Counterproductive product diversification strategic layout drive Baofeng fashion high growth

Keywords: Baofeng Fashion, NBA, Swarovski, FashionTV, SpongeBob

Recently, at the just-concluded spring/summer new product fair for Baofeng Fashion, the leading domestic fashion footwear Baofeng Fashion International Holdings Limited (stock code: 01121.HK) announced that it will set up a brand operation center next year to be responsible for Baofeng Fashion. The operation and management of its brand, at the same time, will gradually relax the conditions in the future, empowering powerful dealers to open an e-commerce platform, and continuing the “diversified” style of operation of Baofeng Fashion.
Signing International Brands Expanding the product diversity camp 2012 has been a big year for Baofeng Fashion. Baofeng Fashion has successively signed four international famous brands such as NBA, Swarovski, FashionTV, and the famous American cartoon SpongeBob SquarePants, authorizing the production of related theme products. Since then, Baofeng Fashion’s three authorized international brands, NBA, FashionTV, Spongebob Squarepants, and two major self-owned brands, Baoren and Baofeng, have covered many core areas such as sports, leisure, luxury, fashion, and parent-child, and have also seen many The characteristics of interval and multi-price position satisfy the diversified and multi-layered real needs and potential needs of consumers.
At the same time, through the product line across the four seasons and a wealth of product design, Baofeng Fashion has derived a number of distinctive, vivid product lines, covering target consumers in a comprehensive and long-term manner. It has won the favor of the market for Baofeng Fashion, and has laid a good foundation for the rapid expansion of the dealer team.
Channel development and market promotion diversification to achieve double-digit growth contrarian <br> In addition to diversification of product strategy, "diversified" business philosophy is also reflected in Baofeng fashion in channel development and marketing tools.
The rich product line has become a solid foundation for Baofeng's fashion and stable domestic market. Baofeng Fashion achieved sales network from the original 1000 to 1,500 double-digit growth breakthroughs in advance. In June of this year, Baofeng Fashion turned its strategic vision to the emerging economies, the Southeast Asian market. Currently it has successfully settled in tier one business circles in the Philippines, Singapore, Malaysia, Indonesia and other countries. The market sales feedback is good, laying a forward-looking strategic foundation for the further exploration of business opportunities in the Southeast Asia market in the following year.
In addition, Baofeng Fashion Brands have been greatly enhanced through the various sponsorships of the Asian Sisters Competition, the sponsorship of the May Day Concert, the “Rui Li” “Break Girl” contest, and the “Dance Legend” fashion showpieces. Reputation and reputation, speed up the circulation of products, and ultimately achieve an increase in the overall performance of the market.
Innovative brand operation model Full interpretation of diversification
The sustainable development of the brand not only requires horizontal development, but also tests the ability of the company to integrate resources and expand verticals. In September 2012, Baofeng Fashion's first “Baofeng Fashion and Leisure Exchange” multi-product shop came into being. "Baofeng Fashion Leisure Exchange" includes Baofeng Fashion's own-brand treasurers and licensed brands such as NBA, FashionTV and Spongebob Squarepants, aiming to create a one-stop shopping experience mode for the entire family, using Baofeng Fashion Authorized Brand Division to implement the total In the words of manager Liu Yuxi, this is the "shoe cabinet" at the door of the house where one-off shoes for the whole family can be purchased at once.
Baofeng Fashion Leisure Exchange, as the innovation and upgrade of thinking under the “diversified” business philosophy of Baofeng Fashion, is a new exploration of the industry development model. Once it was launched, it aroused the attention and discussion of the entire industry and the media. In the just-negotiated Spring-Summer Fair, the Baofeng Fashion Leisure Exchange welcomed a group of dealers and franchisees. Many dealers immediately showed strong intentions to join. In the next five years, Baofeng Fashion will also open 30 flagship stores of Baofeng Fashion Leisure Exchange in China's first- and second-tier cities as well as Hong Kong and Macau. The diversified tentacles will not only be limited to drag and drop shoes, but will also be extended to fashion apparel, accessories, handbags and swimwear.
If Baofeng Fashion & Leisure Club is the result of internal driving force of the company, then the opening of the world's first “NBA fan shop” in Baofeng Fashion this year is the launch of Baofeng Fashion's reverse thinking and another concept of “diversified” business philosophy. Change and innovation.
This year, Baofeng Fashion and the NBA have grown from a simple authorized partnership to a strategic partnership. “NBA fan shop” is a distinctive group sales model that is specifically targeted at China’s 300 million fans. In addition to selling Baofeng Fashion NBA series slippers, the store also displayed sales of various official NBA authorized products.
In 2012, various factors such as inflation, rising raw materials, and corporate transformation made the overall shoe and clothing industry generally unfavorable. However, Baofeng Fashion achieved double-digit growth through the expansion of the depth and breadth of the brand, highlighting its “diversity”. The "branding power" is a typical case of enlightening the entire industry.
It is understood that Baofeng Fashion will invest 1 billion to construct the Anhui Suzhou factory and the new headquarters building in Quanzhou to cope with the current rigid market demand and the market growth of the next 80%. It is not difficult to see that the company is full of confidence in its future development.