Wang Baili Shoes

Brand, supply chain, channel, plus meticulous management, BELLE got rid of the embarrassment of manufacturing enterprises and became the representative of new manufacturing.

In May 23rd this year, Belle International Holdings Ltd (Hongkong, 1880) landed at HK $8.40 in Hongkong, and received HK $8.14.

According to the closing price of the day, its total market value reached HK $67 billion, far exceeding the Gome value of 38 billion Hong Kong dollars (Hongkong, 0493).

The number of women's shoes and shoes market Prime Success International Group Limited (Hongkong, 0210) is almost the same as BELLE international. It also adopts multi brand strategy to expand sales outlets, but it seems that it is difficult to compete with BELLE international on every item.

According to a report by China Merchants Securities in June 4th, the gross margin of BELLE international footwear last year was 56.1%, higher than that of wing en International (54%) and Lining (47.4%), and the inventory turnover rate of the company was 2.53, lower than the 3.40 of the industry average. The turnover days of receivables were 9.89 days, less than 15 days of the industry average.

Since 1981, Deng Yao, founder and chairman of BELLE international, founded Li Hua Shoes Co., Ltd. in Shenzhen, BELLE has made a fortune from footwear manufacturing and from retail channels, and has expanded to more than 16 brands. In the past 16 years, BELLE has broken away from the plight of Chinese traditional manufacturing industry and has become the representative of new manufacturing.

We have only one brand of BELLE (Belle) in the early 90s of last century.

An old employee who has worked in BELLE international for more than 10 years also remembers that he was working with Chairman Deng Yao and CEO Sheng Bai Jiao in a three bedroom one hall of a residential building in Shenzhen.

"But at that time, the two bosses had a strong sense of brand.

They believe that the price of leather shoes must be good if they want to sell them at a good price.

The brand awareness of BELLE has gone through the whole development process of OEM, making it intentionally break away from the manufacturing route from the very beginning and lay a high starting point with the brand.

In 2000, BELLE began to develop multi brand strategy, and then launched more and more brands.

At present, BELLE international has 2 licensed brands: BELLE, Teenmix, Staccato, other 6 brands, such as TATA, Jipijapa, and Bata.

In addition, BELLE international is also a distributor of Nike, Adidas, Reebok, Puma, Kappa, Mizuno, Levis and other sports casual wear brands.

According to statistics compiled by China industry and Enterprise Information Center (CIIIC), BELLE has become the number one brand in Chinese women's shoes for 10 consecutive years.

In last year's sales of the top 10 Chinese women's shoes, BELLE, BELLE, Teenmix, Staccato and so on, occupied 4 seats, of which BELLE ranked first.

"Every brand of BELLE has its own designer team. The style of each brand is centered on the main designer. Basically, each brand is designed independently, and no creativity will be shared between them, so as to maintain the independence of each brand style."

Li Yuanwen, chief designer of his brand, said.

Like other designers, she is the soul of her own brand design team.

When the design drawings of each brand come out, they will be taken to the annual order meeting. After receiving the order, they will be contacted by the brand department and the factory, responsible for placing orders and making up orders.

When the leather shoes are produced from the factory, the cargo Department will deliver the data to the operation departments of the brands. The operation Department will check the products and send data to the distribution centers located in the 10 major regions of the country.

In the regional distribution centers, BELLE international brand products began to assemble.

On the morning of the end of August, in the color TV Industrial District of Huanggang North Road in Shenzhen, reporters saw the freight cars punctually pulling goods, stacked with Nike, Adidas, Teenmix, BELLE and other brands of shoemboxes, they will be sent to shopping malls in Shenzhen.

"Yes, our distribution center is responsible for logistics and distribution for all brands and sports products of BELLE."

The manager of Southern China distribution center, Wei Zi, said that more than 3000 square meters of warehouses were stacked with BELLE, Staccato, Teenmix and Nike, Adidas and other BELLE brand goods.

