Chapter 398: Wielding the big stick of capital

It is very difficult to reach the top of the fashion industry and become an industry giant.

Chanel, Givenchy, Balenciaga, Gucci, Hermès, etc., these giants have virtually set a very high bar.

These brands not only have amazing annual revenue, but also very high.

Just like ZARA, UNIQLO and these rising stars, the king of affordable brands, even if their revenue far exceeds that of big brands such as Chanel, no one would think that ZARA and UNIQLO can lead the trend.

Even ZARA basically sends a large number of designers every year to "copy and imitate" the design concepts of those big brands, and then improve them and launch their own styles.

Moreover, just being sued by big names for "plagiarism and infringement", ZARA has to pay tens of millions of dollars in compensation every year, which can be regarded as paying "protection fees".

Therefore, it is really difficult for a new brand to break through the encirclement of traditional big brands.

If Wang Ye's preferred products can be opened all over the world like ZARA, it can make him the industry hegemon.

However, it is not enough for him to truly become a giant in the fashion industry, because it is not enough to have net worth and no status.

If you want to have a say in the fashion industry, then your brand must be high enough and trend-setting enough.

Many laymen will not know how the so-called "popular colors" and "fashion trends" come about every year.

But everyone in the industry knows that you only need to watch the big shows of several major brands in advance, then you will know what the popular colors and popular styles will look like next year.

If several major brands use red in their clothing colors at the big shows held in advance, there is no doubt that next year's popular color will be red.

Similarly, if the dominant color of several major brands is green, then next year's popular color will be green!

It's that simple, this is the right to speak in the fashion circle!

Those small and medium-sized brands, if you don't accept it, you have to follow the rhythm of these big brands, don't think that you are unique, because in the face of the trend, if you want to go against the trend, you will die a miserable death.

Wang Ye knows that if he wants to catch up, the current industrial layout is not enough.

Li Qinghuan is trying to be a top big name, which is a good idea, Wang Ye is very supportive, and he is looking forward to her making something.

But this alone is not enough, a new brand, especially the top big brands, wants to make achievements, especially if they want to have a greater influence, it will take too long.

If it goes well, it may take five or six years to compete with those traditional big names.

If it wasn't so smooth, it wouldn't be easy to say.

Therefore, Wang Ye has to think of other ways, such as acquiring ......

The reason why the power of capital is strong is that it does not need to slowly grow from small to big, as long as there is enough money, it can directly buy any company and brand it wants.

What others have worked hard for decades or even hundreds of years to do, as long as you are willing to spend money, you can easily have it.

This is also the usual means used by big capital to enter a new industry, acquisition, acquisition, and acquisition!

Until you buy all your competitors, then you have no competitors.

When Wang Ye first entered the cosmetics industry, he used this method.

Although the clothing industry is not new, it is also a good way to quickly become bigger.

Of course, with the current strength of Wang Ye, it is too much to want to acquire giants such as LVMH and Kering.

The target of the acquisition needs to be carefully chosen.

It is obviously unrealistic to want to directly engage in big names such as Chanel, Dior, and Versace.

Take Chanel as an example, when people think of Chanel, they think of Mademoiselle Chanel, and they think of Galeries Lafayette Karl Lagerfeld.

Of these two people, Mademoiselle Chanel is the founder of the brand, and Karl Lagerfeld is the one who saves the brand from the bottom and returns it to the peak of fashion.

However, no one knows that this company is not listed and is not a real French brand, although the Chanel brand was founded in Paris.

As everyone knows, until 2013, even Wang Ye knew, until 2018, Chanel was still a privately held company.

The head of the company is not related to Mademoiselle Chanel, but is the brother Alain and Gerard Wertheimer, descendants of Pierre Wertheimer, with whom Mademoiselle founded the company in the last century.

The duo is extremely low-key, and even the financial statements of Chanel International BV, the entire parent company of Chanel, were first disclosed last year, and the company's entire market capitalization is around $18.5 billion, according to Bloomberg estimates.

