Terminal Risk: Shoe Companies Need To Get Rid Of Promotional Terminal Thinking.

In the shoe industry, if you are a buyer, "weather" is the seller. In the first quarter of 2012, I am afraid you will give him a bad comment.

If you are a buyer, the "economic environment" is a seller. It may be hard for him to praise him in recent years.

And you are the seller, the agent is the buyer, you have to find a way to let him praise you.

Of course, you are the seller, and the consumer is the buyer. Unfortunately, there is no more discount for you to win sustained praise.

Why do you sigh, why are you selling "strong buy strong sell", but you have to "kowtow" to please the consumer?

Yes. Who let you retail? Who let you sell shoes?

We can't control the global economy, we can't stop it. Online retailers Pace, but we can improve our sales ability. Trees move to death, people move and live, unable to compare with "heavenly", but they can compare with themselves, compare with ideas, operate more, surpass peers, and you can live better than them. 2012, it is important for the terminal to survive.

　 The current situation -- the danger of the terminal of collectives

Have a look terminal It's all mixed up.

Eyeful discount, endless sales promotion, we ourselves are dazzled, let alone consumers.

Terminal is hard to do and terminal is difficult. This may be a chain reaction of many crises faced by China's retail industry in 2012.

Data: slow, slow...

According to the National Bureau of statistics, the total retail sales of consumer goods in China in the first quarter of 2012 amounted to 49319 billion yuan, and the actual price increase actually increased by only 10.9%. In March, the total retail sales of social consumer goods increased by 1 trillion and 560 billion yuan, up 15.2% over the same period last year, and the growth rate dropped 1.2 percentage points over February.

According to the Ministry of commerce data, the retail sales of key retail enterprises increased by 8.3% over the same period in March of 2012, and the business climate index and entrepreneur confidence index of wholesale and retail businesses are still declining.

The China National Business Information Center revealed that in the first quarter of 2012, the retail sales of 50 key large retail enterprises increased by 8.15% compared to the same period last year, slowing down 14.48 percentage points compared with the same period last year.

Hongkong's kichi securities analyst said last year, including Mae, Yintai, Parkson, Jin Ying and other retail giants, its growth rate of comparable stores declined.

Look at the specific shoe companies' performance.

BELLE International's retail operation data in mainland China in the first quarter of 2012 showed that the same store sales of its sports apparel business were reduced by 2.4%, while footwear sales in the same store grew by 2.8%, but lower than 8.2% in the previous quarter. Meanwhile, the growth rate of BELLE's stores in the first quarter also slowed down, with a net increase of 477, compared with 1100 in the fourth quarter of 2011. Some analysts and industry pointed out that the number of days leading to the peak sales season in the Chinese New Year is one of the reasons for slow growth in same store sales.

Daphne International released data show that its first quarter sales in the same quarter increased by 22%. The net sales increased by 149 in the quarter, and the total sales point increased to 5751 in March. Daphne said its core brand business grew double digits in the first quarter, due to the low base year and the recent promotion and promotion. However, the market promotion and promotion efforts generally strengthened in the Chinese women's shoes market, together with the pressure of rent and staff costs, bring pressure and impact on profit margins.

Anta CEO Ding Shizhong said that sales in the first quarter are still in the trough, and that April will enter the season of exchange. It is expected that sales and orders will pick up from the bottom of the second quarter. I believe that the relative prudent management strategy will be adopted this year. It also told the media that the individual stock companies still had large inventory pressure and had a great impact on the whole market. It is expected that the pressure on industrial inventories will be difficult this year and the operational challenges will continue.

In foreign countries, footwear retailing is also not very prosperous. According to reports, the first quarter sales of Canadian fashion footwear retailer Le Chateau showed a trend of upward and downward swing. Le Chateau is located in Montreal, Canada, and now has 243 stores. It is reported that the unusual climate in most parts of Canada has affected people's demand for spring related commodities and the rate of gross margin.

　 Dead end: promotion terminal thinking has entered a desperate situation

See such a micro-blog:

@ Wangfujing lady Luo: [Guangzhou retail department store? What's the matter with the local retail department?] local department store in April, 21, 22, two days, spring and summer, the new product is 50 percent off, and the adjacent TIANTI can not withstand the temporary notice. The new product has been put on shelves for more than a month, so how much profit is it going to sell so fast? How much profit does the businessman have to make a bet? How much profit does the brand still have left to maintain? Can the agent still survive at the terminal? These are all irrational actions that the controller does not think about. How do we go after the way?

Display, special offer, buy gifts, lucky draw, points, POP advertising, product manuals, shopping guide promotion, limited panic buying, joint promotions... Indeed, promotional activities have been flooded with terminals. The "last mile" battlefield, which is extremely lively or even overheated, is still the heart disease of enterprises. Especially when sales are weak.

Merchants' understanding of terminal promotion has stayed at " Promotion Level ", which is a waste of terminal resources.

In this mode of thinking, businesses often interpret as "how much money do I throw in and how much returns I get back". When the terminal cost is increased, this mode of thinking is challenged. From the perspective of "input output ratio", the value is getting smaller and smaller, and terminal sales have become a low efficiency marketing method.

This scenario is very much like the original advertisement of a businessman - selling a round of advertisements and selling a round of goods. Once the advertisement is stopped, the goods will remain unsalable. If advertising can get a certain reputation and help brand accumulation effect, then the promotion of the terminal has changed most of the sales promotion, and the result has reduced the brand of its own brand. This "promotion" type of terminal promotion, its profitability is becoming lower and lower.

Many businesses are complaining that their tricks are exhausted.