But ten years later, even if they pass by its stores, the post-80s and post-90s generation who have become the backbone of consumption no longer have the original idea of wanting to go into the store to browse, and even if it is not for various losses, News, store closing news, maybe people will not remember its existence.
Just like recently, Metersbonwe was criticized for its founder Zhou Chengjian’s daughter Hu Jiajia. After the court issued a consumption restriction order with an execution target of 436,900 yuan, people once again mentioned this “unconventional” brand.
It is no longer full of reputation, but has become a loss of 825 million a year, a debt of 4.1 billion, a market value of 33.8 billion, and 1,500 stores closed. Even its largest The representative store in the founder’s hometown is also included…
The former giant has fallen!
1. “Don’t leave Ordinary road”, eventually becoming a domestic clothing giant
In 1995, Metersbonwe founder Zhou Chengjian opened his first store in the Jiefang Theater on Wuma Street, Wenzhou, positioning 16 ~25 year old young man.
With a brand name that is both western and sentimental, and a store design that is youthful and energetic and high-end compared to similar brands, Metersbonwe became an instant hit.
At that time, the way people obtained information was still very traditional. If you wanted to let more people know, the best way was through TV advertising.
Zhou Chengjian, who was willing to spend money, waved his hand and advertised on CCTV, a highly authoritative platform. His popularity rose immediately, and what followed was , franchise needs from various places.
Facing the explosive market demand, Zhou Chengjian decided to adopt a combination of “virtual operation” and “franchise operation”.
That is, Metersbonwe only retains the brand, carries out product planning and clothing design, and outsources production and sales links, thereby reducing production pressure; at the same time, it adopts franchise and direct In the way of co-existence of operations, franchisees account for the majority, thus reducing the pressure for expansion.
It is worth mentioning that Metersbonwe is the first domestic brand to pioneer these two models.
This asset-light model provides an opportunity for Metersbonwe’s rapid development. From 1995 to 2003, Metersbonwe’s stores were spread across various large, medium and small businesses. The city has nearly 1,100 specialty stores and has become the most commonly mentioned trendy brand.
2003 is a special year for Metersbonwe, because this year, the Chinese king Jay Chou, who is popular all over the country, endorsed Metersbonwe. , and took advantage of the trend to launch the slogan “Don’t take the ordinary path”.
Until the two parties ended their cooperation in 2017, even during this period, Metersbonwe also chose popular stars such as Angela Chang, Wilber Pan, Qiao Renliang, Lin Chiling, and Angelababy, but none of them The brand appeal and sales conversion ability are on par with Jay Chou’s influence. It can be said that Jay Chou’s joining has brought the best help to Metersbonwe.
In 2008, Metersbonwe was still listed on the Shenzhen Stock Exchange. The following year, its market value reached 38.9 billion. Zhou Chengjian also became the richest man in China’s clothing industry with a wealth of 17 billion yuan, and threatened that Metersbonwe would Catch up with ZARA, the world’s leading fast fashion brand.
By 2011, Metersbonwe had achieved peak performance of nearly 10 billion yuan. In 2012, the number of Metersbonwe stores reached The largest, up to 5220.
Metersbonwe has reached its peak moment.
2. Everything that flourishes must decline, and transformation always fails.
But Perhaps prosperity must inevitably lead to decline, but 2012 has become an “inflection point” in the development history of Metersbonwe. It is no longer a high-speed expansion and profit growth, but on the contrary, it is heading towards a “decline” trend.
According to data, since 2012, Smith Barney’s performance has been declining year by year. In 2013, Smith Barney achieved revenue of 7.89 billion yuan, a year-on-year decrease of 17%; in 2014, Smith Barney achieved revenue of 6.621 billion yuan, a year-on-year decrease of 16.08%; by 2019, Smith Barney achieved revenue of 5.482 billion yuan, a year-on-year decrease of 28.59%.
Around 2010, foreign fast fashion brands represented by ZARA and UNIQLO entered the Chinese market one after another and quickly gained a foothold with their advanced operating models. They impacted local brands such as Metersbonwe. Clothing brand.
Metersbonwe, which competes with ZARA, has only scratched the surface of “fast fashion”. Metersbonwe believes that fast fashion is about store size and quantity, and whoever has higher market coverage can To occupy market share, it has always been pursuing the number of stores.
