I. Overview
In the first half of 2020, the sudden epidemic made the global retail industry, including the clothing industry, face great challenges and tests. Unde that strong leadership of the CPC Central committee,
The situation of epidemic prevention and control in China has continued to improve, the production and living order has been accelerated, the consumer market has continued to pick up steadily, and consumers' willingness and confidence in consumption have gradually increased. 202
From June to June, 2000, the total retail sales of social consumer goods in China was 17.23 trillion yuan, a year-on-year decrease of 1 1.4%, which was 7.6 percentage points narrower than that in the first quarter. Among them, commodity sales were stable.
Answer the phone. In June, the retail sales of commodities basically recovered to the scale of 3 trillion yuan in the same period last year.
Cultivate new machines in the crisis and open new machines in the changing situation. In the first half of 2020, the company will accelerate the reform of retail structure and omni-channel around "all consumer-centered"
The layout of retail ecology, strengthen cash flow management and financial risk control, further strengthen digital construction, and create an agile front desk, a stable middle desk and an efficient background.
Operation system, promote the continuous innovation of business model and operation management ability.
(1) Joint stock companies
1. Company-level core operational capacity building
In the first half of 2020, the company carried out a series of construction work around the company-level core operating capabilities. On the basis of ensuring the advantages of the core categories of clothing,
Actively explore multi-category expansion opportunities; Pay attention to connecting consumers with brand value proposition; Create value perception with innovative design and scientific and technological materials; Consumer-based global elimination
Fee trip, defining global operation rules, creating a complete retail experience and delivering unified experience value to consumers; Establish an innovation-oriented research and development model to maximize innovation.
Create brand value and enhance user experience. At the same time, the company continued to build and optimize supply chain centers, new retail centers and digital operation centers to promote the reform of flexible supply chain.
Reform and omni-channel retail operation capacity building.
2. Maintain the health of upstream and downstream ecosystems.
Promotion.
3. Digital architecture
In the first half of 2020, the company continued to promote the construction of digital projects such as integration of industry and finance and supply chain system. Link data of foreground users and background core resources at the same time.
The business center is also constantly advancing, providing more flexible support for the ever-changing and innovative front-end business development needs, and improving the efficiency of digital retail operations in stores.
4. Organizational construction and talent development
The company continues to implement the three-year human resources development strategy, through the establishment of middle-level and front-office organizations, as well as the construction of multi-level and diversified incentive assessment mechanisms and
Improve customer empowerment, support the company to achieve its annual development goals, and continuously optimize the organizational structure, optimize the matching of people and posts, and establish talents in line with business strategies.
Plan, establish and improve the evaluation system.
The company continues to strive to build the best employer brand, further strengthen the construction of corporate social responsibility and enhance employee satisfaction.
(2) Casual clothing business
1, promote the flexible supply chain transformation project.
In the leisure clothing business, the company continues to promote the reform of flexible supply chain, and controls the production and sales of goods accurately and quickly through visual production data.
Improve inventory efficiency. Facing the epidemic situation, the company reduced its inventory risk by stopping some orders in the flexible supply chain and reducing and placing futures orders in batches.
At the same time, the fast reaction products in the flexible supply chain supplement the retail demand. In the future, the company will continue to reform the flexible supply chain, reduce the proportion of futures and improve the efficiency of inventory turnover.
Rate.
2. Upgrade categories and build commodity pyramids
Material technology, function and wearing experience to improve the supply of functional fabric products; Upgrade product categories, seize the high-frequency life scenes and dress needs of new youth, and provide full
Be "punctual"
"Non-working time" value items required for various life scenes; Build a commodity pyramid to provide different products for people with different needs; Continue to focus on the research and development of shoes and shoes
Product research and development are highly integrated with clothing fabrics, style design and collocation to create the ultimate single product of Samma DNA.
3. Promote the business model reform of service providers.
At the moment when people, goods and markets are being rebuilt, Mason brand is constantly adjusting its products according to new consumer groups, new information dissemination channels and new category opportunities.
