Terminal brand building problems and pressures
Next, I would like to talk about why Decathlon can become a good brand, what kind of work done. First of all, how to understand a good terminal brand, I think so, the most basic level in the pyramid is certainly the staff, there is a good management team and excellent staff, on top of a healthy sales channels, so that his products Can be sold in different areas, then the above is a unique brand of purpose, I have just introduced the beginning. The end-end or to the end customer’s identity, my customers agree with me, then my brand can play out.
That we are talking about this topic today is about the brand, why do you say, including Mr. Pei Ye Hao, all of you here, want to promote a brand in China, I think we have a common reason, I list here, The point is to establish a terminal brand profit margin will be higher than the manufacturing industry; the second is to have a global development plan, not necessarily in China, but also in global development, the development of what is the basis, I have A brand, so to establish; the third may be the vertical long-term development, I only do manufacturing, then, for example, I have all the costs are growing, or my resources are depleted, then I manufacturing Where the future.
Therefore, based on these three points, it may be necessary to establish the brand. At the same time there may be some pressure, for example, the strategic shift of manufacturing enterprises, such as India, South Asia, they have become a dark horse, as our competitors, on this basis, we are not to do some strategic shift, Is the competitive pressure with the industry, we are now quite competitive among the manufacturing industry, intense competition, then I is not to withdraw, to build its own brand, which is the common purpose and reason.
If we build a brand, then what are the hands of ace it?
I think there are four types, one is the continuous expansion of the domestic consumer market, the second is the level of consumption continues to increase, the next is the continuous professional management team, coupled with the Government, today there are mayors, Is the Government’s support, so these points is that we have the trump card.
Since it is to build the terminal brand which functions, from our Decathlon analysis, the first is to have high-level decision-making, this is a must; the second is the core of the R & D department; the third is to The fourth is the logistics and transportation, followed by marketing, and then channel expansion, I would like to marketing and channel development must be separated, the product is the product of the purchase of the product, Followed by quality assurance and customer service, these are indispensable departments. Since the establishment of the brand, we also have ace, the purpose there, then we have what pressure?
Let’s take a look, is not it? The first is to say what we sell, market positioning of our products and its sales model, we are not able to be accurate, can be set in a scientific and accurate, this is a difficult point; the second point is that our channel Rapid laying, that is where we sell, which may have to invest a lot of money, contacts, etc., this is a difficult point; the third point is how to sell, then our marketing department is not to have the strength to go Do marketing, then it’s a position is not appropriate? How we sell, is just like Li Ning, he may be the beginning of imitation, and then have their own ideas, how it sells between this, how can be very accurate, this is a difficulty; the next one is that the product supply The chain of complete and orderly, that is, when to sell.
For example, Decathlon, I do since the terminal brand, then I purchase where to buy, where to sell, this is to lay well in advance, I not only lay the channel but also laying the product supply chain. There is a professional marketing team, as well as the spread of brand culture, which is advertising, is this one who is to sell.
Next is our pressure, on the one hand is very intense competition with the industry, as we now have a lot of sports brands, there are already many domestic, foreign brands have squeezed the market, how can we overcome these brands, among the Such as the market, the competition is a lot of pressure; there is a lot of pre-investment, including advertising, channel laying, etc .; the third point is how to grasp customer loyalty, how to attract customers over; The fourth point is that some sales channels are not so perfect, may give each competitive brand to add some pressure; the fifth point is that, in fact, our domestic R & D design and foreign or a certain gap, then how do I put My products go abroad, this is a pressure.
So there is so much pressure, we really ready to do the end brand it? I am here to emphasize the brand is the product of the terminal brand, I would like to lead you for a change of thinking, in addition to the terminal product brand, we are not there other way to build other brands? We now look at our end brand to establish a purpose, a good direction is high profit margins, global development planning, long-term development planning.
Pressure is the strategic shift of production enterprises and the competitive pressure in the same industry. We look at what the solution, high profits, then, is not able to improve the technological content of products to improve its high profits? In the market share of this product is unique, that other manufacturers and I do not have a competitive, and I certainly can improve my high profit margins.
Then the next step is to say that the global development plan, we can not only establish a global brand, we can build a global production base. Long-term development plan, is to establish a sustainable development of the product supply chain, but also can do long-term development planning. Production enterprises strategic shift, we can transfer different functional departments, for example, the production sector in other places, but the R & D department is still here, you can do a good strategic shift. There is competition in the industry pressure, I highlight that is to create a production-oriented corporate brand, that is how this kind of a brand?