The financial magazine Challenges obtained the annual report from the Dutch Chamber of Commerce, which is registered in the Netherlands, Chanel International BV.

It shows that in 2012, Chanel's total sales were 4.99 billion euros, an increase of 8.5% year-on-year, but still less than last year's growth rate of 26%, while the operating profit reached 1.15 billion euros, also an increase of 8.5% over 2011, but the net profit of 726 million euros was a significant decline from 2011, mainly because Chanel has been spending a lot of money to acquire the ownership of the property where the flagship store is located in Paris this year.

"This full-year report is a testament to the strength of the CHANEL brand and is the result of a creative long-term strategy," Chanel said. This allows Chanel to create social and economic value and ensures that Chanel remains one of the most popular brands in the world. ”

Previously, there were frequent rumors in the industry that Chanel would sell its stake, and there was news that luxury group LVMH had coveted Chanel for many years.

Philippe Blondiaux, Chanel's global chief financial officer, took the opportunity of the earnings announcement to declare: "This public announcement is definitely not a prelude to the company's listing, and there is no possibility of a sale. On the contrary, this earnings report shows that we are in a very strong financial position. We can continue to develop independently for centuries to come, and nothing will change. ”

……

This big name in the fashion industry, which is extremely influential, never planned to go public, and the company just made a fortune in silence.

For this kind of company, you can't do anything about it.

And the company's sales and profit margins are there, how much money do you need to pay if you really want to buy it at a high price?

No one knows the exact number, but obviously, it will be an astronomical number!

……

In fact, there are many people who want to be a big luxury brand in China, and there are relatively successful precedents.

In the last century, there was an international women's clothing brand that was very popular in China, and the limelight once overshadowed the top brands such as Chanel and Prada, that is, "PORTS", the Chinese name is "Baozi".

In the 90s, this brand was advertised as a well-known international brand from the fashion capital of Paris, advertised on CCTV, and had counters in major domestic department stores, which was all the rage.

But few people know that this brand is actually controlled by a domestic company, that is, Baoguo International.

Moreover, this brand is not really a Parisian brand, and was first registered in Toronto, Canada.

Founded in 1961 in Toronto, Canada, by Canadian Luke Tanabe, PORTS designs, manufactures and retails Boots fashion for men and women, as well as accessories such as shoes, handbags, scarves and fragrances in China and Hong Kong. Operating markets include Toronto, New York, Tokyo, Dubai, Hong Kong and Magic City.

By the end of the eighties, PORTS had more than 60 boutiques worldwide. At that time, the mother of Chen Qitai, the chairman of the board of directors of Baoguo International Group, opened a garment processing factory and worked for Baozi for many years, and was deeply trusted by Luke Tanabe.

In 1988, when Luke Tanabe was planning to retire, the Tan Kai Tai family decided to buy the brand after negotiation, and it was a huge success.

In 1993, he opened a processing plant in Xiamen, and opened China's first women's fashion stores in the Magic City Beauty Department Store and the Capital International Trade Center.

According to the pronunciation of PORTS, the brand is directly named Boots.

"This is actually a rather Chinese name, and we didn't deliberately choose a so-called foreign name. Chen Qitai said in an interview with the media earlier.

At present, in addition to Boots, the group's clothing brands also have the sole authorization of BMW to produce and operate BMW brand apparel BMW Lifestyle.

When some consumers visit some shopping malls, they will be surprised to find the BMW LOGO, and they don't know when BMW changed careers and started making clothing.

In fact, this is only a trademark authorization, and it is not a copycat.

Of course, this does not have a deep background, and the so-called big names that rely on advertising alone cannot last long.

In recent years, the brand has long been known, sales have plummeted, and even the parent company has to be delisted.

……

If you want to make money simply, Wang Ye has many ways and many better choices, and there is no need to choose the clothing industry.

What he wants is not only to make money in this industry, but also to get the right to speak in this industry.

On this topic, Wang Ye has no clue for a while, because there are too many clothing brands, and if you don't keep paying attention to the industry dynamics, it is difficult to say which brand is the most suitable for acquisition during this time period.

Professional questions, of course, consult a professional.