Secondly, more and more local original brands appear. They focus on unique designs and believe that “what customers need, we “What to provide” can meet the personalized needs of young consumers;
Although Metersbonwe has its own design team, they do not know how to please consumers and think that The product is “what I think customers need, I will produce.” For customers who pursue independent consumption, they can make a choice almost without looking at who can better meet their needs.
Metersbonwe has its own experience with the pressure of market competition.In addition, Meibang Apparel shall pay liquidated damages of RMB 75,567.49 to the two obligees within 15 days from the date of the judgment taking effect.
After the first-instance verdict, Meibang Company appealed against the verdict. The Shanghai No. 2 Intermediate People’s Court ruled to “reject the appeal and uphold the original judgment.”
According to the consumption restriction order announced by the Shanghai Huangpu Court, as of June 24, 2020, the payment obligations in this dispute have not yet been fulfilled.
He has been at the helm of the company for nearly 4 years and is the daughter of the founder
Public information shows that the casual clothing brand Metersbonwe was founded in Wenzhou, Zhejiang in the 1990s. The company founder was Zhou Chengjian. In 2008, Meibang Clothing was listed on the Shenzhen Stock Exchange.
In November 2016, Metersbonwe Clothing announced that the company’s board of directors elected Hu Jiajia as chairman of Shanghai Metersbonwe Clothing Co., Ltd., and the founder and former chairman of the company Zhou Chengjian No longer holds a corporate position. According to disclosed information, Zhou Chengjian and Hu Jiajia are in a father-daughter relationship.
Hu Jiajia’s resume published in Meibang Apparel’s financial report shows that she was born in 1986, Chinese nationality, with a postgraduate degree. She graduated from Aston University in 2010, majoring in marketing, and obtained a bachelor’s degree in marketing in 2011. MA in Fashion Marketing from Institut Marangoni, London. From 2011 to 2016, Hu Jiajia worked in the President’s Office, Metersbonwe Footwear Development and Operations Department, Brand Marketing Department, and Strategic Development Department at Metersbonwe Apparel. Currently, Hu Jiajia is the general manager, chairman and legal representative of Meibang Apparel.
It is worth noting that although Hu Jiajia has come to the forefront, her father Zhou Chengjian is still the actual controller of Meibang Apparel. Tianyancha data shows that Zhou Chengjian’s personal shareholding ratio in Meibang Apparel is 49.13%, and he is the ultimate beneficiary of Meibang Apparel.
Currently, Metersbonwe has five major brands. In addition to the most famous Metersbonwe, there are also ME&CITY, Moomoo, ME&CITY KIDS, CH’IN, etc. According to the official website of Meibang, the company currently has nearly 4,700 directly operated stores and franchised stores. With the rise of e-commerce trends, Meibang Clothing is also actively developing online business while opening offline stores.
Image source: Metersbonwe official website
Looking back on the four years since Hu Jiajia took over, the performance of Meibang Apparel Company is not optimistic, and it has been losing money one after another. Meibang Apparel’s public annual report data shows that from 2016 to 2019, Meibang Apparel’s annual attributable net profits were 36.16 million yuan, -305 million yuan, 40.36 million yuan, and -825 million yuan respectively.
Affected by the new coronavirus epidemic, 2020 for Meibang Apparel seems to be equally difficult. According to the first quarter report of Meibang Apparel in 2020, the company achieved operating income of 921 million yuan, a year-on-year decrease of 46.7%; the net profit loss attributable to shareholders of the parent company was 219 million yuan, a year-on-year decrease of 671.67%. According to the announcement, the revenue decline was mainly due to the sharp decrease in customer flow in offline stores caused by the COVID-19 epidemic and the decline in revenue. According to its prediction, “The negative impact of the current epidemic on Metersbonwe’s apparel operations will continue.”
In fact, the problems faced by Metersbonwe are major domestic problems. The problem faced by some local clothing brands, such as Jeanswest, Yichun, and Baleno, has long been reduced to passers-by, while the influence of Metersbonwe is also gradually disappearing.
Looking at these brands that have accompanied us in our youth, one after another withdraw from the stage of history, it would be false to say that I don’t feel uncomfortable. We may not be able to change anything, but we always hope that our domestic brands Can be used as a warning.
At any time, please remember that consumers are the starting point of a product, not the end point. Any brand that does not solve the actual needs of consumers will eventually be abandoned by consumers. </p
