Chapter 822 The cake is getting bigger
Similar to Pierre Cardin, Goldlion, and Yi La De, Ning Weimin personally and the Meishijie Street Clothing Factory also made huge profits.
Although Ning Weimin’s three clothing brands are little-known in the market.
But because Ning Weimin has placed these stores next to Pierre Cardin and Goldlion, he is subtly using the comparison effect to tell customers that these are also international brands of clothing.
In addition, he has advanced aesthetics and knowledge. He decorates the store to a high level and the clothing styles are so eye-catching, deliberately catering to the preferences of young people.
Therefore, it is like using a blind eye to make it easy for the simple and innocent people of this era to have an illusion.
Mistakenly believe that "Playboy" and "Champs Elysées" are purely French brands, just like Pierre Cardin.
"Guofeng" is probably similar to Yi La De and Jinli Lai. It should be a joint venture brand with Hong Kong City.
The key is that Ning Weimin operates these three brands by himself, targeting the mid-range clothing market in Beijing from the beginning.
His clothing prices are much cheaper than those of Pierre Cardin and Goldlion.
Although a domestic suit of average quality in a department store in Beijing only costs between seventy-two and ninety-nine yuan.
In comparison, the average price of a piece of clothing from Ning Weimin's three brands is more than 100 yuan, which is still a bit expensive.
But don’t forget, with the bonus of “international big brands”, things will be different. Can foreign products be the same as domestic products?
Most people in the Republic these days believe in foreign products.
I feel from the bottom of my heart that the moon in foreign countries is rounder than ours, and the things here are better than those here.
Ning Weimin then offered discounts ranging from 15% to 10% off as an opening reward, which made his clothes appear very "affordable" and "cheap", which was enough to fully mobilize the people's enthusiasm for consumption.
People these days have one thing in common: they can’t walk when they see an advantage.
If you miss the opportunity to take advantage, you will beat your chest and feel that you are losing money.
As the same saying goes, consumers buy things based on cost-effectiveness.
It doesn’t have to be real, you just need to make consumers feel “worth it”, that’s enough.
Therefore, despite the fact that Pierre Cardon was brilliant and leading the way when it opened, Ning Weimin's three stores seemed to be just a foil.
But in fact, several of his stores sell a lot of goods, and they are definitely the best example of making a fortune silently.
Especially after half a month passed, his brand awareness began to grow due to word of mouth from customers, and he had repeat customers just like the easy-to-use rolls.
The turnover also began to grow at a faster rate, quietly closing the distance with Pierre Cardin.
This is the advantage of this non-information age. There are few choices. Once something becomes popular, everyone will follow it. It is easy to make a brand popular.
It's just a pity that because the factory is too small, it can't compete with big-name manufacturers. The most unforeseen problem arises - there are not enough products from the three brands to sell.
You know, after all, there are only sixty people in the street factory.
With the equipment and technology that are not advanced in this era, even if the production is run at full capacity, only 10,000 pieces of clothing will be produced in a month.
The key is that Ning Weimin cannot only produce one type of clothing, but three brands. Each brand must also ensure the richness of clothing.
Every style of clothing requires pattern making, the matching of fabrics and accessories, and workers need to adapt again.
A production usually involves hundreds of pieces, with different sizes, which can be troublesome.
So the output will have a big impact.
Besides, there are always some clothes that sell well and some that don’t.
As a result, some popular products are sold out.
But on the other hand, the good thing is that the boat is small and easy to turn around.
Ning Weimin’s current operating model is actually in line with the fast fashion route.
Once Yin Yue discovers a model that sells well in the market, he can immediately place an order for the factory for additional production.
It will not cause a large backlog of clothing, but it will be able to catch the popular items in time.
In short, half a month of May has passed, and Yin Yue has gradually become familiar with the business model.
When she had enough time to do accounting, she summarized the situation for Ning Weimin. Although the output of the Meishi Street clothing factory dropped by 30%, its profits increased, reaching 120,000 yuan in half a month.
The specialty store earns the same money as the self-employed people in the past, and the cake has become bigger, with a gross profit of up to 80,000 yuan.
It is equivalent to saying that Ning Weimin made 130,000 to 40,000 yuan in half a month.
With the speed of making money at this rate, even if he buys a money printing machine and prints the bills himself, it will be printed at a cost of ten cents, which is about it.
What’s even better is that the unique feature of Tianqiao Department Store is that its main products are clothing fabrics. There are countless well-known old brands and large manufacturers here.