In the logistics sector, BELLE, which has multiple brands, has begun to integrate resources in warehousing and logistics.

The second stop of BELLE's brand resources integration is to pack in the channel development.

Unlike AOKANG, red dragonfly and other leather shoes enterprises, the sales outlets of BELLE are mostly shopping malls.

"When BELLE enters a shopping mall, it usually brings four or five main brands together, and because their products sell well, they tend to gain the upper hand in negotiations with shopping malls."

A person in charge of the Department of investment promotion of Huarun comprehensive Co., Ltd., told reporters that BELLE is favored by middle and high-end department stores because of its multi brand advantages.

The design and R & D of goods and components, the independent management of replenishment and pfer of goods, the packaging and integration of warehousing logistics and channel development, and the orderly arrangement between sub companies, make BELLE maximize the integration of company resources and carry out multi brand operation at relatively low cost.

AOKANG, which sets BELLE as benchmark, currently has 4 brands, but still its brands operate independently.

Like AOKANG, most of the shoe companies, even though they have started many brands, are still unable to compete with BELLE's ability to integrate resources.

In the shoe industry, BELLE's business model is unique and adopts vertically integrated business models, including product design and development, production, marketing and promotion, distribution and retail. This mode enables BELLE to control the supply chain to the greatest extent.

Fast response and uniform rhythm are the supply chain elements of BELLE, which are similar to ZARA, Spain's largest clothing retailer. The latter's supply chain has become a classic case of business schools.

In the European shoe city, 24 West Guangzhou Railway Station, there are many leather shoes shops crowded.

Each shop is only eight or nine square meters, and each shop is called "stalls", which is often used to wholesale leather shoes.

On the two floor of Xingyuan's stalls, a curtain was drawn, and two people whispered in mysterious voices.

Through the gap, you can see a middle-aged woman holding a camera and shooting a beautiful picture book with many new shoes.

In this case, the leather shoes in every stalls are old ones. For these OEM manufacturers, the exclusive design is the core competitiveness and the source of high value-added profits.

So all the new shoes are hidden. Unless they come to old customers or big customers, they will pull up the curtain and let the customers secretly choose the pattern or style, then make the order.

Xing Yuan Xing Xing Yuan FA is one of the upstream suppliers of BELLE.

In addition to Xing Yuan FA, the shoes of Yongcheng shoes, egrets and other stalls in the European shoe city are BELLE's close cooperation with ODM suppliers, that is, they design styles for BELLE to choose, and then paste BELLE's brand sales.

Whether it is the European shoe city or the next world shoe city, the Guangzhou Railway Station area has gathered several large shoe cities, wholesale leather shoes for all parts of the country.

The stalls of these shoe cities are actually wholesale shops of leather shoes OEM manufacturers, which supply some large brands and operate some less famous brands themselves.

"Teenmix orders us every 4 seasons a year, ranging from hundreds of thousands to thousands of pairs."

Yongcheng shoe stall salesman Ceng Shilei said.

She picked up a pair of shoes marked "Teenmix", told reporters that this is a very popular summer style, the wholesale price of Yongcheng is about 100 yuan, 10 pairs of orders, shopping mall sold more than 200 yuan.

"Now that shoes are being produced in winter, spring ordering will be held soon."

Ceng Shilei said that BELLE would bring people to pick up their shoes before the ordering meeting for each season, then take the shoe samples to participate in the order meeting, and then place orders for Yongcheng after receiving orders.

Yongcheng's factory is close to BELLE's factory in Baoan District, Shenzhen.

In China's shoe industry, many brands are selling products by purchasing OEM or ODM manufacturers.

The most important sector is purchasing, that is, buyers. They need keen insight into fashion and have a good vision to judge the next season's trend.

However, BELLE's shoes are not based on OEM and ODM.

BELLE founder Deng Yao was a famous shoe designer in Hongkong in the 70s of last century. He saw the weakness of the domestic footwear industry in the frequent leather shoes trade with the mainland, so he emphasized the independent design in the early days of BELLE.

