How To Fight Against Ali'S "One Yuan Store"?

"Listing is the beginning, not the end." It is a vivid portrayal of NYSE: MnSO, which has been on the market for less than two weeks.

Recently, a famous brand of foyeh's fingernail was recalled to pay more than 10 yuan for a famous brand in France.

"Mingchuangyoupin is now a listed company, and any small thing will be magnified or concerned by more people, so I think we need to redefine quality again." As soon as the founder of the company has set up a "quality protection fund", the company can immediately launch the "quality protection fund" in the name of "2.7 billion yuan of consumer protection".

10 yuan per bottle, compensation recall is 100 yuan per bottle. "Frankly speaking, if I take 100 million yuan at once, my heart is still very painful, but I can't do it." Ye Guofu said frankly that the two things that worried him recently were Ali's massive march into the "1 yuan store", and the other was quality control.

On the same day, ye Guofu specially wore a pair of polished new leather shoes, "I didn't even wear them on the day when the bell rang, but today I specially wore them, representing a new beginning."

Ten times compensation for reputation

Founded in 2013, mingchuangyoupin is a private brand comprehensive retailer mainly engaged in selling daily necessities. At present, its products cover 11 categories, including living home, electronic appliances, textiles, bag accessories, beauty tools, toy series, color make-up, skin care and care, leisure food, perfume, stationery and gift, with a total of more than 8000 core SKUs.

On October 15, this year, mingchuang Youpin officially landed on the New York Stock Exchange with a price of $20. It issued a total of 30.4 million ads shares, together with over allotment rights, with a market value of $6.992 billion. With the listing of the company, every move of famous and excellent products, especially the quality control problem, has aroused the attention of the outside world again.

Prior to this, Shanghai Drug Administration disclosed that a "one-step peelable nail polish" produced by mingchuangyupi was unqualified. The content of trichloromethane was 589.449 μ g / g, more than 1400 times of the national standard limit of 0.40 μ g / g. after re inspection by Shenzhen Institute of drug control, the result was still unqualified.

After the news came out, it immediately triggered hot discussion, many consumers began to doubt the quality of its products. After all, it is not an isolated case that the quality problems of famous and excellent products are exposed. In April this year, the label "miniso after rain jasmine perfume (sky garden)" (specification: 30ml, batch number: a181816) produced by Shenzhen yuehualong Cosmetics Co., Ltd. was inspected by Guangzhou Institute for drug control, and the test item was diisooctyl phthalate (DEHP) did not meet the requirements. In June, the Shanghai Municipal Administration of Market Supervision announced that a "kakao friends" single ear Apple bowl, which was sold by the nominal famous creative products, was detected to be unqualified for melamine migration.

"On the one hand, the special fund is launched from the protection of consumer rights and interests and internal supervision of famous and innovative products, and on the other hand, it also wants to remind employees to always put quality assurance first." As for how much additional costs the above series of quality control measures will increase and how much impact it will have on the company's gross profit margin, ye Guofu said, "there is no detailed calculation for the time being.".

According to the prospectus, in the fiscal year 2020 (from July 2019 to June 2020), mingchuang Yipin achieved a revenue of 8.98 billion yuan, a year-on-year decrease of 4.4%; its gross profit was 2.732 billion yuan, with a year-on-year increase of 8.8%, and a gross profit margin of 30.4%, but a net profit loss of 260 million yuan.

"I hope Ali can do well"

With the rise of pinduoduo and other social e-commerce companies, consumption stratification is becoming more and more obvious. While affordable goods are in vogue, their quality problems have become an unspeakable "hard injury" for consumers.

Duan Xiaoxia, director of the consumer goods testing center of Guangzhou inspection, testing and Certification Group, suggested that in the process of production, enterprises should first deepen their understanding of the relevant standards and produce in strict accordance with the requirements of the standards; second, recommend the use of group standards higher than the national standards to strengthen the competitive advantage; third, strengthen the control of raw materials to control the problems at the source; and fourth, deal with the OEM well Relationship.

