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Embracing Fashion Trends, Kappa Needs To Turn Around?

2019/1/21 9:09:00 16

KappaPerformanceFourth Quarter

Following the Kappa performance improvement in the three quarter of last year, Kappa sales increased again in the fourth quarter of last year.




Yesterday afternoon, the China trend announced that the group Kappa brand store grew in the fourth quarter of 2018 (excluding Kappa children's clothing business and Japanese business), and the number of retail sales increased year by year.

As for the continuous growth of operating data, China's trend is mainly due to the new customers' joining and the launching of the direct operation mode.




Prior to the disclosure of the three quarterly report last year, Kappa said that in the three quarter of 2018, sales performance and market competitiveness have been significantly improved. Kappa brand has come out of the trough and is confident in the future development of the brand.




For today's main consumer groups, "after 80", "90 after", in their youth, this "back to back" brand status is no less than Nike and Adidas, is one of the high-end brand representatives.




In 2002, Kappa's China regional agency was seized by Lining, and dedicated to the establishment of Beijing Trend Sports Development Co., Ltd. in order to better develop the Kappa market in China.

In the most brilliant 2010 of Kappa, its revenue was more than 4 billion yuan, and the number of stores expanded rapidly to more than 3700.

But after this golden period, Kappa's reputation and sales began to decline rapidly. The "Shanzhai" in China's market, the stagnation of Kappa's innovation ability and the layout errors in the channel all brought Kappa into an awkward situation.




In 2016, when the Kappa brand was set up 100th anniversary, China began to rearrange its distribution channels, run online and offline, and began to try to enter the entertainment industry to try to penetrate into the young people and create new trends.




It is reported that the purchase frequency of tidal current sports products is relatively high, and the young consumers are more keen on the popularity. The purchase products are no longer restricted by the demand of changing season just now, the randomness of buying and the high impulsivity probability. The Kappa upgrade product design mode has successively worked together with the famous Japanese trend designer Cang Shi Yi Shu to enter the buyer's shop, and issued the limited amount of money and so on. It gradually won the popular pursuit of young consumers. Its highest sales record has reached the limit product 1 hours sold out, and all products accumulated up to 80% in 1 days.




At the same time, Kappa also actively explores the consumer centric digital operation, such as real-time grasping and analyzing consumer behavior. After analyzing consumer preferences, reading habits and other personalized preferences, the product and marketing content are pushed to achieve the "thousands of thousands of faces" accurate recommendation.

For different commodities, data analysis is made on consumers' purchase of goods and products concerned, and different new product supply and marketing strategies are adopted to provide different goods for these stores.

According to the actual sales situation of each store, it forecasts the volume of future sales volume, jumps off the traditional order mode, and realizes personalized precise sale.

Relying on the data sharing system, all stores can guide the purchase of goods stored in the cloud storehouse in the region, enhance the circulation efficiency of commodities in the regional stores, build online sales away from shops, bid farewell to the business model of sitting shops, and enhance sales performance in an all-round way.




In Kappa's view, the essence of making a brand is long-term construction and investment. The brand will continue to upgrade its cultural marketing on the basis of binding personalized trend resources, and constantly enhance the movement experience of consumers. It will attract more young people with the passion and rebellion of Kappa in the way of young people's lifestyle and communication.

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