Brand growth strategy, embrace new retail in an all-round way, and grasp the incremental opportunities brought by global operation. By perfecting the omni-channel retail strategic layout and developing community marketing,
Establish private domain traffic. At the same time, Mason brand shifted its promotion focus to online platform, focusing on promoting the marketing expansion of live broadcast platform, establishing brand live broadcast room and creating output content.
Significance and brand live broadcast standards, launch the 100-city KOL plan, and empower KA customers.
(3) Children's wear business
1, consumer-centered, global brand upgrade.
The company's children's wear brand Balabala has ranked first in the domestic children's wear industry for many years in a row, and its leading position is stable. The company's own brands such as Mini Bala and Makale, and the joint venture brands tree and TheChildren'sPlace are all in different stages of development, and the multi-brand matrix of children's wear plate has reached a certain scale. In the first half of 2020, the business of children's wear sector will focus on consumers, reshape the brand, clarify the new positioning of the brand, upgrade the global brand, and build a multi-brand matrix of children's wear sector covering all categories, all ages and all consumption levels.
2, insight into consumers, differentiated innovative products
In product research and development, every children's brand builds product innovation around brand value and differentiation. Among them, Barabara brand combines the world's cutting-edge fashion trends and designs.
Like Little Octopus and its series of products, as well as the launch of Frozen, Wang Wang Team, Make a scene in Heaven, Dunhuang Museum and Van Gogh Museum.
Well-known IP cooperation products. Macale brand cooperates with supply chain partners to launch antibacterial fabric products to provide children with environmentally friendly, safe and high-quality products.
3. Promote global brand management.
Barabara brand deepens the global retail operation ability, optimizes product mix, consumer communication strategy and purchase conversion channels according to consumer portraits, and serves every consumer.
We provide differentiated and personalized lifestyle products and services. In the physical retail channel, brands will provide consumers with space for children's lifestyle experience, including launching brands.
Brand-new lifestyle shop model, and community parent-child space ParkbyBalabala which embodies Balabala's children's lifestyle concept. Channel structure and resources continue to tilt towards pan-shopping centers, expand the proportion of shopping centers and direct-sale stores, and carry out strategic layout and development of high-growth market segments. Use new retail tools such as membership+community+live broadcast to improve the efficiency of store operation and inventory turnover, enrich consumer contact and achieve healthy and sustainable brand retail growth.
(4) e-commerce business
Zhejiang mason e-commerce co., ltd., a wholly-owned subsidiary of the company, launched e-commerce business on 20 12. With the effective control of the domestic epidemic, e-commerce business is ready to come out.
The impact of the epidemic has returned to the right track and the trend is improving.
1. Healthy development of main business.
From June to June 2020, the company's e-commerce business continued to maintain a healthy development trend, focusing on building three major capabilities: consumption operation, full-time operation and high-tech operation. In the first half of the year, domestic e-commerce revenue was 2.097 billion yuan, up 0.6% year-on-year. The total assets and members of Mason brand group are in the leading position in the industry; The head effect of Barabara brand has further increased; The e-commerce brand Minibalabala has grown rapidly.
2. New services such as short video live broadcast have been rapidly promoted.
Focusing on consumer demand, Mason e-commerce strengthens the existing brand mentality, vigorously develops live video e-commerce and social e-commerce, builds a multi-platform and multi-category consumer ecological chain, continuously lays out the dual tracks of self-broadcasting and live broadcasting, seizes the limelight, and accelerates the ecological adjustment from the "search stock era" to the "live incremental era". At the same time, Mason E-commerce actively carries out agency business, providing modular and customized one-stop services for agency brands to meet the needs of customers of different brands.
3. Continue to promote information construction.
Continue to promote information construction, upgrade existing ERP and OMS systems, establish a full-link decision-making model oriented to consumer demand, and cultivate e-commerce high-tech transportation.
Business ability, further play the role of information technology in reducing costs and increasing efficiency in business, and improve the efficiency of data decision-making to continuously improve the competitiveness of e-commerce business.
People who spend money create better experiences.