"In addition to meeting the requirements of customers, the OEM should also produce in strict accordance with the requirements of the implementation standards, and strengthen the management in the aspects of raw material selection, standard application, process control, factory selection, and finished product acceptance." In addition, Duan Xiaoxia also mentioned that in order to deal with the relationship between fashion and quality, in terms of product function publicity and pricing, enterprises should take into account the balance among quality, function, brand and price.

Dou Na, executive vice president of mingchuangyoupin Commodity Center, told reporters that at present, mingchuangyu products have three major selection criteria for suppliers: they must be the top suppliers in the industry; they should have at least 10 years of industry experience in the professional field of the industry; and they must hold the supply orders of International and domestic brands for a long time.

On this basis, famous, innovative and high-quality products use the mode of mass direct purchase to keep the purchase price as low as possible. At the same time, through the means of product buyout and settlement in the current month, the negotiation power with suppliers is enhanced.

In recent years, the "affordable and high-quality" track where famous and innovative products are located has been favored by many social capital. In addition to the famous and innovative products invested by Tencent and Hillhead, Guangzhou NOMI invested by today's capital, KK group led by CMC, and Cosmetology collection shops, which are very popular in recent two years, are all competing for this cake.

Even Ali joined the war. On October 9, Taobao launched its first "1 yuan more fragrant experience store" in Shanghai, officially announced its march into "one yuan store". It is reported that the "1 yuan store" is a part of the "factory goods window plan" jointly created by Taobao special price edition and industrial belt merchants. It selects goods from 1.2 million merchants in the industrial chain and sells them in the form of 1.0 yuan.

In this regard, ye Guofu said: "Ali to do 1 yuan shop, 3 years to open 1000, to ensure that the quality can not have problems He revealed that in order to reduce the product price to below 10 yuan, mingchuang has more than 1000 people doing this work, and it is very difficult to do it. "I am very worried about that if we want to make high-quality products with RMB 1 yuan, I have been expecting it to open shop as soon as possible, and I will study hard."

Restart overseas expansion

In the first half of the year, affected by the epidemic situation, the goal of opening new stores for mingchuang high-quality products was once blocked, and its stores in overseas markets were closed by more than 20%. Since the second half of the year, famous and innovative products have increased the expansion speed of overseas markets, and recently opened new stores in Canada, the United States, Nigeria, India, Colombia, France, Cambodia, Saudi Arabia and other countries.

On October 20, the first store of mingchuangyu was officially opened in Paris, next to the store of laofoye. It is reported that more than 80% of the store's commodity prices are below 10 euro, and the daily turnover has exceeded 100000 yuan since its opening.

Ye Guofu told reporters that at present, the consumer groups of Paris stores are mainly foreigners. In his opinion, although European countries have different consumption habits, due to the calculation in Euro, the unit price per customer is relatively high, which ensures the profits to a certain extent. In terms of pricing strategy, the retail price of overseas stores will increase freight and tariff on the basis of domestic retail price to ensure the brand concept of "low price and high quality".

According to the prospectus, the United States and Europe are the regions with fast growth in revenue in the past two years. In the fiscal years of 2019 and 2020, the revenue of mingchuangyu products in the American market increased from 11.2% to 13.6%, while that in the European market increased from 1.3% to 1.9%. Currently, in addition to the domestic market, Southeast Asia has the highest revenue share, accounting for 15.9% of total revenue in fiscal year 2020.

However, ye Guofu also admitted that famous creative products also face many challenges abroad, "especially how to accurately grasp the consumption trend of each country, which I think is a major task to be done now."

Previously, ye Guofu adjusted the plan to open stores in 2020, raising the original goal of 600 new stores in the world to 1200. Regarding the latest development of the store, ye Guofu did not disclose specific figures, but only said: "the company was greatly affected by the epidemic in the first half of the year, but it started to open stores again in June and July. At present, the opening speed is relatively fast."

Although the operation of offline stores in the first half of the year was affected to some extent, ye Guofu said that the development of famous and innovative high-quality products will still adhere to the offline based, online supplemented. He said that at present, the company has official stores in tmall and Jingdong, and at the same time, it has o2o business. Next, it will do online with the greatest ability, but will not "burn money" to expand online.

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