All Passenger Roller Coaster From Acquisition LV To Large Scale Attrition

From high spirited to dormant reflection, this is

CEO changes over the past four years.

"I hope to buy LV in the future."

This is a year old March 2011 when accepting the special interview of the times weekly reporter to give a speech that shocked the whole industry at that time.

But in March 2015, Chen issued such a rethink: "in 2011, when the customers were the most busy, there were more than 1.3 people in the company, and there were thirty or forty leaders at the chief executive level, but the customers were in crisis.

Now, there are fewer than 300 people, and only 7 people are the core team of shirts, but the business is running smoothly.

I can't help wondering what so many people used to do in the past.

The rise and decline of all guests has made countless people hold their hands. But now, as reflected in the old age, four years ago, everyone jumped in the air, the old age was fanatical, and the industry was applauding. Who would have anticipated the ups and downs of customers like roller coaster? No one even thought that even if Lei Jun's "overweight", Lei Jun and Chen's two people were drinking in the office until dawn, they could not keep the customers away from the market.

After 46 years of reflection, there was even a hint of interest.

"Everything has been said, but there seems to be nothing more to say now."

At the end of March, in the face of the times weekly reporter's interview, Chen told reporters through the staff of Vic.

Looking back at the development path of people, from expansion to contraction, from radicalism to dormancy, the enthusiasm and bubbles of Internet economy reflected in just a few years are enough to alert the industry.

Lost in expansion

Van guest was founded in 2007 when China's consumer electronics boom broke out, when customers began to imitate PPG.

2009 is the turning point of e-commerce in China, and 2010 is an explosion point.

At that time, the word "Taobao" could be used to distinguish the crowd or the generation of B2C. In the case of the B2C fire, the object was popular for a while; the rise of the mode of the "1000" group buying website was surging.

Even the thunder business, whose core is downloading business, has also started e-commerce.

Therefore, the rapid development of all customers is not just their own, then Jingdong, Taobao, Amazon and a large number of old B2C e-commerce providers have achieved explosive growth.

As a matter of fact, when customers started, they were more fortunate to stand in the draught of China's clothing business, and their performance doubled in two or three years.

At the same time, many customers have received huge financing, and valuation has soared.

"Love the Internet, love freedom, love late, love night stalls, love racing cars, also love 29 pieces of T-SHIRT, I am not a flag bearer, not whose endorsement, I am Han Han, I only represent myself.

Like you, I am a guest. "

In July 2010, this red letter advertisement made everyone a hot public spotlight.

In 2010, it was also the best time for all customers to sell about 30000000 garments in one year. The total sales volume exceeded 2 billion yuan, an increase of 300% over the same period last year. It is not only the boss of vertical electric business, but also the fourth of the whole industry.

Under the stimulation of the 2010 performance, all customers started the "great leap forward".

In January 2011, the annual sales target of conservatives was set at $6 billion, a figure of 200%.

In March 2011, Chen corrected the number to 10 billion yuan.

In March 2011, Chen told reporters in an interview with the Times newspaper that he was shocked by the whole industry: "I hope to buy LV in the future".

At this point, the fanaticism and the fanaticism of the past reached their climax.

But everyone in this year also ushered in inflection point.

The great leap forward of the 10 billion led to the rapid expansion of all customers. In order to achieve the sales target, customers began to expand their personnel and sites substantially and continuously increase the quantity of inventory to expand the market share.

In the heyday, the total number of employees was over 11 thousand, with more than 30 product lines, not only clothing, but also home appliances, digital, department stores, and even mops and kitchen knives.

Open new warehouse, fill old warehouse, continuously supply.

By the end of 2011, the customer's inventory reached 1 billion 445 million yuan, with a total loss of nearly 600 million yuan, and the sales target of 10 billion yuan was only 1/3.

Over the past year or so, customers have been doing the repetitive work of clearing inventory.

In addition to clearing inventory, there are clear personnel.

In 2011, the production line, capital chain tension, huge inventory backlog, the three mountains came to all customers, and customers began to decline.

But the old age is not reconciled, especially the good friend Lei Jun's guidance and strength, and everyone started the redemption of millet.

Lei Jun's support will undoubtedly bring about a turning point for the fate of everyone. First, Lei Jun has taken the lead in the board of directors, firmly supports the old age - IDG and other original shareholders have accumulated a total of $100 million, making the team's heart set.

Secondly, Lei Jun and Chen 8 in-depth talks, each time up to 8 hours, which makes Chen realize that not enough attention and not enough is the root cause of everyone.

And "focus on word of mouth is the fastest" is the seven word formula of millet, at this point, everyone's millet began.