Buyer’s requirements for suppliers
At this point, let us talk about as a buyer, his suppliers of measurement standards, as well as suppliers how to reflect this value to meet the requirements of suppliers must be quality, and the second is social responsibility, and the third is Technical level, efficiency management system and services, which are buyers of a common requirements and metrics, there is an innovation. Suppliers how to do it?
Quality, you can do a complete quality system, and now manufacturers are doing ISO9000 or even higher quality certification. Social responsibility We have to meet the human rights protection standards of international human rights organizations, that is, we usually refer to the human rights audit, factory and buyers through cooperation, you can build such a sound level, the technical level is to have the ability to research and development of technical team And advanced equipment, which is a manifestation of the value of suppliers.
Next is the efficiency of management, we can and factories to establish a number of continuous improvement of production management methods. Service, the supplier can do a quick reflection and flexible production. Innovation is the hope that the supplier has an independent innovation and design capabilities, I think with the customer to do ODM or OEM depends on our own, if we are strong enough innovation, then we do different customers with ODM is also not a bad idea.
Next, we Oxylane how to choose suppliers, that is, each buyer needs price, delivery and quality, one is the production capacity is a management level. Capacity is the size of our suppliers or long-term planning, your investment is only in this small piece of me to keep or continue to expand, or will increase in some other areas, this for us, long-term cooperation is a very important conditions of.
The second point is the management level, I think each supplier’s own management system will be different, the so-called management level is our supplier can do a sustainable development of their own management, not to say that a short-term, I think A high level of management must be long-term cooperation with customers, and then their continuous development of management. The last requirement is our long-term planning.
Supreme quality, not on price
Stubborn German will not easily bow in any way, for the price, it looks “stingy.”Price remains high, is a major feature of German products. In 1899, the Carl Miele and Reinhard Zinkann meet of the year, also the German Miele (Miele) birth year. Two like-minded friends with the same philosophy, “the pursuit of extreme Erin Brockovich”, founded the family business Germany and the United States Connaught (Miele). “The pursuit of extreme Erin Brockovich” This character Proverbs in Germany Miele (Miele) business philosophy, is the heritage of 112 years.
In 1929, Miele launched Europe’s first dishwasher was a dishwasher price equal to a three-year family income. Release not long after they encountered the Great Depression, dishwasher poor sales, but still insisted on Miele dishwasher development, it never stopped.
After the war in 1960, Miele launched Europe’s first electric dishwasher, sales are still far from ideal, these dishwashers manufactured only less than a million units, but still insisted Miele dishwasher as potential products, continue to develop and manufacture until the 1960s began to hit. Today, Miele dishwasher, washing machine, etc. to sell at 10 times the price of other similar products and in short supply.
Miele company was founded from the outset firmly believe that “quality is convincing and sustained success of this.” In today’s global economic integration, the German Miele insist on quality first, still adhere to manufacturing in Germany, formed Guesersloh (Gutersloh) City as the center, radiation throughout Germany 8 factories. At the same time, the German R & D Miele Miele pay huge investment, each plant is equipped with separate R & D center to ensure that each product regardless of design or quality can reach the industry’s only 20 years of standard use.
Miele as a microcosm of German manufacturing, the real mapping out a rigorous and relentless pursuit of excellence with high quality German manufacturing industry. Only ensure the quality, price declines are entitled to say “NO”.
Strong currency, forcing business transformation
Today, Germany has a high quality and high-priced products, Mercedes-Benz to spend a million; the world’s share of the first STIHL chainsaw to sell 16,000 yuan; Miele dishwasher sell 36,000 yuan, etc., which are all in Germany proof strength. But who would have thought, in 1940, Germany and the products actually “shoddy” equate that after World War II Britain also called on German products is absolutely necessary “Made in Germany” for their products and to phase segments. All this shame today have completely changed, and this change is due to the German monetary policy.
Until the advent of the euro in 1999, Mark has been Europe’s most powerful currency, resulting in export must maintain a high price, we can guarantee to keep manufacturing in this country, not relocation, but also the product itself with quality assurance for the German brand Create laid a solid foundation.
It is also due to the high-end market, few German companies to find OEM manufacturing, almost all manufactured by itself solve. Take Miele (Miele) washing machine, for example, except for a few parts, most of the spring, steel tanks, and other accessories by Miele to develop their own, even the washing machine control circuit board is also developed by the United States promise, in order to ensure the highest quality.
