Ningbo garment producers venture into e-business

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Category: Ningbo Business

Published: Thursday, 19 January 2012 18:09

"We started to do e-business half a year ago. At first, it was regarded as a way to reduce our stock, but it turned out to be the most competitive marketing model ", said Yu Yong at the launch ceremony of the E-commerce Council under Ningbo Garment Industry Association on January 1st.

Yu Yong is the general manager with Ningbo GXG Co.Ltd. It only takes four years for the terminal sales of its new brand - GXG to reach 3 billion last year. E-business contributes a lot to the legend of GXG.

GXG is one of the brands in Ningbo that are doing e-business skillfully. Famous businesses such as PEACEBIRD and Beyond are on the list of the 60 members revealed by the E-commerce Council under Ningbo Garment Industry Association.

PEACEBIRD is one of the earliest garment enterprises to do e-business. In early 2008, it expanded its distribution channels to the Internet after purchasing an e-business company. Now, the e-business sector is operated solely by its sub-company Mofafs Co.Ltd.

"Although we have more than 2,000 stores across the country, there are still markets we may leave out", said Weng Jianghong, general manager with Mofafs Co.Ltd. It is e-business that helps PEACEBIRD cover all the potential markets including Hong Kong and Taiwan. "It seems that we have a store in the air."

Mofafs Co.Ltd is the fastest growing business of the PEACEBIRD Group. Online sales reached 30 million RMB in 2010 and 230 million RMB in 2011, accounting for more than 4% in the Group's sales volume. Weng predicted that sales would be no less than 500 million this year.

Beyond Group is also a big winner in e-business. During the sales promotion at Taobao.com on November 11th last year, the sales exceeded 60 million RMB on that single day, ranking the first on that website and becoming the best record ever in the history of e-business by Chinese home textile industry.

"Last year, e-business contributed over 1 billion RMB to the sales volume while the year before, it was only 150 million RMB." Lin Yunhua, director with the non-traditional promotion office of Beyond Group, is quite confident about the large potentials of e-business.

"In fact, e-business brings more than visible sales to Ningbo garment industry; it also brings more customers and feedback which will facilitate the follow-up analysis about our markets and brand. In this way, it can be combined with the sale and precision marketing can be carried out", said Lin.

"E-business is the trend", Zhou Xueming, deputy director with Ningbo Economy & Information Committee, said in the interview. As the representative of traditional industries in the "4+4+4" system, garment and textile industry will innovate in the marketing model with the aid of e-business, which will play an important role in the industrial restructuring and upgrading.

Beyond, PEACEBIRD and GXG were awarded Best E-business Brand at the meeting yesterday while Youngor, Firs, Roman, Progen, Rouse, Mobi Garden, Seduno, Alphabet, Es Back, Chun Yazi, MQD and Snowwolf were awarded The Most Valuable E-business Brand