NEIWAI Founder Inside And Outside: How To Create "Inside And Outside" Such A Brand.

NEIWAI was founded by Li Jiang and Liu Xiaolu couple in 2012, and entered the market with no steel ring bra, emphasizing that underwear should be comfortable. With the brand slogan of "inside and outside, you know", NEIWAI has gradually expanded from the core bra category to pajamas home, sports dance, home fragrance and other categories, covering a wider range of consumer groups. So far, NEIWAI already has 1 million users and 2 million 200 thousand social media fans, and the channel has also expanded from the original online to offline. At present, the brand has 30 entity stores in the whole country (60% less than half a year), and will increase to more than 80 by the end of the year.

Liu Xiaolu graduated from University of Hong Kong and went to the Olin Business School of University of Washington. He has served in Coca-Cola (China), Monitor Group and Estin&Co strategy consulting firms. He has rich experience in the field of consumer goods and consumer brand marketing strategy.

Hello everyone! I am Xiao Lu, the founder of NEIWAI's internal and external brands. I am very honored to receive the invitation of gorgeous. Yu Yan Jie is a witness who has witnessed growing up both inside and outside. It has helped me a lot. My topic today is "inside" and "outside" of brand creation. I hope to share with you more thoughts behind the creation of brands.

Before we formally share, we invite you to see a recent promotional video of this year. This is one of the Tan Yuanyuan sports ballet series produced by us and the new director of wheat in San Francisco in April 9th. We hope that we can better understand the internal and external temperament through this film.

I was cross border business, and I entered the competitive clothing industry carelessly. More than ten years ago, from Shanghai to Hongkong to go to university, to the extremely developed market of retail business, gave me the earliest education on brand. At that time, I thought, wow, what an interesting thing the brand is, each of them has its own unique temperament, culture and business path. At that time, I also found that I had a very good "special function". Whenever I saw the brand, no matter what language, I could almost forget it.

After graduating from University, I joined Coca-Cola and later made a marketing strategy for female consumer brands in consulting firms. Luckily, my first job in the company was to make a market strategy for a famous cosmetic brand in the Asia Pacific market, which is a chance to bring me into the brand world.

In 2012, after working for four years in the consulting company, I began to want to make my own brand. At that time, I set two conditions for the brand I wanted to create: first, it must be female consumer goods; two, I must wear it myself, in line with my favorite spirit. So she made the most intimate relationship with women, with today's "inside and outside".

Inside and outside, the brand that was founded in Shanghai in 2012, we started from the underwear which initially made body and mind free and focused on women's body feeling. In the past few years, we have gradually developed into a brand of body clothing that covers underwear, home and sports. Essentially, interior and exterior is a product driven company driven by design. It starts with comfort, and not only comfortable, but also meets the needs of a wider population through meaningful and superficial design. In different scenarios, the functional requirements of underwear are encouraged to encourage more women to understand themselves better through such intimate products as underwear.

In 2018, we did a good job, both inside and outside of you. You know the advertisement spread. It is not just an advertisement, but also a kind of confession and declaration. In the long run, it is probably the most modern brand of modern women's body and heart.

In the process of brand entrepreneurship, the problem that always bothers me is always the balance between brand building and sales growth. In the past, when the channel was king, whether it was good or bad, it was relatively easy to do hundreds of millions of businesses, but in the past many years, China has not had any particularly good local brands. And we are fortunate to live in a better era of brand entrepreneurship, young consumers tend to be branded consumption, and have unprecedented support and enthusiasm for good local brands in China. Like many brands I buy now are local designer brands, such as my own favorite and today's (Forum) seen Jiangnan Buyi, ZUCZUG and so on, in the past few years, the development is getting better and better.

Underwear industry is very special. In China, it is very early, but it is a huge, 300 billion scale market. But we can see that in the past ten years, China has not seen any new underwear brands. What we all know is the original "five golden flowers", which always occupy the leading position in the market.

Over the past few years, with the evolution of women's underwear concept, the aging of traditional brands, and the transformation from department stores to shopping centers at the channel level, internal and external brands have enjoyed very good growth opportunities. From 2015 to 2018, while establishing a brand sense at home and abroad, in a relatively high-end position, the annual growth rate was 400%, and sales in four years increased by more than 50 times. Online and offline have 1 million users and 2 million 200 thousand of social media fans.

At the same time, the inside and outside guest layer gradually became younger from the early age of 28-35. By designing lingerie home furnishing clothes that are more in line with the values of young women, the proportion of customers aged 18-25 increased from 25% in 2017 to 33% in 2018. According to Tmall's consumption classification data, 90% of the internal and external customers come from high consumption groups. This trend is in line with the current crowd of Profile on UNIQLO, and it gives us more confidence in the long term development.

Based on the brand concept and the natural extension of the design aesthetic language, the core bra category from inside and outside is gradually extended to pajamas, sports dance, home fragrance and other categories. In the past, the development of category may be around the crowd. Today, the development of category is more natural extension of brand design concept and aesthetics. When the consumer recognised the quality and design sense of the product, she would be willing to buy all the design of the brand. At the same time, around the core of our female population, we have launched men's, girls' and NEIWAI TONG children's series to be launched this year. With the layout of internal and external stores, the new category of household casual wear has accounted for more than 50% of offline sales.

