthen its brand incubation and operation capabilities, improve the Internet fashion brand ecosystem, and launch more personalized brands through various channels such as mergers and acquisitions, endogenous creation, etc., to provide more personalized style choices for consumers, output high cost performance products, provide high-quality fashion consumption experience, and create the most influential fashion ecosystem.