Recently, Bosideng Group (03998.HK) officially announced the interim results announcement for the 2020/21 fiscal year. Data shows that as of September 30, in the face of a turbulent market environment, Bosideng still bucked the trend, with revenue exceeding 4.661 billion yuan, an increase of 5.1% over the same period last year, and gross profit margin increasing by 4.3 percentage points to 47.8%. Online Revenue surged by 76.4%, achieving sustained growth in the group’s operating performance and boosting industry market confidence as China’s leader in down jackets.
On the day after the financial report was released, Bosideng’s stock rose 7.48 percentage points to HK$3.45, with the latest total market value reaching HK$37.2 billion. CICC’s latest research report pointed out that Bosideng’s performance in the first half of fiscal year 2021 exceeded expectations, mainly due to the significant growth of the company’s self-operated retail business during the off-season for down jacket sales. At the same time, the growth of Bosideng brand’s online retail sales during Double Eleven increased its confidence in the company’s peak season sales. confidence.
Focusing on the main force, down jacket business revenue surges
The 2020/21 interim financial report shows that Bosideng Group’s down jacket business revenue was RMB 2.989 billion, an increase of 18.0% from the same period last year to total revenue of 64.1%. Revenue from the main brand Bosideng down jackets increased by 19.7% year-on-year, which remains the largest growth driver for the group’s development.
In the past six months, Bosideng has worked hard to overcome the market changes and adverse effects brought about by the epidemic, continue to build a brand-led development model, and deeply explore the brand assets of “big brand, good quality, synonymous with down jackets”. Boost operating performance by increasing brand potential and reputation. At the same time, Bosideng closely follows the market environment, has a deep understanding of consumer needs, and steadily promotes the implementation of digital strategies, laying a solid foundation for the peak sales season of products.
Bosideng Tmall Double Eleven sales data
2020 During the Double Eleven event, the online retail sales of Bosideng Group’s down jacket business increased by more than 35% year-on-year, and the online retail sales of its main brand Bosideng increased by approximately 25% year-on-year. All channels exceeded 1.5 billion yuan, ranking first in the domestic apparel category for two consecutive years. Breaking through with its down jacket category.
Product first, continue to build brand leadership
The strategy of “focusing on the main channel, focusing on the main brand” is an important driving force for the growth of Bosideng’s brand power. force. As the domestic consumption structure upgrades and consumer demands continue to change, Bosideng uses its brand power to lead the comprehensive development of products, retail, and supply chains, and meets diversified consumer demands with multiple product lines, stabilizing its basic market while developing new markets. Diversified strategic cooperation will gain the favor of more mainstream consumer groups and maintain the brand’s leading position.
Designer series spokesperson Yang Mi wears a professional warm series down jacket
Adhering to the concept of “down jacket expert”, Bosideng focuses on cutting-edge products The research and development, joint research and design with the Chinese Antarctic Scientific Expedition Team, launched a series of professional warm down jackets that have been tested in extreme environments. It can not only meet the professional needs of Antarctic scientific expeditions, but also meet the warmth needs of consumers in different scenarios.
Bosideng won the 2020 China Excellent Industrial Design Gold Award
At the 2020 World Industrial Design Conference on November 25, Bosideng’s Dengfeng series of down jackets won the gold medal of the 4th “China Excellent Industrial Design Award”. This award is the only national government award approved by the central government in the field of industrial design in my country, and represents the highest level and strongest strength of domestic industrial design. Also award-winning were the launch vehicle sea launch system, DJI drones, etc. Bosideng is the only clothing product among the top ten award-winning products, and it is also the first time that an independent clothing brand has won this award.
Bosideng×Gaultier “New Generation Down Jacket” press conference
While constantly improving professional quality, Bosideng has always With an international perspective, he continues to work hard in the fashion field. Following the launch of the Gaultier co-branded series in 2019, Bosideng once again teamed up with the French fashion designer Gaultier to redefine the concept of down jackets that are professional, fashionable and warm. Relying on a comprehensive product line, Bosideng’s brand leadership has been continuously consolidated, and it has firmly occupied the top spot in China’s down jackets.
Digital transformation to comprehensively improve operational efficiency
In 2020, Bosideng accelerated its digital transformation strategy and continued to move towards efficient, accurate and complete corporate operations. . In response to the advent of the big data era, Bosideng has reached a strategic cooperation with Alibaba Cloud, the world’s leading cloud computing and artificial intelligence technology company, to open up omni-channel data and innovate in many fields such as consumer research, precision marketing, integrated product operations, and shopping guide operations. and explore.
Bosideng teamed up with Alibaba Cloud to reach a strategic cooperation
With the implementation of digital transformation, Bosideng’s corporate operations have been fully optimized and its overall performance has been driven forward. At the product construction level, we will strengthen the organic combination of product development and market demand, and the efficiency of commodity operations will continue to improve; at the channel laying level, we will improve the integration of online and offline operations and optimize the store structure as a top priority; at the consumer management level, through innovative live broadcasts and other communication methods, the membership base continues to expand. Currently, the total number of registered members of Bosideng reaches 19.65 million, an increase of more than 30% compared with the end of the previous fiscal year.
Bosideng Digital Factory
In terms of logistics and distribution, the group continues the first-level distribution process of “CDC is distributed directly to stores”. Achieving direct delivery to all stores across the country not only enables faster response to market demand, but also more importantly enables the sharing of goods across the country, so that good-selling goods are not out of stock, thus increasing sales and greatly assisting Bosideng’s 2020 Double Eleven. outstanding performance during the period.
Despite the ever-changing market situation, Bosideng has always adhered to the spirit of craftsmanship, adhered to its original mission and development confidence, focused on down jackets for 44 years, and continuously launched professional down jackets with the world’s top quality. This also shows that only brands with strength, attitude and sentiment can gain recognition from consumers and achieve excellent performance and steady growth in the industry. </p
