bonus disappears
bonus disappears, and the performance of e-commerce service brands has declined collectively. According to financial report data, Antarctic e-commerce revenue in the first half of the year was 1.754 billion yuan, a year-on-year increase of 5.59%; net profit was 175 million yuan, a year-on-year decrease of 29%.
Ruoyuchen's operating income was 535 million yuan, a year-on-year decrease of 10.49%; net profit was 9.115 million yuan, a year-on-year decrease of 77.11%. Lirenlizhuang declined significantly in the first half of the year, with operating income of 1.557 billion yuan, a year-on-year decrease of 16.08%; net profit of 6.108 million yuan, a year-on-year decrease of 97.03%.
Many brands attribute the reasons for the decline in performance to the impact of the epidemic. In the performance forecast announcement, Liren Lizhuang stated that in the first half of the year, the epidemic in some regions recurred. From late March to the end of May, the company's warehousing in Shanghai and surrounding areas could not be delivered in time, and the poor logistics supply chain seriously affected the company's revenue. accomplish. At the same time, due to the hindered express delivery business in Shanghai, the company was unable to deliver cosmetics and other products to customers located in Shanghai, resulting in the company losing revenue from Shanghai during the epidemic.
Antarctic E-commerce also stated that Shanghai has suffered the impact of the epidemic, and the company's business development plan and the business development of small and medium-sized enterprises in the industrial chain it serves have been affected to a certain extent. Ruo Yuchen is no exception. "The epidemic has had a certain impact on the decline in performance." Ruo Yuchen mentioned in his financial report.
However, in the view of industry insiders, in addition to the impact of the epidemic, the dividends of traditional e-commerce are disappearing, and brands are constantly making efforts in e-commerce channels. The entire e-commerce market has changed from the original incremental market to the current stock market. This has caused the development of some e-commerce service companies that are dedicated to operating various brands to suffer a major impact. In addition, the rise of emerging e-commerce platforms has also formed a certain competition for traditional e-commerce channels.
Ruo Yuchen stated in the announcement that in the 2022 semi-annual, some of the company's cooperative brands have changed from the original distribution cooperation model to the agency operation model cooperation, resulting in a decline in the company's main business revenue compared with the same period last year. Similarly, in 2018, Lirenlizhuang stopped its cooperative relationship due to independent operation by major customers such as Lancome , L'Oreal Paris .
seeks transformation
facing the intensified competition in the stock market, Performance has declined significantly, and various e-commerce service companies are constantly looking for solutions.
Antarctic e-commerce enhances its competitiveness by constantly acquiring new brands. Antarctic E-commerce has acquired multiple clothing brands in half a year. In August 2022, Antarctic E-Commerce acquired 100% of Bella Viagra for RMB 45 million. In February, Antarctic E-Commerce spent 180 million yuan to acquire 100% of the equity of the Korean women's clothing brand Baijiahao (Shanghai) Fashion Co., Ltd., and included 78 "Korean Fashion" trademarks including BASIC HOUSE, Mind Bridge, JUCY JUDY, etc. for 330 million yuan.
Antarctic E-commerce stated that the company has certain shortcomings in R&D, production, and quality management, and Baijiahao has strong advantages in R&D, production, and quality management, which can better supplement the company's shortcomings in these aspects. The company will make more fully prepared for the integrated control of production, sales and research in the future.
Antarctic e-commerce chose to go from virtual to real, while Lirenlizhuang focused more on the research and development of its own brands.
Lirenlizhuang stated in its financial report that the company's independent incubation brand development momentum is good. In the first half of the year, the company's independent incubation brand sales were good, with a rapid growth compared with the same period last year. When cooperative brands cannot meet consumers' new needs, the company fills the gap by incubating its own brands.
It is understood that in the past year, Liren Lizhuang has successively launched its own brands such as Meiyitang, Yurongchu, Xunwei Archives, and Aibeimeng.
At the same time, Ruo Yuchen is also focusing on independent brand business and cross-border other fields. According to the financial report, Ruo Yuchen will plan the "technology + consumption" track and realize "own brand +" as an important development strategy.
In the first half of 2022, Ruo Yuchen invested in Douyin -generation operation, oral care, pet care, beauty and skin care and other companies.At the same time, Ruo Yuchen said that in the future, the company will gradually improve its own brand matrix from 1 to 1. It is understood that the first independent brand launched by Ruo Yuchen has achieved good results. Data shows that this year's Women's Day, the sales of the ZHANGJIA Tmall store increased by 310% year-on-year; during the "6•" 18th period, the ZHANGJIA Tmall flagship The store GMV increased by 104% year-on-year. In early August, Ruoyuchen launched his second own fragrance brand - Aromoona/Yuejing Anman.
Jiang Han, a senior researcher at Pangu Think Tank, said that for e-commerce companies, whether they acquire brands or incubate brands independently, it is a good path to transformation. Focusing on independent brands from the perspective of long-term market development can help companies to improve their own profits and promote their better development. So from the perspective of the entire market, the future diversified transformation is an inevitable result.
related issues such as performance, transformation, etc., Beijing Business Daily reporter interviewed Antarctic E-commerce and Liren Lizhuang, and no reply was received as of press time.
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Beijing Business Daily reporter | Zhang Junhua
Picture source | Antarctic e-commerce official website, Ruo Yuchen official website, Lirenlizhuang official website
