Why Do Insects Need To Go Out For 100 Days?

The internal revolution is taking place, and the worm begins to turn from the small Taobao shop to the corporatization operation of the system.

Similar to Wen Yi and Zhou Yangjie.

Suitable for the style of fans and building a diversified buyer platform may be the main development direction of small insects, and it is also one of the effective ways to make up for the lack of design strength at this stage.

Yang Ling began to pform the upstream supply chain, from fabric storage to style design, to achieve closed-loop.

"Clothes are not arts and crafts. Why must we pursue perfection?"

This is the problem that Yang Ling, the founder of bug, is often asked by employees.

In a big wave

In front of the store, the positioning of high-end insects is not dominant in sales: the persistence of fabric and quality makes the process cost increase, and the increase of customer unit price will directly affect sales volume.

But this does not prevent insects from capturing about 2000000 fans and becoming a three gold crown Taobao store.

In order to find the best fabric, Yang Ling can spend several months at all costs to look for suppliers all over the world. The high quality requirements even led a batch of foundries to improve production standards.

For this reason, since its opening in 2005, the bug is the main market of Taobao fairs.

The shop is also one of the most powerful businesses in the old Taobao TOP category. It is known as the "God shop" ancestor of high guest single, multi fans and strong sticky.

In the past 2016 Tmall double 11 carnival, the worm broke the about 20000000 paction volume in less than two hours last year, followed by Taobao's IFashion women's clothing tenth after the red shop, and was far ahead of the unit price.

Speaking of products and starting from the needs of fans may be the answer Yang Ling wants to give, and it is also the secret of survival of small insects at this stage.

Marriage traditional clothing brand

At the beginning of the shop, the small insect in Shenzhen (formerly known as "small insect Mi Zi") shop.

Because many large international foundries are stationed here, the insects start from the original products.

After that, relying on geographical advantages and high-end positioning, shops quickly attracted a group of fans with spending power.

Founder Yang Ling is one of the main buyers.

At the beginning, there was not much clothing experience. Her selection standard was style innovation and fabric quality.

After that, the addition of Mu Mu wood opened up more ideas for the insect.

Before entering the supply chain, the worm model is simple and easy to copy.

Before 2014, more than 90% of the insect's products came from the market channel, taking the goods and taking photos. The new cycle lasted for only half a month, even if the annual sales promotion was only 20 days ahead of schedule.

"This mode is very convenient, it can add thousands of new styles in one year, but there is no planning and inventory pressure."

Yang Ling told reporters.

In 2009, the annual sales of small insects amounted to 100 million yuan, and the annual performance of Taobao was five.

But on the other side of the coin, the lack of planning genes is the fundamental reason why it is difficult for them to pform.

The environment is changing.

With similar market styles and no price advantage, small insects begin to face the bottleneck of development after experiencing the initial golden age.

At this point, a brand with strong brand support and strong supply chain support has penetrated into the online brand.

Some brands with sharp smell have begun to look for new breakthroughs. They are the first to start with capital intervention or to complete the brand layout through mergers and acquisitions, so as to enhance product design capabilities, achieve supply chain management and corporate management.

In May 2012, Han Du Yi bought the prime thread. At the beginning of 2013, Yin man bought the initial language and shared the supply chain and marketing channel of Yin man. The design and operation were completely independent. At the same time, the acquisition of angel city and Lady Angel was carried out, and the annual sales volume of the latter reached 200 million yuan.

Bugs are also looking for a way out.

At one event, Yang Ling realized that the founder of Guangdong camel Clothing Co., Ltd., almost all of them, agreed on the second meeting.

In October 2013, the camel invested 60% yuan in controlling the number of small insects. The two sides tried to complement each other and complete the integration of resources.

One is the outdoor brand that has been successfully pformed over many years under the deep ploughing line, and the other is the high-end women's Taobao shop with high-end European style.

But the injection of traditional clothing brands has gradually introduced the experience of brand operation for small insects.

The internal revolution is taking place, and the worm begins to turn from the small Taobao shop to the corporatization operation of the system.

First is personnel expansion, new team.

With the help of camels, small insects gradually set up commodity planning department, quality inspection department and new media department, and the company suddenly increased from 80 to 180.

In order to make up for the short board in the operation of the bug, Wan Jin also once dispatched senior operations to join the bug team.

