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    The Newly Rising Domestic Clothing Brand: More Than 9000 Stores Closed, This Year Double 11 Sold 1 Billion

    2019/11/14 11:00:00 15

    Bosideng

    As the first category of Tmall platform, the well-known fashion brands have been the focus of public attention after the "double 11" campaign. According to the data released by Tmall platform: in the first 2 hours of the "double 11" opening in 2019, 45 clothing brand transactions broke through the 100 million yuan mark, of which, in the 16 minutes, UNIQLO broke through 500 million yuan, and became the fastest clothing brand in the apparel category, breaking through 1 billion yuan, and continued to lead the whole clothing category. In the domestic clothing brand, turnover has exceeded 100 million yuan, but turnover volume can exceed 1 billion yuan is not much. From the data released by the major domestic clothing brands, Semir has broken through 1 billion in 6 hours and 36 minutes, and Boston has sold more than 8 hundred million of its total network sales throughout the day, and the total sales of the whole channel exceeded 1 billion. In addition, the Pacific bird's daily trading volume reached 917 million yuan, close to 1 billion. In the past 11 years in the past two years of activities in the splendor of Hai Lan's home, this year did not announce the specific transaction data.

    According to the data of the double 11 clothing category this year, the number of domestic clothing brands that sold more than 100 million yuan on that day may exceed 30, but the domestic clothing brands that sell more than 1 billion yuan that day will not exceed 5. In the middle, Bosideng, which takes the down garment as its main business, can break through 1 billion yuan in total channel sales on that day, and has achieved an increase of more than 200% over last year.

    On the other hand, the annual turnover of the major garment brands in the double 11 reflects the status of the major garment brands in the industry to a certain extent. And Bosideng, whose sales volume exceeded 1 billion yuan, is clearly once again ranked among the first line brands of domestic clothing. And Bosideng before this achievement, in fact, like the sports shoes and clothing brand Lining, in the past few years, experienced life and death robbery, from subversion to decline, now it is a rise again.

    Bosideng group was formally founded in 1976, led by the founder of Gao Dekang, 10 farmers, started with 8 domestic sewing machines. In the first few years of Gao Dekang's pioneering work, he actually worked as a small workshop and could only support his family. By the 80s of last century, with the advent of reform and opening up, Gao Dekang's small workshop has also been upgraded to a garment processing factory, and began to do garment foundry for other brands.

    After more than ten years of foundry, accumulated experience and original funds, by 1992, Gao Dekang officially founded Bosideng brand and entered the down garment industry. In the first three years of Bosideng's brand establishment, it was not plain sailing. In the early stage, the sales volume was not opened, and the overstock of inventory was too much, and it was once on the verge of bankruptcy. It was not until 1995 that Gao Dekang introduced the concept of fashion design to the down garment industry that he changed the trend at one fell swoop. At that time, he sold 650 thousand down coats and became the number one in the down jacket industry at that time.

    From 1995, Bosideng ushered in the development period of more than 10 years, and firmly occupied the throne of China's down jacket sales champion. Bosteng, at its peak, once produced 1/3 of the world's down garments. Then in 2007, Bosideng was listed on the Hongkong stock exchange. After listing, Bosideng chose to transform from a single down jacket category to men's wear, women's wear, children's wear and other categories, and began to shop under the nationwide crazy expansion line.

    From Boston's earnings data over the years, Bosideng had more than 14000 stores in the country in 2012, and the clothing category expanded from the down jacket to all kinds of casual wear. However, the huge offline stores also mean more cost, and no longer focus on the bostdown of down garments, which is also not competitive enough compared with other clothing brands. Therefore, since the 2013/2014 fiscal year (March 2013 -2014 March), Bosideng performance began to decline. Revenue declined from 9 billion 325 million yuan to 5 billion 787 million yuan, and net profit dropped from 1 billion 437 million yuan to 132 million yuan. From the first-line clothing brand began to fall to the two or three line clothing brand.

    Constant decline in performance, but also let Gao Dekang begin to reflect. In 2017, Gao Dekang led Bosideng to transform again, and this transformation is actually focusing on the main business of the down jacket and shrinking the diversified development. Also from 2017, Bosideng's performance gradually began to pick up. In the 2018/2019 fiscal year (March 2018 -2019 March), Bosideng's performance improved to 10 billion 330 million yuan, and realized a net profit of 981 million yuan, of which the revenue from down jacket reached 7 billion 657 million yuan, accounting for 73.7% of total revenue. It once again came back to the first line brand of domestic clothing (the annual sales of domestic garment brands exceeded 10 billion, and now less than 5). By the end of March 2019, the total number of stores in Bosideng was 4628. Compared with more than 14000 stores in 2012, more than 9000 stores were closed.

    From Bosideng's journey, we can also find that diversification is a double-edged sword for enterprise development. If successful, it can expand the scale of enterprises rapidly, but if it fails, it will even drag down its main business. If we change the train of thought, if we break through the main business again, perhaps we will welcome another landscape. Today Bosideng is constantly breaking down the down garment market. Besides the original Bosideng brand, it also launched two brands of snow flying and ice cream, and began to exert itself in the market of middle and high end down garments.

    Source: Internet old stick

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