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At this point, Chen led everyone to go to gross profit margin, to organize the structure, to promote the KPI layer by layer, and even inside the customer went out of the "two all" principle, that is, every Lei Jun affirmed that I am sure that any Lei Jun opposed me.

Since then, the change of the customer has begun, and the number of employees has been cut to 300 by the 5000 people before moving. The SKU has been reduced from the highest 190 thousand to 300.

In 2014, he concentrated on making products and did not appear more than 5 times in public. He was a product manager more time.

At the same time, we should grasp the links of product design, upstream supply chain and downstream manufacturers.

From his micro-blog, this year's work abroad has become a normal work. He has repeatedly mentioned that in order to solve the problem of white shirt design, he went to Vietnam to ask Ji Guowu, the shirt master of Japan, until he decided the best result to return to China.

In August 29, 2014, it was considered to be a customer.

At that time, the old age was "let the guest do nothing better, he is going to be split by thunder", and he returned to the stage. His words were fierce, and his passion exploded again.

"I will make the product well" becomes the old phrase. He hopes to restore the hearts of users with the white shirt as the starting point and rebuild the brand.

It can be seen that through more than 1 years of metamorphosis, pformation and upgrading, customers gradually get rid of the brand winning strategy and turn to the "single product + explosive + cost-effective + word of mouth" product mode.

But after the "return", fans did not expect to return to the glory of the past.

A real white shirt did not allow fans to enter the mainstream again, and did not return to public discourse space.

To this day, it seems that only the title of "everyone falling down" can make people's eyes stay for a few seconds.

Complex customers

What is the biggest pain point for all customers? Actually, it is not too fast expansion, but product positioning, in other words, customers have marketing no products.

As a CEO, if you tell the story of a guest, how will it define the guest? How old is "popular fashion" in 2012?

It can be seen that the definition of "customer" has been very clear in the past, and the fashion that ordinary people can afford. In fact, this is the same as the popular fashion brand of H&M, which has been very popular under the current line.

H&M is still expanding rapidly in the world today.

"I looked for it and found that I could not buy many things on fan."

Many female customers who often go shopping in ZARA or H&M comment on the times.

In the eyes of the industry, the product and strategy of the customers are the first to be misplaced - the positioning of the civilian fashion, but more standardized and low price white shirts.

"Love the Internet, love freedom, love big stalls..."

Every object is hot for a while, emphasizing the individuality of everyone, but the clothing products provided by customers are not the same personalities, without the soul of fashion.

Marketing without products is the most essential problem of customers.

The times weekly reporter threw this problem to the old age. In fact, the year of 2012 that year has realized the short board of the product: "everyone's growth needs time."

Chen responded in this way, "we have worked with Disney since last year to cooperate with NBA, but there are some empowerment, including recent cooperation with some film companies, which also hope to make breakthroughs in design.

On the other hand, we are collaborating with world-class designer, and we are signing a contract. "

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In fact, there has never been a company as complex as a customer. It has a long industrial chain, which involves the most traditional clothing industry, including product design, brand marketing, fashion taste, and many industrial chains such as distribution and storage in the e-commerce industry.

Every link is linked with each other, not only has huge manpower input and resource allocation, but also has a sense of fashion and fashion, and has dual challenges to the design and planning of brand management, traditional industries and the electricity supplier field. It is not only a test of all the experience of the past, but also a great challenge to his management ability.

Van guest insiders told the times weekly reporter: "all customers are still dominated by large-scale, universal clothing, such as men's shirts, such a design cost can be controlled, in order to control prices."

Fast fashion design products will certainly increase costs. Although designers have introduced such products, such products can not be delivered to factories in the overall cost and product planning of customers.

In 2012, the first issue of all customers is quality, growth and how to control risks.

Quality is followed by growth. Growth comes from quality, not price.

Because of the improvement of quality, users will be more recognised, and reduce the proportion of returns, allowing users to shop more than two times.

Quality is the key when word of mouth is spread. "

Those people said.

Although the old age was clear to everyone's next development plan, even customers are still trying to develop a new product to develop a layered structure.

"The first level is called the bestseller classic, which is a more standardized one. The second level is called innovation, which is changed under the best-selling classic, adding more money, which is called innovation; the third level is called breakthroughs, such as cosmetics."

But Chen also admitted that to make van customers more fashionable and more in line with the Internet fast fashion brand, we need to solve the core problem of the product.

This is another major challenge for solving the problem of management after the old age. However, for all customers in China, it takes time to go to the same level as ZARA and H&M.

Unfortunately, the market is always fleeting.

From this dimension, we can reflect on customers: the short board of products and the low end of product positioning can not attract lots of consuming women who are young and like fashion clothes.