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How To Create Chinese Brand And Display Global Operation

2024/1/16 17:44:00 0

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DTC refers to "Direct to consumer", which directly reaches consumers and rapidly iterates products by quickly responding to customer needs. Chinese brands that went to sea in the early days mostly used DTC channels to bypass dealers, distributors and retailers and talk directly with consumers through independent sales. Therefore, for a long time, the Chinese brands that successfully went to sea through DTC channels left the public with the impression that they were mostly "Internet brands" based on e-commerce channels.

Today, this definition is changing rapidly. From the clothing brands Jiaoxia, Neiwai, Goliath, etc. have successively opened their first stores overseas, to the continuous cultivation of Huaxizi, Perfect Diary, etc. in Japan and other markets, Chinese brands are transforming from the low price and unsustainable inner volume model with weak profits to a global brand with insight into consumer demand and rich brand connotation, ushering in the new era proposition of brand going abroad.

E-commerce is the natural advantage of Chinese brands. It was once regarded as the key mode of Chinese brand's strategy of going to sea for a long time.

However, with the arrival of the trend of transnational business and cultural exchanges, the global consumer mentality has undergone an important change, the boundaries between online and offline are gradually blurred, and the watershed of brand value output will continue to emerge in 2024. From the perspective of overseas consumers, the exploration of offline DTC channels has become the second growth force of Chinese brands after leveraging overseas e-commerce, a more three-dimensional and personalized brand awareness, and the focus of settling in overseas offline stores.

In 2023, cosmetics brand Huaxizi opened a flash shop next to Isetan Chanel in Shinjuku, and then entered the offline store in Osaka of Japan's largest comprehensive cosmetics and beauty website @ cosme. Hua Xizi told WWD China that in 2024, it plans to enter the European market strategically and continue to deepen the retail layout of the Japanese market - opening two stores, including a flagship store located in Ginza, Tokyo.

In addition, ski brand Nobaday takes stores as "nodes" to open offline stores in the United States, New Zealand, Russia and other countries, and plans to radiate users within 5-10 kilometers with stores; The outdoor home furnishing brand Outer, which focuses on the US market but has completed production and supply in China, is also testing the traditional retail industry and preparing to open an offline flagship store as a new traffic inlet;

In emerging markets such as Southeast Asia, the Middle East, and Latin America, brands such as Babycare, Jiaoxia, and both domestic and foreign brands have also taken advantage of their flagship stores.

It is worth noting that the retail layout of Seagoing brand is not limited to a single store expansion business, but internalizes DTC mode as an important gene of brand operation. For example, activities such as 85% off for the opening of the first store in and out of New York and Babycare card punching and gift giving for the opening of Babycare also promote offline stores to become an important experimental site for delivering brand expression and user interaction while attracting consumers.

Neil Blumenthal, co-founder and co CEO of Warby Parker, emphasized that DTC mode is irreplaceable.

"Retail doesn't die, it's a mediocre retail experience. Compared with the traditional mode, DTC mode understands consumers and can bring them personalized and customized services."

Taking offline DTC stores as the fulcrum to promote the in-depth brand layout, to convey the retail concept of "facing consumers directly", to return to the consumer experience itself, so as to unlock the differentiation advantage of cultural assets and brand value, is an important proposition for overseas brands to explore increasingly.

Transform this front-line offline exhibition channel into an IP channel for consumers to deeply understand and participate in interaction, and integrate multi-dimensional experience such as events, social networking, communication, technology into offline DTC stores.

Don Edrington, executive vice president of commercial real estate consulting company Srs Real Estate Partners, based on the company's observation of Chinese brands going overseas, said that in overseas markets, consumers and shopping mall owners are looking for new things. Any brand that can make a difference in product or experience has the opportunity. In the overseas market, shopping malls with high pedestrian flow and high sales efficiency have become the first choice for brands to go to sea.

In store design, the transfer of brand DNA through space design and selection combination has become a key part of the brand culture narrative of Sailing. Huaxizi opened the counter in Isetan, Shinjuku. In terms of design, it referred to Chinese classical gardens, made full use of garden elements such as porch window, Taihu stone, Chinese landscape, and formed a echo with its overseas popular single product "West Lake Impression" series products.

Icicle's two flagship stores in Paris have innovated the display layout through the combination of books and other retail formats. Beige, simple space design language and Zhihe high-end products have become important windows to display brand image and creativity. Not long ago, Icicle also announced that it will create a brand culture and art space "Zhihe Space" in offline stores in China and France in 2024.

Whether it is a flash store or a permanent store, the brand is using physical retail stores as a carrier to effectively deliver brand culture and brand concept to consumers through the content carrier of "experiential space".

In the offline stores of Yanshen brand culture and lifestyle, it is increasingly critical to realize the combination of choice that is compatible with local culture. In terms of product portfolio, the "customer journey map" is polished and refined through the user data accumulated online. Offline stores are changing from passive exhibition channels to IP channels that local consumers understand and can participate in interaction.

For example, in the face of the fact that there are many Southeast Asian countries, and the beauty and skin color of each country are quite different due to the climate, Perfect Diary has differentiated the selection of Jingai powder products in different countries with the function point as the core; In Japan, it focused on the functional requirements of waterproof and sweatproof, and introduced its smart lock technology lock makeup technology.

In 2023, Ailaiyi, who opened a limited time boutique in Paris, chose a series of products "National Color Series - Shanhai Chapter" that can show the oriental aesthetics. This series was jointly designed by Giada Verdecchia, a designer who has served Bally, Moncler, Tod's and other brands, and the Chinese team.

When Govan set up offline channels for offline buyers' stores in overseas markets represented by the United States, Italy and Canada, it endorsed stores through the British royal family, Mayer Musk and other high potential groups, and through marketing, public relations activities, social media and other channels.

In the process of globalization, European luxury brands, which rose in the last century, have already verified an irrefutable truth that global brands do not only exist in a single channel. With the development of brands, multi-channel sales and marketing are a necessary stage.

Today, Chinese outbound brands, which are spawned by cross-border e-commerce, are constantly exploring new ways and strategies to unleash the potential of markets and channels through offline channels.

The market is changeable. How to continuously upgrade from market cognition, cultural communication and other aspects, so as to forge unique brand value matching high-end brands, is also an important issue that Chinese outbound brands will face in the next stage.