The new era has begun unrelentingly, and new retail is becoming the growth engine of domestic apparel brands.
According to the World E-Commerce Report, the global GeekBuying Coupons e-commerce market has grown rapidly over the past decade and the momentum is still continuing. There are more than 100 million online shopping users in 7 countries around the world, and China is the largest and most dynamic e-commerce market in the world. China is the world’s largest Internet user market. The number of Internet users is 772 million, and the penetration rate is 55.8%. Consumers who make online purchases on the mobile side account for 88%, ranking first in the world.
For a time, the traditional retailers who succumbed to “revolving their own lives” were forced by the e-commerce spoilers. The arrival of e-commerce has made the domestic shoe and apparel retail industry experience two days. Many brilliant brands have been unable to escape bad luck. On average, they have closed several stores in a day. In the drastic changes in the retail environment, the generation of “shoe kings” and “service kings” ended in succession. On the other hand, the shoes and apparel companies that realized the importance of the online market and quickly turned around took advantage of the Internet traffic dividends, taking advantage of the emerging shopping culture and other mature shopping cultures such as “Double Eleven” and the maturity of mobile payment tools. Opened a former competitor.
However, just as traditional brands have moved online, the domestic apparel market has seen the “most expensive” super flagship store. According to the fashion business news, the OVV l AEX global super flagship store opened by the domestic high-end women’s brand OVV and the technology light casual menswear brand AEX will open in Huashihai Middle Road Huashi Square in Shanghai’s core business district tomorrow.
The store has three floors and a total construction area of 1900m2. The overall design is designed by the Italian multinational design team Link+Architects. It has reached the level of domestic clothing brand stores in terms of cost scale and building area. It is reported that the store will invite OVV brand spokesperson Du Fu and international supermodel Jin Dachuan to the platform on the opening day.
It is worth noting that the OVV l AEX global super flagship store replaced the original Zara, and it is close to the OPPO super flagship store opened in the high-profile opening of Huashi Plaza earlier this year. At the beginning of the opening, the latter attracted a large number of consumers with the selling point of ultra-large new retail space, and the opening of the OVV l AEX global super flagship will undoubtedly promote the synergy between the two.
The brand said in an official statement that unlike most flagship stores, the OVV l AEX global super flagship store is not a simple fusion of the two major apparel brands. The store not only comprehensively packages the brand image and display content, but also makes more attempts in space design, experience upgrade, and cross-border innovation.
The first floor is the women’s OVV, which displays the three major OVV clothing collections, including the new classic series, exquisite leisure series and holiday party series.
The OVV brand, endorsed by supermodel Du Fu, advocates the classic aesthetics that are simple and simple, providing a full-featured design with a sense of design, stylization and applicability for fashionable professionals who are not satisfied with fast fashion and luxury.
On the second floor, the AEX men’s wear category is displayed. The brand aims to create a “technical light men’s wear” with the price of the people and modern design thinking. It focuses on the “wearable technology fashion” that is deeply involved in daily life, providing a comfortable wearing experience for urban travel. Art and technology are the two main focuses of the brand. In terms of brand positioning, AEX is closer to the Chinese version of Massimo Dutti (Zara high-end sister brand), and the special entry point of technology is also rare in domestic apparel brands.
In addition to the fashion show area, there is also an AEX.coffee coffee shop on the second floor and an integrated reading and leisure experience center on the third floor.
Compared to the traditional store as a sales space, the OVV l AEX global super flagship store has given special consideration to the functionality and experience of the interior space. A layer of OVV women’s wear is equipped with a comfortable fitting room that fits the female consumer psychology, with a separate sofa and three-sided warm light mirror. The second floor AEX’s store space design combines Art Deco with modern minimalist style. This layer is specially equipped with an intelligent fitting room. Consumers can directly display the complete information of the clothing to be tested without touching the screen, and connect to the micro-shop details page to more easily understand the clothing information and wear suggestions.
In fact, the fresh experience of space is pulling consumers back from e-commerce platforms into physical stores. When digitalization became a market consensus, sensitive retailers suddenly realized that consumer interest in the store experience began to rebound. As a social macro trend, “consumption upgrade” penetrates into various consumer fields. Consumers not only want to meet the convenience brought by e-commerce, but also hope to obtain a more authentic and fresh shopping experience. After the e-commerce giants such as Alibaba, they noticed the e-commerce ceiling, they also began to return to the traditional physical retail battlefield. In February of this year, Ma Yun announced a study of the “new retail strategy” for a long time. The weakening of the concept of pure e-commerce shifted to the reform of the retail industry. Since then, new physical stores such as Boxan Fresh and Unmanned Supermarket have started to shoot new retail.
A new generation of consumers does not draw a clear line between online and offline, they are more inclined to meet their different needs in different scenarios. For example, when pursuing convenience and time-saving, or when purchasing multiple parties, you choose to shop on the e-commerce platform, but you are also willing to spend time in the high-quality physical store space to enjoy the “surprise feeling” outside the shopping process and algorithms. Therefore, from fast fashion to luxury brands, more and more brands are beginning to advocate online and offline, and advanced technology has become an effective means to achieve new retail.
In the core business district of Shanghai, Huaihai Zhong Road, some innovative retail stores are increasingly intensively opened. Half a century ago, Huaihai Road, located in a prime location, was already the fashion center of Shanghai. A wide variety of clothing stores, food stores, cinemas and other multi-category shops formed a fashionable atmosphere Soufeel Coupons with a strong sense of life and “grounding”. This feature continues today, making Huaihai Road still competitive in Shanghai’s increasingly dense new business district built around high-end shopping malls, providing a more integrated and lifestyle shopping experience.
