Electric Dealer Super low price "throw Li Ning" huge profit

"The domestic clothing industry in the past two years into a downturn, a large number of inventory let the companies worry, some enterprises began to stare at the electric business platform" Flash shopping "mode. The other days, Li Ning in van Sir Online 48-hour sale, some products low to 10 percent, by yesterday has been basically sold out. Industry insiders believe that if the cooperation between Li Ning and every customer can work, other clothing brands will soon follow, the electric business "flash purchase" this year is likely to become the garment industry clear inventory of important channels.

Some insiders told reporters that Li Ning Company may be less than 10 yuan price to the website "shot" Inventory of goods. So even though the price of a "special sale" is already low to 10 percent, it can still get a high profit. ”

The original price of 199 yuan T-shirts sold only 19 yuan

In the evening of Sunday, shortly before returning to every guest's vice President Xu Xiaohui suddenly said on Weibo, "11 o'clock in the evening, where the guests will release the important news", attracted netizens have speculated.

The so-called "important news" is, where guests and Li-Ning cooperation to launch an ex-gratia promotion, dozens of of goods to the original price of 10 percent-40 percent on sale, some market price of two hundred or three hundred yuan of sports shoes, after the discount as long as dozens of yuan, a new price of 199 yuan T-shirt, or even 19 yuan low price

Low-priced goods for consumers or have a great temptation, the answer to the public, netizens quickly began to snap. Li Ning Special session began 1 hours, Xu Xiaohui on the "sales speed too fierce." Up to 6 yesterday, most of the sales were sold out.

According to the reporter understand, this "limited-timed special sale" mode is from abroad into domestic, such as Amazon's Myhabit, is to sell a variety of high-end clothing at a very low price, this model is also known as "flash shopping."

According to people close to the visitors, because the first Test water "flash purchase" sales exceeded expectations, where the next will be introduced other brands of "Flash shopping." Some stocks of serious sports and leisure brands may soon be online.

As low as 10 percent electric dealers can still make huge profits

Where the people revealed that the Li Ning and where the customer is a deep cooperation, special selling goods all to advance through their quality inspection, and then into the warehouse of customers, logistics is by the customer's under the wind Tatsu for distribution. As to whether the "flash-buy" mode is profitable, the person is not disclosed on the basis of trade secrets. However, according to the reporter understands, even if is 10 percent special sale, the electricity merchant still has the considerable profit space. It is reported that some special selling goods, where the purchase price may only a few dollars.

At the end of last year, every customer took out their own goods to make several promotions, have achieved good results, which also makes every guest CEO aging has developed a "flash purchase" idea. According to industry sources, the early this year to visit a number of clothing brand enterprises, it is for all customers to do "flash shopping" to prepare.

Electric Dealer "Flash purchase" discount less than the Austrian

At present, domestic engaged in "flash purchase" of the Electronic business site has only product will, Ihush, walk show nets, and so on, which only products will already be listed in the United States, its business model is to sell brand inventory products mainly, operating from the earliest clothing shoes and hats have been extended to home, cosmetics and so on. including Nike, Adidas and other "big names" are on these sites to clean up the inventory, the price is basically lower than some of the Austrian store discount. From the annual report of the only product Council, the gross margin of last year as high as 22.4%, which is enough to make other electric website envy unceasingly.

In the case of operating a proprietary commodity Dangdang, 2012 gross profit margin of 13.8%, Suning, Gome, Beijing-east and other large electric dealers affected by price war, gross margin is lower, and general loss. The profits of these websites are far less than those of the dealers who sell the goods in stock.

Clothing brand or borrow "flash purchase" clear inventory

Li Ning and every guest's cooperation in the clothing and electric business industry has aroused concern, because the domestic such as Li Ning in the plight of the clothing brand there are many. Statistics show that only Li Ning, Anta, 361°, special step, horse and movement of the 6 domestic sports brands total inventory of more than 4 billion.

Since last year, Li Ning has begun to clean up inventories by increasing sales, offering discounts and factory stores, but the effect is not encouraging. March 27, the Li Ning Group annual report, 2012-year loss of 1.979 billion yuan, is the company's listing for the first time in eight years, the annual substantial losses.

Product unsalable plus traditional shop operating costs more and more high, let Li Ning and other clothing brands began large-scale close up, cleaning inventory also from the line down the line. A person in the industry revealed that the current inventory has become a domestic apparel enterprises, the number one problem, "idle in the warehouse there is also warehousing costs, as a low-cost sale to the electricity dealer." ”

A part of the mature electric business platform because of huge traffic, and a stable customer base, coupled with the internet marketing costs far lower than open shop, the electrical business industry people expect, "flash purchase" or become the hot spot this year, and a variety of discounted clothing goods will be more and more.