Manufacturer is king
The current Chinese housing prices soared year after year, many manufacturers have to join the real estate business, real estate profits to make low-profit industrial manufacturing companies uninterested, this way, the gradual loss of China’s manufacturing advantage, this is the real estate profits in the manufacturing sector out effect. In Germany, however, the situation is very different. In Germany, real estate is not a lucrative industry, manufacturing is king. Although all German income is high, but the German capital Berlin, prices are far less than China’s north. On. Wide. Deep. Data show that in the past ten years, the German house prices rose an average of 1% per year, while the price level rose by an average of 2% per year, compared to housing prices in Germany actually at an annual rate of 1% shrink. Since 1977, average house prices in Germany rose 60 percent, while personal income increased more than threefold. Germany to implement private ownership of land, land use at all levels of government have clear limits, clear division of commercial and residential areas, while real estate prices are also depending on the market, not the real estate business have the final say. Meanwhile, Germany’s transactions and the sale of each house rental transactions will be recorded so that the statistics of the average price of rental housing in the region, more than the price will be heavy penalties.
So to curb opportunistic real estate, business profits refused to make no profit in real estate in Germany, German companies also know that manufacturing is king, from peace of mind in development and manufacturing to eliminate the idea flourishes.
Sports goods industry brand building
First of all, how to understand a good terminal brand, I think so, the most basic level in the pyramid is certainly the staff, there is a good management team and excellent staff, on top of a healthy sales channels, so that his products Can be sold in different areas, then the above is a unique brand of purpose, the end-end or to the end customer’s identity, my customers agree with me, then my brand can play out.
As an international buyer, my point of view may be different from Mr. Li and Mr. Pei. Then I introduce our brand, from our Decathlon Group began to address, first of all our group name is called Oxylane.
Our group has a purpose is to create passion and desire for the broad masses of the movement to provide the happiness of our customer base is the public, our aim is to provide movement of happiness, which is said with Mr. Pei is also very consistent, our group is 76 years in Lille, France was founded, was a sports equipment and casual clothing discount stores, to 86 years, we and other brands in the process of cooperation is not very convenient, we have our own manufacturing company and Its own brand, and began production, 88 years to establish an Asian office, 92 years to enter China, 96 years to establish their own brand, 03 Asian headquarters moved from Hong Kong to Shanghai in 2008, we officially changed its name to Oxylane, before the Decathlon Is as the name of our store and continue to follow. Now we have achieved is the first in Europe, the world’s second-largest sports brand. This is one of our organizational chart, but it will look more special, and some other sports brands will be compared to some differences.
Our core is a R & D department, around it is a technology brand, and then in the third lap around the technology brand is our passion brand, which is a terminal brand, and then outside is a retail, That is, our retail carrier, in this organizational structure, we see our core part of our R & D, our most extensive part of our retail or a carrier.
Our human resources are now 42,000 employees worldwide, from 60 nationalities, located in 300 positions, each year in the international scope to recruit three thousand people in France is within the scope of recruitment 150000 People, and we give each employee to provide good training, a year is to have 500,000 hours.
Next up is our R & D, our R & D in Europe is the second largest R & D department, it has 63 R & D personnel, eight internal laboratories, and then 40 laboratory partners, each year will be launched in the headquarters of France 150 new project. Our R & D center is located in a place closest to the customer, the one closest to the customer.
We have Domyos R & D center in Lille, France. This is our R & D brand, and Inesis, Qquechua is ours. Outdoors, Tribord is in the French seaside, the most southern France, but also for the fastest application and use of products, so this R & D center established in a French seaside. Then production, we have 16 countries in the world production base in Asia accounted for 13.6, this is the number in 2009, may now have some changes.
In this case,
Logistics, we have four thousand employees, each year 45,000 containers will be transported, followed by our retail model, that is, our carrier. Decathlon shop is one of our largest carrier, it is in the four thousand flat, six thousand flat, eight thousand flat a scale in China now has 43 home. The second is the Koodza shop, is one of our discount stores, the third is our online sales and so on and so on, we will have many other retail model, but in China is now mainly Decathlon.
This is a retail store next to a photo, our retail stores are more than 4000 square feet of specifications. Sales, in 2009 is 6.3 billion euros, 10 years is to achieve 70 billion euros, growth can be said to be pretty fast, 30% growth. We have our own foundation, which is 95 Decathlon volunteers, the beneficiary population is 20,000. Decathlon we generally introduced to here, I would like to introduce here, we may have on the Decathlon has a very three-dimensional understanding。