Bosideng: Striving For The "HUAWEI" Of China'S Down Jacket

Bosideng vows to be the best brand in the world. Recently, Gao Dekang, chairman of the board of directors of Bosideng, expressed the hope that Bosideng will be the "HUAWEI" in the Chinese down jacket brand. Although Bosideng and HUAWEI are two brands in different fields, there are still many similarities in development. At the same time, after returning to its main business, Bosideng has been focusing on the development of the domestic down garment industry, and has different repercussions in terms of market reaction, earnings and share price.

According to the insiders, Bosideng has returned to its main business in recent years, and its development momentum is stronger. Although Canada's goose and other foreign down clothing brands continue to enter the competition in the Chinese market, Bosideng still sits firmly in the position of domestic down jacket.

Boarded the "Mount Everest"

Gao Dekang, chairman and President of Bosideng group's board of directors, said he hoped that Bosideng would be the "HUAWEI" in the Chinese down jacket brand. This brand, which was born in 1976, is a domestic down garment brand. In the past 43 years, it has focused on the research, design and manufacture of down garments. In 1995-2018 years, Bosideng has won the title of China's down jacket sales for 24 consecutive years. In 1998, Bosideng down jacket went to the north and south pole along with the Chinese expedition team. In the same year, it reached the Mount Everest with the Chinese science and technology team.

"May 24, 1998 is a day that is worth remembering forever in Bosideng's development." Gao Dekang recalled in the recent "summit" series press conference. That is the day when the Chinese mountaineering team members fixed the "Chinese Boston climbing team" team flag and the metal card with "Bosideng ranks first in China and challenged the world famous brand" on the Mount Everest item, and from that moment, it achieved the first brilliant achievement of Bosideng in 24 years.

It is worth mentioning that Ren Zhengfei also talked about the ideal of HUAWEI is to climb the Mount Qomolangma. "HUAWEI should strive to achieve advanced technology and provide the most sophisticated service for mankind."

"Bosideng and HUAWEI are both domestic brands, leading in their respective industries, and have wide popularity in the world, and both sides attach great importance to independent research and development." Insiders pointed out.

Laurence, the winner of the world sports prize, agrees with Xia Boyu. He commented on the "Dengfeng" series products launched by Bosideng: "Dengfeng" series condenses Bosideng as the leader of the industry, and the top technology in the manufacture of down garments has reached the top match of the industry.

According to the introduction, "Dengfeng" series of down garments are made of velvet, GORE-TEX fabric and space nano insulation materials of 43 degrees north latitude, which are made of 489 steps by using cutting-edge technology and technology such as honeycomb solid filling, waterproof glue pressing and RECCO life detector.

Not only the "Dengfeng" series can withstand the test, Bosideng every down garment can pass three extreme tests: 24 hours, zero 30 degrees C extreme cold test, 15000-20000 friction test, 10000 zipper slip test. The 480+ of the down jacket is the entry level, and Bosideng can reach 800+. At the same time, the percentage of cashmere down clothing has increased to 90%, which is higher than the national standard. Gao Dekang said: "in the future, Bosideng will have to go higher in product quality, design and marketing."

In this year's "double 11", as "the world's hot down eider expert," Bosideng, on the "double 11" day, Bosideng Tmall flagship store also broke 7 billion yuan in 78 minutes, achieving sales of 414 million yuan in 78 minutes. HUAWEI, a private enterprise, is constantly strengthening its brand image and promoting brand upgrading in the face of severe market competition. Data show that HUAWEI and glory two brands Tmall "double 11" total sales volume is more than 1 billion yuan.

The sale of "double 11" is only another concrete manifestation of Bosideng and HUAWEI domestic brands on the development of "Mount Everest". Although already boarded the "Mount Everest", but in the new era of international competition, the domestic brands still have a sense of hardship, with the bottom line thinking of "preparing for the worst and working towards the best interests", breaking through the bottleneck and surpassing themselves.

　 Breaking cocoon Butterfly

For the development of Bosideng, the industry analysis said: "Bosteng began to return to the main industry in recent years, adjust the strategy, and has made a good response in the domestic and foreign markets. This is Bosideng's confidence to cry out the most solid backing of HUAWEI in China's down jacket, and is also a deep description of Boston's constant climbing spirit.

Bosideng, from its brand creation to its brand growth, has undergone many twists and turns, but has been changing from strategy to maturity. The development of Bosideng is also a microcosm of the history of Chinese made garments. In the second half of 90s, China's per capita GDP rose rapidly, and the garment industry accelerated growth stage. With the rapid development of garment industry, garment enterprises are listed on the market. In 2004 06, Lining went public; in July 2007, Anta landed at the Hong Kong Stock Exchange; in September 2007, Bosideng was listed on the main board of Hongkong; December 2007, Ruyi group went public; 2010, Hinur went public; 2011, Semir apparel went public.

