Diss Ali, Jingdong, Gucci, Where Does The Bottom Line Come From?

Some time ago, Gucci (Gucci) CEO Marco Bizzarri said: because of the proliferation of counterfeit goods, Gucci is reluctant to cooperate with Alibaba and Jingdong's Chinese e-commerce platform in the Chinese market.

This "bombardment incident" has caused a great disturbance. Is Ali, Jingdong, a passive side, willing to suffer a loss?

In response, Jiang Ke (vice president of strategic planning of Jingdong fashion division) responded in a media interview 10 days later: Jingdong has deep cooperation with Kai Yun group, Gucci is just not familiar with Jingdong at present, and Jingdong will slowly communicate with Gucci brand side.

At the same time, Ali announced the establishment of a joint venture with Yoox, Net-A-Porter, or YNAP, a luxury luxury brand producer of Cartire, Vacheron Constantin, Earl and other luxury brands.

You know, in the global luxury jewelry group rankings, the group has ranked second in the first position of Kai Yun group.

At this moment, Ali released this positive news, from a certain angle, it is also a side "show muscles", hit back the bombardment of Gucci CEO.

In China, there is a brand that dare to offend two of the biggest e-commerce platforms. Where does Gucci get courage? And what is the important strategic value of luxury category to Alibaba and Jingdong?

Diss Ali, Jingdong, Gucci, where does the bottom line come from?

First of all, let's first clarify the status of Gucci in luxury brands.

In the luxury list released by the World Luxury Association, Gucci is the top representative of fashion, and its brand status also comes from the comprehensive strength of the brand.

1., seize the millennial generation.

In fact, Gucci can stand out among many luxury goods. In 2015, Marco Bizzarri took the lead in CEO, reorganized the management team, and appointed Alessandro Michele as the creative director.

Alessandro Michele has made bold innovations in products, marketing and brand building. From exhibitions to cross-border cooperation, it has brought endless surprises to consumers.

In addition, the professional marketing team, built by Marco Bizzarri and marketing director Jacopo Venturini, focuses on the marketing of products from the digital perspective. It also set up a "millennial generation" advisory group to catch young consumers with high frequency digital entrepreneurship projects.

The brand style strategy to improve product identification has made Gucci no longer an old brand with Logo playing the role, younger brand positioning; fashion shows, senior parties, awarding ceremonies and popular advertisements have attracted the reports of the major fashion media, which has achieved the Gucci's "taste marketing" with strong market influence.

2. China's business layout

In the offline business, Gucci has been selling like other luxury brands to offline stores, focusing on luxury experience and services. As of now, according to data from Gucci China official website, there are 65 outlets in China.

When Gucci closed its first store in Guangzhou last year, it was reported that by 2020, Gucci intends to close 15 stores in the country, and many consumers expressed concern.

But reassessing the distribution of their stores and integrating their own stores is the layout strategy of many luxury brands, reducing the number of stores, but expanding the single store area and focusing on customer experience and services to ensure that luxury goods remain luxurious in the new retail environment.

In online business, Gucci launched its online sales platform in China last July. In May of this year, it also entered into cooperation with the global fashion supplier OFashion fan orange, opening the third party business platform and Gucci official website in China for the first time.

The combination of online business and offline business shows that Gucci does not lack sales channels.

3., selling is hard power.

Based on team collaboration and business layout, according to the statistics of luxury industry in the first half, sales of Gucci ranked first in the industry by 36%.

In addition, according to the latest third quarter financial report released by Kai Yun group, Gucci organic sales rose 35.1% to 2 billion 100 million euros in the third quarter, and has increased by 35% over the seventh consecutive quarter, compared with 50% last year in Gucci.

Kai Yun group reported in its report that the sales performance of Gucci in all regions continued to rise in the third quarter. The growth rate in the Asia Pacific region, including China, was the most significant as high as 42%. The North American market also recorded a 40.7% growth. Sales growth in Western Europe, Japan and other regions was 25%, 33% and 27%, respectively.

By the end of last year, the proportion of online sales channels reached 9%, and the limited contribution of online channels made the online share for the current.

The market is still in a state of "no pain".

