VMD, Tian Wen Hsiung Before UNIQLO: How To Put The Merchandise In Good Looks.

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Uchida Fumio, director of global VMD (Merchandising visualization)

UNIQLO is regarded as an example by many garment companies.

The first volume store opened was inspired by the Japanese retail industry.

Zhou Jianping, the founder, even made a public call on many occasions to fight with UNIQLO.

In UNIQLO stores, we often see that goods are neatly differentiated according to their gender and function. They offer a variety of color matching choices for the same style of clothing. The sizes of goods on the rack are complete and the layout of shops is clear at a glance.

Why are these commodities arranged in such a way? Is there any sales logic and consumer psychology behind them? Can the art of arrangement really increase sales volume or serve good consumers?

The 2017 battle of pformation: hosted by Wu Xiaobo channel in October 21st.

"Thousands of people's classes, the original UNIQLO global VMD (Merchandising visualization) director Uchida Fumio exposed these secrets.

And this is making UNIQLO a popular clothing company.

In UNIQLO, MD (commodity planning) occupies the core position of the company.

This is partly due to the work experience of Ryui Masa, the founder of the men's shirt brand MD.

"It can be said that UNIQLO itself is a MD company."

Uchida Fumio said at the scene.

In the 2017 financial year report just released by UNIQLO's parent company, its net profit increased by 148%, making great contribution to the overseas market led by greater China.

According to Mr. Tian, the main reason why UNIQLO has a good profit is that no matter how much the turnover has been achieved, the profit rate can be improved by relying on the discount business mode and the funds will be cut down successfully.

Last year, double 11, UNIQLO became the fastest breaking brand in the whole category, taking 2 minutes and 53 seconds.

Half day later, UNIQLO Tmall flagship store announced that all the products were short selling, becoming a legend of double 11 last year.

This year's double 11 has not arrived yet. UNIQLO Tmall flagship store has taken the lead in a "looting".

At 12 a.m. on October 12th, UNIQLO Tmall flagship store launched the 2017 U series of autumn and winter new products.

Within a few minutes, many popular single products were taken away.

Uchida Fumio said that the proportion of future electricity providers in UNIQLO will reach 30%, which will provide more convenience for consumers.

This will be a new retail mode that integrates online and offline, though challenging, but it has to be done.

In fact, UNIQLO China has had several new retail attempts.

Last year, double 11, UNIQLO launched the "online and offline parity" activities, as well as "online shopping, store self mention" services.

Many consumers who did not grab goods at Tmall flagship store were drained to the offline stores for shopping, and the users who picked up the stores themselves could pick up the goods from the selected stores directly after receiving the notice of the completion of the UNIQLO stock, thus eliminating the waiting time for the express delivery.

According to the world clothing and shoe net, in July this year, UNIQLO played a "smart store".

In the 100 stores across the country, the introduction of built-in induction system can interact with consumers "smart buyer" big screen.

The screen can greet customers in the range of 5 meters and invite consumers to experience the interactive screen.

The interactive screen includes four sections: "new product selection", "preferential purchase", "fashion wear" and "interactive play". Consumers can choose interaction and obtain information according to their own interests.

"UNIQLO wants to become a digital consumer retail companies."

After the completion of the new headquarters of UNIQLO in Tokyo in March this year, Ryui Masa, chairman and CEO of fast marketing group, has repeatedly said that UNIQLO will establish contacts with consumers through digitalization to better understand consumers.

At the same time, UNIQLO offline stores will also link with the system to create a more real-time and quick response mechanism to meet consumer demand.

The following is a speech by Uchida Fumio, director of VMD (Merchandising visualization) in UNIQLO.

I am Uchida Fumio. I have been director of VMD, and I have also been responsible for the integration of UNIQLO flagship store.

Providing the world with comfortable clothes for every day is the slogan of UNIQLO's annual 365 shouting.

When it comes to UNIQLO, the first feeling is that it is not very fashionable compared with H&M, ZARA and GAP.

In fact, this is mainly a question of strategic deployment of commodities.

For UNIQLO, we are clear about the way we should go, and we will not easily run out of this area for other reasons.

The whole direction of our thinking is from top to bottom, and we can keep the same state. Commodities are the most important part.

