Women'S Shoes Decline In Corporate Performance Daphne Scenery No Longer

In January 26th,

The 2015 fourth quarter operating data and annual profit warning released last year showed that 805 stores closed last year, while the same store sales growth in the same period fell by 18.5%, a nearly five year low.

In addition to Daphne, BELLE international, Saturday and other women's shoes business performance also showed a downward trend.

In addition to closing stores, they also seek survival space outside their main business.

Domestic women shoes brand performance overall decline

Daphne announcements showed that 805 stores were closed last year, including 692 direct outlets and 113 franchised stores.

Among them, 405 stores closed in the fourth quarter, accounting for more than half of the total number of stores closed throughout the year.

Reporter query data found that from 2011 -2014, the growth rate of Daphne same store was 21%, 9%, -10.4% and -3.4% respectively, while the same store growth rate reached -18.5% in 2015, a five year low.

Daphne said that due to the decline in the average sales price per unit and the pressure on gross margins, the efficiency of closing the store was not reflected in the operating profit margin, so the operating profit rate further declined.

In fact, the performance of women's shoes is accelerating.

China's latest retail sales data released by BELLE international in the third quarter of fiscal year 2015/2016 show that in September 2015 -11, sales of footwear business and store sales fell by 10.4%.

On Saturday, the three quarter of last year showed that the company's operating income fell by 3.47% in the 1-9 months of 2015, and net profit fell 17.79% compared to the same period last year.

Stores are also decreasing year by year, from 2363 stores at the end of 2013 to 2327 stores by the end of 2014, and then to 2200 stores at the end of June 2015.

Daphne attributed the fall in the three quarter of 2015 to the continued slowdown in China's economy and weak consumer sentiment. The "double eleven" festival promotes online shopping, dilute the flow of physical stores, and lead to more intense competition in the same industry.

The announcement also shows that Daphne ranked first among women's shoes in last year's "double 11", but

Business accounts for a relatively small proportion of total business turnover.

Seek survival space outside main business

Miss Lin, who is concerned about women's shoes market, believes that the domestic women's shoes market is not a weak consumer, but a loss of core competitiveness.

The brand of foreign women's shoes has entered China in succession and seized a certain market share of the domestic women's shoes brand.

But more importantly, from the aspect of style and quality, the competitiveness of Daphne, BELLE international and Saturday is weakening and the price advantage is not obvious.

"They used to be pretty good in style and design, but in recent years, they are getting worse and worse. They can't buy Ladies' shoes in a shopping mall. Many women prefer to buy some fashionable women's shoes in Hongkong or abroad."

In the face of the slump in the market, women's shoes enterprises have been looking for a living space outside their main business in addition to closing down poor stores.

On Saturday, it announced that the company's name "Foshan Saturday Footwear Co., Ltd." will be changed to "Saturday Limited by Share Ltd", weakening the "shoe industry" and helping to extend the industry chain in the main industry. In the future, it will gradually create a diversified brand operation, "online fashion".

Despite the weakness of the footwear industry, BELLE international has maintained a rapid growth in sports and clothing categories in the context of domestic sports craze, with the status of NIKE's largest agent in China.

BELLE international last quarter's third quarter earnings report showed that group sports and clothing sales grew by 6%.

The development of sideline is through the acquisition of British Toy dealer Hamleys.

Industry analysis, women's shoes

Developing diversified businesses on the premise of fully studying the market is conducive to reducing operational risks and increasing profit channels.