The first person Wang Ye thought of was Alexander Wang.

Alexander Wang is currently the Design Director of THE TOP SHOP and has been active in the fashion industry for a long time.

Because of his international background and many old friends, he is also the most well-informed, and it is best to ask him this question.

……

In Wang Ye's office, the two sat facing each other and began to talk about the issue.

Alexander Wang hasn't seen Wang Ye for a long time, but he was also invited by Wang Ye himself.

It was also that meeting that changed his fate.

From a depressed designer, to the current point.

In the past two years of working at THE TOP SHOP, Alexander Wang has become more famous than before, and his financial income is even more expensive.

The TOP SHOP implements the designer's independent brand system, and Alexander Wang is also the company's façade designer.

In the THE TOP SHOP, the Alexander Wang brand has its own space.

His collection is also the most expensive collection in THE TOP SHOP. In the past two years, I have taken 50 million or 60 million yuan in sales dividends alone.

So now is also the time for Alexander Wang to be proud, hearing Wang Ye's inquiry, he thought for a while, and replied with a smile.

"Maybe Wang Dong has been paying attention to the top brands and seeing that they are doing well, but in fact, there are many brands that are not doing well. Of course, those brands may not be eye-catching to Wang Dong, but I think there is a brand that has been very popular in recent years, and the current situation is not very good. ”

Wang Ye asked with concern, "Oh, what brand?"

I don't know if Wang Dong has heard of it. ”

How could you not have heard of it, this brand is the king of trendy brands, and in the next two or three years, it will be its heyday.

At that time, all brands were proud to be able to collaborate with Supreme, and countless young people were crazy about Supreme.

There is a saying, "Everything can be Supreme", which not only describes the popularity of Supreme, but also makes fun of the light of the category involved in this brand.

When Wang Ye made Floating Dream cosmetics, the reason why he made a joint model with Hermes was also inspired by Supreme.

However, in Wang Ye's impression, although this brand is not as popular as a few years later, it has been doing very well.

Especially in the United States, Supreme has always been a well-known trendy brand, and Nie Xiaoying is its loyal fan.

Why is there a problem with this brand now?

"What's wrong with this brand, hasn't it been running very well? Many companies can't buy it if they want to, right?" asked Wang Ye suspiciously.

"It's really wrong, the brand is in a lawsuit right now, and it's lost. And, most likely, there will be a ban on sales in Europe. Alexander Wang replied with a smile.

Wang Ye couldn't understand for a while why a clothing brand, which is a trendy brand, does not involve plagiarism or anything, why would it suffer a lawsuit.

After listening to Alexander Wang's answer, Wang Ye laughed.

It turns out that there are not only domestic copycat goods, but also foreign copycat brands.

This time, Supreme suffered a dumb loss, not only was it copied, but it was also bitten back by the copycat, demanding that the sale of Supreme be banned throughout Europe.

What's more, Supreme lost the lawsuit!

Fortunately, this brand has only opened stores in the United States, and has not opened stores in Europe, so it will not incur losses such as store withdrawal.

However, being banned from selling on a continent like Europe is tantamount to losing that huge market, which hurts too much for Supreme.

Moreover, losing this lawsuit may also trigger a chain reaction.

If people in other countries follow suit and file a lawsuit against Supreme to ban it from being sold in their own countries, the brand will be doomed.

Therefore, Alexander Wang suggested that Wang Ye take advantage of this opportunity to acquire Supreme.

But this also faces a big problem.

Even now, the founder of Supreme is willing to sell Supreme because of the difficulties, but this lawsuit has been lost, what can Wang Ye do to save the situation.

After hearing the situation, Wang Ye frowned and fell into deep thought.

He really doesn't know much about Supreme, but he knows that this brand is very popular, and every time Supreme is new, there is a large group of people waiting to queue up overnight outside the store to buy it.

Of course, there are real consumers in these queues, but more often than not, it is those scalpers and daigou people.

It can be said that the Supreme brand is hyped up by consumers!

This is also an Internet celebrity brand, with its own traffic.