Stable sales and high growth in the Asia Pacific region are all Gucci. The development of China's market has removed many worries.

It seems that the arrogance of Gucci seems to be justified.

"Old grievances" with ALI and Jingdong

Gucci bombardment Ali Jingdong, such a tit for tat, is not the first time.

As early as 2014, a group of luxury goods Gucci, Yves Saint Laurent and Bottega Veneta of Kai Yun group filed a lawsuit in the United States to 14 businesses of Alibaba and its platform, saying that Alibaba deliberately shielded sellers from selling illegal products around the world.

However, two weeks later, Gucci and other brands quickly revoked the accusation against Alibaba, and issued a joint statement with Alibaba, saying: the parties have agreed to cooperate sincerely to further reduce the counterfeiting activities of the brand under the cloud.

In less than a year, Gucci and other brands have filed a lawsuit against Alibaba again.

It provides platform for counterfeit sellers and provides online marketing, credit card operation, finance and freight services for them.

The result of this lawsuit is still fruitless. The court made a judgement on the Gucci and other brands of Gucci and Kai Yu Group's luxury brands in the case of Alibaba's sale and dishonesty, because the evidence provided by Gucci US company is insufficient, and it is impossible to judge Alibaba and the Chinese businessmen suspected of selling fake goods.

In August last year, Jingdong's self run Gucci became a "Gucc", and the customer service insisted that it was a genuine product but quietly went down.

Mr. Feng bought a Gucci glasses from the Gucci store of Jingdong mall, 1859.67 yuan.

Three days later, when the goods were opened, the English abbreviation of the left leg Gucci of the glasses was only four letters (gucc), with a less "I".

After the report of Mr. Feng micro-blog, Jingdong contacted him. As for why the English abbreviation of Gucci on the glasses would be less than one I, customer service did not explain, but stressed that "Jingdong promised to sell the merchandise as a genuine product", and has always advised Mr. Feng to return his glasses, which will give a satisfactory result.

Shortly after the report, the glasses were opened on the Jingdong mall page, indicating that the item was already off shelves.

In view of the problem of counterfeit goods, Alibaba and Jingdong are not without countermeasures. In recent years, Ali and Jingdong have been cleaning up platforms. Ali's "sky star" program. Jingdong's "reassurance" system has been making efforts to combat counterfeit goods. Objectively speaking, the counterfeit problem still exists, but the problem of counterfeit goods can not be solved only by the power of channel providers.

I thought the bombing incident was in a passive position.

It can only be "dumb to eat Coptis chinensis". Now it seems that the situation has changed.

YNAP includes nearly 1000 luxury brands, designer brands and beauty brands.

In addition to Net-A-Porter and Mr Porter, there are also luxury electric providers such as Yoox and THE OUTNET.

YNAP released its first quarter results in May this year, showing its sales grew 0.5% to 518 million euros.

From where to fall, where to stand up, Ali and YNAP set up a joint venture, which means Ali launched a further step in the layout of the luxury industry, rich brand lines, sales channels and outstanding achievements have demonstrated the position of YNAP in luxury electric business.

At this point, Ali and Jingdong's luxury business also formed an opposite situation. The joint venture between Ali and YNAP set up a fashionable shopping platform Farfetch with Jingdong for $397 million, and Ali's luxury virtual channel Luxury Pavilion and Jingdong's luxury platform TOPLIFE.

In order to adapt to the high-end taste of luxury goods, Luxury Pavilion can not be seen by every Tmall user. Only 88 super members and luxury consumers picked up by Tmall platform can see the entrance and consumption of this channel.

With the construction of Jingdong channel, Jingdong invested in the construction of luxury warehouse, opened air pportation line and Beijing Zun Da white glove service, joined vip.com, beautiful union group, and set up Fashion Technology Research Institute.

Through these means to compete for luxury brands to enter.

In fact, both Ali and Jingdong are doing something positively.

Layout, in order to break the passive situation of brand choice channel.

Apart from carving up attractive luxury cakes, it is more important to introduce luxury channels to integrate high-end elements into their e-commerce platforms and attract consumers in a more diversified perspective. The layout and planning of the distributors are always more profound than the phenomena we see.