Second, the risks faced by the company and countermeasures 1, macroeconomic fluctuation risk. The company's main products are casual wear and children's wear, which are positioned in the mass consumer market and the middle and high-end children's wear market respectively. Market demand is greatly influenced by macroeconomic fluctuations and residents' consumption level. If the growth rate of domestic terminal consumption demand slows down, it may adversely affect the company's main business. 2. Commercial risks of casual clothes. Casual clothing, a market segment, occupies a large market share in the clothing industry. After experiencing the rapid development stage characterized by demand-driven, the market presents the characteristics of rapid changes in consumption, changes in retail channels, the rise of Internet consumption, and intensified global competition, and the market competition is becoming increasingly fierce. The above factors may affect the development of the company's leisure clothing and accessories business. 3, children's wear business risks. Affected by consumption upgrading and population policy, China's children's wear market is characterized by rapid development, attracting many clothing brands to enter the children's wear market. Intensified market competition may bring uncertain risks to the development of the company's children's wear business. Countermeasures: 1. Strengthen the leading position of existing Mason and Barabara brands. After years of accumulation, the company has fully recognized the needs of the industry and the market. According to the characteristics of the two market segments of casual wear and children's wear and the needs of target consumers, the company takes brand management as the core, and independently operates the two brands of Mason casual wear and Barabara children's wear in the form of business division system, respectively, to build differentiated business platforms for the supply and demand sides of the two market segments and effectively integrate the upstream and downstream resources of the industrial chain of the two market segments. The efficient integration of manufacturers and distributors has been realized, so that the design, production and channel owners of the two sub-industries can quickly penetrate the market through the company's business platform and lock in the target consumers. 2. The company will continue to improve product competitiveness and retail ability by integrating supply chain resources, optimizing channel structure, increasing product R&D investment, enhancing brand operation ability, management innovation and strengthening incentives, and strive to achieve good economic benefits.
Three. Analysis of core competitiveness 1. Brand influence company has two brands, namely "Masson", a popular casual clothing brand, and "Balabala", a children's wear brand with medium price. Through long-term investment and careful cultivation, Mason brand and Barabara brand have become the leading brands in casual wear and children's wear industry. Samma brand's market share and brand awareness are among the best in the domestic casual wear market, and Barabara brand is far ahead of other brands in terms of brand awareness, market share and channel scale, ranking first in the domestic children's wear market. 2. Successful multi-brand operation platform and experience After years of accumulation, the company has fully recognized the needs of the industry and the market. According to the characteristics of the two market segments of casual wear and children's wear and the needs of target consumers, with brand management as the core, the two brands of Mason casual wear and Barabara children's wear are independently operated in the form of business division system, and differentiated business platforms are established for the supply and demand sides of the two market segments respectively. Effectively integrated the upstream and downstream resources of the industrial chain of the two sub-industries, realized the efficient integration of manufacturers and distributors, and enabled the design, production and channel owners of the two sub-industries to quickly penetrate into the market and target consumers through the company's business platform. 3. Resource integration ability with harmony and win-win as the core. The harmonious and win-win concept centered on the business philosophy of "small rivers are full of water and big rivers" is the core value of Mason enterprise and the source of its sustainable development. Our company closely links enterprises, shareholders, employees, consumers and society with the concept of harmony and win-win, and integrates domestic and foreign resources such as suppliers, agents, design and development, brand communication and so on. With the business philosophy of "small river full of water", we have established a set of cooperation system that runs through all business links such as design, production, logistics, sales and brand communication, which is suitable for our own business model and ensures the outsourcing of production. 4. Extensive and in-depth omni-channel marketing network layout After years of hard work, the company has formed an omni-channel retail pattern combining online and offline. The company's two major brand clothing businesses, Mason casual wear and Balabala children's wear, have successfully laid out the first, second, third and fourth line markets in China, which not only provides an important guarantee for the existing brand management, but also provides a good foundation for the development of multi-category and multi-brand business in the future. The company's e-commerce company has successfully established online sales channels on well-known domestic e-commerce platforms, and the revenue of e-commerce business has grown rapidly for many years. 5. Financial stability As of the end of the reporting period, the company's monetary funds and wealth management amounted to 3.849 billion yuan, with sufficient cash reserves; The asset-liability ratio is low, and the liabilities are mostly operating liabilities, with high asset quality and strong anti-risk ability. A stable financial situation is conducive to the company's sustainable development in the future, and promotes the implementation of multi-brand development strategy through investment and cooperation.