BELLE Integrates High-End Market For Men's Shoes

Through the acquisition of the Japanese company Roebuck and the acquisition of the Dragon world, BELLE has entered the market of women's wear and high-end men's shoes respectively. According to the insiders, this is not only a phenomenon of acquisition, but also a brand integration. At the same time, with the advantage of channel, BELLE will integrate online and offline, so that consumers can enjoy this shopping atmosphere more conveniently.

Following the $93 million 963 thousand acquisition of Japan's Baroque company's 31.96% stake in the women's clothing market in August 5th, BELLE International announced recently that its two Affiliated Companies will enter into a share purchase agreement with a number of independent third parties, and will purchase all the issued shares of the Dragon world shares at a price not exceeding 700 million yuan.

It is understood that the Dragon world mainly sells shoes, bags and bags in the mainland, operates Timberland (Tian Bailan), SKAP (Saint Galla) and some other brands. Its own high-end footwear and leather goods brand SKAP has more than 600 outlets in China, more than 200 of which are direct stores, mostly located in department stores, shopping centers and airports. It is the four largest leisure market in China. Men's shoes brand The other three brands are Denmark brand ECCO, Italy brand Geox and the British brand Clark, which is currently distributed by BELLE.

Regarding the intention of the acquisition, BELLE International said that the acquisition will improve the group's current brand portfolio, so that the group owns and operates in the high-end casual shoes category. Own brand 。 In addition, the Dragon world is in the same industry category as BELLE, and is in line with the business nature of the group. Therefore, it is expected that after the acquisition and BELLE international will achieve synergy and benefit from scale efficiency.

"This acquisition is somewhat surprising. After all, the position of dragon and sky in the men's shoes field is the same as that of BELLE in the field of women's shoes. And the Dragon world is now in BELLE's pocket, indicating that BELLE's ambition will not stop in the championship of women's shoes, and is still coveting the hegemony of men's shoes. An industry insider who contacted BELLE and dragon ho Tian told reporters.

The industry also pointed out that due to channels and publicity, and other reasons, SKAP brand awareness is still not high enough, and thousands of dollars of products, consumers are always limited, coupled with intensified market competition, SKAP has not been doing well in recent years. It is estimated that the operators want to cash in, and BELLE has not been successful in integrating into the men's shoes market after buying it. SKAP is much higher than men's shoes in men's shoes, so it can supplement its vacancy in high-end men's shoes.

BELLE's "brand rapid expansion" is more typical in the industry. In the shoes and clothing industry commentator Ma Gang, this is also BELLE International's business strategy. BELLE is relatively special, some enterprises attach importance to marketing, BELLE international pays more attention to retail channels. Through acquisition, it can be integrated in retail resources and human resources, so as to achieve scale. However, it remains to be seen whether the acquisition of some small brands in the mainland can be bigger and whether it can play the desired role of BELLE.

Some experts are not optimistic about the acquisition. In 2007, BELLE bought Jiangsu's Sunda at a total cost of 1 billion 600 million yuan. It was the first brand of men's shoes. Since 1993, it has been ranked first in the domestic market share for many years. However, the brand influence has gradually weakened due to the lack of management and other aspects. A spokesperson for a men's shoe company told reporters that BELLE had taken over a few years. But at present, the company still has no improvement. It is obvious that although BELLE has experience in managing women's shoes, it is not very good at the men's shoes market. Whether the future can integrate successfully is still unknown.

Data show that after many years of rapid growth in BELLE's sales and profit growth slowed down last year, net profit has negative growth this year, sales revenue in the first half of 17 billion 800 million yuan, an increase of 11.25% over the same period, net profit of 2 billion 167 million yuan, down 3.35% over the same period last year.

Faced with a slowdown in performance, BELLE International said that it will actively expand online sales, the current electricity supplier accounted for less than 5% of the company's sales, the first half of the year to reduce 30% to 40%, the next 1 to 2 years is expected to reverse the loss situation. In addition, excellent purchase network recently announced that its parent company BELLE international wants to realize the integration of online and offline businesses. In the near future, when consumers place orders online, 18000 stores in about 300 cities under BELLE international online can be delivered nearby.

However, there seems to be some doubts about the interactive marketing mode. Once the online and offline products are synchronized, the online price is cheaper than the offline, which will undoubtedly damage the interests of the entity store businesses. BELLE International's "online and offline integration" is in line with the needs of the development of the industry, and it can further integrate the company's online and offline businesses. But BELLE international still needs to pay attention to and solve some problems, such as adjusting the category and price system of online and offline products.

In addition, although BELLE shoe terminal sales growth slowed down, but the pace of manufacturing is accelerating. Following the establishment of factories in Shenzhen, Dongguan, Anhui and other places, BELLE's factory in Guizhou Tongren began to put into operation in August to speed up the layout of production, aiming to increase the proportion of self production and strengthen cost control. Most of BELLE's shoe products were outsourced before production.