Saturday: Women's footwear industry "third" seeking to break high inventory predicament

The company has a large stock base, and the measure will take effect by the end of this year.　　But even if the company's inventory turnover returns to 2 level, there is still a certain gap with the peers. When a woman starts to dress herself, the merchant will laugh.　　As the weather gets hotter, women's shoe cabinets also sweep away the winter's "gloom", both in colour and style. and engaged in the production and marketing of Women's Saturday (002291. SZ) 's share price appears to have been "steadily rising" as the temperature rose.　　From June 1 to July 16, stock prices bucked the trend by 8.48%. Reporter learned that Saturday is the first in the domestic listed footwear companies, and has been listed in Hong Kong and the Hundred-Li International and Daphne two similar companies, Saturday not only in the production and sales of the backward, market capitalisation also has a big gap.　　Can Saturday catch up with the gradual narrowing of the gap, the company's largest investment bright spot?　　Multi-brand strategy in shopping malls, women's brand is dazzling, and many for the brim "English name", as if placed in front of us are imported brands. This is not the case, many domestic women's brands to cater to consumer psychology, will deliberately play a "foreign name." In addition, the number of brands seen in the market seems to be a competitive relationship, in fact, behind may be the same boss.　　This is called "multi-brand strategy". Take Saturday as an example, currently has "St&sat" (Saturday), "Fondberyl" (Phiberille), "Safiya" (Sophia), "Mooffy", "RIZZO", "69" 6 own brands, as well as "Baldinini", "Killah　　"Two agent brands.　　Among them, "Saturday" is the company's main brand, accounting for more than 60% of the company's income, "Sophia" and "Phiberille" respectively accounted for the company's income of 17% and 10%. From the brand development stage, the most familiar with the "Saturday" is already a mature brand.　　and "Sophia" and "Phiberille" is just from the import period to the transition to a long-term brand, the initial expansion capacity. Jin Wei, a securities analyst, said that multi-brand strategy is not only in line with women's low brand loyalty to the consumer psychology, but also for the future expansion of the company laid a foundation.　　In addition, a number of brands of "combination boxing" is also conducive to enhance the company to the department store channel bargaining power.　　In fact, the industry leading Belle Group's current strong position in a large extent it is thanks to its own Belle, Tata and many other brands. It is understood that the company in the next year or two of the brand's development thinking is still to "Saturday" brand as the core, and gradually expand the "Sophia" and "Phiberille" market share.　　In 2010 and 2011, the company plans to open 900 new stores, One-third is expected to "Saturday" stores, "Sophia" and "Phiberille" total accounted for more than One-third. High inventory worries "low inventory turnover is a major concern for the company." "InvestmentSecurities analyst Wang Wei that.　　It is understood that excessive inventory will affect the company's capital turnover efficiency and bring operating pressure. By the end of 2009, the company's inventory has reached 448 million yuan, inventory turnover is only 1.24, below the level of peers.　　In the first quarter of this year, the company's inventory was "increasing"-the amount of inventory has reached 521 million yuan, an increase of 16.35% at the beginning of the period. "High inventory on the one hand, the company 2008, 2009 actual shop speed is lower than expected, and to prepare a large number of products into inventory, on the other hand, the company's sales team in the past to increase the sales of goods to promote the practice is more common, so the inventory management is not strictly enforced."　　"Ching, the first venture analyst, believes that the anomaly of the weather this year, the direct conversion of winter and summer, make new spring shoes sales are not smooth, also led to increased inventory."　　The reporter learned that Saturday this "increase in stock and drive sales" practice in the industry known as the "heap of Goods Strategy", in short is more cargo on the shelves, in the shelves of more goods, consumers choose the room is big, then the opportunity to buy will increase. A general store of products can be divided into stars, passenger flow, opportunities, display four categories, the company added more goods for opportunity products, hope that more opportunities for products can be converted into star products or passenger flow products.　　Wang Wei is expected to add a new 20%~30% opportunity product to the average shop. And from the recent sales situation, the phased implementation of the "Heap of goods strategy" on the role of the sales pull has been reflected.　　The company's first quarter income achieved a growth of 31.31%, comparable to the same store income growth of about 15%. Still, the problem of high inventories cannot be overlooked. It is understood that Saturday 2009 revenue and net profit growth rate is 14.43% and 10.57% respectively, lower than market expectations.　　Revenue growth rose to 31.31% in the first quarter of 2010, but 16.89% per cent of net profit growth has not yet reached expectations, largely related to the company's high inventory problem.　　It is understood that in the solution, on the one hand, the company will increase the sales force, for some unsalable goods through the special selling method as soon as possible, on the other hand, the company's sales team starting this year to the first-line sales staff of the assessment has been added inventory Control indicators, control stock volume. "The company's inventory base is large, the measures will be effective at the end of this year, the bottom line is to achieve the growth rate of inventory is lower than the growth of sales revenue."　　Ching that the inventory turnover will eventually be restored from the current 1.2 to 2 of the normal level. In fact, even if the company's inventory turnover returns to 2 level, still with Daphne and other peers have a certain gap.　　The data show that Daphne's inventory turnover has remained above 4 in recent years, while the average level of the footwear industry is above 3.　　The scale effect is gradually although Belle Group, Daphne, Saturday's main products are high-end women's shoes, but Saturday and the two leading companies still have a large gap. "In terms of market capitalisation, the company has a lot to do with Belle International and Daphne.The gap, of course, is related to the company's current size and growth stage.　　Wei Fang believes that this also reflects the company's future there is a lot of room for growth. Wang Yong, an analyst with Huatai Securities, says the potential for Saturday's excavation is greatest from the number of stores.　　And hundred Li more than 6,000, Daphne more than 4,000 of the number of companies compared to more than 1400 stores data show that its market penetration is significantly low, expansion still has ample space. As of the end of 2009, the number of stores in Saturday amounted to 1409, an increase of 8.97%, of which 985 of the direct shop, joined the store 424.　　The future company is still the main department stores, the new open direct business owner to select the existing one or two-line city for depth coverage.　　In the first quarter of this year, the company opened a new direct shop 60, plans to add more than 300 direct shop, 2011 will be "redouble their efforts", the new direct Shop 500, the number of stores reached about 2,400. Analysts believe that the future with the company's marketing network further expansion, the scale effect will likely gradually, and as its product influence, the company's pricing capacity and market bargaining ability will gradually improve. By then, the company's profitability will have a qualitative leap.