Men'S Clothing Is Becoming A New Potential Stock. What Is The New Ambition Of The Seven Wolves?

The domestic women's wear market is becoming more and more saturated. With the rise of fashion awareness of male consumers, the demand for men's clothing market has begun to accelerate and is becoming a new potential stock.

In the past 5 years, China

The market size has increased by more than 200 billion yuan. Although the market is becoming more and more complicated by changing consumers, the domestic Mens listed group's revenue has generally been increasing in the first half of this year, and its profitability has also been improving.

With analysis, it is expected that the sector will continue to increase by two digit growth over the next five years.

In the face of favorable environment, traditional men's wear brands are actively seeking new breakthroughs and constantly trying new directions.

But in the era of consumption upgrading, how to break the stereotype of the domestic men's wear brands and get the recognition and favor of young consumers has become the biggest challenge.

"The first men's wear in China"

The seven wolves brand was founded in 1990. It is one of the leading brands in China's men's wear industry. Its main products include shirts, Western-style clothes, trousers, jackets, knitted sweaters and so on. According to the age, dressing occasions and needs of the target consumers, it is divided into red, green, black and other product lines.

According to Zhou Shaoxiong, one of the founders,

One of the inspiration came from a song by Chyi Chin. In Minnan dialect, "wolf" and "human" homophonic, "seven wolves" just represented seven people who created the brand, and the brand trademark also chose the animal totem of wolf directly.

In 2004, seven wolves landed on the Shenzhen stock exchange to become China's first listed men's clothing company. Its lattice jacket, launched in 2000, has been ranked first in the Chinese jacket Market for 16 consecutive years.

As one of BrandZ's most valuable list of China's top 100 brands, the seven wolves pioneered the theory of clothing brand culture management which is not only one side of the industry, but formed a modern business management system with brand as the core and Lifestyle industry as the leading factor.

However, the performance of the seven wolves has been in a downward trend since 2013. It is mainly affected by the excessive network of shops and the excessive cost of rent.

At the peak of 2012,

There are 4007 sales outlets under the Internet. After a series of "downsizing" operations, it reduced by nearly half to 2821 in 2014.

Since then, seven wolves no longer disclose store data.

In the same year, the wolf wolf launched its own brand WOLF TOTEM Wolf Totem. It has been invited to Milan fashion week for four times. It has become the first Chinese menswear brand to be invited by Milan fashion week.

Thanks to effective innovation measures, the performance of the seven wolves has been revived since 2015.

According to fashion headline data, in the first half of June 30th this year, the business revenue of the seven wolves rose by 13.83% to 1 billion 459 million yuan, while net profit increased 10.49% to 135 million yuan compared with the same period last year. The core garment business revenue rose 13.58% to 1 billion 410 million yuan, accounting for 96.64% of the total revenue.

During the period, the operating revenue of seven wolf trousers and T-shirts was 216 million yuan and 260 million yuan respectively, which is the most important source of income for the brand.

By region, East China contributed the largest revenue, accounting for more than 60%, reaching 919 million yuan, followed by the Southern China area, with a revenue of 195 million yuan, accounting for 13.43%.

Some people in the industry say that the key to the steady performance of the seven wolves is inseparable from its construction of channels.

By constantly optimizing its own channel structure, the electricity supplier and the needle spinning business have become the two important source of profit for the seven wolves besides the main brand line.

Last year, the seven wolves increased the online revenue by 30% to 1 billion 300 million yuan by expanding the drainage capacity of the online platform of the electricity supplier departments and enriching sales categories, and the operating income of knitted products exceeded 1 billion yuan.

The seven wolves, while carrying out the subdivision and pformation of the "brand store" and "parity shop" at the terminal stores, are also promoting the layout of the online market, relying on new technologies, opening up the four links of consumer, commodity, marketing and trading, and joining the main platforms such as Tmall, Jingdong and vip.com to seize as many market share as possible.

According to the earlier report released by Yun Guan Da Da, in the month ended May 31st, the seven wolves successfully entered the top 20 list of Tmall men's clothing sales, faster than the fast fashion giant Zara.

With the improvement of the aesthetic consciousness of the consumers, the seven wolves also began to accelerate the pformation of products. While deeply cultivating Chinese traditional culture, they also actively integrated the Western elements into the design, trying to attract more young consumers' attention.

Who will define "new men's clothing"?

2017 is known as the first year of consumer promotion. Young consumers are closer to the increasingly active consumption upgrading market with the help of the Internet. However, the change of new and old consumers is creating opportunities for brands, but it also means greater challenges.

In recent years, Chinese consumers' judgement of men has shifted from the original tough guy image to the "young star", and the invasion of foreign brands accelerated this change.

It has been reported that young men between the age of 18 and 27 are much more concerned about wearing this thing than they imagined and eager to change the image of Chinese men in the female mind.

At the same time, with the development of mobile Internet, the curiosity of consumers to celebrities has long been not only entertaining news, but also the followers are following closely behind the spotlight.

For a time, the domestic men's wear brands, which mainly sell suits and Polo shirts, began to feel an unprecedented sense of crisis, and the seven wolves who showed the image of "tough guys" were also quietly changing.

It has been pointed out that the communication between brands and consumers is not only simply the logo and products, but the three-dimensional multidimensional propagation and deepening process from image to personality. Whether it can create clear brand characteristics and create a sense of worship in the minds of consumers is the key to forming "differentiation" with competitors.

Therefore, in the new management concept of the seven wolves, personalized creation and promotion become the top priority. Through the wolf medium, the seven wolves will personalize their qualities, aiming at establishing an emotional communication with the target consumers.

In recognition of the fact that compared to traditional advertising, the word of mouth marketing and the KOL belt effect were more convincing than the consumers. The seven wolves invited the star Zhang Hanyu as the brand spokesperson in 2009.

