The only product will find the right positioning for the two or three line brand digestion inventory

Absrtact: The only product will be established in 2008, is the brand merchandise discount retailer, help Brand to digest inventory, brand merchandise mainly includes clothing, cosmetics, household items and so on. To attract customers through the mode of flash purchase, the existing 48.8 million registered users, 7.4 million active

Only product will be established in 2008, is a brand merchandise discount retailer, help brands Digest inventory, branded goods mainly include clothing, cosmetics, household items. Through the "Flash purchase" model to attract customers to buy, the existing 48.8 million registered users, 7.4 million active users. The operating income of nearly three years is RMB 1.362 billion, 4.152 billion and 10.086 billion yuan respectively. Net profit is 936 million yuan, 54 million and 312 million yuan respectively.

1. Find the right positioning: to meet the two or three-line urban consumer demand for the two or three-line brand digestion inventory

Only goods will be the main sales from the first-tier cities, the main source of supply channels is by the cooperation with the two or three line brand, through the low price to get the season supply and tail goods, to buy the model for fast distribution.

Only products will be positioned at the earliest luxury sales sites, but stranded in such brands for price positioning is extremely sensitive, and other reasons, the company has been not smooth development. Later, the company began to try to sell some of the domestic two or three-line brand apparel inventory, sales unexpectedly has an explosive growth. These brands in Beijing, Shanghai, Hangzhou, Shenzhen and other areas of the demand is not high, the electric business competition is very fierce, so the only product will be positioned in the two or three-line city is very correct. This positioning is also conforming to the trend of China's two or three-line urban consumption upgrading in recent years, as well as the need for apparel enterprises to inventory after the blind development, so only goods will be able to grow quickly and achieve profitability.

Only goods in the first-tier city orders accounted for only about 13%, while the second-tier capital cities accounted for 30%, four-line cities and counties accounted for more than 20%. Users concentrated in Guangdong, Jiangsu, Sichuan, Zhejiang, Fujian area of the 234-line cities, the age of 20-40-year-old middle and higher income women, repeat the purchase rate of more than 80%.

According to Taobao "2012 County Network Purchase Development Report", China's online shopping market is characterized by the three or four-line regional online shopping growth rate, purchase times, per capita costs are higher than the one or two-line city. This is mainly due to the economic growth brought about by the demand for consumer upgrades and online shopping to make up for the three or four-line regional physical stores, the shortcomings of the inconvenience. The figure below is the  Global Institute's network of online consumption and its proportion to disposable income, and 234-tier cities are more willing to buy than first-tier cities. This strong consumer demand is long-term and sustainable, supporting only goods will continue to develop.

February 2011 years, China's textile and apparel, apparel production of finished goods inventory growth in the year 30%, at an all-time high. 2011 End of finished goods inventory of 664.3 billion yuan. 2012 continued to inventory, inventory year-on-year growth rate from 21% to 14%, the end of 2012 finished goods inventory of 830.9 billion yuan, inventory turnover days on average 230 days. The situation improved in 2013, with inventories growing at 6% to 8% per cent, at historically low levels.

The electric dealer is the best channel to inventory. First, the electrical business relies on the Internet, cargo throughput capacity, can quickly and high-volume processing of tail goods and over season goods; second, like only goods will be such limited-limit special sale mode, will not impact the original brand of the price system under the line.

At first, only the goods will take the advance 15% buy out suppliers tail goods, sell not to return. With scale bigger, only goods will master more discourse right, realize pay after, sell can return back, and the user becomes scale, return quantity is very small. Finally, a virtuous circle, more suppliers to join the only product camp. In addition, for some rich in online shopping clothing brand, only goods will be in the field of Word-of-mouth can also help its sales.