60 employees in glory, 1,000 stores in two years, and annual income of 40 billion

Since last year, the most amazing thing in the retail industry is that there is a brand that quietly opened more than 1,000 physical stores, with a revenue of 40 billion a year.

Even more amazing is that only 60 employees of the brand are responsible for opening the store.

Wal-Mart and RT-Mart are instantly seconds…

What kind of god-like shop is this?

First, rise against the trend, open a thousand stores, annual 40 billion

On October 23, the big data company Sino, released a statistical report, in the first three quarters of this year, the glory of the Internet mobile phone offline sales.

It sold 22.77 million mobile phones online in 9 months, with a revenue of 33.9 billion, more than the second and third.

It should be noted that the total domestic mobile phone market dropped by 7.7% this year. Meizu, Samsung and Jinli’s sales dropped by 53%, 39% and 82%, and even Apple fell 16%.

And glory, but in the cold winter against the trend, the increase of 19% – this can not be said to be a miracle.

In the rise of glory against the trend, physical stores contributed more than 70%.

It started to open the line from 2016, and in July this year, it created a record of 123 stores opened in a month.

On September 30, its number of stores exceeded 1,000.

In just two years, how does glory kill a bloody road in the cold winter?

Second, the light asset model, 60 employees opened 1,000 stores

Zhao Ming, the president of glory, once said that for the winter of mobile phones, glory has prepared three layers of cotton jackets: first by quality and service; second by partners; third, overseas.

The implication is that in addition to doing a good job of glory, the most important thing in the domestic market is to work with partners to open the offline mad mode.

In the traditional mobile phone manufacturers, opening a store is to pull investment, invest in advertising, rent a facade, recruit employees, high cost, high risk, the channel cost of layer-by-layer accumulation finally accumulates in the product price, and is passed on to the customer.

In the opposite direction, glory is played with a set of light assets and partner-passing modes.

Light assets are designed to reduce construction costs and speed up shop opening by collaborating with partners.

The core of the light asset strategy is “professional people do professional things.” Glory handed over the construction of channels and stores to experienced, stable and reliable partners, and focused on the development and production of smartphones.

Therefore, glory completed the laying of 1,000 stores nationwide in only 60 people. Many provinces and cities did not even have a glory line.

In addition, the light asset model has a miraculous effect, which solves the contradiction between the self-operated storefront and the channel storefront. Because none of the 1,000 stores are glory and self-employed, it is only responsible for managing and guiding the intensity of opening and opening stores.

This is a good protection of the interests of partners, it is no wonder that some people like this to evaluate the glory of the store model: “have friends, have a future.”

Third, the brand’s success – consumer-centric

Although there are only four words in the offline channel, there are many ways to play it, and it constantly changes with the changes in urban conditions, economic environment, retail formats, and consumption habits.

For a while, Glory learned a trick to open a flash shop to help spread brand culture and lifestyle, and to acquire new fans and users.

At the opening of the 100th store, Glory also deliberately built it into a tide playhouse, positioning it as “a place for young people to relax, experience, and feel relaxed without pressure. A network of red and trendy people scrambled. The place to punch in.”

The sales of Chaochao Pavilion is not the most concerned about glory. It is not called “shop” but “shop”, which is to weaken the property of selling mobile phones and become an “electronic scenic spot”.

So we see that glory opens a physical store and doesn’t stick to the rules, but where the young people are, where does it open the store; what is popular among young people, what does it turn into a store; what young people need, it is What is available in the store.

Everything is consumer-centric, and this is the experience of glory opening a store, and the success of its brand.

Fourth, the new retail is to retain customers in the store

The mobile phone was originally a low-frequency consumption scene. It will be changed once in a year or two. How can we bring customers to the store?

The glory of the trick is to create a young user in the store to kill time, increase the user’s stay time, to make up for the limited sales space.

Its understanding of new retail is offline scene + interactive experience.

Its flash shop, its trendy playhouse is an interactive form that young people like, extending the time that users stay in the store as much as possible.

In this way, glory has not only added new users offline, but also increased the sticky time of their reach.

This is how it has created 40 billion revenues in the past 12 months.

In December 2017, Zhao Ming, President of Glory, announced an ambitious plan: glory to become the world’s top three mobile phone brands in the first five or five years in the world within three years.

To achieve this goal, it is necessary to land in the third- and fourth-tier cities to achieve consumption upgrades in the sinking market.

There is still a large open space in front of it. According to the current style of glory, the goal is achieved, and even the parent company Huawei is infinitely possible.