Analyze the upgrade of clothing brand shoes and hats

Perspective 1: Conceptual Definition: Brands and Upgrades

To discuss this issue, we must first define, what is the brand? From the consumer's point of view, the most basic is that the shopping group targeted by the brand should have a certain degree of awareness of the brand. Can be used to cognize through advertising, can be through the commercial street shop, store to cognize, can also be a shopping experience to cognize, even word of mouth is the cognition. If the mainstream consumer groups targeted by most brands do not recognize the brand, it is at best a product name, not a market brand, let alone a consumer brand.

Second, we must define where the scope of the upgrade is. Upgrades and upgrades are bound to build on the original foundation. What is the original basis? For example, if a brand was originally made wholesale, it is now necessary to change to a retail brand. Is this an upgrade? The upgrade is to upgrade from the original market within the same framework. To define it in a rigorous language, at least it should belong to the domestic retail brand market. It has already been branded, and has a certain market share, so there is the problem of upgrading and not upgrading. If there is no domestic retail market, for example, some enterprises that do export foreign trade, they must now become domestic brands. First of all, it is a matter of transformation, and there is no talk of upgrading. Some of them belong to wholesale channels for domestic sales. There is only one brand name, and there is no real brand operation. To go to the real retail brand market, the first thing to face is the problem of brand building, and the issue of upgrading. Only if there is a certain share of brands under the same framework as the original market, will there be an issue of upgrading.

What is the upgrade? Because clothing is a niche market in the segment market (related articles can be found in other articles in this book), from a vertical point of view, the upgrade is basically from the low-level market to the advanced market, by the low price The level of consumption is gradually moving toward the high-price level of consumption, and it is positioned by the low-level consumers to the high-level consumers. For example, from the second-tier and third-tier cities to the first-tier cities, from the second and third-tier department stores to the first-tier department stores, etc., basically belong to the upgrade range. If the brand is not involved in market segmentation during the operation of the market, it may not be regarded as an upgrade. It is regarded as brand freshness. For example, Coca-Cola is advertising every year, but it is actually maintaining brand freshness. Because the most important feature of vertical upgrade is positioning and price increase.

Therefore, some of the case materials provided in the preceding paragraph do indeed belong to the scope of the brand upgrade. Because both the Bossini and Giordano are already brand-operated, the second-brand has corresponding market share and popularity. At the same time, on this basis, the brand hopes to be able to launch bossinistyle and giordanoconcepts for high-end, which is indeed the scope of the brand upgrade.

Point 2: The three stages of brand upgrading, the first stage is easy

The brand upgrade is a high threshold, high cost and high risk. The brand upgrade needs three phases:

1. Product quality upgrade stage

2. Brand awareness upgrade stage

3. Operational quality upgrade stage

The upgrade stage of product quality mainly refers to the improvement of the manufacturing quality of products and the improvement of design strength. This phase mainly refers to the integration and upgrading of the brand in the supply chain with quality as the core, including both logistics and production efficiency. Because clothing is a very time-sensitive industry, the efficiency and quality of the entire manufacturing chain are the result of successful product quality upgrades. key.

There is a case that can be analyzed. When a certain brand of women's shoes is to be wholesale-originated, while ensuring the wholesale share, it will enter middle-end and high-end department stores. What are the risks in the operation of commodities?

First of all, the first risk is whether consumers will know if there is a brand in the wholesale market. If so, will consumers spend more expensive prices in department stores and other high-end markets to buy goods of the same brand?

The second is whether a department store knows if the brand is still shipping in the wholesale market. If the department store knows its share in the wholesale market and even the channels, why does the department store give more precious resources to such wholesale? Brands? This risk can be avoided unless it is not done in the local regional market.

The third point is that from the point of view of the commodity oem processing chain, it is necessary to overcome the difference in product quality to achieve the lowest cost. The high-end department stores are high-grade leather shoes that require medium-to-high quality, and the wholesale is relatively low-quality. Is it possible for the same brand to have the same oem chain?

One possibility is that the same brand puts high-grade shoes on the production of a medium-high oem company, and puts low-grade shoes on a low-grade oem. This can be done. But its cost and quantity are not optimal. In the case of high-grade shoes that do not have a certain amount of sales, it is not even possible to form a minimum quantity that must be started in the oem processing chain.

Another possibility is that the high-grade and low-grade products are produced in an oem enterprise. Although this may reach the lowest base in processing scale, the factory usually makes high-grade shoes to make high-grade shoes, and low-end shoes make low-grade shoes. If high-end shoes are used for production, it will obviously hurt the wholesale market, lose the original competitiveness in price, lose the wholesale market and specialize in department stores. Currently, the risk is relatively large for the company; the other option is to press Low-grade or near mid-range production can not only maintain the wholesale but also reach the bottom line of mid-to-high-end shoes required by department stores. It looks like a production model that can take into account both channels. But at the same time, there will be a problem. How many quality advantages will the brand have in comparison with other similar products in the department store? Will this affect the mid- to high-end market? Or it can only be due to quality in department stores. Slightly lower, the emergence of a relatively low-grade position, even if the amount and amount of sales is relatively high, but it is difficult to change the status of marginalized brands?

The first stage of brand upgrading is relatively easy, especially for the start of manufacturing, because companies can integrate the manufacturing chain with strong internal control strength through years of accumulation. The upgrading of the brand does not mean that the original product will be 500 yuan. , now changed to 1,500 yuan, the original is 20 square meters of the middle of the island cabinet, now to be changed to 80 square meters of the side hall, the original please is the mainland actor to do the spokesperson, now to Hong Kong and Taiwan stars to do endorsements such a simple process.

Point 3: The second stage of brand upgrade, the tough stage: Success lies in the gap in market awareness.

It is precisely because the brand has the strength to be able to do in the first stage of the upgrade of the quality of the products. Only then can the company have the confidence and possibility to upgrade the brand. The brand upgrade enters the stage of awareness and promotion. In the second stage, companies adopt advertisements and endorsements to achieve awareness and upgrade. Because any retail sales are primarily regional marketing, cognitive upgrades also have geographically important elements. If it is blank in the geographical area, the possibility of success is very high; or although there are operations in this area, but it is not recognized by the mainstream consumer groups, the possibility of upgrading is also high; or branding Consumers who did not enter the market segments and segments of the market did not have any knowledge of this, or had little awareness, and the possibility of upgrading was also high.

At present, most of them can be seen as such. There are some very famous clothing brands. In the past five years, with the escalation of department stores and aristocratic upgrades, many well-known domestic brands have withdrawn. Some international second-tier brands that do not have a high reputation in the consumer market have made big inroads into department stores. The more mature the market is, the more obvious it becomes. After exiting the department store, even in the commercial street like the Guangzhou, Beijing, Shanghai and other first-line markets, the operation of the brand store has not been able to achieve the desired goal even after the replacement of the general agent. Still no change, the sense of urgency of the market makes the call for brand escalation like waves.

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