Meishijie Street Factory can use Tianqiao Department Store as an intermediary, or take a ride with Pierre Cardin Company, and get goods from these fabric merchants at ex-factory prices. This not only makes it easier to select materials, but also reduces costs. The problem of big fabric factories looking down on small garment factories no longer exists.
Everything is suitable.
In turn, Tianqiao Department Store is the same and has benefited a lot from it.
With the presence of six clothing brands, it will not only bring a lot of wholesale business to those fabric manufacturers, but also directly increase the customer flow of the mall and drive the purchase of fabrics by individual customers.
This is not surprising. Although the ready-made clothes in the six brand stores are very good, in terms of absolute price, they are still relatively expensive.
For ordinary families to buy these clothes, they basically have to grit their teeth and shell out one person's monthly salary.
Then it often only meets the needs of one or two family members.
But everyone has a love for beauty, and other family members also have clothing needs. They want to wear good-looking clothes when they see them, so what should we do?
Then you can only choose to buy fabric and make it yourself at home, or find a tailor and copy it according to your favorite style. This is the most economical and cost-effective way.
To put it bluntly, when the cake gets bigger, everyone can eat it.
Any business requires popularity. The more customers there are, the more benefits will come from it, and it is impossible for the mall not to benefit from it.
In fact, this is similar to the principle of "one person achieves enlightenment, a chicken or a dog ascends to heaven".
After all, people who come here don’t just buy clothes and leave, especially those who come from a long way away.
Most of them will stop by and shop there again. This visit will give them the possibility to continue consuming, which will naturally drive the sales of other categories in Tianqiao Department Store.
Not to mention anything else, Tianqiao Shopping Mall even sold more than 20 black and white TVs that had been in stock for a long time.
Think about it, how happy does this make the mall?
To be honest, the only ones that have been negatively affected are the domestic clothing on the second floor of the shopping mall.
Those garments are quite average and featureless, although the quality is quite good.
But compared with the clothing styles on the first floor, they look bleak.
After six brands settled in, these clothes were almost ignored, and not many people even looked at them.
So much so that Tianqiao Department Store held a special meeting to discuss whether to simply remove these clothing counters and change them all into fabric counters.
However, this is not the end, because Ning Weimin is almost copying the mature franchise store operation model in the future, and it is the first time for a state-owned department store to introduce foreign brands.
The social impact of this incident far exceeds the commercial gains, and the people who care about this matter are not just ordinary customers.
Therefore, reporters from various media are very interested in innovative operations such as Tianqiao Department Store, and the follow-up reports are even greater than the advertising promoted by the district government at the beginning.
Shopping mall leaders naturally have to be interviewed to give relevant explanations.
Fortunately, he has the support of the district government behind him, and his outstanding performance can blind everyone.
Pilcaton Company also had Ning Weimin come forward and express an explanation of losing money in favor of profits and gaining popularity.
As a result, Tianqiao Department Store has become an imitation model of reform, a pioneer in the reform of the department store industry that seeks breakthroughs in an eclectic way.
This makes the people in charge of other major shopping malls in Beijing who have been paying attention to this place feel envious, confused, conflicted, and worried.
If nothing else, it’s even more difficult for them now.
They have indeed felt the success of Tianqiao Department Store, which has begun to shake the original performance rankings of major shopping malls. This approach of highlighting their own characteristics is too aggressive.
They also have to admire Tianqiao Department Store's bold choice. No one in this city has ever achieved such a huge success.
But they are also afraid of risks and have no real urgent need to take risks.
If the reform is successful and business customers come in like clouds, it is certainly good to make huge profits, but what if the reform fails?
At present, the traditional shopping mall operation method that focuses on all-in-one shopping malls guarantees stable profits. Is it necessary for them to take radical measures and take risks?
What's more, they just want to copy the work and there is no support from the government. Pilkington's response.
Even if it succeeds, it will still be second to Tianqiao Department Store.
But if you copy and smash it, someone needs to be responsible. No matter how you think about it, the gain outweighs the loss?
Unless you find another way, find a category that can more arouse customers' enthusiasm for consumption as your own feature.
In the end, the only thing that can be learned right now is some of the facilities and practices of those six brand stores.
For example, the fitting room with a mirror, the sofa for customers to sit and change shoes, and those beautiful and sturdy wrapping paper bags.
It looks classy and the clothes look expensive.
Hey, I have to admit that foreigners are still good at doing business. Look at their brains, how come they are so thoughtful.
Look at how amiable the salespeople are, and I don’t know how they were trained.
I can’t compare, I can’t compare. Maybe I won’t be able to catch up with them in a hundred years...
(End of this chapter)