Focusing On High Value Business, La Natsu Bell'S Buyer'S Shop Is Out Of Favor.

La Natsu Bell's attitude towards La Chapelle+ has undergone a subtle transformation. Recently, La Natsu Bell responsible person replied to reporters, one-stop, multi scene buyer shop La Chapelle+ is not La Natsu Bell's main business, the future La Chapelle+ shops will be reduced. Before that, in order to adapt to the upgrading of consumption, La Natsu Bell opened La Chapelle+ in Beijing, Shanghai and Harbin. From many shops to non major businesses, La Natsu Bell's attitude towards La Chapelle+ has gone through a reversal. Industry analysts believe that the switch La Chapelle+ will drag down La Natsu Bell's performance, and La Natsu Bell's problems are far more than the switch line stores, so inventory, design, brand influence has become the key to its development.

　 Marginalized

La Natsu Bell's attitude towards La Chapelle+ has undergone a subtle transformation. Recently, La Natsu Bell relevant responsible person replied to reporters, the one-stop, multi scene buyer shop La Chapelle+ will reduce the number of shops in the future, retain profitable shops and core strategic position. At the same time, the responsible person also said that La Chapelle+ is not La Natsu Bell's main business, nor will it become a way to optimize its offline channels.

It is worth mentioning that La Chapelle+ was La Natsu Bell's one-stop, multi scene buyer's shop in order to adapt to the upgrading of consumption. In 2014, when La Natsu Bell set up La Chapelle+ in Beijing, he opened 2016-2017 years in Shanghai and Harbin.

At that time, people in the industry said that the establishment of La Chapelle+ might be to balance La Natsu Bell's reputation in the first tier cities. And La Natsu Bell's brand leader also said in an interview in 2016 that consumers demand for buyer shops, and hope that La Natsu Bell will become the brand of keeping up with the times.

However, the attitude of La Natsu Bell has changed quite differently now. The other said that La Natsu Bell is currently focusing on high-value business and has a trade-off between his business and brand. La Chapelle+ has a very small number of stores and is not its main business.

Industry insiders believe that La Natsu Bell's attitude towards La Chapelle+ may be related to his performance. Earnings data show that in the first half of 2019, La Natsu Bell realized operating income of 3 billion 951 million yuan, down 9.78% compared to the same period last year, and net profit loss to the parent company was 498 million yuan, down 311.2% compared with the same period last year.

The announcement pointed out that the reason for the year-on-year decline in operating income was mainly due to La Natsu Bell's active implementation of a strategic contraction strategy. During the reporting period, he continued to optimize the direct channel under the line, closed down direct, inefficient and loss retail outlets to reduce the ineffective investment of resources. As at the end of June 2019, the number of retail outlets in La Natsu Bell was 6799, which was 2470 less than that at the end of December 2018.

Economist Song Qinghui pointed out that when La Chapelle+ was launched, it was in an experimental state. After operation, it found that it might not be able to achieve long-term profits, so it reduced investment.

　 Be in a dilemma

In fact, the switch of La Chapelle+ put La Natsu Bell in a dilemma. Insiders believe that the switch La Chapelle+ will drag La Natsu Bell's achievements. If we open a shop, La Natsu Bell's performance and brand appeal can not support the cost of La Chapelle+ and promote it in a large area. If it closes, it means that La Natsu Bell will abandon the store that consumes inventory, which will aggravate its inventory pressure and affect its performance.

Cheng Weixiong, general manager of textile and clothing management experts and Shanghai Liang Qi Brand Management Co., Ltd. thinks that La Chapelle+ stores also play a role in the company's image display to some extent. It is also a positive publicity for La Natsu Bell. But Song Qinghui pointed out that although La Chapelle+ is not the main business, closing stores will also bring some losses to La Natsu Bell's performance.

But regardless of whether to open a shop or close a store, the operation cost of a big shop is a problem La Natsu Bell must face. When visiting Beijing Commercial Daily reporter, we found that the area of La Chapelle+ stores is much larger than that of the normal stores. "Large shops need more staff, which virtually increases La Natsu Bell's operating costs." Insiders pointed out.

Data show that in 2014-2018 years, La Natsu Bell's stock has increased from 1 billion 327 million yuan to 2 billion 534 million yuan, while the stock account for 26.42% of the current assets ratio from 26.42% to 48.58%. If La Chapelle+ is turned off, La Natsu Bell will consume inventory.

Cheng Weixiong believes that if La Chapelle+ stores have perfect performance, La Natsu Bell will develop vigorously. Now the attitude of no investment shows that the performance of the store is not so ideal.

Yang Dayun, a fashion industry investor and excellent Italian CEO, said that as a big store, La Chapelle+ needs to invest more manpower and rents, and the flat effect of large business income is not distributed in single shops with different floors and locations. The already opened La Chapelle+ stores should be tentative.

　　 Brand transformation

"Although La Natsu Bell's performance and brand appeal can not support the promotion of La Chapelle+ in large scale, La Natsu Bell should really try to change." Industry analysts said, however, the channel is not the only problem facing La Natsu Bell, product design, brand appeal has become the key to the future development of La Natsu Bell.

Although La Natsu Bell said that he had set up a design team in his earnings report, he upgraded the product design through independent design and design studio cooperation. But in fact, La Natsu Bell's R & D investment has been decreasing. The annual report shows that in 2018, La Natsu Bell spent 110 million yuan on R & D spending, down 11.5% from the same period last year.

La Natsu Bell also said in a semi annual report that maintaining brand culture, brand value, brand style and other factors requires a lot of design and marketing, while facing challenges such as market positioning, pricing policy and trend. Zora Natsu Bell's failure to achieve the expected effect or adjusting in time according to the relevant resources may have a negative impact on his brand image and sales.

For La Natsu Bell's current situation, Cheng Weixiong said that when La Natsu Bell's main brand has no strong appeal and complementarity or complementarity among brands, it is not a good strategy for different location consumers to enter different store experiences.

"La Natsu Bell's stores are numerous, there are enough store samples for their data analysis, while La Natsu Bell is doing a good job of closing down the huge losses and cash flow negative stores, and analyzing and analyzing the advantages of La Natsu Bell's stores based on the different positioning and style of their brands, and establishing models and standards." Cheng Weixiong further pointed out.

Yang Dayun believes that La Natsu Bell should focus the limited resources on the exclusive brand, and enhance the possibility of the single store's Ping efficiency and breakout. Otherwise, the dispersion of resources may continue to cause the pressure of La Natsu Bell's cash flow to increase.