As we all know, underwear is a very heavy experience, and inside and outside is a very special brand from the line. Over the past few years, we have been developing very fast on Tmall, becoming the brand of Tmall comparison Top. In 2018, we ranked eighth in Tmall underwear category sales. However, we are not satisfied with such a result. The heavier battlefield of the heavy experience category is online. Therefore, at the end of 2016, we are going to expand to the bottom line. In 2017, we started from the first Jingan Kerry store in Shanghai, and entered the layout of the fast line in 2018, and opened more than 30 entity stores in the whole country.

Over the past two years, we have gradually established our own offline retail capability. Entity stores can not only help brands acquire more new customers, but also the only way to build brands. At present, inside and outside the physical store in 60% less than half a year's new store, the average Ping efficiency can reach (5000 yuan per square meter per month), far beyond other traditional underwear brands. This is also a better test of brand product strategy. This year, we will speed up the layout of offline stores. We expect that the number of stores will exceed 80 by the end of this year.

Inside and outside is really the brand that grows with the new generation of female consumers. The vicissitude of the times has given the brand more room for development. What is the difference between this generation of women and their mothers' generation of women? Based on my personal observations, there are three points:

Sense of design willing to pay premium for good design

Brand sense -- willing to vote for brand idea and attitude through purchase.

Surprise -- hope for surprises and changes

Based on the above three consumer needs, we have many discussions inside: what kind of brand do we want to become inside and outside? These principles lead us to make important decisions in all markets, brands and channels.

First of all, the product company that I just talked about as the core of design.

Design for internal and external is a broader definition, from product, packaging, visual transmission to terminal retail, all need to be designed, there is a succession of design language, with recognition brand style. To achieve this, designers need to have a very large voice in the company, not the sales department or the sales department. There is a very international design team inside and outside. The designer's design process does not refer to the existing market data, but also believes in the insight of the consumer life scene. Data can only tell you the past, but can not tell you the future.

At the same time, in order to maintain more innovation, design accounts for a larger proportion. Even a commercial brand like UNIQLO needs to rely on a series of cooperation with designers to win the love of young people. Building a team of designers who understand what is "inside and outside" and giving them the design space of their independent designers is the secret of product development both inside and outside. We also launched the Studio/Lab line for offline to meet better design style.

The design of interior and exterior has made many changes from the earliest comfort, function and aesthetic bra series. At first, you would think that the inside and outside are relatively plain colors, but since last year, we have launched many new colors belonging to both inside and outside. At the same time, a lot of original works have been made, such as breaking the home casual wear series of home and wearing borders. The women's sports ballet, yoga and swimsuit series launched in 2019 are designed to guide category development.

Through design, we have established a category of Pyramid. For both inside and outside, underwear is always the highest consumption frequency and the highest customer loyalty category. It must be the core foundation of the brand, and will gradually expand to sports, household casual wear and other categories.

Second, it is our dissemination. I think that good communication must have a moving idea. It must be built on the greatest concern for human beings and human nature.

The dissemination of brands at home and abroad rarely stays at the product level, but focuses more on people, about women themselves, about their inner needs, and their external and physical feelings. So this year, we continued to do things, both inside and outside of you. A good communication needs five years and ten years. Once again, it will be deeply rooted in the hearts of the people. There will be some changes in this process.

A good brand should be like air, you can feel its existence, but it does not always appear in front of your eyes to bomb you. Every behavior of a brand will be seen in the eyes of consumers. What we need to do is to communicate with our most core consumers, enhance their goodwill towards brands through publicity, and gradually achieve their mental status in their minds.

Therefore, whether cross border cooperation or media communication, we understand that the most important thing is what suits us. In an era of over spread, brand communication needs to be restrained. Only one or two ad campaigns are conducted within and outside NEIWAI, but the content must be of high quality. Do a big activity once a year, but creativity must be refreshing.

Third, we hope that both inside and outside is a brand with long-term vitality.

A good brand is like an inner rich person. It is not to let consumers see through one eye, but to open up a veil of veil. Every time we find something new, we find more inside and outside. There may be many good brands abroad that can have a very long time and vitality. And Chinese consumers are the worst. There are many brands in China that can be forgotten or disliked in a few years. This is also the most anxious thing for the founders in brand entrepreneurship. In the era of brand changing so fast, it is especially important to surprise consumers. Surprise is not to cater for, but also the process of brand growth and change. How to keep changing on the basis of keeping the core unchanged is a particularly big challenge.

Finally, I would like to share a sentence with every brand entrepreneur. This is what we saw just now at Tan Yuanyuan's head: "this is a very intense consumption, immersion, self realization of life, injury and pain, inevitable and fearless." I think this is the best sentence for every brand entrepreneur. This is the best era. I believe that in this era, we can create better local brands in China. Thank you!