Italy Senior Trader, San Gu Textile City

Jermaine is an expert in textile trade. He has hundreds of fabrics in his hand every year, with only one regular product, and the purchase quantity reaches 50 million meters a year.

Thanks to various reasons, until last year, Jermain discovered that the fabric of China Textile City is "new world".

In 2009, under the influence of the international financial crisis, textile profits generally declined. With the advice of colleagues, jerme first went to China Textile City.

It is on this trip to Keqiao that Jeremy has a new understanding of Chinese fabrics: Keqiao is the origin of Chinese fabrics, not only rich in products, but also superior in quality, and fashionable in line with international standards.

This year, Jermaine changed his trip to Shanghai two times a year into a trip to Keqiao.

Last month, he made a special trip to Keqiao for research. He hoped to cooperate with textile fabric suppliers and set up textile sourcing center in Prato, Milan, so that local clothing manufacturers and designers could see new fabrics in time, and quickly open the market of textile fabrics in Italy.

He thought cheap and fine.

Supplement:

Bypass agents to explore the Chinese market

At present, the "famous brand" can be seen as the beginning of Italy's "middle reaches" brand scale and the domestic market. Through the "collective direct operation" mode, these Italy second-line brands hope to share the high growth of the Chinese market by holding together.

A few days ago, news from Chengdu, the first monopoly field, which is composed of Italy footwear brand "Baotuan", will be opened in September 28th, which includes nearly 100 genuine Italy brands, and the appearance of the brand direct marketing stores. It may mark the beginning of the overseas "middle reaches" brand exploring the new mode of China, and the beginning of foreign second-line brand scale in China.

Chengdu model

The upcoming shopping mall, named "Yi Shang Ming", will focus on nearly 100 Italy first-line and second-line brands to embrace the Chinese market, including Lara, Garda, Zodiaco, Ability & Style and other Italy famous brands.

As the first "hug" expansion of the Italy footwear brand in the Chinese market, the "choice of famous brand" is not chosen in the first tier cities, but in the second tier cities. It is also an important production base for domestic women's shoes, which is the first shop in Chengdu.

According to relevant channels, the first investment and operation organization of the "famous brand" shopping center consists of 4 units, namely the Italy Footwear Association, the Hongkong footwear industry association, Hongkong cordis International Co., Ltd., Sichuan West shoe Capital Co., Ltd., and the statement from the investor said Chengdu's "Italian brand" will be the first model store opened in China.

"Chengdu is the first step in our expansion of the Chinese market. We will build Chengdu as a model store in China."

Wang Wei, President of Hongkong cordix International Limited, announced that "IFG" is planning to invest in five Italy brand alliance direct selling centers in mainland China. The first choice of Chengdu has four main reasons: first, Chengdu's leading position in the western cities; two, the strong consumption power and consumption demand of the Chengdu people; three, the "women's shoes of China" - the economic focus and policy support of Wuhou District in Chengdu; four, the mature footwear industry's economic environment and tremendous development potential.

Wang Wei's interpretation of Chengdu's "preference for famous products" has not won the full support of the industry. Many employees have found different interpretations from the brand structure of "Italian famous brand". "The brand name of" Yi Shang Ming "is mostly made up of Italy second line brands which are not known in the domestic market. Maybe these brands will be more attractive to the domestic second tier market.

"Collective direct operation"

It is understood that the "Italian brand" is currently in the domestic use of the "flagship flagship store" and "direct sales center" combined mode of operation, which means that the expansion of these brands in Italy does not have intermediate procurement and agency links.

Although the explanation given by the authorities is to adapt to the purchasing power of the Chinese market, the "Italy design, Italy manufacturing and Italy brand" which were once unattainable were "flying into the homes of ordinary people".

However, because most of the brands that join the "Italian brand" are second-line brands in Italy, their direct expansion is considered to be a forced move under the relative lack of brand influence.

Relevant analysts say, because there is no strong influence and capital strength of the first-line brand, the risk of the second tier Italy brand expansion in the Chinese market is that it may be difficult to get a firm foothold in the short run.

And choosing agent mode is easy to be controlled by agents, thus losing control of Chinese market.

"Relatively limited overseas brands tend to rely on local franchisees in developing an emerging market, because the direct mode requires more promotion costs and operating costs (weak bargaining power in store rentals, etc.).

But too much reliance on local agents is easy to control, and the market is completely mastered by local agents, especially in such a large scale market of China, the rapid growth of agents may even resist the acquisition of the parent brand.

The analyst said, "therefore, the" Yi Shang brand "store, which is mainly composed of Italy second line brand, may want to get rid of the disadvantages of the previous second-line overseas brands in China's expansion mode. It adopts a new expansion mode and collectively runs through the same level brand.

The advantage of this is that it can make up for the shortage of single brand influence and difficult to open the market. At the same time, because the group has expanded its overall influence, it will benefit the individual brand, save the cost and difficulty of promotion, and then have the opportunity to bypass the agent to realize the direct growth of the Chinese market.

However, there still exists a certain market risk in the "Huai Shang Ming" mode.

At the same time, while solving the shortcomings of previous "independent efforts", "Yi Shang name" is also faced with the internal "similar competition", because the brands are in the same grade, and some brands are very similar. Therefore, it seems that "Yi Shang name" inside seems to be difficult to fully realize "unity". Whether the rival's Italy brand can effectively produce "joint force" is doubtful.

As a result, the promotion mode of "famous brand" will be tested in the "group" itself, and how it will coordinate the interests of nearly 100 Italy brands is the key to its success.