Well -known fashion originator may be sold by the parent company

Source: Lian Shang.com

Produce/Lianlian.com

Writing/Li Se

The Martin boots, which consumers call the “beautiful torture”, may be sold by the parent company.

In the social grass media Xiahongshu, many users shared their “blood festival” experience wearing Dr. Martens. Compared with the comfort of “sports”, “Berken” and “hole shoes”, Dr. Martens’s hardness made a lot of hardness a lotCustomers abandoned “Tame Dr. Martens” and announced their retreat.

More importantly, Dr. Martens’s shareholders must also “retreat”.

01

The originator of Martin boots will be sold?

A few days ago, the British shoes brand Dr. Martens reported that it would be sold.

According to fashion business, Dr. Martens’s shareholder and investment company Marathon Partners Equity Management has sent a letter to Dr. Martens’s board of directors, so that the consultant will immediately start a strategic review to prepare for sale.

The shareholder said that allowing Dr. Martens to maintain listing no longer in line with the best interests of the shareholders, and was acquired by large clothing groups to integrate and integrate or be the best choice for maximizing the value of equity.It is reported that Marathon Partners Equity Management owns more than 5 million ordinary shares of the company, and is currently not listed by the top ten shareholders with the largest shareholding.

The reason why a group of shareholders be patiently lost is the performance of Dr. Martens and the stock price of the downturn.

According to the latest financial report of Dr. Martens, brand sales fell 21%to 267 million pounds in the third quarter of fiscal year in fiscal year in 2024.%.In the first three quarters of fiscal year in fiscal year, revenue fell 12%.

In terms of regional perspective, the African market revenue fell 2%in the first three quarters, the US market revenue fell 24%, and the Asia -Pacific market revenue fell 9%.%And 12%.Dr. Martens is expected to decline by nearly 10%in fiscal year.

At the same time, the market value of Dr. Martens is also shrinking, which may also make investors unable to sit.

Since its listing on the London Stock Exchange in 2021, Dr. Martens’s stock price has fallen below £ 0.74 4.25 on the first day of its listing, and has continued to remain around £ 1 in the past year, with a higher market value of 83%.

The reason for urging selling is also very simple and rude -at this time, you can sell a good price,“Although Dr. Martens has a market value of only $ 1.1 billion, its powerful brand may attract potential buyers. They may be willing to spend at least $ 2 billion to acquire Dr. Martens.”

In fact, this is not the first time Dr. Martens has suffered a downturn.

In 2003, Dr. Martens was on the verge of bankruptcy. In order to overcome the crisis, Dr. Martens shifted the manufacturing business to China, built factories in China, and reduced more than 1,000 jobs in the UK.

In 2014, Permira 3.80 million euros acquired Dr. Martens from the GRIGGS family. After that, Permira enhanced its global business and its investment expanded e -commerce business. This also made Dr. Martens achieve sales growth at the beginning of the epidemic.

According to the financial report at the time, during the year of March 31, 2020, Dr. Martens’ sales increased by 48%to 672.2 million pounds, and operating profit increased by 110%to 142.5 million pounds.The sales of physical stores have increased by 51%to 301.6 million pounds, and the sales of wholesale business increased by 45%to 370.6 million pounds.

In 2021, Dr. Martens was listed on the London Stock Exchange. At that time, it was valued at about 3.7 billion pounds. It was one of the largest IPO projects in the UK after the epidemic.

However, three years after listing, Dr. Martens has reported news that it will be sold. As of now, Dr. Martens has not responded to this, but the decline in sales and influence is indeed a problem facing Dr. Martens.

02

There are only 9 stores in the Chinese market

Although the manufacturing business was transferred to the Chinese market in 2003, Dr. Martens officially entered the Chinese market in 2012.

At that time, in addition to offline channels, Dr. Martens also landed on online channels such as Tmall, JD.com, WeChat Mini Program.Especially with celebrities and bloggers competing for their feet, Dr. Martens gradually opened its popularity.

In fiscal 2020, Dr. Martens’s revenue in the Chinese market increased by 46%year -on -year.

However, in the first half of fiscal year in 2023, Dr. Martens’s income from the Chinese market accounted for only 1%in the global market.In the first quarter of fiscal year in fiscal year, the income of the epidemic was directly displayed as 0.

Facing the unsatisfactory results, Dr. Martens decided to take back the operating rights in the Chinese market and converted the store into a direct business.

Dr. Martens pointed out in the first half of the fiscal year in the first half of 2023 that the cooperation distribution agreement of the Chinese market will expire in the first half of 2023. At that timeRelucting the key cities of direct business.

According to financial reports, as of March 31, 2023, Dr. Martens opened a total of 55 stores in China, a decrease of 32 compared with the 2022 fiscal year.

Beginning in the second half of 2023, Dr. Martens had a large -scale withdrawal of stores in the Chinese market.

As of now, Dr. Martens’s official website shows that there are 9 stores in the Chinese market, all in Shanghai, which are Shanghai Jiuguang Department Store, Shanghai Qingpu Outlets, Shanghai Pudong Century Exchange Store, Shanghai TX Huaihai Store, Shanghai Vientiane CityStore, Shanghai Hua Trade Plaza, Shanghai Xujiahui Center Store, Shanghai Yangpu Fashion Center Store, and Shanghai Global Port Store.

This also means that it is difficult for consumers to buy Dr. Martens, which also brings opportunities to Dr. Martens’ “competitors”.

Taking Tmall flagship alone as an example, the number of Fans of Dr. Martens Tmall’s official flagship store is 1.86 million, while the number of Camel camel fans has 6.78 million, and Timberland fans have also reached 3.05 million, which is much higher than Dr. Martens.

It cannot be said that Dr. Martens has no influence at all, but the influence is indeed more and more limited.

03

Dr. Martens “Self -Rescue”

In addition to “changes” in the Chinese market, Dr. Martens also launched a series of self -rescue measures.

Dr. Martens first appointed Giles Wilson to replace Jon Mortimore as CFO to improve brand wholesale and retail channel financial performance.

In November last year, Dr. Martens appointed Lje Nwokorie, the director of Apple, as the first CBO. He set the goal of revenue of 2 billion pounds (about 18.3 billion yuan) in the next stage.

In order to complete the 2 billion target, Dr. Martens plans to increase its marketing and e -commerce channels in the US market.

At the same time, Dr. Martens launched the “Rewear” service when the consumption slows down and the demand for second -hand goods was improved to replace the old shoes to encourage repurchase.

These strategies are not difficult to understand. E -commerce channels have performed brightly. Previously, Dr. Martens helped Dr. Martens grow steadily during the epidemic. The United States has always been Dr. Martens’s largest market.The question is how many double Martin boots do consumers need?

According to Ladymax quoted analysts, the American consumers’ desire for new clothes has been significantly reduced in the context of increasing financial pressure, and Martin boots with an average price of up to $ 100 to $ 200 may no longer be competitive.