Younger Li Rucheng steadily seeking fast clothing strategy

Younger Li Rucheng steadily seeking fast clothing strategy Li Rucheng, who has always been a low profile, is raising the profile of Younger. At this time last year, as the Younger Group Chairman Li Rucheng let the top five European top fabricator came to Ningbo, these previously only LV and other top brands to provide services to choose this much younger than their own Chinese clothing Business together to expand the market. This year, Li also called Jeffrey Wolf, chief administrative officer of HSM Group, the largest suit maker in the United States, to join him in celebrating the 130th anniversary of HartSchaffnerMarx at Ningbo International Fashion Festival. Obviously, as a benchmark for men's clothing in China, Youngor is revealing the signal to return to the main business of apparel. This is Li Rucheng's best response to last year's proposal of "creating a Younger in five years." Borrow the market Hart Max's popularity in the country is not very high. But in the American market across the Atlantic, the 130-year-old suits brand known for tailor-made suits has a huge fan base of fans including the 34th president of the United States, Eisenhower, five-star Army admiral, and 40th president of the United States Nader Reagan and so on. More and more consumers know one thing after the birthday party announced by Li Rucheng: Obama was wearing the brand suit when he took office as the 44th president of the United States. In fact, many people do not know that the American brand founded in 1887 met Younger ten years ago. Among the more than 30 brands that HSM Group has come up with, Lee has selected Hart Max, a business-minded businessman, as the first international brand of Youngor agents and in 2014 formally acquired its presence in Greater China (the Mainland, Hong Kong and Macau) Brand management rights. It seems to both sides that they are all ways to borrow. Today, the Asian market is more and more important, and China is the top priority. HSM hopes to take advantage of Younger's mature market advantage and network channels to quickly open up the situation, and Li Rucheng hope agency HSM to introduce more international clothing brands. After a few years of low-key growth, it looks pretty good. According to The Youngor Annual Report, the average annual growth rate of Hart Max reached over 35% in the past five years. For an international brand whose popularity is not as familiar as luxury goods, this figure gives both partners higher expectations. At the press conference, Li Rucheng said he hoped that within five years, Hart Max would maintain an annual growth rate of over 20% and make sales amount to 10 billion in five years. Talking about "Troika" Luxury clothing for a birthday celebration, and clearly revealed before the conference a string of numbers. Compared to a few years ago, such as gold, Li Rucheng more and more talkative in the field of clothing. Youngor seems to want to remove the two years has been labeled "investment master" and "real estate chiefs" of the two labels, and tell you from beginning to end did not break away from the main clothing industry, then started by 20000 yuan clothing The factory has been sticking. Some figures may prove that in recent years, Youngor's return to the main industry is not as superficial as it seems, but a top priority. The annual report shows that in the first half of this year, the Youngor Group's revenue and net profit were reduced by 37.70% and 33.33% respectively. Analysts pointed out that the real estate carry-over project and the investment income reflected in the investment income decreased, which led to the decline of its performance. Among the three major business segments of apparel, real estate and investment, the apparel business achieved a revenue of 2.4 billion yuan in the first half of the year, up 13.62% over the same period of last year. Apparel business was the only one of the three major segments in which revenue and net profit increased by more than 10% year-on-year field. Compared to the growth of the clothing sector, the other two plates are declining returns. 66-year-old Li Rucheng now treat different business segments. "Starting from June last year, I am 50% -60% of the energy on the clothing, taking into account the real estate, investment business.The fundamental reason is the environment changes, Youngor if you really want to become bigger and stronger, clothing is our Core. Real estate in this country is constantly under control, the prospects are not clear, and investment opportunities are relatively large, we do not have a very strong team of professionals, but in this piece of clothing, Youngor has invested more than 30 years .Although compared to In the real estate at 500000000, output of 1 billion, clothes make money by selling clothes one piece, to the money slow, but steady enough. Li Rucheng's new retail In this conference, Li Ruecheng repeatedly mentioned a word: the new retail. Under the impact of the Internet economy entities have shouted at the moment, Li Youcheng led by Younger is also seeking more methodology. Li Rucheng want to do, first plus or minus. "Our goal is to reduce the number of Youngor stores from 3,000 to 1,000 today and focus on additions to create the 1,000 stores and create them into marketing platforms with sales of more than $ 10 million." Later, Li Rucheng also has a set of "five elements" theory. "Youngor next must complete the five elements is the high quality products, competitive cost, rapid logistics response system, comfortable environment, high-tech marketing." In Li Rucheng view, according to the current status of the industry and their own ideas, Youngor qualified to achieve this breakthrough. For example, with 10 million members of big data, with 3D volume data, two-dimensional version of the play, VR joint, WeChat payment and other Internet technologies, the traditional production and marketing of a complete change, to achieve their own transformation. Take a scene as an example. For example, you travel to Beijing, the temporary need for a suitable shirt, you can log in at the airport Youngor customized platform, enter the personal membership information, the platform will be based on the data you left before making a good shirt, and within 24 hours To the designated store, to Dacoz.com achieve home pick clothes. "Now that these conditions are met, we have entered the operation process and next year we will open the first Youngor model retail store in Ningbo, Shanghai and Hangzhou." Seek not fast clothing strategy Since heavy heavy return to the main industry in the strategic planning of the garment sector, Youngor next will be how to go? In the conference, Li Rocheng frankly, reform and opening up to the present, the domestic men complete diversification process, the form of clothing more than enough. Just as the government and academic circles estimate the development trend of future domestic consumption: Next, the consumer market will see a differentiation in the consumer market. In the apparel industry, the diversified results will be preserved to meet different consumers while the mainstream garment enterprises , We must complete the consumption upgrade together with the mainstream middle-class consumers. "For example, Hart Max, the market is to have a foundation, and second, they have to nurture themselves." For example, Li Rucheng said that American fashion has a lot of space in China. Many Chinese consumers do not like to wear ties and are willing to wear relaxed, Leisure, like to wear outdoor-style clothing, so the development of American-style clothing and Europe-based serious business-oriented Younger and MAYOR (Youngor's high-end own brand) complement each other to help companies seize the consumer trend and enrich the product layout. In Li Rucheng view, boosting is a must. Last year, for example, ZEGNA, LORO PIANA, CERRUTI 1881, ALBINI and ALUMO cooperated with top fabric manufacturers to jointly develop and launch Youngor own high-end brand MAYOR. The result is that as a sub-brand MAYOR revenue increased 284.97% year on year! Obviously, after MAYOR, Lee admitted that it was time for Hart Max. This year's semi-annual report shows that although Hart Max's revenue despite MAYOR, but also reached an increase of 34%, the number of outlets over the same period last year a net increase of 20 to 447.