In The Long Run, The Brand Of The Shoe Brand That Has Ever Been Brilliant Is Coming To An End?

The once brilliant brand of shoe made in China seems to be coming to an end.

Technology society and online consumption accelerate the turn of consumers' tastes.

Sneakers,

The influx of shoe products has given consumers more choices, resulting in the continued cold winter of traditional footwear brands.

A few days ago, Daphne, the "shoe king", issued a profit warning in the first half of 2018. The loss will further intensify, and the closure of the store will continue.

Daphne warned that losses in the first half would be comparable to those in the second half of 2017.

According to the data, Daphne lost 688 million 800 thousand Hong Kong dollars in 2017, with a loss of HK $205 million 200 thousand in the first half of the year, and a loss of HK $483 million 600 thousand in the second half of the year, which means that the loss in the first half of the year will more than double the same year.

The announcement shows that in the first half of 2018, the sales of stores in the first half of 2018 dropped by 9.1%, closing 416 sales outlets, while the second quarter core brand business grew at the same time, and the number of units decreased year by year, closing 294 sales outlets.

Daphne's loss is not overnight. Daphne has been losing money since 2015.

At this point, Daphne embarked on the road of pformation, in order to reduce losses, adjust the store system, upgrade brand image, take measures to close stores, attach importance to the business and younger, accelerate the construction of shopping mall channels, etc. are all Daphne's search for self-help.

However, Daphne's three year pformation strategy has failed to make any improvement in its performance.

As a matter of fact, the rise of new generation of consumers and the change of consumer preferences have led to drastic changes in the shoe situation in China, especially the trend of "new retail", which has changed the direction of pformation of traditional footwear enterprises.

What is most obvious is that the new retail market of shoe business pformation will be stripped on Saturday when women's shoes start.

On July 17th, we announced the strategic cooperation announcement on Saturday, signed the strategic cooperation framework agreement with the underwear brand Hui Jie shares, and will conduct in-depth cooperation in brand, channel and customer resources.

On Saturday, it will gradually shift some of its brands and assets to joint venture item company to achieve new retail pformation.

Saturday is still no way to avoid it.

Industry's low pressure vortex, 2017 performance fell to the equivalent of the loss of the previous 7 years net profit combined.

On Saturday, 2017, the annual operating income was 1 billion 505 million yuan, and the net loss to the parent company was 352 million yuan, while the total net profit from 2010 to Saturday 2016 was only 369 million yuan.

In addition, there is a stock of up to 1 billion 379 million yuan on Saturday.

Once the multi brand strategy and rapid opening up, the performance of the company continued to rise on Saturday, but at the same time, it also brought a series of problems. The number of stores increased significantly, but sales failed to reach expectations, and inventories continued to grow, prompting the overall situation to continue to deteriorate.

Nowadays, the footwear industry in China is facing a serious situation and urgent need for pformation. Under the new tide of retail trade, shoe companies only have to integrate traditional retail mode with network economy mode and rediscover new market and new value, so as to occupy a high position in pformation and upgrading.

BELLE, once known as the "shoe king of the generation", once occupied more than half of the domestic footwear industry. It failed to adapt to the market changes and suffered heavy losses in its performance, and then delisted from the HKEx in July 27, 2017.

Because of the change of consumers' concept, the main business of BELLE has been declining. The growth of revenue from 2014 to 2016 was 8.74%, 1.95% and 2.21% respectively.

The rise of the electricity supplier, the influx of new brands, the aesthetic changes of consumers and so on have all caused changes in the market. BELLE has failed to find its own position in this changing market, thus losing the bonus period, leading to the decline of a generation of shoe kings.

In a variety of

Privatization delisting may be a turning point for BELLE.

And nearly a year after the delisting, BELLE seems to have found a new strategy to reopen new market and value.

BELLE has launched a road to change, starting with new retail, new resources, new culture, new organization, new mechanism, etc., with Tencent to digitally cooperate in depth, set up wisdom and container flash shop, open up online and offline channels, and multi brand operation, and BELLE's series of measures are aimed at exploring the retail mode in the new era.

Throughout the country

The decline of brand is not related to factors such as slow upgrading of products, aging of brand image and failure of channel pformation. However, the rapid development of sports brand and private brand makes consumers choose more and more, which leads to the decline of traditional footwear sales and affects the development of the whole market.

In addition, independent designers are also moving towards the stage, communicating directly with consumers and customizing products, so that traditional brands lose their competitive edge.

With the increase of the size of the shoe market, more entrepreneurs will enter the market.

They have the creativity and acuity of BELLE, a traditional retailing enterprise, and the disruptive changes they bring will no longer be applicable to the previously operational logic.

In the complex

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Daphne,

In order to achieve higher market effect, the traditional footwear brand is one of the essential ways to pform and diversify its brand. By innovating products, reducing costs and repositioning, it will continuously integrate its own superior resources and core businesses, tap new growth points and value points, and form new market competitiveness.