Zheng Heming, Head Of Kaiser Shares

Over the past thirty years of reform and opening up, the countless fashion brands in China have gone through ups and downs. The number of neon dress and feathered song is irrevocably moving towards the end of the tune. "Kaiser" is an alternative. Now, more than a year after landing in the A share market, Kaiser's stock from a single brand to a multi brand expansion has been in the firing line.

In the eyes of outsiders, Kaiser shares There are still many answers to the question. How can the rural youth who come out of the woodworking family grow from a penniless little apprentice to a chairman of a listed company with hundreds of millions of dollars? And how does Kaiser, a high-end fashion label affixed with high-end labels, move forward steadily in the face of fierce competition and brand changes? Zheng Heming.

　　 Example power

4 hours driving from Shenzhen to East, the reporter came to the Kaiser industrial city located in Longhu District of Shantou. A statue of Kaiser king stood in the center of the square.

　　 Cheng Hop Ming The impression of being modest and modest. Even before and after the interview, the visitors kept on and on. Speaking of his favorite clothing industry, he unconsciously raised his lips and smiled. Speaking of his achievements over the past thirty years, he said that first of all, it was due to diligence, and secondly because of his hobbies. "Because I always enjoy it, I always challenge it."

The 4 word "Heaven rewards diligence" is easier said than done. Zheng Heming was poor when he was young. When he was 17 years old, his father died early. His mother had 7 brothers and sisters. Looking back at the beginning of the business, Grandpa and his mother's words and instructions were never forgotten. Zheng Heming's grandfather lived a peaceful life and died at the age of 97. Grandpa often taught Zheng Heming to be diligent and trustworthy. He promised others that things must be done. "Get rich and work hard, and you can work for 16 hours for 8 hours."

Grandpa's words and deeds taught Zheng Heming to always remember his heart. Honesty is the foundation of an enterprise. Zheng Heming emphasizes the importance of honesty in the operation of an enterprise. "Paper can not be wrapped up in fire. To do business, we must be honest. Reputation will not be wasted in the sky, but we need to accumulate day after day."

Many at home and abroad Brand clothing The head of the family was born of a small tailor, and Zheng Heming was no exception. He has not engaged in sewing work for many years, but he is still impressed by his apprenticeship. After graduation from high school, Zheng Heming went to the mountainous area of northern Guangdong to cut coal and log over to Luo Fu mountain, but his mind told him that there would be no future in this way.

With the challenge of love, Zheng Heming went to Hongkong alone in 1978 and went to a fur mill to follow his master to learn to make fur. "At the beginning, there was no special feeling, but after the entry, it was very interesting and never changed again." Zheng Heming often worked with his master until late at night, unable to afford expensive rent, and simply slept in a shabby workshop. The apprentice originally needed 3 years to go to school, but he only learned in 15 months.

The experience of apprenticeship benefited him, but 3 years later, he declined the retention of his master and began his own business. This road is hard, but after all, it is a new world, instead of repeating the lives of others. "There is no future under other people's eaves. I should not only have my own business, but also have an original brand."

This unique brand is the "Kaiser" that is famous in the domestic apparel industry in the future. "Kaiser" is taken from the name of the ancient Greek hero of the open world. He spent all his life fighting for the battlefield, making a great contribution to the world.

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It is precisely the hero's belief that "Kaiser" is indomitable and enterprising. Zheng Heming has spotted the market opportunity and prospect. He joined hands with his brother to set up a leather garment processing factory in Hongkong. In 1985, the trademark "Kaiser" was registered in Hongkong. In 1986, Zheng Heming returned to his hometown to invest and build factories in Puning. In 1993, he registered the "Kaiser" trademark in the mainland and gradually expanded the territory. Now, he has built three major business segments: Men's clothing, women's clothing and leather goods. Through clear product positioning, the company has successfully established the "Kaiser" high-end clothing brand image in the country, and is one of the few domestic garment enterprises that persists in the high-end market and has been brisk brand vitality for nearly 20 years.

In June 8, 2010, Kaiser shares were successfully listed on A shares of Shenzhen Stock Exchange. Zheng Heming believes that listing is not only a challenge for Kaiser, but also a rare opportunity for development.

After the listing, equity investment funds were gradually invested in the construction of sales network projects, garment production lines and product R & D centers. In the human resources section, Kaiser shares also launched an incentive plan involving 940 thousand shares of companies, including 67 directors, senior management personnel and so on. Zheng Heming said that under the conditions of policy permit, Kaiser shares will continue to increase the intensity of equity incentives and retain talents with incentive mechanisms.

　　 Regard "Kaiser" as a lover.

Clothing is Zheng Heming's interest. He must be willing to act on behalf of the company's general direction. Zheng Heming has spoken frankly that he likes the clothing industry and spends 90% of his time on the company. He likens Kaiser to his lover. "Clothing is like a woman's mind, changing with thousands of thousands of times. Care and care must be taken carefully. In the changing fashion trend, clothing companies need to catch up with fashion trends and take the lead in the trend."

After work, Zheng Heming's biggest hobby is swimming, and making clothes and swimming must have willpower and long-term vision. Zheng Heming has devoted his heart to the management of his business and strives for excellence. In the early days, most of the leather garments in China were made of glue blanks, so the quality of the fur clothing produced was rough and not enough to keep warm. Kaiser made a surprise move to study the use of cloth as the billet, so that the quality of leather clothing greatly improved. Many of the fur buttons are easily corroded by acid substances, while Kaiser takes the lead in adopting acid treated buttons to make full humanized treatment.

