the author: trish
on May 16, the nyse has welcomed a group of young entrepreneurs in China, the big boys, with an average age of only 30 s do business is to serve women beautiful cosmetics electricity “gather beauty is superior”, this year, 32, founder and CEO ms Chen, and by far the youngest CEO to listed companies in China.
compared to before the listed company, gather received more attention in New York in the United States: the first is beautiful beautiful results, the company has eight consecutive profitable quarters, the losses in most of the IPO China does not see more in the company; The second is the whole concept of electricity from product focus will start, gather the beautiful performance also was seen as the next jingdong, ali listed.
get the beautiful performance did not disappoint, listed at the same time improve the number of issued shares and ipo price the day before, $22 price higher than the $19.5 – $21.5 price range limit, financing scale by $40 million. CNBC on evaluation “we didn’t see for a long time.” Opening price of $27.25, a rise of 23.86% in the price, to continue haze of capital markets play a boost.
in New York in May still rain or shine, 16, high winds up early in the morning, the nyse hang gather beauty is superior white advertisements attract many visitors attention. Less than eight points, gather the angels xiao-ping xu and then join the investor wang qiang will appear at the gate of the nyse, and field a group photo in front of the poly beauty advertising picture.
then gathered the top arrive, such as co-founder Liu Huipu Dai Yu sen, senior vice President, and left one of the founders of the beautiful liu, they see xiao-ping xu and wang qiang, want to come forward to request for my photo “partner in China” as the theme. Sequoia partner more, huaxing capital CEO bao fan also arrive, everyone clap a shoulder way each other “congratulations”.
black shirt, black suit and a white tie, ms Chen triggered a new round of photos of boom. Nyse atmosphere at the gate of joy, so that the staff have to channel arrangement for many times, can let everyone well big photo. Ms Chen always keep a smile, and thank you everyone who came to congratulate expression, and sincerely say “glad you could come.
weibo invited stars attending the IPO opened the precedent, gather marketing of beauty and the same stars, ms Chen invited poly beauty spokesperson han geng and weichen edge. Both of the same, dressed in a black suit, when I first got to live a little shy, was soon on the euler photographed together, Chen live girls immediately give up reserve rushed to come forward to take picture with you handsome boy.
some people are busy, some people are busy. Because only you and gather the affinity Liu Huipu Marco (river), although had experienced two listed companies, but are not even stay at home to the scene, has always been very regret. When that day comes, although Liu Huipu wrestling remained humor as the mainstream, but in fact “a little want to cry.
after they take the photo to the nyse. Compared to the nasdaq, the nyse are more traditional atmosphere, although trading has been electronically, but deliberately keep trading floor on the ground floor, as in the financial news often play, a lot of screens and busy traders, even some of the noise and noise, the feeling of capital.
ms Chen and Dai Yu’s founder and the executive board on the second floor of the nyse, and the investors xiao-ping xu came to power at the same time, as well as an artist han geng and weichen. 9 a.m., Chen’s opening bell button, thick short “dangdang when” sound from a piece of cheers and applause, and everyone are written with joy on his face.
the time waiting for the opening, the people crowded before hanging up the big screen, the above figures in buying $27, selling $28 for a long time, the broker loudly in the inquiry, although have been slow to clinch a deal to bring some tension, but already 20% gain for the scene atmosphere is good. About 10 o ‘clock beauty finally opened at $27.25, the scene is a joy.
beauty to a good start, officially joined the nyse, capital market valuation of $3.8 billion.
“I speak for yourself”
in han geng and weichen eyes, they are not as a “star” to pay tribute, but as a “friend” to share the joy. Is the boss at work, in private, is a friend, they call ms Chen “gull handsome”. Ms Chen really ever think on a path to star on this issue? Han geng and weichen quickly shook his head, “that’s just one of his strategy.”
han geng and ms Chen through friends know, when the most popular become beautiful face. And the advertisement is the most special place is that ms Chen to pack themselves into a spokesperson, hit European marketing the earliest version of “I speak of myself. “To tell the truth I was very surprised,” han geng smiled and said, “but he already has a detailed plan.”
this is the important part of “the dream silk counter attack” strategy, poly beauty in pre-ipo financing $12 million in total, is especially young team, compared to jingdong online is “is too poor, so he wants to affect the market through marketing and communication, of the object to his train of thought: using a topic to detonate a pickup ponints.
because belong to the group after 80, Chen’s thinking is relatively more ground. In the AD “I speak for themselves” form below the belt after the proposition that the object of the communication effect, ms Chen simply write a song, the AD for the same has been insisted on weichen singing career.
weichen ms Chen was in the studio for the first time, his impression to ms Chen is speaking fast, clear thinking, a large amount of information to the need to listen carefully. “The handsome don’t like a businessman.” Weichen some surprise Chen to know about the entertainment market in Europe, “he is very familiar to many programs, which have what game when sowing, choose what kind of star, when advertising played like the palm of his hand.”
ms Chen himself believes that beauty is in the industry a low profile, but the high-profile company in front of consumers. In the past few years, the few industry media interview, Chen instead of around 2012 frequently in “only you” and hunan satellite TV variety shows, such as appearance. “Ratings on my principle is only 1 show, can for get consumers of beauty I see.” Ms Chen says.
this strategy is very successful, and ms Chen has a large number of fans, beauty and ms Chen is tied closely, both fair and activities, as long as the European presence there will be a large number of fans greeted, Chen and active foreign spread beauty. Although ms Chen have the star aura, but he is more proud, compared to other e-commerce sites, gather the advertising is more valuable, not only increase sales quickly, also brought a large number of loyal users.
this is, of course, before 2013, in March 2013, the sales logistics distribution of beauty and IT systems, not able to withstand the beauty the huge bonuses on marketing, unable to place an order, no distribution for consumers in weibo bristle, ms Chen’s public image from sea turtles, success, handsome inspirational youth into a charlatan people overstaffed.
by marketing instant influence throughout the country and smug ms Chen, because most trusted business partner not doing the back-end construction, from the cloud bottom out directly, this is a great setback for him.