10 years of accumulation, BELLE's strong R & D capability is the engine of many brands to get high profits.

"Most of BELLE's leather shoes are designed and developed independently."

Li Yuanwen, her brand designer, said.

She recently quit from a famous brand shoe manufacturer in China. She thought that the management mechanism of the former owner was not suitable for R & D, while BELLE designed and developed it independently as one of the core competitiveness, giving her an appropriate space.

Each brand of BELLE has launched an average of 300~400 new shoes every quarter. Its design team is composed of designers and product development teams. They should not only grasp the fashion trends from various fashion exhibitions, but also determine the overall design concept based on past sales, market conditions and competition.

Why should BELLE take external sourcing as its main R & D is independent?

"If BELLE puts every season's design on its own designers, the risk will be great. If the market does not accept it, the goods will be smashed up."

A person familiar with BELLE's operations said.

Through outsourcing design, BELLE can not only guarantee its own research and development advantages, but also respond flexibly to market demand.

The drawings of BELLE brand's design team will take part in the annual internal orders of the 4 seasons. Each district will issue the first order according to the preferences of consumers in this area, including detailed product styles and quantities.

"A shoe from production to rack, the fastest there are more than 20 days."

Li Yuanwen told reporters.

In BELLE, the first order of any product is always 50%, and the rest is done through the form of supplementary documents.

When the first product is put on the rack, the product manager of each department will forecast the sales of the remaining 50% according to the sales situation and issue the replenishment order every week.

When the factory receives the replenishment order, it will prepare the raw materials as soon as possible and complete the production.

Designers will continue to play an important role in the subsequent 50% production. When the first batch of goods is put on the market, the designers of each brand will come to the front line personally to see why the shoes are salable and unsalable, and then make changes to meet the market demand.

"When the order is up to 50%, the rest is completed through the form of complements, which is more demanding for the factory. Its production goal is no longer efficient and low cost, but rather fast completion of multiple brand and small batch replenishing orders."

Sheng Bai pepper said.

In order to strengthen its ability to control and control the supply chain, BELLE began to establish the new Belle Industrial Park in Baoan District, Shenzhen from 2006. The total annual capacity is expected to reach 15 million pairs.

"Whether we build factories or establish industrial alliances, we must grasp production in our own hands."

BELLE's CEO Sheng Bai Jiao once warned Wang Zhentao, chairman of AOKANG Group Co. Ltd., that he thought all production outsourcing was too bad for sales and could not control the time of shelves, but fashion products could only be sold as salted fish in season.

After the production of the goods from BELLE's factory, the company maintained its uniform rhythm to the distribution centers in various districts.

"Every morning, the goods are delivered to the distribution center from the factory on time. At about 11 o'clock, the goods in Shenzhen are issued from us. At night, the goods are distributed to other cities in Southern China, and arrive at the sales outlets in the morning on the second day."

Wei Zi, BELLE Southern China distribution center, told reporters.

As a matter of fact, goods have been distributed in factories. The goods in the field will be directly distributed to the distribution centers in various districts, and the distribution centers in major districts will be distributed to the distribution centers of various cities again.

And Nike, Adidas and other sports brands are sent to BELLE's distribution centers on their own, and then unified the provision time.

Despite the fact that BELLE has more than 4000 sales outlets, it can maintain a light and flexible market response capability. Its self dominated channel and the close combination of its products department are the secrets of BELLE.

In the BELLE counters at Beijing Blue Island Shopping Mall, the first thing that Miss Tian does is to open the computer to check the system and find out what new products the headquarters will provide to her counter.

"Sometimes two or three pairs, more than more than 10 pairs, every day there are new products, in the computer can be clear at a glance."

She said.

Like the blue island mall, the BELLE cabinet all over the country can see the sales of each shoe through the information system.

Sun department store in Shenzhen