What happens to the inventory crisis of Mebon? Can it be a difficult brother?

Recently, the online rumors of fast fashion brands Vanke Eslite and Smith Barney in Pinghu's inventory backlog serious, the factory warehouse warehouse explosion. The current news remains to be further confirmed, but according to the reporter's multi-party understanding, the issue of inventory overstocking is indeed a major challenge for both Smith Barney and Vanke in 2012.

According to informed sources in the clothing and electronics industry in Beijing, the reasons for the explosion of inventory are manifold, and the most important is that policy makers ignore the fact that low inventory is exactly the same as the consumption model of fast fashion brand zara, as well as the desire of consumers to buy. Blindly optimistic.

High inventory

According to the 2011 third-quarter annual report of Smith Barney, its out-of-season apparel inventory has accounted for nearly half of the net assets. As a Chinese practitioner of European and American fast fashion apparel, the performance of Smith Barney is far less beautiful than it was supposed to be.

The optimistic estimate of last year's apparel consumption pattern has increased their inventory from 900 million in 2009 to 2.5 billion today. According to the report released by Shenyin Wanguo [2.53 0.40%] securities, the stock of Smith Barney at the end of 2011 was 2.56 billion yuan, of which more than 1.5 billion yuan was for off-season goods, which exceeded the company's operating profit for that year.

Although Smith Barney’s staff has repeatedly stressed that the discounting behavior that can be seen everywhere is a promotional activity, it has also aggravated people's concerns about the accumulation of their warehouses. Afterwards, the reporter called Meibang Brand Department. Its staff member said: “Everything on the Internet is being fired every year. Just do your thing well and you don’t have to deal with those rumors.”

It seems that Vanke's "e-commerce star" is facing the danger of "fallen." According to the listing documents submitted by Vanke, where the total inventory of customers is as high as 1.445 billion yuan, since last year it has been reported that the cash flow is negative. "Happiness is coming too suddenly." Like all e-commerce companies, Vanke started its crazy expansion in 2010. As we have seen, with ever-increasing numbers of customers, the gradual expansion of scale, and the upgrading of marketing methods, all figures are increasing except for income. The accumulation of stocks has further highlighted the issue of “sustained losses”.

Professionals said: “Where customers are always losing money, it is difficult for people to be optimistic about their future prospects. E-commerce customers' stickiness is not very strong. If aging does not make itself “light” as quickly as possible, then Can't support it soon."

Zhou Chengjian vs old age: difficult brothers brother?

Mr. Zhou Chengjian, the boss of Smith Barney, actually made a fire because of the "Three Eggs and One No." Declaration. He angered and subordinated his subordinates' style as "three eggs and one not": bastard, bastard, nonsense, inaction. At the New Year reception in January, the company reviewed the theme of “digestion of memory”.

Whenever the guest is old, he also stated at the annual conference that his own wrong decisions led to a huge backlog of cargo. Aging said: "One of the biggest mistakes made by guest offenders is entering into categories that should not be entered, such as rice cookers and mops."

The fires and reviews of the two bosses actually highlight the seriousness of the problems faced by their respective companies.

Analysts from Xiangcai Securities stated that there is indeed a problem of stockpiling of stocks in Smith Barney, but it is still necessary to further observe whether it is serious enough to say on the Internet. At the time of stocking in spring and summer, it is not surprising that stocks are high. At present, Smithsonian’s autumn clothes have been basically cleaned up, and it is really necessary to wait until the middle of this year to see its stock of goods and make a final decision.

On the Internet, Smith Barney also explained the problem of its own inventory: There are three main reasons for the high inventory. The first is that the sales scale has expanded in style design; the second is late in 2010, and the winter sales cycle has been postponed; and the third is to arrange for the 2011 goods to be stocked in order to cope with the impact of the shortage of labor at the beginning of the year on the supply chain.

To this end, 9che network CEO said that e-commerce companies should set up a strong data analysis department. Because "sales forecast, production forecast, inventory management may become more and more important in the future, whether it is e-commerce or traditional enterprise."

Donews columnist Wu Jian also reminded the industry that “online channels can never be used as salvation valves”. He said that the inventory crisis does not only occur in such traditional companies as Smith Barney, and pure e-commerce companies must be alert to the crisis, and the efficiency between sales and production must be balanced. Wang Li, a private equity partner of Ruirong, added that “independent e-commerce alternatives to offline entities are always an illusion, and interaction is the better choice.”

According to Chinese brand observer Tan Ru, in 2012, Metersbonwe will change the "market expansion, increase investment in direct-operated stores," the market strategy, but will focus on channel integration optimization, product In terms of organizational design, it slowed down the increase in asset income, focused on removing the pressure on inventory, focused on people, and worked hard on design and products to combine the Zara model with China's reality and strive to break through the difficulties in a short period of time.