Young people pursue "new sense" to bring new vitality to the fashion industry

Chloe Piggy Bag, more than 10,000, on the occasion of the fire, Xiao Wang was asked to buy from abroad. When I didn’t get it, I was looking forward to the stars and looking forward to the moon. After I got it, I was so careful that I couldn’t put it down. After half a year, I entered the “cold palace” and squeezed the sweater from the offwhtie that I bought a few months ago. And Stuart Weitzman's lace-up shoes.

Two days ago, "BOF McKinsey Global Fashion Format" released a survey report on young people's consumption habits. One of the data shows that compared with 15 years ago, the number of people buying clothes has increased by 60%, but each hand The "life" of clothes is only half of the past. For many young girls, if a piece of clothing passes through once or twice, it is “old”. The 1/7 British young girl even thinks that it is very shameless to be photographed twice to wear the same piece of clothing. thing.

The girls changed their minds too fast, but this is not entirely a bad thing.

Before you can't wait to give a shot to "consumerism," you should see that the young people's ultimate pursuit of "freshness" is bringing new vitality to the fashion industry.

(One)

When Xu Wei, who was studying abroad, successfully sold his own idle bags on eBay for the first time, domestic online shopping was on the rise. In the booming consumer market overseas, she felt the charm of commodity circulation in advance.

In 2016, Taobao Jingdong has grown into a giant. Ma Yun’s second-hand e-commerce “free fish” quickly captured 200 million users after two years. Xu Wei just left the innovation workshop and changed from an investor to become a second-hand The entrepreneur of the market.

A year later, Xu Wei's fashion idle trading platform, Plum, was officially launched, with a customer price of around 1,000 yuan.

Xu Wei is not a model for investing in excellence. For her, entrepreneurship is the “initial heart”, and investing is just a “path and means” to help understand the industry.

During her studies, she captured the idle market that was born out of excessive consumption of new products from the perspective of a user.

Of course, this time mainly happened overseas, there are eBay mentioned above online, and there is a very mature charity shop offline. The BBC has also produced a documentary about "The Secrets of Old Clothes" - 30,000 tons of old clothes are shipped from the British charity shop to Ghana every year, and local second-hand clothing wholesalers can earn up to £25,000 a day.

Finally, when the purchasing power and consumption desire of the Chinese people were gradually irrigated into towering trees, a new shade of land was born in the country. Taobao's product operation Wei Weiye found Alibaba CEO Zhang Yong, applied for internal entrepreneurship. In June 2014, the original “Taobao second-hand” was renamed. Wei Weiye had a new title: Founder and CEO of Leisure Fish. In November 2015, 58 launched a second-hand trading platform transfer, followed by Tencent's capital injection, with a valuation of over $1 billion. In the hands of people, there is nowhere to put old things, except for garbage, and they have a new place to go - they take out their mobile phones, take photos, go on "hanging" idle fish, and wait for new owners to visit.

"The emergence of a problem, there can be a lot of solutions." In Xu Wei's view, the idle fish is followed by eBay's path, to do the information platform defined in the usual sense, matching transactions. “In the early days, there was not much service provider for idle goods in the entire Chinese market. In this case, the light model is easy to take up, and there is nothing wrong with it.” But when people have higher demand?

Although the fish has never published the relevant data on the unit price of the passengers, Xu Wei gave a self-observation: buy the second-hand fish on the fish, everyone is running cheap, only cheaper and cheaper, the difference of 5 dollars can be Pulling for a long time. The unit price of the commodity with the highest efficiency on the idle fish is 50 yuan, that is to say, the circulation of 50 yuan on the idle fish is very smooth. But once you run up, up to 100 yuan - 150 yuan, this is actually not a very high customer price range, the flow of goods is not so smooth.

"The higher the value of the goods, the higher the complexity of the transaction, the platform needs to do a series of standardized and value-added processing of the sales of goods, so that the trading experience is greatly improved." Obviously, for second-hand luxury For Plum, which is the main category, the pure information publishing platform is no longer applicable.

