Why Does Decathlon Store 164 New Stores?

"Guan, Guan, Guan!" in the past year, the cold wave of retail trade is "aggressive".

From supermarkets, shopping malls, to

,

Most of the shops in the world have gone through a catastrophe.

According to the world clothing shoes and hats net,

The world closes 269 stores, MACY department store, SEARS department store, CVS, and TheLimited are another wave of shops.

In April this year, PaylessShoes, the biggest shoe maker in the United States, was bursting with a huge debt of about 4 billion 400 million yuan and applied for bankruptcy reorganization.

It is an indisputable fact that the environment is fission, the new format, the new mode, the new exploration, the business pformation and innovation, and the slow growth of the traditional entity business.

It is said that the traditional business in the economic globalization market environment has been subverted by multiple factors, and physical retailing is not being eliminated. It is gradually sinking down. Under the frenzy of capital, Internet and electricity providers, "the same egg".

Those who come to this conclusion may be too hasty. Some people say they are seriously dissatisfied. It is Decathlon.

In the past year, Decathlon has opened 164 stores in the world every 2 days, and has handed out a beautiful global financial report.

Last year, the French sporting goods giant Decathlon group's global revenue exceeded 10 billion euros, an increase of 12% over the same period last year.

Among them, the overseas market accounts for 67% of the group business. In terms of the number of shopping malls, China is the largest market outside France, with 214 shopping malls (including 9 in Taiwan).

Over the past 2 years, Lining and other domestic sports brands have been losing their way, falling into a closed shop and declining performance. The Decathlon, which was unknown to the Chinese market, has been fighting more and more bravery. Especially last year, China flagship store, Shanghai flower shop and all new stores have achieved 100% independent brands.

According to Decathlon's original plan, it is estimated that by 2020, the company will have 500 stores in China.

This means that in the next three years, every 5 days, we will see a Decathlon store open, so amazing!

Payless, the largest shoe manufacturer in the US, is a big customer of the footwear industry across the Taiwan Strait. Once it is closed down, the losses of the injured vendors can be imagined.

Perhaps many people do not know that the biggest chain store in America, which is bankrupt, is known for selling cheap shoes. The word "Payless" means low price and less money.

Will you be dead if you take a low price strategy? When you enter Decathlon mall, your biggest feeling must be: cheap! Amazing!!!

The same kind of explosive shoulder bag, less than 30 yuan, summer wear fast dry T-shirt, more than 29~49 yuan, a pair of running shoes, also more than 100 yuan...

Adhere to the ubiquitous low price and "shameless low price".

The birth of WAL-MART, PaylessShoes and other retail giants is the appearance of "price Destroyer". Preferential price is the everlasting theme. Why can the largest US shoe maker go bankrupt? WAL-MART is going to close shop, and the entity retailing industry is wailing. Decathlon is a store expanding. You must be curious. How can it be so strong?

Looking at the 2016 Global Earnings analysis of Decathlon group, there is one line that attracts the most attention: "2016 is a year for Decathlon to stabilize the whole industry chain".

If the "low price explosion" is the way for the French sporting goods retailer to capture the "heart" of consumers, then the whole industry chain layout may be the way to accelerate its rise.

Today's retail market has experienced the baptism of the electricity supplier. Many homogenized traditional retail entities are struggling and sluggish under the impact of the low price of electricity providers.

The macro-economy is in a slump! Consumers have changed! The electricity supplier has seized customers. It has become the "common term" of many retail enterprises.

To achieve the "shameless low price", first of all, it requires the lowest cost and high cost performance, and low price is the core competitiveness of Decathlon.

How can we do that?

A product sold on shelves can not be separated from R & D, design, production, to brand, logistics, retail and other industrial chain links. If every link becomes a place that can reduce costs, why not worry about low prices.

Low price comes from the "control" of the whole industry chain.

Take the supply chain as an example, Decathlon's own sports brand fabrics are supplied to OEM OEM manufacturers after their own purchase.

For the whole industry chain layout, the cost of each link can be reduced as far as possible, especially the cost of many middlemen, and the cost saved will eventually be reflected on the price tag of the shelf.

Many sports brands crazily throw money to ask for celebrity endorsements, but in advertising, Decathlon is a "miser". In order to save money, it hardly advertises.

The strict control of marketing expenses is also the way for Decathlon to succeed.

Walking into Decathlon mall, apart from being spacious, it is exceptions and simplicity.

Walking in neat and elegant blue tune, you will find that the product packaging of Decathlon is also simple and simple, with a pair of shoes hanging and no shoes box. In order to save space, many sportswear is rolled into cylindrical shape.

Low price does not mean low quality. Why is Decathlon a sweaty Sweatshirt less than 20 yuan sweating, which can be sold around the world in several circles every year? There are unique details in the selection of various links such as design, fabric, color and so on.

It can be said that the whole industry chain layout of Decathlon is not to pursue "big and complete", but a process of creating value dynamic commercial layout.

The whole industry chain is actually a value chain.

Among them, there are supporting activities such as infrastructure, human resources management, technology research and development, procurement, as well as basic activities from marketing, logistics, production, operation and services. They link all aspects of the industrial chain into a real strategic link to create value.

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Over the past 100 years, the family DNA has 700 entrepreneurs' cells.