By 1998, Bosideng had a total sales volume of 2 million 200 thousand in three years. From 1995, "bostang gave your family the warmth", to 1996, "Bosideng makes the four seas become a brand" brand image. In 1998, Bosideng aspire to "create a world famous brand and enhance national ambition". After that year, Bosideng doubled its speed.

In the 1998-2001 year, Bosideng began to develop a multi brand strategy plan, and gradually set up a number of price band brands, such as snow flying, ice cream and KangBo, to expand the wider consumer groups. And has won the honorary title of "world famous brand" issued by the AQSIQ many times. At that time, 1/3 of the world's down garments came from Bosideng.

In 2008, Bosideng began to try to expand its four seasons, and opened a four year fashion store in September of that year. In 2010, Bosideng officially launched the operation of four seasons and diversified brands. In 2012, Bosideng invested 300 million yuan to open flagship stores in London, and at the same time, to promote sales in the domestic market. However, as the domestic market is changing rapidly, Bosideng also needs to keep pace with the times.

In the fiscal year of 2017/2018, Bosideng began to adjust its strategy, announced the return to its main business, and put forward the overall strategy of "focusing on the main channel, focusing on the main brand and diversifying". "Focus on resources to rebuild the brand of Bosideng, and continuously enhance brand influence and brand potential energy." Gao Dekang pointed out.

Data show that Bosideng's revenue in 2015/16 fiscal year is only about 5000000000 yuan, and in the 2018/19 fiscal year, the sales volume of Bosideng down garment business has exceeded 10 billion yuan, and its profit has reached 981 million yuan, an increase of 16.92% and 59.44% respectively over the same period. This year, Bosideng share price has soared more than 170%.

Yang Dayun, a fashion industry investor and excellent Italian CEO, pointed out that Bosideng, as a leading enterprise in the domestic down garment industry, began to pick up its performance since 2016. In view of the current layout of the Chinese market by Moncler and Canada Goose, the ceiling of the domestic down garment consumption market is further opened, so Bosideng aimed at the 1000-1500 Yuan middle and high end down garment market, which is still at a blank stage, and increased the proportion of the products in the group, thus gaining market recognition.

　 Opportunity > challenge

According to the China Apparel Association data, the market size of China's down garment industry reached 118 billion 300 million yuan in 2019, an increase of 10.77% over the same period last year, and 11.29% in the five year CAGR. With the upgrading of consumption and the change of consumption concept, young consumers who pursue fashion and quality have become the mainstream of clothing consumption market. As a fashion item, the frequency of consumer purchase has increased. It is estimated that by 2022, the market size of China's down garment industry will reach 162 billion 200 million yuan, and the CAGR will be 8.21% in the next four years, and the annual growth rate will be more than 10%.

As the market continues to expand, the down jacket competition is more intense. There are not only professional feather clothing brands such as duck, Yalu and Eral, but also brand names like UNIQLO, GXG, JACK&JONES, ONLY, Taiping bird and so on, and also include overseas professional feather clothing brands such as Moncler and Canada Goose.

The industry believes that the domestic down garment market will remain fierce competition for a period of time, which also makes the down garment manufacturing companies gradually develop into branding, and the leading market share of the industry will further improve. Unlike Moncler, Canada Goose, etc., Bosideng product prices range from 1000 yuan to more than ten thousand yuan, providing consumers with more choices.

In addition, because of the increasing attention of consumers to the fashion and high-end of down garments, the brands of Bosideng and other down garments have begun to promote their products while maintaining their functionality. They also make the feather down to the trend of leisure and fashion, and continuously enhance the fashion taste of the industry.

In September 2018, Bosideng first appeared in New York fashion week as an independent brand. In October of the same year, Bosideng collaborated with three leading international designers to launch a new joint series. In 2019, Bosideng released three new series of "extremely cold, starry sky and vast land", combining art with down jacket, and boarded the fashion week in Milan. As soon as the joint names were launched, they were not only sold out online, but also in short supply.

Insiders pointed out: "more and more domestic brands have entered the international fashion week, but few have been promoted through the international fashion week. One of them is Bosideng. To a certain extent, this can help Bosteng to feed the domestic market and enhance the brand value, so that Bosideng can truly base itself on the domestic market, and at the same time, it will also accumulate strength for expanding the foreign market. In the future, Bosideng is bound to become the world's Bosideng.