"The situation has become complicated, and the service has to be done." So, in the middle of the C2C, Plum intervenes in the power of the platform to do targeted services: for individual sellers, provide one-stop consignment service, sellers place orders for goods The platform is responsible for receiving goods - identification - photographing - on-line sales - packaging delivery - after-sales; for buyers, it provides the same standardized second-hand purchase experience as buying new products. “The cost of buying a second-hand purchase is much higher than buying a new one. You have to minimize the buyer’s decision-making cost. How do you do it? Let them buy second-hand as you would buy a new one, which will level out.”

(two)

Plum is not considered an old expert in second-hand luxury e-commerce transactions. As a rookie, the growth is very bright. According to official data, Plum currently accumulates millions of users, and the monthly growth rate of transactions is maintained at 100%. The monthly GMV is over 10 million.

Nowadays, online traffic costs are getting higher and higher, and getting customers is a top priority. Xu Wei said that the company has not spent a lot of money on promotion, and more than 80% is natural traffic.

How to do it?

Plum has not launched an app as the first choice for the company's product form.

Before taking the first step of the snare user, Xu Wei first painted a clearer portrait to Plum's target users: young consumers who like to buy and buy, have a recognition of the brand, and are relatively diversified in consumption. Mainly for female users.

So where do you find these users?

One of the destinations is WeChat. “Consumer-related discussions and even final decisions can happen on the WeChat platform. Plus that time point (early 16th year), I think there is still a chance to be a WeChat public account.” Then Plum first launched his own WeChat public. No., and spread diffusion in the WeChat group and friends circle, trying to establish a certain sense of trust with users in a short period of time, and some users are willing to try to send their own thousands of bags. At the same time, in the content platform of Douban, Zhihu, Weibo and other social attributes to produce high-quality content, in order to further absorb users.

Through the operation of the WeChat public account and Douban account content, Plum absorbed its own seed users – a group of young consumers who love diversified consumption and are aware of the brand. They quickly became the "chips" that Plum used to talk with KOLs in the hands of the brand. At the beginning of the brand's establishment, it was now a routine operation to take the money to "feed" a batch of tonal size V, but Plum said It is the replacement cooperation: "Based on our precise positioning, we use such a customer group to exchange and cooperate with the other users' groups. Because of the previous accumulation, what kind of bloggers should be found, what kind of content should be output? And how to guide us to our own traffic platform, there is a spectrum in my heart.

In this way, Plum's monthly sales increased from a hundred thousand to a few million. "In this process, we have not used the promotion fee, it should be said that it is a state of zero cost acquisition (user)." Xu Wei stressed.

The third step in growth is social fission.

It stands to reason that you can start social fission after you have a seed user. Why didn't you start earlier? In this regard, Xu Wei expressed concern that “the users who were caught too early in the way of social fission are not accurate enough”: “Blind to do fission, all users may come in. They may not accept the brand and may not be able to bear it. The unit price of about 1,000 yuan does not even consume the habit of second-hand. After the first two steps, I already have a large number of user groups, and this group of users is an accurate user who can generate transaction conversions. Going up and designing fission things will be much better."

How to design it? Unlike most knowledge-based products that grow by social fission, Plum is an entity-based commodity, and fashionable social networking, low-cost new means, and Plum's second-hand goods are completely unsupportable, most of the time A sku only corresponds to one item, and the unit price is still high. So they evolved and made a lottery. Users deliver social efforts in exchange for a chance to draw. Today, this set of mechanisms has become a regular activity for Plum.

It can be said that for a long time, Plum's main transactions are from the WeChat platform, which is done by the small program + public number, because the cost of acquiring users is relatively lower. However, the reliance on WeChat also imposes restrictions. For example, when you try to do content on a platform like Vibrato, it is basically ineffective to divert to the public number or small program.

"You need another reservoir." Thus, in August 2017, Plum finally launched his own app. "Some things are not a question of not doing it, but a question of what time to start. Look, guiding users from small programs to apps is the main work at this stage, but in the future, I still hope that they can be integrated."

A real problem is that both WeChat and the app are subject to two rules. "When we go to do app promotion, we have to follow Apple's policy. On the other hand, when you look at WeChat in the process of iterating the subscription number, many adjustments have a great impact on the enterprise's traffic acquisition. Actually, no. Adapting to change, it's best to have your own private traffic and get rid of the impact of these platforms. So, you need to constantly create your user backups. Ideally, all of your users will be able to pass one. Personal WeChat to do maintenance."