Decathlon came from France and was founded by Michel Relek in 1976. In fact, another international retail magnate, Auchan group, is also its twin brother.

In addition, there are also famous retail giants such as phelda, building materials supermarket, car chain repair shop Norauto, clothing supermarket, Kai family clothing, parity chain restaurant Flunch and so on. They all share the same "Dad", the ultimate controller, Mulliez.

Turning the industrial chain into a value chain is the excellence of Decathlon's success.

For the Murri Yates family behind Decathlon, family values are the soul of wealth from generation to generation.

The famous French family of Murri Yates has been handed over to the fifth generation over the past 100 years and has reached more than 1200 families.

Among them, there are 250 family members distributed in a large number of independent operation subsidiaries of the large family group enterprise, with 500 thousand employees.

Over the past 100 years, 700 Murri Yates family members have become entrepreneurs in the branches of family businesses.

At present, more than 400 family members of the sixth generation of family members are also successively inherited.

Founded in 1976, Decathlon, a sporting goods retailer, and a French supermarket chain such as Auchan, founded in 1961, are among the best among family businesses.

It is no coincidence that a family business can be inherited for hundreds of years. Especially the Murri Yates family, with so many family members participating in and inheriting the family business, must have the secret to persuade and impress them.

The Murri Yates family has a famous family motto: "everyone does everything (French Tousdanstout)", emphasizing family unity and putting people first.

According to Andre Muriez, a member of his family, "we have a common understanding. In short, we insist on pparency, courage, desire for development, people-oriented, company first, customer first and improving people's quality of life.

Such an idea is very important. It is the adhesive that makes us closely linked. "

Such a belief is the key to the success of the Murri Yates family, which is the key to the success of the Murri Yates family.

Two hundred years of great difference: a failure and prosperity

In the west, there are many hundred years, but not all of them are in a good position.

Let's take an example! It is also a hundred years family giants, but they are in a very different position: a failure, a thriving.

In February 17th, there was an explosion of financial news. The world's fifth largest food company, kraft Heinz, offered $second to the world's second largest consumer company, Unilever.

Later, the offer was withdrawn, and the only reason why Kaf refused to buy Heinz was that the British turned over the old account. They accused Kaf of buying another hundred year enterprise, Cadbury, in 2009.

Speaking of Cadbury, you may think of the fragrant chocolate immediately.

Yes, that's right! Cadbury, an old candy manufacturer in Bermingham, UK, was founded in 1824 to the 1.5 century.

Thanks to Kaf Henry S's hostile takeover, the Cadbury family has completely lost control of their family businesses.

It is also a hundred years of prosperity. The industry of the French family of Murri Yates is still thriving and stronger.

Many people will hang up "why?"

The Cadbury family also has its own corporate values, such as the early Puritan purview of the Quaker tradition, prohibition of alcohol consumption, and family members' hard work, kindness to employees and community service.

The Murri Yates family followed the Catholic doctrine, with "everyone as everything" as the family motto, emphasizing family unity, respecting the elders and being responsible for future generations, and requiring family interests to be higher than personal interests.

Moreover, the Murri Yates family dislikes the capital market and promotes growth only through investment.

We can see the difference by comparison.

As far as family governance is concerned, it is difficult for us to judge the value of the two party's moral level. From the perspective of corporate governance, the Murri Yates family's family view is more effectively integrated with its own business development.

Many family businesses are "stuck" in their inheritance, making it difficult to make a reasonable choice between family and career.

A member of the Murri Yates family was born in 1931 by Moulier, founder of Auchan group.

In every sense, in a sense, the inheritance of family business culture is more matched with the governance concept of modern enterprises.

The failure of the Cadbury family is that the internal members are not united.

After the expansion of family members, it is "loose branches and leaves" and stock ownership is more dispersed.

It is not surprising that a member of the barbarian can not be twisted into a rope.

Take a Chinese enterprise "personal experience", in those days, the old Hong Kong stock "Chinese real estate", can become the merger and acquisition mad man Joseph Lau's mouth's meat, mainly is the Hongkong local two big powerful families Feng Pingshan, Li Guanchun two big family's offspring internal dispute, finally leads to the end, let "barbarian" Joseph Lau benefit from the fishing.

And the Murri Yates family, on the control of ownership, has the corresponding system and the governance system as a guarantee.

For example, family entrepreneurship, they have a set of strict rules: every family member to invest, must accept the family Advisory Committee's audit, after the family will give the start-up capital, the result can be imagined, "fat water does not flow outside the field"!

Others concluded that the Murri Yates family played a balancing act of family and career.

On the one hand, they set up a complete set of governance mechanisms inside the family, for example, the establishment of the four core organizations: family alliance, Family Advisory Committee, family holding company and family foundation.

On the other hand, in order for all family members to have growth opportunities, the family pays to support their members' life and receive good education.

If members want to enter the family's business or invest, they will have to pass the examination of the family Committee. Because of this, the mlijit family will not only pass down the wealth from generation to generation, but also the family business will show the stage of talent for every member, and the family will not get more and more prosperous.

With the deep rooted family and the everlasting family of Murri Yates, the DNA with family beliefs and values is in the family members' cells. Can Decathlon not continue to operate?

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