Liu Huipu after an interview with “entrepreneurs” recalled when one detail: he came to the company, a weekend was quiet. He pushed the office door, Chen Chen’s is turn your back on him still staring out the window, he thought that Chen call as usual with headphones, don’t say “hello” and went away. After a while pushed the door open and found that ms Chen still maintain the original pose, he estimates that the phone didn’t finished. When come back, that picture is fixed.
Liu Huipu knocking at the door asked: “are you on the phone?” Ms Chen said: “no.” Liu asked: “then why are you still sitting there, what’s wrong with you?” Ms Chen said: “I just feel very tired, want to what to do next.”
han geng can become the friend with ms Chen in private, the main reason is that both are Aquarius, there are a lot of similar place, one of which is can resist the pressure, and often is his own internal stress, such as a person cry at home, and so on.
at the time of later weichen contact with ms Chen, ms Chen already transform ideas: although want to marketing, but couldn’t exposure before too much, otherwise will be disgusted by the user.
so, starting in 2013, Chen’s more low-key, almost does not participate in any program also does not accept any interviews, focus on internal adjustment, digestion because of the effects of promotion broke in, at the same time to amazon logistics, China’s top do visit only items will keep on learning experience of supply chain and so on.
“gull handsome become very busy.” Han geng, said he had heard that Chen’s work overtime every day, very hard. This pressure not only on ms Chen, Liu Huipu also empathy, he thinks himself in beauty work over the past few years, at least for years will accelerate aging: didn’t go home at 3 in the morning every day, 10 o ‘clock the next day to the company again, weekend no rest, relieve anxiety when drinking, instead more bad to the body.
Chen’s pressure is bigger. In addition to the firm value he xiao-ping xu, it is difficult to have the capital to trust the team, the reason is that too young. To know that even well-known entrepreneurs such as Mr Wang, can avoid the failure of several times, and ms Chen is “doing nothing” as they look.
“a group of sea turtles, no mature experience, where to understand the Chinese market, will only show.” Chen had heard many similar evaluation, he is ready to fail, the idea of the outside of the comments will be “the stupid * entrepreneurs”.
but ms Chen is a “will not tolerate failure,” as young people a lot of habits, he finally the youngest CEO role in China’s listed companies, a high-profile land capital market. Behind him is the eight quarterly earnings results, the electricity industry in China is almost unimaginable, the feeling is like the original Vipshop controversy: how is it possible?
success comes down to ms Chen will gather beauty “executive force” and “details”, “in fact you see group when there are so many, some resources have some money, business model and basic are all the same, why some live some collapse, is execution and detail, successful tend to be in these areas, by business model few can win.”
gather details of beauty embodied in where? Ms Chen several examples, such as the early don’t pursue the SKU number, but a story written good copy for each product, in addition to use very nice pictures, on the packaging with pink exquisite gift box win a girl’s heart, by buying two bags of mail strategy, hope to user about friends to buy, and baidu, taobao data is the basis of the analysis what good sell.
on strategy, beauty is considering + mall sales promotion mode. Although beauty in entrepreneurial perspective of beauty makeup group, but the middle tried skewed to the mall, but it is to see the success of the product will be, Chen believes the sale on the road, he decided to further and do better sale and characteristic.
in the mall, the main cooperation with third party vendors to sell, the goods do not need to put in storage, 2013 gathered a total of 9100 games and the third party cooperation planning promotion activities. But after the popularity and reputation are formed, the start into the field of its own brand, this to gather the contributed quite a high gross margin.
these strategies are effective? Data is the best answer. Digital display results revealed: the revenue of $2013 in 816 million, up 150%; 2013 active users, 10.53 million, an increase of 118%; 2013 old customer accounts for the proportion of active users was 64%, repeat purchase rate is 93%; The total order for 35.96 million, 2013, an increase of 129%.
for electricity industry, is the most important three indicators of revenues, costs and expenses. , according to the world electronic retailing organize data gathered on the platform of each order contribution margin of 33.6 yuan, dangdang is only 17.3 yuan, which only they would reach $51. Due to the standardization of cosmetics small easy distribution, its logistics cost every single only 11.8 yuan, Vipshop and dangdang is 11.4 yuan and 24.7 yuan respectively.
the world version analysis, poly beauty drainage efficiency is very high, import the user’s activity is good too. At the same time, gather the beautiful profit space is very large, order service cost is low. The former guarantee sustained high growth of beauty, the latter let us profitable.
of course beauty still has a very serious problem, is the whole cosmetics industry credibility is very low, from submitted together since the IPO doubts didn’t break. Although beauty has taken many measures, such as authorized, proprietary as far as possible from the upstream supply chain, a genuine coalition, and so on to solve this problem, but there are still lack of user trust.
this is listed on the same day, ms Chen mentioned in an interview with a variety of active stressed: the main effect to raise money through investment, m&a, and authorization to get consumers trust the brand. In fact this is a has been the product will be verified only: even if listed bloodshed will set up a threshold, brand is clearly more willing to work with the listed company, so the only product will snowball.