And with the capital, the bug will also move the office to the Wan Hai mansion located in the mouth of Shenzhen snake.

What kinds of chemical reactions will happen when two totally different commercial genes collide together? The road of pformation is doomed to be full of frustrations.

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Why do we have to go out for 100 days?

The bug's 2014 was not easy.

"Because the pressure was too high, I stopped for 100 days."

Yang Ling admitted to reporters.

The trend of brand operation is necessary.

In order to gradually realize the pformation from buying system to independent design, the small insect has invested heavily in the design director of the women's clothing brand under the line, and has set up a design and publishing department for 20 people.

In accordance with the original brand merchandise routines, they design about 200 styles each month, and launch product launches within the company to allow employees to vote for the style.

The planning process seems to be starting to work, but the most fundamental reality is that the style of independent design can not be sold.

"The main problem is that we do not understand the real needs of consumers.

It was hoped that the designer team could plan the product as a whole, but the soul of a company was the owner himself, and the style needed the owner to control it.

Ultimately, designers can not drive sales, sales still need to rely on buyers.

In addition, the increasingly expanding organizational structure also makes Yang Ling unable to manage.

Although there is still a certain annual sales support, in fact, human efficiency is low, and the company lacks management.

Since October 2014, she has deliberately slowed herself down, and the store has gradually moved towards refinement, and the frequency and amount of money have been reduced accordingly.

In March 2015, Yang Ling decided to cut down the design department, and began planning the "100 days" plan in the interior, officially closed in April, and shops were suspended.

Many consumers and people in the industry do not understand this.

At that time, the monthly sales of insects were tens of millions of levels. Closing stores meant losing a lot of fans and income. Why not complete the brand upgrade at the same time while opening stores? For this reason, Chai Li Li, the head of the insect shop, explained that he wanted to concentrate on products, integrate the supply chain, and let fans see the determination of small insects.

The first step in brand upgrading is to let the original supply chain go to the front.

Yang Ling, who had rarely traveled before, began to run away and spent his usual time to attend various exhibitions.

A yarn exhibition at the beginning of 2015 has become the key point of the comprehensive pformation and reopening of the bug.

She had been interested in a fully knitted sweater, but the price was too high to find suppliers.

Coincidentally, at this exhibition, Yang Ling met a factory that was preparing to import all shaping machines from Japan. The boss was just a small insect fan, and on the recommendation of the other side, she successfully got to know the source supplier of this sweater behind Japan island fine company.

100 days later, in August 18th, the insect joined Skei Ed Nor Sch, Japan island fine, Italy Centennial yarn brand Loro Piana and other partners, launched a new concept product such as fully formed seamless knitted products, and repositioned the brand as "personalized brand + quality women's clothing" to distinguish the popular brand and the net red brand.

When the new and old customers in the sky account for 90%, sales rank first.

In order to further improve the production priority and better control the quality, the worm joined a factory this year, and established a deep cooperation relationship with more than 30 factories successively.

The island cotton series is the first insect to complete the product from fabric design to final product sales.

In Yang Ling's view, the raw materials from the Caribbean islands contain a unique culture of origin, which can bring new experience to fans.

But at the same time, it is basically monopolized by suppliers from Japan and Europe, and it is not easy to introduce China.

Yang Ling spent nearly two months finding the Italy island cotton supplier and commissioned a domestic factory to produce the fabric.

In the process of finding, the planning department has made plans for the design in advance, and has formally launched the proofing, trial production and production, and sold out more than 90%.

Designer joint platform

If 2014 is the year of team running in, the pformation of 2015 is the test of the operation of this mechanism, then it will be more perfect in 2016.

Today, the large commercial department of the bug is relatively well equipped, including three departments: the development department, the cargo control department and the quality control department.

The development department mainly includes designers and buyers; the cargo control department pays close attention to the flow of commodities, undertake operations and production, decide the time and quantity of the order, control the distribution of stores, control the quality control, follow up the duration of the factory, and supervise the factory's delivery.

In early 2016, the head of Taobao clothing, Tang Song, delivered two key points to all sellers: first, the content channel operation; two, the young people's community "iFashion" will be re promoted.

And the worm chooses to make the content deeper, and it starts trying out a joint brand.

In September 12th, the best selling writer and host, Wen Yi, launched a joint brand, WENYI X CHONG, for each of the ready made clothes to wear cards, and to borrow the KOL with nearly 5 million micro-blog fans.