However, as fashion categories, fashion still needs some, so we will cross the world with well-known designers (for example, U Series).

But such an attempt will not change the original intention.

This is the advantage that UNIQLO is very good at. It promotes quality through the lowest price in the market, and hopes to pursue the best quality products.

Many people asked me how to do store display and how to display the merchandise well.

In fact, beauty is just instantaneous visual effect.

If goods are not improved, and what commodities are not explicitly pushed, there is no sense in how the idea of selling is not clear.

VMD runs through the entire link from design to sales.

First, it is clear what goods are to be sold and what products are fundamental; second, consider how to sell the goods and how to convey them to consumers; finally, how the stores are presented, which is also the main accusation of VMD.

And in the part of the electricity supplier, there is also need to participate in and make suggestions. There is no way to separate them online and offline.

It can be said that UNIQLO itself is a MD company.

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Secrets behind display

For a long time, as director of VMD, I worked with President Ryui and participated in all aspects of the process.

This is a principle that I stick to.

First of all, it is too late to take part in the stage of commodity planning rather than to take the whole inventory out.

In fact, all departments need to participate in it, so as to enhance the planning power.

I often assume in my mind how such products should be presented in the store, and will also propose proposals for some missing items.

UNIQLO has such an information sharing system. Every week, a store manager sends emails to the system to make requests for product improvement and demand.

Second, participate in selling methods and selling ideas.

First, in the UNIQLO system, we recognize that the burst money is usually defined as SA, SA color, "S" means special, and then we use economic ABC analysis method to make clear the key points to push forward what commodities are exactly, and then make collocation with linkage with promotion and promotional activities.

For example, in the next three weeks, if we focus on the coat that I wear, then I will strengthen this single product, put all the resources into it, and use this product in posters, blockbusters and shop windows.

Including e-commerce home page, will also synchronize this product.

In stores, these push styles must be placed in the most focal position, and penetrate to store clerks, do the corresponding training.

UNIQLO has always believed that selling money and selling money are not automatically sold. Instead, it is planned by the front department and pushed together by various departments to become a real explode, resulting in good sales results.

Finally, I am responsible for the VMD store plate.

Based on three aspects, the first is the standardization of display; the second is the instructions for quarterly and monthly bands, as well as the layout of goods in the store.

The third is different ways of thinking, including the differentiation of department stores, street shops and shopping centers.

That is to say, we have to make clear what products we sell, how to sell them, and how to present them in stores.

UNIQLO has been very focused on PDCA (the ideological basis and method basis of TQM), and all work ahead will make plans and assumptions.

Only after the meticulous plan has been refined, can it be implemented.

After trying, you will find out what needs to be corrected and then adjust.

This is part of the work of VMD, which integrates these elements with brand concepts, policies and strategies, and finally presents them in a visual way.

No matter in any industry, the presentation of the planning part is the core part.

Electricity supplier accounted for 30%

In the 2017 fiscal year, UNIQLO's total turnover amounted to 120 billion yuan, of which overseas UNIQLO sales accounted for 20% and 30% respectively.

There are a total of 645 stores in the Greater China region, including 550 in mainland China, creating 70% of the profits in the overseas sector, becoming the second largest market after Japan.

The expansion of UNIQLO stores in Greater China will continue, with plans to reach 1000 in 2021.

The plan is to strive for growth in the next five years with a turnover of 62 billion 500 million yuan and a profit of 12 billion 500 million yuan.

The integration of physical stores and e-commerce channels is expanding the customer layer and has made new progress.

That is to say, while ensuring the continuous development of the existing physical stores, we will continue to increase the investment and operation of the electronic business, and gradually realize the O2O, and plan to increase the proportion of the electricity supplier from the present 10% to the next 30%.

This is from the consumer side of thinking, in order to enable consumers to easily browse, easy to buy, and provide convenience.

In Japan, there are 830 stores in UNIQLO, where consumers can order goods online, pick up goods in UNIQLO stores, try on the reserved goods, and if the sizes are not suitable, they can be returned on the spot.

UNIQLO Japan will also provide service customization, that is to say, there are some special sizes that can be placed through the electricity supplier.

This is actually a great challenge, but UNIQLO wants to challenge, strengthen the synchronous push, and constantly optimize the service to customers.

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