To Do Something, Do Something Wrong, And Rationally Locate The Customer Boundary.

In just four years,

It grew from a website selling shirts online to a well-known Internet brand.

Experienced the joy of rapid growth, also in the crazy expansion of the bitter fruit, listing failed, capital chain crisis......

Through the cusp of public opinion, the years seemed calm.

Wearing a black guest shirt, plain and low-key.

The old year is still talkative, like rehearsing sand tables, to deconstruct the adjustment of management and management of VIC, as well as the anticipation of profit.

However, he did not avoid talking about the way he had gone through. The talkative had more precipitation after thinking. The equation of the guest mode seemed to be clearer in his mind.

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The supply chain is planned.

The author: last year, the media broke out the problem of the customer inventory. When I bought things on van customers, I also found that the products bought the week before were sold out next week. What is the reason? Is it the result of stock reduction?

Chen: I began to feel a little bit worried about losing stock.

Later, our supervisor told me that taking the VT (Van guest T-shirt) as an example, we may not be able to launch the total 1/10 in the first one or two months of this year.

It is very difficult to enter the scheduling plan if we want to replenish the goods that are already out of stock.

That is to say, the production line is also planned according to the plan.

The author: what is the purpose of adopting this plan? Is this better than the previous way?

Chen: the situation last year is not the same as this year. At the beginning of last year, we almost pushed the new 2/3.

From the user's point of view, if users face 2000 styles at once, they are very difficult to choose.

If the 2000 items are launched one after another, they will always make users feel fresh.

So this year this way is much better than before.

This year, the VT division plans to spend nearly 100 days to push these 2000 items. The main selling time of VT is from April to July.

The author: as far as I know,

The characteristic is to adjust production in real time according to sales data in the supply chain.

For example, last year the Jobs T-shirt took only two weeks from design to production. If the plan is strong, will it lead to changes in the supply chain?

Age: from the perspective of supply chain, it will make it faster.

In fact, what the supply chain is most afraid of is that you have no plan. Our manufacturing capability in China has been very strong. Taking VT as an example, the factory hopes to schedule 3 months time: what the production plan is, how to stock up, how to arrange the style, etc.

In the past, we planned very little, and after that, we forced the supplier to turn over the bill.

This will lead to tight supply chains.

The factory has a good production plan. If you insert this money today, you will get involved in that project tomorrow, which will disrupt the factory's plan.

At that time, the total amount of Jobs T-shirt was about 300000, and the color was only two black and white.

But if there is no plan for the whole about 10000000, the bigger the factory will be, the more resistance it will be.

So the supply chain is not afraid of you.

This year, our planning will be stronger.

The author: this year's category planning is not the same as last year. Is it due to the corresponding adjustment of the rapid expansion last year or the previous year? {page_break}

Chen: that's true.

We are learning fast fashion.

A typical fashion of fast fashion is not to turn over the bill, but to break the goods and not to turn the bill, but to continue to enter the new model.

So this year, there are many product lines all over the world.

In fact, this is a more scientific approach.

For example, the sales volume of a product is very good during these 7 days. If the order is to be replenish, it will take at least two weeks, and it will also disrupt other production planning cycles.

The key is that after two weeks, the sales volume of the product is totally unpredictable. If it fails to sell well, it may become stock.

Therefore, our way this year is to continue to pay new bills.

In fact, for us, no plan is the easiest way to generate inventory.

The author: for the quantity of VT about 10000000 pieces a year, the plan is valuable, like other products, such as household goods, also adopt this kind of practice?

Chen: Yes.

The manufacturing industry is very demanding for planning.

It can be said that the planning of everyone in the past was very poor.

Small commodities may not be as large as factories that produce VT, but planning is more important to small factories.

If a particular order is cancelled or suddenly increased, it will have a great impact on the entire plant.

The author: there is no plan before now, there are plans to reflect what changes have been made in inventory.

Chen: from last year 9 and October to today, our inventory turnover rate should be increased by 2 to 3 times.

How much is the right amount of inventory? In fact, we couldn't answer that question last year.

I can answer this year. The storehouse told me that the limit should not be less than 24 million products.

After this adjustment, we know where the equilibrium of our inventory is and where the equilibrium point is.

From bar management to flat management

The author: at first, I think that customers want to be an Internet product brand, or a clothing brand.

But after the expansion of customers and everything, I felt that customers might want to be a channel brand.

Last year, customers suffered some inventory crises, and this year seems to be shrinking.

What do you think is the boundary of customers?

Chen: I can't answer this question today.

I can only say that everything is within my control today.

Under these indicators of cost and profitability, I will pay more attention to what we have done relatively mature.

I can only say that if one day there is a big breakthrough in the volume of customers, there may be changes.

The author has learned from last year's lessons. What kind of adjustment is there in this year?

Chen: we first divide the products into several layers, one is called the best seller, which is more standardized products, such as VT and shirts.

There is also a new product called "Chuang Xin", which has been introduced into the popular styles of classic styles, such as jeans.

The third level is breakthroughs, such as cosmetics.

We build the three tier architecture first, then analyze the database.

The first level is the best seller. It can use last year's data to assess and calculate the growth of new users this year.

For new products, we have to control it. This amount is much smaller than that of the best seller. We should carry out innovative experiments in the market, and then adjust the data according to the data.

The third breakthrough products only start with the order quantity. The so-called quantity is the minimum quantity allowed by the factory order.

Try to start with quantity.