But in fact, the plan has been shelved for nearly five years.

As early as 2010, when micro-blog was the hottest, wood and wood established a link with Wen Yi, a fan of small insects. At that time, he proposed to give up the goods and find the production of supply chain, but did not attract enough attention.

Until the end of last year, two reasons led to this cooperation: first, the insect has begun to try to pform the supply chain, and has certain commodity planning capabilities; secondly, the rise of the net red economy, as the micro-blog V, the image of the gourmet man Wen Yi has begun to extend to the home of life.

After the introduction of wood and wood, it was the first attempt of autumn and winter products in September.

According to Chai Li Li, after the launch of Wen Yi line products, the price of new products can reach 1500 yuan in autumn and winter, and the rate of repeat purchase is 45%-55%.

This is due to a warm-up in advance from pictures, copywriting, style to marketing, and the conversion rate of Wen Yi is higher than that of general products.

Then, in October 29th, WENYI X CHONG joined hands with the GML designer team led by Zhou Yangjie, the famous shoe designer, to create a 8 centimeter hand made high-heeled shoes for the double 11.

In conjunction with small insects and Wen Yi, Zhou Yangjie is keen on his dedication and ingenuity in technology, and with this cooperation, the worm itself gradually extends its category from high-end women's clothing to footwear.

For small insects, the biggest problem facing pformation is that the factory has reduced the richness of the style accordingly.

Therefore, similar to Wen Yi and Zhou Yangjie, designing styles suitable for fans and building a diversified buyer platform may be the main direction of development of small insects, and it is also an effective way to make up for the lack of design strength at this stage.

After cutting down the original redundant design department, Yang Ling has his own yardstick for designers.

In her view, the positioning of the bug is high-end European and American style, so full-time designers must study abroad, and can balance their personal style and popularity. The main function is to find the prevailing trend and to modify and design their own styles.

Co operative designers must be creative and have a sense of design, and have a sense of intersection with the style and elements of insects.

At present, the channel of insect products has been taken from the original market and changed to factory selection, which can further reduce the cost and improve quality control. This proportion accounts for about 80%, while goods from fabrics to styles make up about 20% of the products.

Bug's next step?

"I am very stressed recently. I will not play marketing after 70. I really envy the ability of net red to get traffic.

After 11 years of opening shop, the product is always king. The biggest problem is not management. "

As the soul of the shop, Yang Ling is no doubt an excellent buyer, so that the terms of the cooperation at that time were "the founders must never leave the company"; but as a company manager, Yang Ling may not be enough.

In addition to the delay of Wen Yi line, as early as 2009, the insect and Angel City Founder met in Shanghai to discuss the future way of Taobao C store, which is used to get goods.

At that time, Mu Mu put forward the concept of "Wo Wo manufacturing", trying to build up its own product and brand, but the two sides were not optimistic.

Until many years later, the insect had to get involved in the supply chain, but still could not form stable orders and establish stable cooperation with suppliers. "The products seem to have high unit price, but the rate and bargaining power are very low."

Therefore, Yang Ling began to pform the upstream supply chain, from fabric storage to style design, to achieve closed-loop.

Because of lack of experience, small insects can't help ordering when they see good fabrics. When backend product development fails to catch up, they overstock more funds on fabrics.

Yang Ling is clear that this is a buyer mentality. If you see something good, you want to buy it, but there is no long-term plan. You never ask about data and finance. "This is my biggest problem."

How to develop the habit of planning? This may be a problem that the worm needs to solve. It needs to strengthen the standardization process of the Department at the planning level, plan ahead of the product, and cooperate with the suppliers to reduce the risk.

At the same time, worms will continue to look for quality suppliers to further reduce supply chain costs.

In the view of Li Zheng, the manager of the commodity department, the bug almost never worried about the new sales rate, but worried about whether it could turn the bill in time. "The pressure of each turn is the biggest. It is impossible to predict the volume of the product in advance, but it will affect the user's receiving time, which is based on the quality of the products."

At present, because many yarn fabrics need to be customized in advance and the process is more complicated, it takes more than 30 days.

In addition, there are third party quality inspection and pportation time.

For small insects, the strong stickiness and strong purchasing power of fans are naturally commendable, but the next step is also a long way to go.