Can Semir Dress Firmly In The Leading Brand Of Domestic Casual Wear Industry?

According to the world clothing shoes and hats net, recently, China casual wear enterprise Zhejiang

The Limited by Share Ltd announced that Zheng Hongwei resigned from the company's deputy general manager and Secretary of the board of directors for personal reasons. His resignation took effect from the date of deliberation and approval by the board of directors.

Zheng Hongwei resigned as deputy general manager and Secretary of the board of directors, and no longer held any other duties of the company.

Before that, Zheng Hongwei said publicly: Semir

From the past, futures are moving towards the fast and reverse mode of futures + spot.

Now that the reform is not over yet, Zheng Hongwei has chosen to resign, which is beyond many people's expectations.

With the trend of sales downturn in the whole retail terminal, international brands have been coming to China, and domestic competitors are eyeing. The competition in the whole industry has been unprecedentedly fierce. Can Semir dress firmly in the leading position of the domestic casual wear industry?

In the more than 20 years since Semir was founded, Semir adult clothing has always been the main force of the group's revenue. In recent years, due to the influence of the supply chain mode, Semir adult clothing may be dressed up as a rising star.

Catch up and surpass.

From 2011, balbala children's clothing began to show a rising trend, but the performance of Semir clothing in the past few years has not been ideal. The overall decline of the casual wear market has been in the trough of declining performance from 2012 to 2013.

From Semir's 2012 and 2013 annual reports, we can see that the main income of its casual wear has been declining for two consecutive years.

According to the 2012 earnings report, the main income of casual wear was 4 billion 880 million yuan, down 12.64% compared with the same period last year. In 2013, the main income of casual wear was 4 billion 683 million yuan, down 4.04% compared with the same period last year.

Like other apparel groups with rapidly declining performance, it is difficult to escape the fate of closing stores. In 2013, Semir declined from 4420 stores nationwide to 4029.

Therefore, Semir has to take measures to decline its performance.

Since 2014, the online exclusive brand of "high quality parity" has been launched.

In 2014, the number of single digit growth began to recover. In 2015, "double eleven" Semir achieved nearly double annual growth of 396 million sales.

In the first half of 2016, Semir's total business income was 3 billion 879 million yuan, an increase of 15.13% over the same period last year.

Among them, mainly leisure clothing and children's clothing business continued to promote the growth of the company's sales, children's clothing business main revenue 1 billion 798 million yuan, an increase of 26.23%; leisure apparel business main revenue of 2 billion 41 million yuan, an increase of 7.4% over the same period.

However, the sustained growth of Semir group's sales is inseparable from the power of e-commerce revenue.

In 2016, Semir's earnings report also showed that 10 billion 700 million of the group's total revenue, 3 billion 200 million of which came from the electricity supplier's revenue, grew by more than 80% in the year.

According to the forecast, Semir has expected to grow at 10% this year after resuming growth in 2014. Barbara, as the first brand of children's clothing in China, is expected to grow by more than 20% in 2017.

From the perspective of development, the sales performance of Semir clothing will soon catch up with Barbara's children's clothing.

At present, the export tariffs of domestic overseas brand suppliers are about 10%, while Southeast Asian clothing exports do not need to pay customs duties. Therefore, the domestic suppliers' orders have largely gone away, causing the domestic outstanding suppliers to have no order difficulties.

If we can seize the opportunity to cooperate with these excellent suppliers, we will have a qualitative leap in product quality.

Unfortunately, Semir has not seen such a rapid development opportunity. Perhaps Semir is busy solving other threats to the location of clothing brand leader.

Semir first faced the problem of fragmentation of orders and disruption of the supply chain.

Semir clothing has a number of two level agents, the order level is uneven, do not understand the order and management, poor grasp of the product, the order fragmentation phenomenon, resulting in nearly two quarters of Semir clothing sales revenue fluctuated significantly.

Fortunately, Semir found this problem in time, and made corresponding measures: combing the one or two level relationship, carrying out unified management of the platform, and controlling the order from 50% to 70%.

This is a good way to control most of the goods and help to digest inventory.

The channel structure has changed, and the operation of the industry will be further differentiated.

The supply chain will bring new challenges to the development of the brand, and the competitiveness among brands will further differentiate and promote the concentration of the industry.

In addition, under the new consumption trend, consumers are increasingly inclined to experience consumption channels represented by shopping centers.

More and more international fashion brands are pouring into the Chinese market. For example, ZARA, UNIQLO and so on will choose Wanda, Huarun Wanjia, Ginza and so on.

Moreover, these brands are far superior to domestic brands in terms of design and quality, and the supply chain system is far ahead of domestic counterparts.

There has been no significant improvement in terminal retail data since 2017, and the prosperity of the apparel market is still at the bottom stage.

This shows that the impact of the supply chain, the downturn in terminal retail and the intensified competition in the industry may become a stumbling block for Semir's apparel brand in the domestic leisure wear brand.

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Entering the new retail era, domestic garment market opportunities and competition coexist.

Like other domestic clothing brands, Semir will usher in new challenges and opportunities.

However, it is difficult for Semir to seize the opportunity to become the leader of the clothing market, or to encounter obstacles to decline.

There are two reasons for this.

On the one hand, with the trend of brand centralization, Semir will become the leading brand in the domestic apparel market.

With the differentiation and concentration of brands increasing, some minority clothing brands slowly withdraw from the market. Semir began to focus on the mass market and gained a higher brand influence in the 234 tier cities.

In 2016, Semir shifted from the 4 quarter to the 8 quarter, strengthening the development of medium and short term products, and investing in research and development twice as much as in 2015. The goal of 2017 is to achieve 12 quarter products.

Semir founder Qiu Guang has said: high frequency repeat purchase is the main direction of development in the future. Semir's development path is similar to ZARA, but it will combine Chinese young people with the characteristics of Japanese and Korean clothing styles to make local fashion.

As a result, China's clothing market may also have monopolistic giants like foreign markets, and Semir may become China's fast fashion brand such as UNIQLO and H&M.

At present, the domestic clothing market is also developing in this direction. Wakamori Ma is also concerned about the high-end market, providing consumers with a comprehensive product and becoming a leader in the domestic garment market.

On the other hand, there will be challenges when meeting an individual. Semir's brand positioning may affect the market share.

Take Semir menswear as an example. The two sub brands, "brother Lai Lai" and "GLM", do not misunderstand "GLM". They are not abbreviations of "brother to buy". In fact, these are two separate sub brands.

And positioning is also different, "brother Lai buy" positioning is: high quality Jane tide men's clothing, "GLM" positioning is: fashion, light business men's clothing.

Although the two sub brands, but the overall price of goods is very close, and even a single product than Semir's main brand more.

It is worth noting that in recent years, Semir group's children's wear brand Barbara has become the first Chinese children's wear brand. The design style of Semir's adult dress seems to be younger. Even the small meat of endorsement is a bit hold.

The domestic clothing market is a double-edged sword. Although the improvement of brand concentration will help Sam to become the leader in the clothing industry, Semir's positioning of its own brand is somewhat like that from college students to middle school students, too young.

In addition, international clothing brands such as H&M and UNIQLO are also expanding in the Chinese market.

All of these may affect Semir's position in the domestic apparel market.

In short, the fate of Semir is still in its own hands.

After several years of development, Semir's clothing has been steady and steady in the three or four line cities.

In the future, whether Semir can change its place in the second tier cities and fight with the international fast fashion giants such as UNIQLO, Zara, H&M and so on will become a monopoly giant in the domestic apparel market.

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