With the opening of Line Cafe, OPPO Super Flagship Store, SK-II Future X Future Experience Store at K11 Shopping Center, Huaihai Road lifestyle new retailer circle has gradually become a climate, initially forming a scale synergy effect. These stores place more emphasis on the presentation of brand and product concepts, such as the use of technology for conceptual product display, the integration of interior design and art installations, the creation of spaces for consumers to stay and even self-portraits, and the opening of cafes in stores.
In a flagship store of beauty, technology or lifestyle, the emergence of the OVV l AEX global super flagship store explores the possibilities of new retail apparel. The latter is not easy to achieve super large-scale new retail, because clothing is different from other consumer goods, SKU is more numerous, consumers’ demand is more detailed, the required service quality is higher, and more inclined to one-on-one long-term private shopping service. This is a huge test for the resource mobilization and operational capabilities of the store. In the past, the traditional store operation for the purpose of “selling goods” has been difficult for apparel brands, and the super flagship store with an area of 1900 m2 needs more confidence.
This global super flagship store, which has been heavily invested, can not help but be more curious about the two apparel brands. In fact, once it is understood that it is backed by the head of the domestic apparel group, the opening of this ultra-large-scale flagship store is not surprising. Haicang Group was founded in 1988. Last year, Haishu Home achieved a revenue of 18.2 billion yuan and a net profit of 3.33 billion yuan, making it the most profitable apparel company in the A-share market.
According to the forecast of the first half of 2018 in Haishu Home, its revenue increased by 8.23% year-on-year. For the first time, it exceeded 10 billion yuan and recorded 100.14 billion yuan. Operating profit increased by 10.89% year-on-year to 2.735 billion yuan, and net profit recorded 2.066 billion yuan. It rose by 10.2% year-on-year.
As the largest apparel group in China, although the revenue of Haishu Home has maintained steady growth and the scale of revenue has gradually expanded, there is a clear gap in the proportion of online and offline revenue. According to the 2017 annual report of Haishu Home, the company’s online revenue accounted for only 5.91%, which is far from the offline revenue of 94.09%.
The Haishu House, aware of this, quickly acted. In February of this year, Tencent invested nearly 2.5 billion yuan in the home of Haishu, and the two reached in-depth cooperation and actively integrated new retail channels. At the same time, Jiangyin Haishu, a wholly-owned subsidiary of Haishu Home, and Tencent’s wholly-owned subsidiary, Linzhi Tencent and Yuxin Investment, jointly set up a 10 billion yuan industrial investment fund, and plans to focus on the company’s strategic development policy. Investment in excellent clothing and apparel brands and apparel manufacturing.
After Tencent’s capital injection, Haishu’s home immediately went on the line to Haishu’s preferred micro mall. Haicang Preferred Living is a lifestyle home brand under the Haicang Group, selling eleven major product lines including office supplies, cosmetics and tableware. The group also said that in the future, the entire brand of Haishu Home will definitely enter the Tencent ecosystem at the end, and will pay for it to take advantage of Tencent’s offline traffic and technical support.
With the help of Tencent’s Dongfeng, Haishu Home has been accelerating its digitalization and new retail transformation, making great strides on the road of new retail exploration. On July 23, Haishu’s home announced that it had entered the US group for take-out, and it has established a partnership with another new star of China’s Internet. The cooperation between the two is considered to be an approach to speed up the layout of O2O stores and enhance the user experience.
In addition to the layout line, the rapid expansion of the Haicang House offline store continues, and the image of the store has been upgraded. Haicang House opened its first image upgrade store in Guangzhou Tianhe City. The store replaces the Chinese character of the “Haicang House” with the words “HLA”, and uses the white main color and shop decoration to create a bright and spacious visual effect, showing the simple and modern new style of Haishu House. Brand.
It is not difficult to see that the exploration of the new possibilities of physical stores is a direct reflection of the recent new retail strategy of Haishu Home. The OVV l AEX global super flagship store can be said to be a breakthrough in the new retail of Haishu Group. Not only the upgrade of the image of the store, but also the creation of a more three-dimensional experience, leading the trend of the apparel retail industry.
Now, the new retail incision in the apparel sector has just been opened, and this retail format also contains many unknown opportunities. Cai Chongxin, executive vice chairman of Alibaba Group’s board of directors, said at the fourth quarter earnings report in FY 2018 that China’s new retail is creating a seamless online and offline consumer experience and driving huge changes in the traditional retail industry, China’s 5 trillion The retail sales of the dollar will be the overall target market for Ali.
Tmall president Jing Jie said that he has two judgments on the Chinese market. First, the overall upgrading of the consumption structure, many consumer demands of Chinese consumers have not been tapped and satisfied; second, the penetration of modern retail is far from saturated. Modern retail is already ubiquitous in developed countries, but in China’s third- and fourth-tier cities, many consumers still have a lot of space for understanding many brands, categories, consumer experiences, etc., and this space is the platform that can be used with all Brands go together to infiltrate and upgrade.
The era of blind expansion has finally passed, and the significance of opening a quality store today may exceed 100 stores. After all, from the initial simple sales to the present brand image display, the function of the physical store has undergone profound changes. Obviously, domestic apparel brands now want to be able to establish emotional connections with consumers, provide a Newchic Coupon superb shopping experience, and finally let consumers make choices.