The Strategic Route Of The Shanghai Card Group Is Clear And Effective In Spanformation And Upgrading.

Its three brands, ZUKKA PRO, M-GRAPH and de Gencens, are the representatives of Shanghai fashion. In the first quarter of this year, group sales increased by 22% over the same period last year, winning the industry. 　　

The domestic fashion brands, which have long been suppressed by fast fashion, usher in new opportunities under the global fashion industry shuffling and domestic consumer awareness.

Early domestic clothing was mainly wholesale and retail. After the barbarous growth period, nine major factions were formed in Han, Guangdong, Beijing, Hai, Hangzhou, Wen, min, Su and Yong. Among them, Guangdong, Hangzhou and Wen are the mainstream. The more representative brands are Cantonese Mass Phil, shadow group, jiangpai and EP Ying Ying, Wen faction's Metersbonwe and Semir.

Shanghai culture, relying on Shanghai's most open port, has become the vanguard of China's modernization, and is also known as the "magic capital" nickname for accepting the western fashion trend. However, in the field of clothing, there are not many textbooks and clothing brands actually hatched in Shanghai.

Its three brands, ZUKKA PRO, M-GRAPH and de Gencens, are the representatives of Shanghai fashion. The Group operates three brands, namely ZUKKA PRO, M-GRAPH and de Gencens. According to the data, the total revenue of the company reached 720 million yuan last year, that is, the average annual revenue of the store was 3 million 800 thousand. In the first quarter of this year, group sales increased by 22% over the same period last year, winning the industry.

Zhang Zheng, the founder of the group, was born in a strict civil servant family, and his parents and relatives worked in the organs. His wife He Yanqing was a stable civil servant. But He Yanqing, who likes fashion at a young age, has never been able to put aside his obsession with costume design. In addition, Zhang has also done some research on painting art, so the two quit their job as "iron rice bowl", borrowed tens of thousands of yuan from family and friends, and began a long business.

In the first ten years after the founding of the zca group, it coincided with the period of the crazy rise of Chinese consumers' fashion concepts. Zhang Zheng and his colleagues gradually groped for the positioning of the group in the market through groping with consumers, and launched their own clothing brand ZUKKA for the first time in 2006.

According to the group's data, ZUKKA's customers are positioned as 25 to 45 years old, and love modern life.

In fact, Shanghai, known for its popularity, has a relatively low style of local dress. Although young white-collar workers, aged 20 to 30, are more concerned about the trend of fashion, smart shoppers make it possible for them to add a small number of special occasions to their wardrobe, adding a lot of light fashion clothes suitable for commuter work but not fashionable. The Shanghai women aged 30 to 45 have a more acute judgement of the price performance ratio.

A modest design with cost effectiveness and practicality is the real thing for Shanghai. fashion Description of scene. At the same time, as the first city to accept the influence of fashion trends in Japan and Korea, Shanghai consumers first came into contact with Japanese low-key but practical and interesting style.

In 2007, ZUKKA successfully entered the Japanese retail market. With its unique original design, ZUKKA quickly won good market reputation and performance. Subsequently, the brand was fully upgraded in 2009 and renamed ZUKKA PRO, and launched more high-quality products to meet the different needs of China's one to three tier multi tier cities.

At the same time, he launched a Menswear brand M-GRAPH for the fashionable male consumers. The target audience is 28 to 35 years old, and has the pursuit of quality of life and the fashion trend of men. The brand is the current design director Xu Zhe.

In 2016, 10th anniversary of ZUKKA was founded, and the group of women who had already owned the brand of women and men began to further subdivide the women's clothing market, focusing on the consumption ability of more high-end women, and then launched the women's clothing brand de Gencens, with a group of 25 to 45 years old, independent and confident urban women.

Up to now, the three major brands of Zucca are 220 shops in China, with major branches in Beijing, SKP, Nanjing, Shanghai, Hong Kong, Hong Kong, and so on, and Tmall, vip.com and glamour.

According to statistics, the average annual compound growth rate of China's adult clothing market from 2016 to 2020 is 6.8%. The market scale will reach 1 trillion and 400 billion yuan by 2020, and the future garment industry will have huge business opportunities.

Faced with such a big cake, almost every big country. clothing The brand is seeking spanformation and upgrading, some of which are effective, some are still in the difficult spanition period after paying. From women's clothing to men's clothing to high-end women's clothing, the expansion matrix of the brand matrix just fits the pace of domestic market development.

But it's always fashionable to take the lead. industry Consumer preferences and needs are unpredictable. How to stay ahead is the anxiety of every brand.

Now, the strategic route of the group has been very clear, that is, through the three brands to attack three different dimensions of the market, and these three segments are also the most competitive market at present.

Some analysts believe that in addition to constantly expanding the brand matrix to cover more markets, the core of evergreen is always the product of a clothing enterprise. With the growth trend of the new middle class, the clothing aesthetics of consumers will be more and more subdivided, and the change of consumers' interests and needs will drive the market to more "Chinese design".

