Jingdong Apparel Growth Stagnation, Jingdong Next Step How To Do?

According to the world clothing shoes and hats net, November 14, 2017: Despite the Jingdong's reputation as "

"Sales increased by 50% to RMB 127 billion 100 million yuan (hereinafter referred to as" Yuan "), but the group's fastest growing business is suffering serious setbacks.

Liu Qiangdong, founder, chairman and CEO, said at a meeting on Monday's earnings conference, Jingdong's

Sales growth almost stopped in the current quarter.

There is no doubt that this result is the withdrawal of many large apparel retailers from the Jingdong on the eve of the "double 11".

At the earnings conference, the Goldman Sachs Group Inc. Goldman Sachs analyst Ronald Keung said that when the Jingdong's clothing business was affected by the exclusive distribution platform strategy, Liu Qiangdong said that the growth of the clothing business was almost stagnant, and that the hundreds of local brands withdrawing from Jingdong were weak, while the international brands did not quit.

No Agency analyst Tang Xiaotang said Liu Qiangdong's "local brand strength is weak" remarks are not true.

This year, "double 11" quit many brands of Jingdong are leading enterprises in China's clothing industry. Among them, there are hundreds of billions of SH:600398 (Semir) and Semir clothing (SZ:002563), and last year sales are close to billions of Pacific bird's clothing (SH:603877). After the withdrawal of Jingdong, Taiping bird clothing announced its intention to cooperate with Alibaba Group Holding Ltd. (NYSE:BABA), Alibaba's Tmall.com Tmall platform, and opened up a double billion plan with ALI, which aims to achieve 100 billion of online retail sales by the end of 2020.

Before the local brands withdrew from the Jingdong, Asia's biggest clothing brand Uniqlo UNIQLO's short sale in Jingdong was a major sign of Jingdong's inability to overstep Alibaba in apparel retailing.

Tang Xiaotang said that Liu Qiangdong's remarks can not conceal the embarrassment of Jingdong in the field of clothing. Although the scale of Chinese clothing brands is generally smaller than that of international brands, local brands are generally better than international brands in terms of the proportion of electricity suppliers. Besides, most of the international brands have their own business channel, and Jingdong should strive for local brands. "Liu Qiangdong's remarks and actions will only accelerate the loss of local clothing brand support."

JD.com Inc. (NASDAQ:JD), chief financial officer of Jingdong, Sidney Huang Huang Xuande, added that the growth of Jingdong's clothing business may stay for 2 or 3 quarters, but believes that it will return to growth in the future. He said that in the past few quarters, Jingdong has the fastest growth in the category of female users, indicating that Jingdong provides the female users with extraordinary value.

Jingdong clothing growth stagnation! By the local brand collectively pulled away, GMV growth fell to nearly 30%

In response to the "two pick one" situation, Liu Qiangdong in the "double 11" also through today's headline account, said it can only support the international brand, and drying out Adidas, Adidas and other three sports brand "double 11" sales results, but the "double 11" sales of the most powerful sportswear brand is Nike Nike, the US brand in Tmall.com Tmall's more than 1 billion yuan.

In addition, in the three quarter earnings report, Jingdong did not disclose the key indicator of GMV growth. Its rival Alibaba announced that it was not reported in the quarterly report that GMV was interpreted as a signal of slowing down of Alibaba GMV, while Alibaba continued to disclose GMV data in the last two quarters. In the first, second quarter, Tmall's growth rate was 49%.

For non disclosure of GMV data, Huang Xuande explained at the earnings conference that since the fourth quarter of 2015, the company has disclosed two sets of GMV data, and the three quarter began to try to simplify the disclosure.

Huang Xuande said that because of the wider scope of the industry definition and many unfinished orders, the company will not further analyze the data and provide only the underlying paction GMV analysis.

He also said that in the three quarter, Jingdong's GMV growth rate was the low end of 30+%, which was mainly affected by the acquisition of No. 1 store and the withdrawal of clothing brands. Excluding the purchase of shop No. 1, the growth rate of GMV was about 35%.

As of the three quarter of September, Jingdong earned 83 billion 746 million 300 thousand yuan, or about 12 billion 600 million dollars, an increase of 39.2% over the same period last year. During the period, the group's net profit of continuing operations was 1 billion 14 million 300 thousand yuan, or about 152 million dollars, a loss of 467 million 400 thousand yuan in the same period last year.

Jingdong's share price surged nearly 7% on Monday before and after the three quarter profit, and the quarterly profit was high. However, it closed up 41.34 dollars, or 3.45%.

Jingdong expects a net loss of 213 million yuan in the three quarter.

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