Three Ask Daphne "Go To Join"

Not to mention it.

Some of the recent decisions are unthinkable:

First, when the layoffs storm, the electricity sector has become the hardest hit area, which makes people wonder whether Daphne wants to abandon the electricity supplier line.

After some cover up, Daphne said it would not end its business.

In order to speed up the pformation of joining the franchise, Daphne decided to end its relationship with franchisees: on the one hand, to shorten the contract period and the pition period, not to renew the contract after the expiration of one year, on the other hand, with a strong discount at a low price, to some extent, the franchisee will be forced to go to a dead end.

This article is

Service industry commentator Ma Gang analyzed and commented on Daphne's "de franchising".

A few days ago, Daphne franchisee said that Daphne issued a notice entitled "renewal of contract no longer with franchisee" notification, and joined the intention to rally at Daphne headquarters in Shanghai to protest against Daphne.

Daphne is the second in the Chinese women's shoes market. According to the Daphne mid 2012 financial report released in August 2012, its turnover was HK $5 billion 70 million, an increase of 28.9% compared with the same period last year, and the results were eye-catching. Why did Daphne become so radical when its performance was good?

The franchisee will go to join the alliance, and compare it to "cross the river and bridge the bridge".

There are two ways to bridge the bridge. One is the bridge is out of order, the other is rust, or it is rotten. People crossing the river worry about an accident and demolish the bridge. Another is the problem of crossing river people. The river crossing people do not like the current bridge or the crossing river people find a better way to cross the river.

It is not unusual to go franchising. In the process of brand operation, one of the customary practices of channel structure adjustment is.

In 2010, Lining sports let big customers integrate small customers as a channel optimization; 2011 bestsellers.

De alliance is also a channel structure adjustment and optimization.

So what are the advantages and disadvantages of franchising?

At present, the consumption of retail terminals is weak. Many enterprises have begun to plan carefully, open source and generate revenue, and extend them to the two ends of the industrial chain.

For example, the sports shoes and clothing enterprises in Jinjiang have indirectly increased their profits by building factories in the Midwest and increasing their proportion of self production.

There are some companies that extend to the end of the sales channel, extending from the wholesale price of the franchisee to the money that makes the final consumer.

Daphne's earnings report showed that during the 1~6 months of 2012, 411 stores were opened and 45 franchised stores were closed. As of the end of June 2012, it had 4958 direct outlets, 1010 franchised stores and direct outlets from 81% to 83%.

In order to become a franchising company, it is the ultimate goal of Daphne to go direct channel.

Some people think that the return of franchisees can earn the profit of franchisees.

Direct operation is conducive to the unity and synergy of store image, merchandise, planning and sales promotion, improving the speed of goods loading and turnover speed, and improving the operation efficiency.

But there are risks to benefit. Direct marketing means that the brand business should bear the corresponding risks of the original franchisee's shops, inventory and business risks. If the stores are scattered in the three or four line market, the cost of logistics, goods allocation, and the whole management will be relatively large. On the contrary, the localization of management will no longer exist if local franchisees are set up.

Metersbonwe has adopted a mixed channel mode of a second tier city direct + three or four line cities.

Some people think that to join the alliance can solve the problem of large inventory. The reason is that there is basically no inventory problem in fast fashion.

The franchise mode has existed for many years, and it is not reliable to push the big inventory problem to the franchising channel mode.

There are many reasons for the formation of large inventories, such as the reasons for channel management, the reasons for the distortion of supply chain information, the pressure of manufacturers, and the homogenization of products, which are also related to changes in the market environment (such as the current weakening of the overall consumption environment).

Conversely, there will be large inventory in the whole direct battalion. Is there no big inventory problem in the "direct management" mode of the Hai Lan home? The commodity forecast is out of order, or the market demand is deteriorating, which may lead to large inventory.

Will franchising become a common phenomenon?

Franchisees began to worry about this problem.

I believe you will often see or hear this: business ideas should shift from wholesale thinking to retail thinking.

Does it mean that many brand enterprises are going to join in the agenda?

Direct marketing and market characteristics are also related to the maturity of enterprise's channel strategy and management system.

For example, a part of high-end brands can open up the domestic market through agents, and then reclaim the channel into direct operation. This is related to the concentration of high-end brand consumption, while many international mass brands enter the domestic market and have fewer channels.

For example, from Chengdu to Shanghai, are you going to walk on your own, or do you want to borrow the highways that someone else has repaired? Of course, franchisees should be able to make channel brands, and their own voice and influence can be placed there. How can Kangxi easily start with Wu Sangui, and the women's footwear industry has a high ratio of self employment and no strong access brand.

Can we be gentle when we go to the alliance?

Each enterprise will encounter some market to join the business poor performance, everyone has tried joint venture, or optimize the franchisee structure to solve, I also participated in.

However, some enterprises eventually aroused or led to the contradiction between franchisees and brands, resulting in the two sides broke up.

The earliest of BELLE

Many businessmen are friends and students of Sheng Bai Jiao. Later, BELLE joined the franchisees, and these franchisees have become shareholders of BELLE. This may give us some inspiration.

The franchisee is the partner of the enterprise. The two sides cooperate and win win is the goal. Maybe we can try to solve conflicts and disputes by means of trusteeship, joint operation, and stock participation.