Ireland'S Unpopular Vero Moda Is Sweeping China.

Speaking of the clothes before, maybe many people will not forget the three Vero Moda, Only and Jack&Jones.

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They opened all major stores in their stores.

When Zara,

In China, it is far less powerful than it is today.

Whether it is the number of stores or the penetration of 1234 line cities, the Danish brand Vero Moda, which entered China in 1995, was once the earliest cultivator of European and American fashion to Chinese consumers, and many people thought they were Chinese brands.

In fact, the three brands do come from the Bestseller group of Danish family business. Apart from China, Europe is still an important market for Bestseller.

In 2016, their wholesale business in Ireland paid Bestseller nearly 1 million euros in profit.

According to the world clothing and shoe net, it is not easy to pay the money, because Bestseller's profits in recent years have experienced a significant decline.

By July 31, 2016, the sales volume of the Bestseller Irish distribution company increased by 3% to 45 million 400 thousand euros, but the profit fell to 1 million 800 thousand euros before the 12 month sales figures. In 2015, the figure was 2 million 400 thousand euros.

The decrease of Bestseller profit may be the result of the increase of operating cost, on the one hand, the continuous increase of human cost.

Bestseller, which was founded in 1975, entered the Irish market in 2007. The British market is very important for Bestseller. In the 45 million 400 thousand euro sales, 37 million 100 thousand euros came from Ireland.

The number of employees employed by the company was only 34, but with the bonus of directors and executives, it spent 2 million 300 thousand euros last year.

Think about it. Nowadays, the group has 15 thousand employees in the world, and the operation of a multinational enterprise itself is the coexistence of return and risk.

In addition, Bestseller, which has entered the 38 market, does not rely mainly on direct marketing to expand its market. It has 2700 direct managed stores, but the number of stores controlled by department stores and other distributors has reached 15 thousand. Such a management method has helped it occupy a large share of market share in the early years, but its runaway control has also occurred frequently in recent years.

China is a very typical example.

In the early years, Vero Moda, Only and other brand images were very popular because of their strong European and American fashion labels, but they have been hit hard in the past few years.

First, there were a lot of rumors about counterfeiting, pointing out that Bestseller is China's brand.

In fact, the policy of foreign enterprises in 1990s is different from that of today. This is just an ordinary story of a joint venture after Denmark Corporation entered China. Vero Moda, Only and Jack&Jones do come from the Danish Fashion Group Bestseller. Its helm Holch Povlsen family currently owns 50% of China Bestseller group.

The clothing design in China is completed by Europe and China, but according to official website, 90% of the products are made in China.

Interestingly, this was the winning weapon of Bestseller.

According to the world clothing and shoe net, Bestseller has deliberately intensified the localization process, and has invited many designers to do things that are more Chinese rather than European. This helps Vero Moda grow rapidly in the Chinese market.

But unfortunately, the situation has changed.

The brands that have been stripped of their cocoons will lose some sense of mystery. Few people still remember that Vero Moda is actually the most popular Nordic brand today.

In the era of fierce market competition, companies that do not emphasize brand characteristics are easy to be forgotten. In recent years, the radical of fast fashion brands, the pursuit of luxury brands and designer brands are of course the rise of independent designers everywhere. Young people aged more than 20 to more than 30 have more choices. Many of them have switched to new products, and this stage of population is the main consumer of Bestseller.

But even today, Bestseller's first mover advantage still exists.

At least in the three or four line city, Zara and H&M are still in the stage of development.

On 2013, Ai Weimin, executive director of ZARA China, said in an interview with reporters, "if there is a good location in the area and consumers need it, we will open our store in the three or four line city".

But the sinking of the channel is not so good. In fact, Zara has slowed down the pace of opening stores since 2013. In terms of brand recognition in the three or four tier cities, Bestseller's brand is too solid.

According to the world clothing and shoe net, between 2010 and 2015, the market share of Bestseller in China ranked first in the total list of apparel companies. In 2015, it reached 2%, more than third UNIQLO parent companies, Japan's fast selling group, fifth adidas Group, sixth Zara parent Inditex and tenth H&M, which accounted for less than 1% of the market share.

With the increase of China's clothing market, Bestseller's revenue is still considerable.

In jeans, Jack&Jones ranks fifth, Only and Vero Moda are ninth and tenth respectively. It is obvious that Bestseller performs well in competition with brands such as Lee, Levi s and Calvin Klein.

Bestseller has also taken many strategies in the last five years to maintain its market share.

Between 2013 and 2014, the electricity supplier is its main force.

Povlsen once said, "our goal is to make digitalization the most important part of the Bestseller gene, and the connection between stores and online stores is more natural."

This strategy is effective. Bestseller's revenue in the 2013-2014 fiscal year has increased by 5%, and the growth in the European region has reached 10%.

In 2016, Tmall ranked eleven in the women's clothing list of two and second, followed by UNIQLO ranked second and Vero Moda ranked seventh.

And because of the deep foundation, Bestseller group also has more chances to keep up with the new era.

I believe that people who love to shop can also find a small change in Vero Moda over the past two years. It is reversing its low-end image and moving towards the high-end lifestyle brand.

In addition to the introduction of new product lines including clothing and home Nordic by Nature, the Danish home brand HAY is also introduced in China. In the form of store combination, Vero Moda will look more Nordic Nordic and HAY together, one layer is HAY, the two is Nordic, and there are stairs through straight lines to create a new impression.

Is that a little bit late? The answer is up to you.

More interesting reports, please pay attention to the world clothing shoes and hats net.