During the 9 years of cooperation between the two sides, Zhang Hanyu not only supported the appearance of the male contemporary image of China by seven wolves, but also displayed the bravery, fearlessness, responsibility and responsibility of the male wolves represented in the films such as the movie "Zhi Wei Wei Shan", "Mekong River action", "hunt" and "Red Sea Action" and so on, further consolidating the leading position of the brand in the high-end men's clothing market in China.

In addition to the already mature consumer groups, the seven wolves with bigger ambitions are trying to inject more fresh vitality and connotation into the brand, showing consumers another side of the seven wolves, thereby gaining new growth momentum.

In view of the first group of 90 people who have entered the age of 27, consumers of this age group have already cultivated more smart consumption habits and rich shopping experience, and have already gone through the age of blindly following the trend.

In August 27th, the seven wolves announced that this is the first season champion of the street dance and Han Yu, the "all-round dancer".

Careful observation shows that Han Yu, who excels in many kinds of dance, has been committed to achieving the ultimate goal of love, and has not forgotten his original mind after becoming famous.

In the 2018 autumn and winter advertisements of the seven wolves, Han Yu showed another side of the brand's younger age. The seven wolves said in a statement that unlike Zhang Hanyu's mature and steady experience, Han Yu's dedicated and positive attitude highlights the characteristics of the new generation of male consumers in China.

It is reported that in the 2018 autumn and winter series, the designer of seven wolves drew inspiration from the American classic movie "Dances with wolves", integrating the "Indian culture" with the wolf wolf's unique "wolf culture", adopting the fashionable fabric and exquisite embroidery printing technology of the season, forming more yuan style.

Diversify layout and accelerate the capture of young market

After 28 years of development, the seven wolves have gradually grown from a brand specializing in men's clothing to an integrated group, and successfully built the seven wolves brand into a multidimensional industrial chain, thus establishing a "unified brand diversification strategy".

With the positive trend of performance growth and the continuous expansion of business scale, the seven wolves group began frequent mergers and acquisitions last year to layout the fashion consumption ecosystem.

In March last year, seven wolves invested in the Hong Kong pictorial company's modern communications group Affiliated Companies modern digital.

According to the announcement, seven wolves invest in A share listed company Fujian seven wolves Affiliated Companies, and modern digital business mainly includes Europe's largest art and creative video platform NOWNESS.

In addition, seven wolves investment controlling shareholder Fujian seven wolves has been one of the main advertisers of modern communication. The two companies involved in pactions in December 31, 2016 ended up to 16 million 500 thousand yuan in 2016.

At the same time, the seven wolves also invested in the British luxury electronics platform Farfetch, and said it would build on the brand management and capital operation as a link and create seven wolves through the way of "industry + investment".

Group.

For the paction with modern communication, Zhou Shaoxiong, chairman of Fujian seven wolves, said earlier that the stake is just a small step in cooperation with the modern communication group. The future is not limited to the mobile new media business, which has also given the industry great room for imagination.

In August of the same year, seven wolves spent 320 million yuan to buy Chanel creative director Karl Lagerfeld, China's operation entity holding rights.

The seven wolves said they hope to further improve the operating efficiency of Karl Lagerfeld stores in the Chinese market through their own experience in the apparel industry, and take the opportunity to participate in the business mode and format of fashion luxury brands.

At the same time, after the Karl Lagerfeld professional luxury operation team has joined, it can better enhance the operation capacity and efficiency of the seven wolves, speed up the pformation of the company's retail mode, and better implement the long-term strategic development direction of the company's "seven wolf fashion group", and improve and complement the brand portfolio of the company.

As the creative director of Chanel and Fendi, Karl Lagerfeld is regarded as the master of fashion in the global fashion industry. In China, it is known as "Lord Buddha".

Its brand name covers leather goods, clothing, watches and perfume. Currently, it has 80 single brand outlets in Europe, North America, the Middle East and Asia, as well as wholesale business in Europe, Middle East and Asia, and has KARL.COM in 96 countries.

In 2016, Karl Lagerfeld and G-III set up a joint venture to reintroduce Karl Lagerfeld Paris in the North American market.

The brand says that Karl Lagerfeld is expanding overseas, with the US market showing strong performance.

However, in the Greater China region, Karl Lagerfeld business started relatively late and entered China for only 3 years. Currently, the brand has operated 6 direct retail stores and 1 Oteri J stores in Beijing, Shanghai and some of the first tier cities.

Authorized business, Karl Lagerfeld personally participated in the design of Macao Karl Lagerfeld the same name hotel opened this year.

Only three months after the debut of fashion week, Kaia Gerber, the 16 year old Cindy Crawford, signed the first design cooperation agreement with Karl Lagerfeld, which was officially launched in August 30th.

To speed up the move toward Chinese consumers, under the leadership of seven wolves, Karl Lagerfeld recently opened a flash store in Kerry Center, Shanghai, offering a series of brands and 00 supermodels Kaia Gerber, including garments and accessories, integrating Karl Lagerfeld's Paris fashion aesthetics and Kaia Gerber logo American style.

It is noteworthy that, as the leading fashion apparel brand in China, the seven wolves also participated in the auction of Swiss luxury brand Bally, but failed to enter the final round of competition. Bally was eventually captured by another domestic clothing giant Shandong Ruyi holding group.

But it is obvious that today's seven wolf ambitions are no longer limited to the same brand business, but rather multi brand groups, and through the acquisition of overseas luxury brands to enhance brand positioning.

Diversified upgrading and pformation will become the future development strategy of seven wolves.

In the rapidly changing apparel retailing industry, conscious consumers will be more willing to pay for brands that can resonate with themselves in the future, and brands with clear values like wolves will stand in a more favorable market situation.