The author: what is the difference between the product structure system and the previous product structure?

Chen: in the past, our practice was more like a planned economy.

For example, I said that this year the category should be made one hundred million, and the head of the Department will carry out the one hundred million task.

Then consider the number of SKU needed for the one hundred million, which requires ten thousand SKU and 10 thousand SKU.

It is wrong to engage in production in a planned economy.

The so-called planned economy is to give a task, then the task is decomposed, and then decomposed, in fact, regardless of the market decomposition.

The result may be 20 thousand things that should be done. In fact, only 200 things are done, and 200 things should be done. He may have done 2000 things.

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The author: according to this product division, what are the internal adjustments in the management structure?

Chen: at the end of August last year, all customers began to propose a division system, and 5 business units were set up in October last year.

Today, the company has 10 business units, 5 are large business units, 5 small business units, and business departments are divided by category.

The purpose of this division is very simple, in order to make the company's data pparent and more clear.

Our organizational structure before last August was divided into two parts: making products for products, doing marketing for marketing, and doing production.

In this way, the power and responsibility are not clear. For example, the product department criticize the marketing department for saying that the photo is too ugly. The marketing department takes pictures of the clothes and criticize the product department to say that the product is badly done.

This is what we did last year.

This year, the division opened up, and every division started from the planning product, and the product and marketing were operated by the division itself.

Author: does this not lead to competition among the departments?

Chen: Yes, it was very intense.

Data is very important at this time.

I said this dress looks good. You say my clothes are ugly. It's useless to quarrel for a whole day. It's very simple to let the data speak: new users, sales, gross margins, inventory turnover are all indicators.

How do I evaluate these data?

Chen: we have a department called data center.

The data center is an internal authority, which gives you a pcript.

The data center will collect data from various departments and publish these data every week.

The website operation Department distribus page resources based on these data.

We used to talk about data management, but later we found that you pushed a director to push this matter, but later we arranged a (vice president). His authority is enough.

At first, I had hoped that the data center could do something directly involved in the business. Later, when we considered the possibility of internal corruption, we completely neutralizes data. It had no business pressure. Its job was to produce objective and fair data.

Author: what is your attitude towards listing?

Chen: everyone has a bit of trouble, everyone will talk about it.

Later I realized that perhaps we did not realize that we had come to such a scale and influence today.

In the Internet B2C industry, customers across two areas, is a unique mode of e-commerce, in traditional industries, it is also special.

So these two expectations are on everyone.

I think you may wish that everyone can prove themselves by going public.

I also realize that we really need to pass a good result sheet to prove the correctness of the customer service model.

Return from idealism

"In spring, there is no fear."

Han Han's endorsement ads appeared on the road signs and subway in Beijing, just as all customers had just slowed down from all kinds of negative news, such as inventory pressure, capital chain crisis, senior executives turnover and so on.

Old age expressed its brand attitude in a very artistic way.

"I have cleanliness in brand copywriting."

In the past, the advertising originality of every guest should be passed by himself.

He also recalls the birth process of this idea in a poetic way.

According to the marketing rhythm of every guest, a large scale brand promotion is required every spring.

The first edition of the plan came before the old age.

Old age felt dissatisfied.

In March 28th, Chen and the senior management team went to Yunmeng Mountains to climb the mountain.

"When I woke up, I received the text message from the chief executive of the brand, one of which was spring and no fear.

When I saw this message, I just passed by the University of political science and law in Changping. I remember this was Haizi's place where he had been dead before. Haizi had a poem. His last sentence was very well written: "spring is my quality." that day was sunny and cloudless.

Old age is a romantic scholar.

In his office, two walls are occupied by books.

From history to humanity, to management.

He himself sold the shares of excellent network in 2006 and lived in seclusion for a year, writing a novel "go back".

He longed to express clearly his origin through this novel, but actually he wrote a novel to talk with his heart.

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His pioneering career began with his addiction to and pursuit of elite culture.

"Everyone wants to locate in the elite, but he can't find the sense of the old age until he is in the fashion of the masses."

This is the feeling of Xu Xiaohui, the founder of micro-blog.

Found the location, also found the tone of the brand, this is the reason why all customers quickly became famous through Han Han's endorsement.

However, in the process of rapid growth of readers, the sensibility of readers is also suffering.

In those days, when Chen founded all customers, he actually wanted to start a shirt selling company on the Internet, similar to the PPG on the Internet.

In 2010, it increased by 150% compared with 2009, while the growth rate in 2010 was 300%.

In the process of rapid growth, the category of all customers extends from shirts to women's clothing, home, department stores and so on.

Brilliant achievements make Chen and his team somewhat unable to find north, which is reflected in the disorder expansion and excessive expectations of performance.

With the report card of 2 billion yuan in 2010, in 2011, the performance target increased from 4 billion yuan to 6 billion yuan.

But the reality has poured cold water on the old age. When the old year saw the goods like mops, pots, pans and so on in the warehouse, when some of the warehousing logistics points were inefficient, the resources were closed.

After reflecting on the development of all customers, Chen began to rationally locate the boundaries of the customers, and do something for them.

As a result, the old age has lost the idealism of the readers, and is more clearly returning to the essence of business -- profit.

All customers decided to stop running some non mainstream products, abolish inefficient logistics sites, and replan business modules.

No longer go to the head to set targets, no longer high-profile release of data.

The ideal of the old age is being realized step by step through the practical path of operation.