N0. 1 brand market positioning
At the beginning of choosing a brand to join, you must first have a certain understanding of the clothing market in your city, especially the situation of your peers in the business circle around your store.
If the consumption level in your area can't be compared with that in economically developed areas, then you can't blindly launch high-priced clothes easily; If there are many casual wear brands around your shop, and the competition is particularly fierce, then you can stagger your business scope and objectives on women's or professional wear, and the effect will be better; Or local consumers prefer Shanghai-made women's clothing to Guangdong-made women's clothing, then you can give priority to Shanghai's franchise brands ... Make all these problems clear, decide the general positioning of franchise brands according to these conditions, and then find franchise brands with a clear aim, so as to get twice the result with half the effort and improve the success rate.
Before you decide which brand to join, you must be very clear about the answers to the following questions.
Want to join men's, women's or children's wear brands?
Local acceptable product price range
Want to join the brand style of casual wear, professional wear or women's wear?
Do local consumers have any special preferences when buying clothes?
How much are you going to invest?
At this time, your target range of brands has been narrowed to a certain extent, and several candidate brands may have been produced, and then you can filter according to the items mentioned later.
The popularity of the second product
Clothing is a special commodity, and its purchase depends entirely on how much consumers like it. Because of this, whether the brand clothing you want to join has a good reputation in the local area and how popular the product is are all factors that need to be investigated.
This can be examined from several aspects. First of all, how popular is this brand all over the country? What is the status in the minds of consumers? You can directly ask the brand company about its past sales data, or you can learn from the side, and learn about its sales from the shopping malls and agents who have operated the brand.
Secondly, according to the brand positioning and product style, what percentage of local people will be interested in buying this product? From this, you can judge whether the number of your target customers is enough.
Third, it depends on whether the pricing of its products is competitive among similar brands. Whether the design style conforms to the consumption habits and preferences of local consumers, and try to avoid the possibility of contradictions and conflicts.
It should be pointed out that on the one hand, the popularity of products is the result of the gradual precipitation of a brand over the years, on the other hand, it is closely related to the advertising support of the company. If a brand continues to advertise in the national media and maintains a certain media exposure, it must be directly proportional to its popularity.
No.3 reasonable profit rate
This is of course one of the most important principles. Does entering the function give you enough profit margin? It is not enough to look at superficial discounts and exchange rates. There are many hidden items that you may not see. Finally, let's make a rough calculation
The input you need may be:
Shop rent (it may be necessary to pay the rent for three months or even six months at a time)
Shop decoration expenses (one-time investment)
Commodity funds (for example, if you give a 4.5% discount, then you need to pay 45,000 yuan to buy goods with a retail price of 6,543,800 yuan).
Personnel salary
Monthly store daily expenses (water and electricity costs, etc.). )
Expected income:
According to the passenger flow in the business circle where the store is located and the sales of surrounding brands, the number of pieces sold every day is estimated, and the lowest and best schemes are formulated, so as to obtain the daily turnover range. Be sure to consider the factor of discount sales. Many times, goods are not sold at retail prices, and there will be many promotions and discounts.
Next, subtract the expected return from the investment and estimate what kind of space your profit range will be. What are the highest and lowest profit margins? About how long will it take to recover the investment? Which is better and which is worse, the high and low stand now.
Development of the Fourth Company
It is very important for you to understand the development of brand companies, including their history, present situation and future trends. As your supplier and business partner, your development is inseparable from the development of the company. We certainly hope to choose a company with good credit, maturity and healthy development to cooperate with.
If the conditions are limited, at least the following basic information of the company should be made clear:
How many years has it been since the first franchise store developed?
How many direct stores and franchisees are there at present? How many stores do you plan to expand to?
Is the company's reputation good?
How many brands does the company operate at the same time?
Does the company have branches or offices in other parts of the country besides the headquarters?
Does the company have its own production base?
Are the sales staff of the company you contacted professional enough?
Of course, what needs to be pointed out here is that mature and well-developed companies generally have higher conditions for choosing franchisees and higher joining fees, that is to say, the entry threshold is high and the support and services they can provide are relatively perfect, so your success guarantee is relatively high; However, small companies that have just started have no or few restrictions in this respect, but they have not yet been finalized, so they will encounter more problems and take greater risks. The choice between the two depends on your own investment budget and business experience.