Reshape brand beliefs and embrace the needs of the consumer market in the new era
Shanghai Metersbonwe Clothing Co., Ltd. (hereinafter referred to as “Meibang Clothing”, 002269.sz) in The secondary market has become very popular. The stock price has been on the rise for nine consecutive times since March 25. After adjustments on the 13th, it has been on the rise for two consecutive times on April 28 and 29.
At this time, Meibang Apparel has successively released its 2020 annual report and first quarter performance forecast. Although last year’s performance was not ideal, sales efficiency, inventory structure, etc. have improved. The performance in the first quarter of 2021 has been greatly improved. The net profit is expected to be about 88 million yuan to 132 million yuan, turning a loss into a profit year-on-year.
With a series of measures since last year, Meibang Apparel is getting rid of the “baggage” of the past, returning to the clothing circle to make subtractions, and the new brand image it has created is influencing more young consumers. By.
1 The first-quarter performance increased year-on-year, and we are preparing to gain momentum for higher growth
In 2020, the new crown epidemic has given rise to The apparel retail industry has had a huge impact. Affected by this, Meibang achieved operating income of 3.819 billion yuan, a year-on-year decrease of 30.10%; net profit attributable to the parent company was -859 million yuan, a year-on-year decrease of 4.11%.
Among them, the company’s main products, men’s clothing, women’s clothing, and other products, achieved operating income of 2.083 billion yuan, 1.357 billion yuan, and 334 million yuan respectively, accounting for 5.455% of the operating income respectively. %, 35.52%, 8.75%, the year-on-year growth rates all declined.
Meibang Clothing stated that the company will increase its efforts to digest existing goods in 2020, and improve sales efficiency by integrating multiple sales channels and reasonably matching product resources. As of the end of 2020, the book value of the company’s inventory was 1.59 billion yuan, a decrease of 22.52% from the end of the previous year; the inventory structure has improved, and the proportion of inventory over one year has decreased by 5 percentage points.
The performance forecast for the first quarter of this year also shows that the entire company’s operations are improving. Net profit attributable to parent companies in the first quarter was 88 million yuan to 132 million yuan, an increase of 140% to 160% over the same period last year.
2 Reshape brand beliefs and embrace consumer market demands in the new era
Metersbonwe Founded in 1995, it is a local casual wear brand independently established by founder Zhou Chengjian. Their target consumers are energetic and fashionable young people aged 16-25. Metersbonwe has always advocated a brand image of youthful vitality, individuality and fashion.
Twenty-six years have passed, emerging brands have emerged one after another, the apparel market has experienced ups and downs, and Smith Barney has also experienced troughs. Now, Smith Barney is “starting again.”
It is reported that Smith Barney has boldly promoted the transformation of Smith Barney and its brands, upgrading from a single style to five independent styles under the same brand, covering casual, trendy, street, minimalist, and forest. series and other different routes, and vigorously improve product quality to create competitive products with high cost-effective standards.
With the upgrading of consumption, consumers are becoming more and more sensitive to brands, paying more attention to the core of the brand and the attitude expression and spiritual pursuit behind it. Especially since the epidemic, consumers’ pursuit of high value-added brands has become increasingly popular, and the trend of brand upgrading of high-quality products is also very obvious.
In the face of richer and more diverse market demands brought about by the epidemic, Metersbonwe continues to uphold its “ingenuity” and quickly initiates the upgrade and depth of its brand strategy. Adjustment is committed to building consumers’ high degree of belief and pursuit of the “Metersbonwe” brand, repositioning the consumer circle based on the company’s digital capabilities, and matching the differentiated group selection of each of its brands.
In addition, Meibang has always been committed to carefully polishing the fashion trend changes, styles, fabrics, accessories, versions, stitch-by-stitch craftsmanship and channel matching of each product. The quality of all business scenarios such as marketing and promotion has been improved to adapt to increasingly diverse market demands.
Zhou Chengjian also said that in the future, the company will continue to focus on product design and research and development, focus on the development of high-end clothing in the fashion category, break through new fashion boundaries, and provide consumers with exquisite and high-quality clothing. Fashion items.
3 Strengthen digital construction and start the construction of new retail channels
As the domestic epidemic gradually eases , offline business in the retail industry gradually recovered. Under the market changes brought about by the epidemic with new demands, the original retail scene has gradually been iterated. The company’s pace in channel adjustment and optimization has not slowed down.
“Daily Financial Report” noted that on the one hand, the company continues to close stores that do not meet the brand positioning due to the transfer of business districts, and at the same time, it strives to expand franchise stores nationwide to seize the opportunity to High-quality channel stores have gradually emerged during the epidemic era, fully occupying the space in the offline retail market and promoting the reconstruction of the industrial chain. As of the end of 2020, the number of Meibang Apparel franchisees was 1,766.
On the other hand, we will fully seize the digital window and start the construction of new retail channels. The company will combine the new retail transformation business direction, increase marketing promotion, and promote cooperation with new media channels and live broadcast platforms to promote the company’s sales.
According to the annual report, Meibang Clothing’s online sales revenue accounted for more than 30% in 2020, increasingly becoming an important source of income for the company.
At present, domestic brands are facing rising opportunities amid the turmoil, and the negative impact of the epidemic is also dissipating over time. Whether it is domestic sports brands or casual clothing brands, We are working hard to reverse the outdated brand image in the past and accelerate the pace of upgrading in order to connect with young consumers.To win, this is a good sign.
However, in the first half of 2019, Smith Barney’s performance took another dive. The apparel industry is an industry with highly seasonal characteristics. The first and fourth quarters are the peak sales season, and the second and third quarters are the off-season. Correspondingly, the performance is reflected in a U-shaped chart.
It is not impossible for Meibang to turn around losses in 2019, but this will put forward higher requirements for operational management capabilities in the second half of the year. The losses in the first half of the year are related to the inability of commodity shipments to keep up with the pace of new spring and summer product launches. If improvements cannot be made in the second half of the year, profits will become even more out of reach.
7 Internet transformation that has repeatedly encountered obstacles
In fact, if the United States is in the new consumption environment If there has been no change in it, then it is really an injustice. The rise of e-commerce has greatly impacted Smith Barney, which is good at offline channels. For this reason, Smith Barney has already made efforts in the field of e-commerce.
In 2009, Meibang Xuefanke launched the “Bangou” e-commerce platform. Now, products can still be downloaded, but it has not caused any waves. The reporter found that most of the clothing on the platform was heavily discounted, becoming a channel for clearing inventory, and the sales volume of many products was in single digits.
In 2015, Smith Barney also appeared on the debate program “Qi Pa Shuo” and spent more than 100 million in advertising fees to promote the fashion aggregation e-commerce APP “Youfan”, but in the end it was “Lei Fan” The sound is loud and the raindrops are soft” was removed from the shelves after two years.
Compared with America’s repeated setbacks in the e-commerce field, Semir seems to be more at home. Semir’s e-commerce business reached 2.167 billion in the first half of 2019, with a growth rate of 35%. Since entering Tmall in 2010, the scale of Semir’s e-commerce has grown continuously. Last year’s Double Eleven, Semir’s e-commerce retail sales exceeded 1 billion.
For local traditional brands such as Smith Barney and Semir, by focusing on the online market, they can not only get closer to young consumers, but also gain insights into young people’s preferences through big data. Can bring improvements in new product development and design.
Semir has become trendy, but Smith Barney is gradually fading in the memories of those born in the 80s and 90s. Does your wardrobe still have a place for a piece of Smith Barney? </p
