Why KM'S Sales Performance Is Hot Under The General Trend Of Industry Downturn

　　 Why does KM become the envy of the clothing retail industry when it becomes popular?

In 2015, the economic growth slowed down, the market was saturated, costs rose online retailers Under the continuous continuous attacks, the performance of major physical chain stores was terrible. According to the data released by the media or listed companies, in the first three quarters of 2015, Bosiden, Septwolves, Jiumuwang, Giordano, etc. were all closed significantly, and Meibang also suffered a significant loss of hundreds of millions. Enterprise transformation and huge adjustment of market strategy are imminent.

However, at a time when the industry is full of sorrow and depression, the new power KM brand has made great progress all the way. It has attracted a large number of consumers to enter the store and consume at a time when the market is full of sorrow and sorrow. The business is hot and the number of customers is like a market. In the short term, KM has hundreds of stores in China, all over the country's first and second tier cities, and the number of new stores is rising month by month.

The KM model of dissent, is it China clothing The antidote to physical retailing? Today, we are all in the clothing circle will reveal the envy of the clothing retail industry.

Speaking of getting to know KM for the first time, it was an executive of KM Company who added my WeChat at the end of 2014. At that time, the executive forwarded a simple introduction to the brand to me. At that time, my first impression was that the brand was a combination of Fast Fish and HM or Uniqlo. Out of curiosity, I went deeper to understand the brand, and the results were not unexpected, KM brand is not the fast fashion of Nordic Denmark as its official channel introduces designer The brand was not founded in 1976, but a brand vigorously expanded by Guangzhou Carmen Industrial Co., Ltd. in 2014, and the brand has not even settled the trademark yet!

However, this does not prevent it from quickly occupying the market. The average daily sales of ordinary stores is 40000 to 50000 yuan. In the short term, large and small stores have sprung up in China's first and second tier cities. Even though the market is depressed, up to now, none of KM's stores have closed, and business is booming, which is recognized by many young people. Why on earth does KM make the vast number of smart consumers willing to pay for it when the major brands in the market are falling?

I think the main reasons are as follows:

　 1. Popularize fashion

In the past, the physical retail industry made a large number of products through "imitation" and used quantity to occupy the market. As the famous instant noodle advertisement said, "someone imitates my face, and someone imitates my face", it is just pure imitation without personality. However, today, with the rapid development of the Internet, consumers are tired of following the trend, and are more pursuing personalization and diversification. One of the reasons why KM can make consumers willing to pay the bill is that it has popularized global fashion fashion Elements are integrated into the design, and fashion products with high fashion sense, consumer demand and strong pertinence are launched.

2. People's return to low price rationality

The biggest stumbling block of China's physical retail industry is the high price. The complex channel hierarchy and the greed of retail terminals for windfall profits are the main reasons (on the one hand, the greed for windfall profits is also due to the high cost of store rent). KM tore it up Clothing industry For the last piece of paper with an inflated price, KM directly negotiated with top tier brand manufacturers, signed a mass production contract through large-scale procurement, purchased high-quality raw materials at a lower price, and bought out the short chain supply from the factory directly to the store, controlling every detail and minimizing the cost. That is to say, it removes the complicated intermediate links, connects enterprises and individuals, guarantees quality and at the same time makes the price available to the people, and basically achieves the lowest price in the industry. Or more simply, it allows consumers to get the floor price in the brand store, and gives consumers a sense of brand honor The shopping psychology of pursuing "good quality and low price" hit it off.

　　 3. The cake of Chinese clothing e-commerce is broken

KM stores are large and rich in styles. Compared with clothing e-commerce stores, the biggest advantage of physical retail stores is that their products are "visible" to consumers, and what the real color is Fabric It is clear at a glance how and whether the quality is up to standard. You can also try it on and then decide whether to pay the bill. There is no such problem as the "big gap between expectations" after receiving the goods from e-commerce. The purchase process is simple, and it does not need to spend time waiting for the express delivery. Return and exchange can be completed directly at the store, while e-commerce needs to go through a series of processes. Moreover, in the past two years, China's clothing e-commerce is basically overdrafting and attacking the stock market. What overdrafts are consumers' wallets and enthusiasm, forming price dependence and social promotion dependence, which will be a terrible problem. At present, the clothing cake is not big, nor is there more people sharing the cake, but the cake is broken. Then, at this time, brands with high cost performance will have the opportunity to welcome new development opportunities.