Attention: Red Dragonfly, An Old Shoe Enterprise

At the end of the year and at the beginning of the year, red dragonfly, an old shoe and footwear enterprise, has made continuous personnel changes. Is this paving the way for enterprise transformation and the second generation succession?

In recent years, the domestic leather shoes industry as a whole is in recession, and the performance of red dragonfly has also declined. Can Qian fan, the newly appointed young president and the son of the company's founder, lead Red Dragonfly into a new world?

Personnel exchange

This is a large-scale personnel change of Red Dragonfly since its listing in 2015.

On February 2, the company announced that Fang Xuanping, Xu Zhihong and Wang Jianbin, three vice presidents, submitted resignation reports. Fang and Xu had reached retirement age, while Wang was due to work arrangement.

From the personal resume, the above three executives are all old people of Red Dragonfly (603116. SH), who have served in the company for about 20 years. Among them, Fang Xuanping is 66 years old and Xu Zhihong is 61 years old.

At the same time of announcing the resignation of three senior executives, the company appointed yuan Zhiyong and Cheng Weixiong as vice presidents. This is a bold attempt of red dragonfly to introduce external talents after listing.

Yuan Zhiyong worked in Huawei, ZTE and other companies, and later entered the footwear industry. He served as vice president of Qipai fashion and zhuoshini shoes respectively.

Cheng Weixiong is a person in the clothing industry. He has worked in Meibang clothing for 13 years. He is Zhou Chengjian's right arm. After leaving Meibang, he joined bosden International Holdings as vice president. After that, he resigned and founded Liangqi brand management company, focusing on brand management of textile and garment enterprises.

The above two professional managers have joined the company in January 2019 and September 2020 to assist the president in strategic operation management and marketing management respectively.

At the end of 2020, before this wave of personnel changes in important positions, Qian Jinbo, the company's founder, applied to resign from the position of president, concentrating on performing the duties of the chairman and handing over the position of president to Qian fan. Qian fan, the son of Qian Jinbo, is only 34 years old.

It is understood that Qian fan went to the UK to study in high school. After graduating from the business management major of Glasgow University in 2011, he did not enter the family business for the first time, but chose to work in an investment company in Shanghai.

After only a year at the investment company, he returned to red dragonfly. Like most inheritors of family businesses, Qian fan has successively worked in design, R & D, procurement, sales and other departments in order to fully understand all aspects of enterprise production and operation. After 2018, he stepped into the senior management position, served as vice chairman and vice president, and began to prepare for the succession.

Red dragonfly is a leather shoes production and marketing enterprise with a history of more than 20 years. Qian Jinbo, the founder of the company, is 57 years old and has not yet reached the retirement age. But he wants his son to get involved in the management of the company early, bringing new vitality and new ideas.

The epidemic situation in 2020 has brought a huge impact on red dragonflies. In a few days, all 4000 stores across the country were closed, and Qian Jinbo stayed up all night. The company urgently launched the "Dragonfly battle" and set up an online sales system. Qian fan was ordered to act as the commander-in-chief. From full online marketing to arranging father's live delivery, Qian fan won the trust of the company with this campaign.

Affected by the epidemic situation, in the first nine months of 2020, the operating revenue and performance of Red Dragonfly decreased significantly year on year. However, it is not easy for the company to maintain profitability.

Youth transformation

However, what can not be ignored is that, at the moment of great changes in internal and external economic environment and consumption trend, as an old brand leather shoes enterprise, red dragonfly is facing severe challenges.

Rich bird bankruptcy, Bailey delisted, Daphne sharply reduced the front line Domestic leather shoes enterprises are in a state of Ailong. In the face of the general trend of the industry, red dragonflies can not be alone.

The company's revenue scale has been declining for many years, and the net return to parent company has dropped from 382 million yuan in 2017 to 131 million yuan in 2019.

There seems to be no better way to deal with it, even though the company has a lot of money.

In 2015, red dragonfly was listed and raised nearly 1 billion yuan, which is planned to be invested in the construction of marketing channels and the improvement of information system. However, the progress of the project construction is slow, and the accumulated investment is only 166 million yuan until 2020. The huge amount of raised funds can only be used for financial management every year. In June 2020, due to changes in the market environment, the company announced the termination of investment projects with raised funds. At this time, there are still 800 million yuan of raised funds.

With his son Qian fan on the senior management post, Qian Jinbo has deliberately retired behind the scenes. "As a founder, I have to consider how to support young people, how to let my son take this class and let him go to the front desk. I just work with him."

Qian fan has his own understanding of the current difficulties faced by the domestic leather shoes industry. In his opinion, the shoe industry is shuffling and transforming, sports and leisure styles have affected the trend, but leather shoes are still an indispensable category. "From another point of view, in the big reshuffle can survive and live a good shoe enterprises, must have a better foundation."

At present, Qian fan is leading the younger transformation of red dragonfly, and improving consumers' new understanding of red dragonfly.

In an interview with the media, he said that after focusing on young consumer groups, the company's strategy has become clearer and has decisively cut down many unrelated categories. In the past quarter, there were nearly 2000 SKUs, but now they have dropped to about 600.

In terms of sales channels, the company has transformed from traditional street shops to shopping centers, and accelerated the digital transformation of all channels. The frequent appearance of the founders in the live room shows the company's determination to transform its channels.