The "Wonderful Flower" Of The South Pole, Playing Brand Licensing All The Way To Hang Up

Do not be surprised when you see the Antarctic in warm underwear, children's clothing, home clothes and so on. When you see the nantas in diapers, auto supplies, bathtubs and other categories, do not be surprised, because the south pole is almost everywhere. Antarctic electricity supplier 2019 semi annual report shows that the company's operating income of 1 billion 634 million yuan, an increase of 32.44% over the same period, attributable to shareholders of listed companies net profit of 386 million yuan, an increase of 32.37% over the same period. The four top thermal underwear brands, the Antarctic, Yu Zhaolin, north polar and Heng Yuan Xiang, are all doing OEM business. Why are the southern people so successful? Can the OEM mode last?

The business model of the Antarctic has always been mixed by the industry. It is simply a "sell tag" mode. It takes the form of authorization from the production side and the sales side. According to the statistics of the website in 2018, there are 846 authorized manufacturers of the whole brand under Antarctic electricity supplier, 3427 authorized distributors and 4442 authorized stores.

　 Operation mode of Antarctic electricity supplier

Since the transformation of Antarctica into Antarctic electricity supplier in 2008, the core business has three main points:

One is the brand electronic business section, and the "Antarctic" brand is licensed to the front and rear ends: the production side + the sales terminal. There are hundreds of authorized suppliers at the production end. There are thousands of authorized distributors at the sales side. The Antarctic electricity providers use platform operation to provide services and management for the upstream and downstream businesses.

The second is the service business forum, which provides value-added services for hundreds of authorized suppliers and thousands of authorized distributors. For example, design services, commodity inspection services, supply chain financial services, etc.

The third is the electricity industry park section, more accurately called the "flexible supply chain e-commerce Park", mainly to integrate suppliers and distributors, and create a flexible supply chain for fixed sales, which is the future value of Antarctic business.

In the children's wear TOP50 (details: "2019 children's wear brand TOP50 power list released!" reveals the next consumption growth point of the industry) the southern children's clothing is 30, compared with other children's wear, it has an advantage in sales, but this business model is not pure. Some children's wear senior practitioners observed that children's pattern is "unhealthy" for the whole ecological environment of children's clothing.

How far can the south go?

First of all, from the business level, compared with the past, the current business model iteration of the Antarctic has been successful, from selling goods to selling brands and selling services. The current business model is one of the reasons for its success. The full operation of light assets has cut most of the investment in manpower and equipment and evaded many risks. Linking up the three core businesses is a typical gameplay of the retail + industrial ecological chain. These gameplay must be operated by platform operation and easy to produce large companies. At present, the Antarctic people are still concentrating on delegating more categories.

Nike, Adidas, Disney, PHILPS and other companies all extend their product lines through brand authorization. For example, Disney's brand licensing is very extensive, children's clothing, children's shoes, toys, stationery and so on are in its scope. Brand is a company's endorsement of goods is very important, the relationship between the authorized brand and the factory is mutually successful.

Secondly, a great part of the success of the present model comes from the accumulation of history. The reason why the "tag" of the south pole can be sold is that its initial brand effect is well done.

Before the transformation in 2008, the south polar people represented high-end thermal underwear brand, selling well all over the country.

In the ten years when the South Pole had just been established, they signed Ge You, Xu Fan, Andy Lau, Anita Yuen, Hai Qing and other star celebrities. From the commercial environment at that time, the Antarctic core grasped two points: smashing advertisements and spreading channels. This is the usual method of fast food and cosmetics, but it is rare in the clothing industry. From the results, the sales of the southern people are good, and this brand is also remembered by most people.

The pattern of the south pole has many disadvantages, and for the industry, it also has a certain "disruptive" effect on the market. In the short term, its business model has been successful. In the long run, if we only rely on the accumulated reputation and feelings in the past, we will not be able to afford the overdraft consumption because of the lack of strict control over the quality, poor brand management, arbitrary authorization and inadequate investigation.