Of course, for Plum, it's actually the initial stage of building a backup.

In addition to the user volume and the objective growth of GMV, one of the data that Plum has mentioned is the rate of sales, claiming that the "90-day trading rate is above 80%." On the one hand, this is due to the continuous iteration of the entire new background process, the efficiency is improved, and on the other hand, it has a certain relationship with the pricing mechanism.

As a bilateral business, the platform's pricing mechanism is an important part of balancing the interests of both sellers and buyers to ensure user experience. At present, there are two methods of platform pricing and personal pricing on the platform. When platform pricing is selected, the platform is based on the commodity price of the commodity. The platform draws 15% commission on the basis of this price. If you choose personal pricing, the platform selects personal pricing. 30% of the amount is used as a commission.

Relatively speaking, price-sensitive sellers tend to choose independent pricing, and the platform does not intervene, but will provide a price adjustment tool. When the seller's independent pricing does not attract suitable buyers, the pricing power will be transferred to the platform again. Platform pricing is actually a horse racing mechanism with personal pricing. Why do platform pricing? "Individual sellers are not the most professional sellers. He doesn't know what price his skirt bag can sell at the fastest price and get the most reasonable income on this basis. And we have a machine algorithm. To do this, from the current operational results, the platform pricing (the goods) must be sold faster than the individual pricing."

(three)

In 2018, it is not a good year in the venture capital industry. Second-hand fashion e-commerce like Plum does not have much money. In addition to Plum's completion of tens of millions of dollars in Series B financing, projects such as "Heart", "Fat Tiger" and "Two Only" have also successively made new moves in capital.

Some people refer to 2018 as the outbreak of Chinese second-hand fashion e-commerce. However, compared with the maturity of the US and Japanese markets, China's second-hand fashion consumer market is still in its infancy.

Once the local "pioneer" temple library, but not relying on the second-hand business listed ringing, as early as 2011, the focus of the e-commerce business has shifted to the consumption of new luxury goods, in 2015, second-hand business It accounts for less than 5%.

The premise of the second-hand fashion market boom is naturally the excessive consumption of fashionable new products, and the temple library has caught up early.

Relatively speaking, luxury goods, as a category of higher value, is the most versatile category. After experiencing the extreme winter of the luxury goods industry, China's consumption power has become the backbone of the luxury consumer market. (In 2016, the global luxury goods market grew by 3.32% overall, and China's luxury goods sales accounted for 21% of the global total. Second only to the United States in the world, it is only a matter of recent years. More importantly, young people play an important role in it. Therefore, in the current domestic luxury consumption has reached a certain amount of volume, we may be more optimistic about the growth of this emerging field.

In 2011, the United States gave birth to two fashionable second-hand e-commerce trading platforms with clothing and handbags as the main categories. One is called Poshmark and the other is called Real Real. The former completed $87.5 million in Series D financing in November 2017. The current valuation is over $600 million. The latter completed $115 million in Series G financing last year. It is reported that 2017 revenue exceeded $500 million.

According to a report released by the RealReal in 2017, Generation Z (post-95s) is the fastest-growing group of consumers on RealReal, growing at a rate 35% higher than Millennials.

This growth rate has even excited many luxury brands. French luxury goods giant LVMH and Keing Group are negotiating more cooperation with theRealReal.

From the perspective of industry trends, the new priority of the second-hand fashion e-commerce is to open the store.

After trying the success of the flash shop, theRealReal announced in 2017 that it will open a series of offline stores, the first stop in New York. In the same year, ThredUP, another second-hand clothing consignment platform, opened its first physical store in San Marcos, Texas.

The domestic second-hand luxury e-commerce fat tiger opened its first offline store as early as 2016. In 2017, it began to store in the second, third and fourth-tier cities, providing users with identification, maintenance and maintenance. , recycling consignment, ordering goods, rental auctions and other services, it is said that at present, offline stores have reached 50. Plum also just opened his first physical store in Sanli.

The life of a commodity in the hands of a single consumer is compressed by the desire to seek "newness." But the new here is not necessarily the pursuit of new products, but the pursuit of “freshness”, which stimulates the accelerated circulation of goods and effectively extends the life cycle of a single commodity, except for second-hand, lease, and pre-scenarios. Businesses such as try-on are also growing in this trend.