Only do luxury e-commerce? Grave

As a result of the failure of the network, the VCs who consider investing in luxury goods dealers have to be cautious.

At present, the Yang to do the endorsement of the Show network, its positioning has been transformed from luxury goods network fashion department stores, including luxury brands, there are also public consumption brands, and even Amoy brands.

Chen Yijia, vice president of catwalk network, admits that at first, the market positioning is to create a "international famous network flagship store", and later in the development process, will be positioned to adjust, from the focus on luxury brands into the "high-end fashion department store", the target group of the growing middle class. Chen Yijia said he is now half in the United States because he is teaming up with well-known department stores and suppliers such as Macy's (Macy "s)" to form a global supply chain management system.

"Pure do luxury E-commerce, dead." "This is what Huang, co-founder of the catwalk network, said at the China Online retail conference on November 8, 2011.

Chen Yijia said the catwalk network has maintained 400% growth for two consecutive years, with more than 1000 employees in 2011, which will complete 1 billion yuan sales, of which luxury sales account for about 20% to 30%. Target sales for next year are 4 billion. Chen Yijia declined to disclose gross margin data.

March 2011 Walk Show Net obtained Kleiner (Kay Peng Hua surplus) 20 million U.S. dollars of investment, August also won the United States 100 million U.S. dollars (Warburg Pincus, Kleiner and investment).

Chen Yijia says the first step is to build overseas teams and supply chains, and is aggressively expanding the buying office in Europe and the US.

In several well-known luxury goods dealers, walk the network of "burning Money" degree in the leading level. In addition to the first half of the popular actress Yang to do the endorsement, but also carried out a series of outdoor media such as the subway, Chen Yijia revealed that the 2011 online and offline total advertising investment is about 50 million yuan, is expected to increase the advertising in 2012.

December 2011, Taobao Mall employees kindly reminded the cooperation of the electric business, in the future for a period of time to block all their content about the U.S. brand coach. Originally, December 13, coach launched Taobao Mall, the official flagship store, which is its first online shopping platform in the Chinese market, for one months, from the Coach brand professional customer service team management. In fact, it is also for their future online sales channels in the Chinese market to prepare.

Although each vertical category of luxury goods dealers said that Jingdong Mall began to dabble in luxury is not worried, but Taobao Mall introduced luxury brands really pose a threat to them, not to mention luxury brands have begun to comb their online channels. At the end of November 2010, Giorgio Armani announced the launch of E-commerce channels in China as the first luxury brand to launch online stores in China. Almost at the same time, the world's largest luxury net shopping platform Yoox Group was announced. These are piled up the vertical category of luxury electric dealers living space.

Another site with a more thorough positioning change is the only product. Only products will be online in December 2008, when the exclusive luxury. Its spokesman Susmin said that at that time, Taobao's customer unit price on average only 80 yuan, online shopping market has not been nurtured, luxury goods sold not move. So the only product will change from March 2009 onwards, become "online discount retailer", began to do Adidas and Nike.

What happened was that Adidas and Nike's orders appeared on the first day of more than 200. As a result, the proportion of luxury goods has become very small.

After several years of changes in E-commerce environment, high unit price network purchase is gradually tried, only the goods will be reopened in January 2011, the luxury channel, each Tuesday on the new, weekly online brand only 10 or so, 5 days off the shelf.

It has already completed two rounds of financing, gaining 20 million dollars in the DCM and Sequoia Capital China Fund in November 2010, and 50 million dollars in Sequoia Capital and DCM this May. The investment is mainly technology, IT, logistics warehousing. Susmin said that 2012 is expected to achieve break-even.