The Pformation Year Of Urban Beauty: Opening Up The Channel Of Electric Business, Holding Platform And Introducing Investment.

At present, the underwear giant urban beauty is still a small number of underwear enterprises in China with more than one billion scale, but only about 3% of the urban beauty market share.

In 2018, urban beauty continued to promote pformation, hoping to be "China's Secret", and also wanted to be a high-end underwear that was welcomed by consumers.

In the face of the increasingly complex underwear market, what are the major events of urban beauty in the past year?

Chinese clothing SkyDrive summed up the big events of the 2018 urban beauty.

Open up e-commerce channels, hand in platform, investment

From February 2018 to August, urban beauty constantly actively layout the electricity supplier channel. First, it set up a cooperation fund with Jingdong, invested in domestic OEM underwear, upstream and downstream industries and related peripheral industries, then gained Jingdong, Tencent and vip.com shares, then went online to the small program mall, and signed a cooperation agreement with WeChat to develop the new smart retail business.

To boost performance, overweight electricity providers, urban beauty moves frequently, originated in 2017 Fosun (thematic reading) stake.

In the two-year bet, the urban beauty has to earn an increase of not less than 3% and 6% year-on-year, and the net profit growth is not less than 20% and 15%, or else it will pay HK $100 million as compensation for Fosun.

Fully developing the electricity supplier channel is the first step for urban beauty to seek pformation and upgrading in 2018.

City beauty resolutely abandoned the "integrated marketing" mode, began to work hard in the electricity supplier, storefront and products, while strictly controlling costs and saving costs.

However, this electricity supplier's road seems not to be easy to go. In the interim report released in the first half of 2018, e-commerce accounts for some 302 million yuan, an increase of 1.4% over the same period last year, and the gross profit margin has dropped by 1.4 percentage points. In June, the whole electricity supplier segment was close to zero gross margin because of fierce competition.

So it is not easy to stop in the fierce competition of e-commerce.

Layout sports underwear

In addition to e-commerce, urban beauty also value product category development.

The International Sports General Administration predicts that in 2025, China's sports population will exceed 500 million, and women will account for 40%.

Women's sports equipment has also developed with the development of women's sports market. At present, consumption has increased more than men.

Sports underwear and children's underwear have become a new field of urban beauty.

In March 2018, the urban beauty group signed a shareholder agreement with China's Kappa. It invested 20 million to set up a joint venture company. The city beauty was responsible for designing, researching, developing, producing, purchasing, marketing and selling men's personal clothing products and women's sports underwear. The products involved were sold online, with the trademark "Kappa", the contract was five years, and it could be renewed for 3 years.

Former CEO, French senior designer joined

In order to take a new step on the road of brand upgrading, in May 2018, the city beauty signed a letter of intent with the French underwear designer Emeline Duval and French cross border design master Nathalie Sokierka.

It is understood that the designers signed by the urban beauty have worked with many famous international brands, and their design creativity will change the location of the urban beauty too popular and the slightly old-fashioned design, bringing new vitality to the urban beauty brand.

Meanwhile, in July 2018, the city beauty hired the former CEO Sharen Jester Turney as the group's chief strategy officer.

Sharen Jester Turney gained substantial growth in revenue from its $4 billion 500 million to $7 billion when it became a secret CEO.

The urban beauty expects to help the urban beauty brand's profitability and push the brand to the overseas market with the rich experience of Turney in the underwear industry.

Thus, in the fourth months since the new chief strategist took office, the new store of urban beauty opened.

The store was run by the new chief strategy officer, throwing away the characteristics of low price to win, and began to follow the fashion line, instead of appearing on the street side, but in the shopping center.

Whether it is to open up electricity supplier channels or layout campaigns, or to seek designers and former CEO to join, the ultimate goal of urban beauty is pformation, and the first step of pformation is to complete gambling with Fosun.

In 2017, the first year of gambling was overfulfilled by closing stores and discounts.

In 2018, the urban beauty only completed 47.48% of the gambling agreement requirements in the first half of the year, and the pressure accumulated in the second half of the year.

In the second half of the year, urban beauties are innovating and adjusting themselves in addition to being generous and upward. They are also constantly shifting pressure to franchisees and foundries to accomplish their performance goals.