However, at the moment of exploding money, the group did not lose sight of the trend. At the same time, the rise of Shanghai fashion week in recent years has just become the individuality of the company. fashion The platform for attitude reinforcement.

During the fashion week of Shanghai this year, the "discover the undiscovered" found that the three brands ZUKKA PRO, M-GRAPH and de Gencens released the 2018 autumn winter series in Shanghai The Water House water house. Through this release, the tra card group hopes to convey a message that fashion is thousands of faces, and style should be discovered instead of being defined.

This big show is divided into three themes. The core brand ZUKKA PRO uses colorful elements such as Slogan and T-shirts to display the "Lady Z" day to the consumer. M-GRAPH takes the snow sports as inspiration, and highlights the personalization and vitality through bright colors and grid patterns and fabric mix; de Gencens Gencens continues its simple style, inspired by the architectural works of the greatest female architect Eileen Gray in twentieth Century.

For the group to maintain its own advantages in the competitive clothing field, Zhang Zheng replied that the three brands are designer brands with unique design language and style system, and will not blindly follow the mainstream fashion, but the core purpose is to focus on business, because no commercial design is effective for commercial brands. "I'm sensitive to numbers. I don't like stocks. We must have a clear understanding of the advantages and disadvantages of a market and get a balance between getting and paying. "

Since the beginning of the year, both domestic and overseas brands with large entity store networks have encountered retail difficulties. The closure of redundant stores has not only resulted in high one-time costs, but also many brands have gone bankrupt.

In 2017, the number of clothing brands in the main shopping centers of the country accounted for 28%, and the number of mainstream brands such as Daphne, BELLE, JEANSWEST and so on had reached thousands of stores. This constantly confirms that the domestic apparel retailing industry has been highly saturated and competition is intensifying.

In contrast, the cautious way to open shop was that he had won a favorable position in the retail storm. This is also the key reason for the steady rise of group performance over the years.

At present, the three brands of ZUKKA PRO, M-GRAPH and de Gencens are currently operating independently of their own companies and have their own R & D teams. Zhang Zheng said that this move will help enhance the enthusiasm and flexibility of the brand teams so as to maximize their effectiveness.

Earlier, some people in the industry questioned that as a group with three brands and 23 years of establishment, the scale of the 220 stores seems to be too small, but in fact, there are also some considerations of the group.

In response to this, Zhang Zheng responded that the location of each brand new brand store must be carefully analyzed through commercial analysis, insight into the surrounding customer layer and the analysis of consumption power and preferences in the field. After opening a store, not only the front-line sales, but also the designers in the office, it is necessary to visit the local people in order to better understand the needs of consumers.

According to public data statistics, China's consumer index hit a record high earlier this year, and more and more free spending is behind consumer confidence. This is partly driven by the upgrading of consumption.

According to the results of more than 4000 questionnaires released by Tianfeng overseas, three or four lines of entertainment, health and clothing will be the main consumer products after the increase of consumer income. Among them, the largest proportion of leisure and entertainment is 31%, followed by fitness and health, accounting for 21%, and the proportion of clothing and makeup is 18%.

With the post 90's 95 becoming the main consumer, the new retail concept around channel construction, digital operation, intelligent management and online and offline integration will become the mainstream trend of apparel industry spanformation and upgrading.

Shanghai, as the starting point of many brand new retail outlets, provides more scenarios for high-end consumption. Many brands aim at this point and seek to exert their strength.

The company did not miss this market signal. Zhang Zheng said this year will be a turning point for the group. With the help of the new retail concept, the group will deepen its existing online sales channels and develop more convenient shopping methods besides Tmall, vip.com, glamour and other electronic business platforms, such as APP, such as social media such as WeChat or short videos.

As for the online and offline layout strategy, Zhang Zhengze believes that the group's brands are separated from online audiences and offline. The consumption capacity and concept of domestic three or four tier urban residents are gradually moving towards a second tier urban residents. Online channels are conducive to expanding the coverage of brands and providing data reference for offline expansion.

Opportunities and risks coexist, and affected by the unstable domestic economic situation, the risk of future clothing market can not be ignored. Therefore, in further developing online channels, the group will continue to expand its market cautiously this year, and plan to increase its store size to 350 in the next three years, with a target annual revenue of 1 billion 200 million yuan.

With the outbreak of high-end consumption in the era of "the two generation of the rich and the rich", the card group, which operates the personalized concept brand with commercial thinking, has taken the lead in the new round of the card station. However, just like the prominent international perspective of Shanghai's city temperament, the brand incubated by Shanghai is focused on not only the domestic apparel market, but also the positive competition with foreign brands in the future.

Business logic always looks at the future, and the next step is to catch young consumers. But as a clothing group that has been patiently polishing the brand for 23 years, the group is very clear that design is the only way to brand. "If a brand is not clear about its identity, let alone business."