Dangdang two years of heavy money to smash clothing electric dealers, investment is fully worth

Sina Science and technology news July 18 morning, the clothing category to when the new business growth point, Dangdang Vice President Deng today in an interview revealed that Dangdang to the clothing category to give unprecedented capital investment, the two years in the category of clothing smashed 200 million U.S. dollars, the cost of half from the book, half from the clothing.

Dangdang clothing began to arouse concern, to a large extent, from the "tail goods" flash purchase of a gun and red. Last March, where customers, cats, Beijing-east and other electric companies have launched the Flash purchase channel, Dangdang also on May 7 and the only product will be homophonic "tail goods sinks" flash purchase.

According to the data, Dangdang has grown at more than 100% per cent for six consecutive quarters, becoming the fastest growing category. From 2012 when the clothing business started in 560 million, to 2013 2.7 billion, growth nearly 5 times times. Whether from the sales growth rate, or the yield, are far beyond the other platforms.

"We've smashed 200 million dollars in the clothing category in two years, half of it comes from books and half of it comes from clothing," he said. "Dangdang vice President Deng said. When the full chain of clothing sales through the "Tail goods Exchange Flash purchase + new Flash shopping + clothing Mall" layout, to achieve new products, Ching, tail goods sales services.

Compared with 3C digital and food and other electrical business commodities, the apparel market profit margin is greater. According to the relevant corporate earnings data disclosed that the 3C digital gross profit margin is only turnover, and the garment Maori space in more than 25%. The cat is currently the largest clothing electric business platform in China. The only thing that has started with the sale of the tail goods will be the size of sales and share prices that have climbed in the past two years. Dangdang also benefited from the positive layout of the apparel market, clothing has replaced the book, as its goal to achieve a high growth strategy category.

The success of the apparel category is full of self-confidence, although some people criticized that the only product will be 24.9% gross margin, Dangdang's gross profit margin of only 18.2%, a huge amount of money to pull down the Dangdang's gross margin, but Dangdang vice President Deng do not think so.

If Dangdang only do books, gross margin will be as high as the only product will be. Clothing category is a successful transformation of the integrated shopping mall is an important step, so the necessary input is entirely worthwhile. "Deng said. (Lin)