While most companies are facing life-or-death situations such as store closures and poor sales due to the epidemic, some local clothing retail companies are actively deploying online and exploring new ways to break through.
A few days ago, Ningbo Peacebird Fashion Clothing Co., Ltd. suspended half of its physical stores during the epidemic, but still achieved daily sales of 8 million yuan, and on February 10, Peacebird’s stock price hit the daily limit. Touchboard, these two pieces of news have attracted attention both within and outside the industry.
On February 8, Peacebird Chairman Zhang Jiangping issued an open letter. The letter pointed out: In recent times, due to the impact of the epidemic, some PEACEBIRD stores across the country have been temporarily suspended. However, we were pleasantly surprised to find that all PEACEBIRD people have quickly adjusted and actively looked for new retail paths through online platforms and live broadcast platforms. In order to connect with customers, even many back-end partners have joined in to support the business end.
Offline PEACEBIRD men’s clothing, PEACEBIRD women’s clothing, LEDíN women’s clothing, Mini Peace children’s clothing, MATERIAL GIRL women’s clothing, PEACEBIRD LIVIN’ Bird’s Nest, through the launch of WeChat online membership specials, WeChat flash sales, mini program distribution, rotating live broadcasts in different regions, etc. In this way, half of the temporarily suspended stores have sales, with an average daily total retail sales of 8 million+, and it continues to increase. Online e-commerce platforms go all out to enhance the shopping experience and ensure timely delivery.
Coincidentally, on February 10, Langzi Co., Ltd. also issued an open letter stating that due to the impact of the epidemic, the company’s offline sales have stagnated, but the company has adjusted its business strategy in a timely manner and launched an online campaign. On the basis of the smart retail strategy, employees are encouraged to participate and improve online operations, and use online sales to make up for the loss of offline customer flow. The company’s various brand divisions focus on operating the WeChat ecosystem and have achieved a daily sales volume of WeChat online exceeding 4 million yuan.
Whether it is PEACEBIRD or Langzi’s breakthrough in difficulties, they all reflect the digital transformation of Chinese clothing brands in recent years.
Since 1996, Peacebird has gone through 23 years. From street shops and a single women’s clothing brand, to nearly 4,600 offline stores and 7 brands, the annual turnover exceeds 7.7 billion yuan. From the development of Peacebird, we can see the development trend and digital transformation path of the domestic apparel industry.
For Peacebird, the original intention of opening a store on Taobao Mall in 2008 was to open up new channels and digest the inventory backlog caused by the traditional ordering model. However, the growth and changes in online sales made Zhang Jiangping see After reaching New Hope, Peacebird continued to adjust its online positioning and products in the later period, and began to focus on resources and online development.
In recent years, the company has been actively developing “digital retail”. In 2018, Peacebird’s sales model began to transform from “direct operation and franchise complementation” to a network-wide collaborative retail model of “direct operation + franchise + e-commerce”. Online operating income increased by 11.4% from 1.792 billion yuan in 2017 to 1.997 billion yuan, accounting for 26% of total revenue.
By implementing the “fashion-focused, data-driven, full-network retail” strategy. In terms of data drive, it mainly includes the digital transformation of stores, store data collection, big data store location selection, intelligent algorithm-driven business decisions, and the digital transformation of supply chain TOC. In the first half of 2019 alone, Peacebird’s online operating revenue from the brand’s official website, Tmall official flagship store and WeChat mini program store matrix was 895 million yuan, accounting for 29.09% of total revenue.
It is reported that in order to meet the government’s special supply needs for emergency supplies for epidemic prevention and control, PEACEBIRD’s companies are promoting the production of civilian protective masks and the research and development of protective clothing. On the morning of February 10, Peacebird stated on the Shanghai Stock Exchange e-interactive platform that the research and development work of protective masks has been completed and plans to officially start production in the near future. It is expected that the total output of civilian protective masks will be no less than 1 million. On that day, Peacebird’s stock price hit the daily limit, rising 10.03% to 15.8 yuan per share, with a trading volume of 3.013 million shares and a turnover of 46.389 million yuan.
In this open letter, Zhang Jiangping expressed his gratitude to his “Birdman” partners in Wuhan. “Under the difficult situation of all stores in Wuhan being closed, you have shown extraordinary tenacity. PEACEBIRD women’s clothing has maintained continuous high growth since February. PEACEBIRD men’s clothing has achieved 100% month-on-day growth. The most important thing for the company is ownership. You, so please protect yourself properly.”
In the face of the epidemic, Peacebird has launched a donation campaign for three consecutive days starting from January 28 , to help fight the new coronavirus epidemic, with a total donation of 12 million yuan. These include: 10 million yuan directed to Ningbo, 1 million yuan directed to Yichang, Hubei, and 1 million yuan directed to Chizhou, Anhui. All funds will be used to help front-line medical staff and patients, purchase medical supplies, etc.
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