The New Brand Of Small Public Has Become The Luxury Brand Of Fragrant Cake Will Face The Crisis?

"The big name is the absolute leader of the trend." this industry rule is turning over. When China's luxury consumer market is closely related to big brand bombing propaganda, logo worship and display of wealth, it quietly nurtured fertile soil for niche designers.

Bain Bain & Co. Fondazione Altagamma has recently released the global luxury market monitoring report 2019 Spring Edition. The report shows that consumers of Chinese Z generation at the age of 20 are becoming a powerful force in the rise of the luxury goods industry. Standing in the Z generation to lead the trend of consumption, young, bold, confident and fashionable. More and more consumers are keen on trying new things and enjoying fashion. For this reason, the niche designer brand is becoming more and more fashionable for young people to "stand on tiptoe."

Zhang Peiying, an honorary consultant to China luxury alliance, told the China Commercial Daily that when the mass consumers could not afford the luxury goods with high price, the niche brand with the proper cost performance and unique characteristics could meet the needs of young consumers.

As a member of the Z generation, Miss Zhang told the China Commercial Daily reporter that compared with luxury brands, niche brands are more designed, cheap and hard to crash.

Bain Federica Levato, co author and co author of the report, points out that niche brands will have a huge impact on the luxury industry. "They will challenge mature brands and promote brand development in a more creative way outside the products. The impact may involve all aspects of business and ultimately have more direct and lasting dialogue with customers."

In the industry view, the rise of niche designer brands is closely related to the changes in business rules nowadays. The designer brand, once small and layered, is stepping into the "traffic age". Today, niche designers wear fashion week and T stage to micro-blog, Taobao and Xiao Hong. Today, social media and KOL (opinion leaders) are becoming carriers of goods. Young people are more willing to pay for "Xin Shui" brand, designer or idol. For example, a designer designer KKtP jacket, which was passed by the popular singer Cai Xukun, triggered a large number of fans in the micro-blog comment area "seeking links". The designer's platform ICY and the the Imperial Palace released the designer's cooperation called "regurgitations".

In addition, import consumption has spawned overseas small and beautiful international brands that are booming in China. Personalized and diversified needs of users promote the international transformation of fashion department stores.

In order to attract passenger flow and get traffic, department stores constantly attract niche designers to enter the brand. China business daily learned that in some high-end department stores, niche designer brands occupy half of the shopping center. Especially in the past one or two years, the development of niche designer brand in the domestic market seems to be more active. Isabel Marant, Thom Browne, Acne Studios and so on entered the benchmark store last year and opened an image store or flagship store. Beijing SKP and Sanlitun Taigu have all these brands.

In addition, Suning fashion department also announced that it is geared towards the world and strategic cooperation with international fashion niche brands to build a global supply chain network, and constantly introduce new brands to meet the public's pursuit of fashion.

Apart from the traditional department stores, the electronic business platform has begun to force the niche designer brand. Since INS has increased the function of electric business, a large number of independent designers have risen rapidly on INS. Because they are fashion bloggers themselves, they are popular with a large number of fashion trends. Of course, this includes the famous luxury electric business website Net-A-Porter. It is worth mentioning that the Net-A-Porter, which has always been the only luxury seller, started from the end of May this year. It chose seven independent designer brands from ins and sold them on the official website. I believe they are not only interested in the designer's design, but also a large fan base with the designer's bloggers.

However, in the changing market, the future of designer brand is still slim. For example, although the Swedish designer brand Acne Studios doubled its turnover from 2013 to 2016, its growth rate slowed down from 2017. Therefore, Acne Studios publicly disclosed the intention of selling 70% to 80% shares of the brand in July last year, and in May May, Hongkong I.T group completed the acquisition of 10.9% shares of Acne Studios brand. Coincidentally, old Zegna also acquired designer brand Thom Browne. But for designer brands, the sale of shares to large brands is also full of uncertainties. If performance is still poor, it will be sold first when large groups are in urgent need of transformation. Designer brand Stella McCartney and Christopher Kane have been sold by Kai Yun group.

According to the insiders, a large number of new designer brands will appear every year, and the competition will be greater. The development of designer's brand is not mature at present, and the market share is relatively low, and the low price strategy of fast fashion and the younger generation of luxury goods are also factors that hinder the development of designer's brand.

Meanwhile, the industry has warned that good ideas alone are not enough to sustain a brand's sustainable development. Reasonable commodity mix, stable supply chain, accurate audience analysis, and meticulous sales channel planning are all aspects of brand creativity. Author: Chen Qing