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    An Li Fang Online And Offline Develop Two Quarter Profit Growth Of 30%

    2018/8/2 13:19:00 71

    An Li FangProfitMulti Brand Strategy.

    As local Underwear Brand name, Embry Form The prospects for future development are considerable, but they are also full of challenges.

    In July 31st, Fang Li Fang holdings released the two quarter positive earnings forecast. The net profit between April 2018 and June increased by 30% over the same period last year. The overall sales in the two quarter increased by 14% over the same period last year. At the end of June, the number of retail outlets was 1867, with 1632 sales counters and 235 specialized stores, representing a net decrease of 58 over the end of December last year.

    By the end of December 2017, there were 1925 retail outlets, including 1705 counters and 220 retail outlets. In the first quarter of 2018, the sales data announcement said that as at the end of March 2018, Embry Form The total retail sales point is 1908, of which 1683 are sales counters and 225 are specialized stores, which is 17 lower than the end of December last year. At the end of the two quarter, there were only 1867 sales outlets in the country, compared with 41 in the first quarter.

     One

    There are two reasons for shutting down shops, one is adjustment, and the other two is throttling. In the first quarter, the sales volume of an Li Fang increased by 15%, and the reasons for closing the shop were mentioned in the announcement: the sales network of the group is in the adjustment period, and will continue to clean up the low benefit stores throughout 2018 to enhance the overall operation efficiency. Comparing the data of the 2017 annual report, the first quarter data and the two quarter data, we can find that the number of special stores and counters has been adjusted to reduce the number of counters and increase the number of specialized stores. This will help to optimize the retail outlets' network, enhance the sales efficiency and improve the cost rate of offline retail outlets.

    Layout online and offline development of online sales platform

    In the announcement, Fang said that the two quarter profit growth was mainly due to the appreciation of the renminbi compared with the same period last year, as well as the overall sales increase from various sales channels, including retail outlets and online sales platforms. The online sales platform has become one of the main sources of profits. According to the 2017 earnings report, online sales and wholesale sales accounted for 14.5% of total sales in 2017, and 76.5% of retail sales and 8.7% of retail outlets.

    The development of online platform is influenced by the consumption pattern of Chinese consumers. According to PWC's 2017 survey, the frequency of Chinese consumers' mobile shopping is higher than that of offline stores, and the percentage of Chinese consumers using mobile consumption is 38% higher than the global average. But the offline store still has the advantage that the cable platform can not replace. Through the early warning of the two quarter, the company can find that while developing the online sales vigorously, the company is also trying to make the online, offline, complementary and mutual promotion and common development under the adjustment of online sales.

    Multi brand strategy

    The reason for the profit growth of the company is also due to its multi brand strategy for many years. At the moment, there are seven brands of ANN Li Fang, including Fang Li Fang, Fei Di Shi, Comfit, E-BRA, LIZA CHENG, IVU, and duo. Among them, Ann Li Fang and Feng Di Shi are the brands of ANN Li Fang. According to the 2017 earnings report, the main brand, an Li Fang, contributed 46.3% of the total sales, while the main environmental friendly green fin contributed 26.3% of the total sales.

    Under the banner of an Li Fang Brand market Clearly, targeting different consumer groups: Comfit Functional underwear With the emphasis on health, sports, beauty and other concepts, the emergence of the concept of healthy sports has made the brand one of the main brands of an Li Fang Group; E-BRA is the online brand, which is mainly sold online; LIZA CHENG brand is high-end underwear, and it is the luxury of Li Li Fang to fill the gap of high-end underwear market in China, IVU is the brand of all kinds of men's underwear, and Andrew is a wholesale brand under the line. The implementation of multi brand strategy is conducive to the development of market segmentation, to meet the needs of different groups, to consolidate the market position of the brand and to enhance the market share.

    China's underwear market still has great potential. There are many underwear brands in China, but a single brand has many brands. market The occupancy rate is not high. As people pay more attention to the quality of underwear, more and more brands are making a move at the edge of the market. Since the first half of 2018, not only the domestic brands have been overweight. Underwear market Foreign brands are also joining the Chinese market. In order to enhance competitiveness, another domestic underwear giant urban beauty hired CEO as chief strategy officer. In Europe and America, the development of the wall was blocked by China's huge consumer groups. In the past year, a number of flagship stores were opened, hoping to gain a profit growth in the Chinese market.

    As a local underwear brand, the development prospect of ANN Li Fang is considerable, but it is also full of challenges.

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