When it comes to animal protectionists' questioning of fur materials, he explained to reporters: "many people do not understand that the manufacture of fur has hurt wild animals. In fact, raw materials are generally derived from farming and farming. They are essentially the same as ordinary poultry farming, but are more particular about breeding environment and regional climate."

In the clothing industry for more than 30 years, Zheng Heming constantly refreshed his report card, but also won many young entrepreneurs fans. But little known is that Zheng Heming has his own example. He not only admires hero Kaiser, but also admires his father Sun Zhongshan, and Chaoshan villagers Li Jiacheng and Zhuang Shiping. He appreciates entrepreneurs who succeed in their own business.

"If Sun Zhongshan does not go to revolution, the main garment will be a great success. The Chinese tunic suit was first popular throughout the country, and sales and popularity were unprecedented. It is because they are in the forefront of the times and combine the imported suits with traditional Chinese culture. Zheng Heming expounded his idea in this way. Making clothes is to dare to take the lead in the world, constantly surpass himself and refuse mediocrity. He believes that although the clothing industry is traditional, but in the tide of market economy, only the traditional industries can go through the ebb tide and enduring, like WAL-MART in the retail industry.

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Zheng Heming believes that interest is the best teacher, and entrepreneurship is a continuous learning process. "The clothing industry is characterized by endless learning, and never too old to learn. This is a bit like studying. There may be tests every day, every quarter and every year, but not necessarily. In order to upgrade from factory brand to market brand and then become a cultural brand, it is difficult to advance without accumulation and creation. "

According to Zheng Heming's plan, Kaiser shares will take light assets as a development strategy in the future, stripping the manufacturing links. At present, the production of more than 80% of men's clothing products is based on the independent production of complex products such as women's clothing and most fur products. According to the introduction, the products of Kaiser will exceed 90% in the future, and will be handed over to the cooperative factories.

Zheng Heming said that business management can be handed over to professional managers. In the core links of R & D and sales, his eldest daughter Zheng Yashan has been able to take the initiative. Zheng Yashan has returned from the central London School of art and design, London, and has a profound knowledge of product development and sales. Zheng Heming worked hard to train her daughter to take over the research and development business, and set up the men's clothing department and R & D center in Guangzhou by using over raised funds, which regarded product development as the top priority.

　　 Self portrait: a century old shop

Opening up the China Daily issued by Kaiser shares, the gross profit margin in the first half of this year increased by 6.92% compared with the same period last year, with gross margin of 60.58%, ranking the top in the textile and garment industry, and Zheng Heming's goal is gross margin will reach 80%, so that the high interest rate is comparable to the high-end liquor.

Zheng Heming did not think so. He thought the two were not comparable. The stock of high-end liquor is becoming more and more valuable. The old wine is a hot spot in the market, and for the clothing industry, the stock will only depreciate continuously. "Making clothes is not a wine, but the gross profit rate of clothing is high, but the industry chain is longer, and R & D, advertising, taxation and inventory depreciation are all listed in this industry chain."

For clothing industry, inventory and promotion is a topic that can not be carried away. Zheng Heming is very cautious in his attitude towards sales promotion. "Apart from the discount of VIP members, there are no promotional activities for the season and the products of that year. Only two years later, the broken goods will appear in special stores and outlets. Our principle is based on long-term planning, not because of small losses."

At present, even luxury brands such as Armani have moved their stores to the Internet and used them as a major channel to clean up inventory. Zheng Heming still made it clear that Kaiser shares are not selling stocks on the Internet. The flagship store launched by Taobao will be devoted to the sale of Internet products for special purpose, avoiding competition with offline brands, making the consumption channels on line and offline reach harmony and complementary advantages.

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For the domestic clothing industry, even the high-end brands, the gross profit margin has reached 60%, which is not easy. What is the secret of Kaiser's attempt to raise 20 percentage points? Zheng Heming realized that the more the self operated store is, the higher the gross profit margin, and now the distributor has pulled down the gross profit margin of Kaiser shares. In this regard, Zheng Heming decided to expand the flagship store, image shop and other proprietary layout.

Kaiser shares reported that gross margins of women's clothing, men's clothing and leather products increased by 10.75, 5.64 and 7.69 percentage points respectively over the same period last year. As for the reasons for the increase in gross margin, Zheng Heming said that in addition to the increase in the price of clothing products, it benefited from 5 increase in self operated stores compared with the same period last year, and self shop revenue accounted for 37% of the main business income, which was 9% higher than that of the same period last year.

Zheng Heming told reporters that Kaiser's new trend this year is the transition from single brand to multi brand. In 2011, Kaiser officially launched the women's clothing brand LUSEFA, compared to the Kaiser women's consumer group, which is located in the mature woman who is 35 years of age and ~55 years of age. LUSEFA is mainly targeted at 28 year old ~35 years old, the pursuit of elegant and fashionable successful women. In addition, Kaiser shares used super raised funds to complete the holding of leather goods company Guangzhou Jisheng, which owns Italy brand "PAL ZILERI" and other products R & D, production rights, and exclusive sales agent in the domestic market.

Zheng Heming realized that multi brand management is complementary to the idea of flagship store and century brand. "Armani and other international brands are attracted by different brands through a series of brands. With flagship stores showing rich product lines, they offer comprehensive and differentiated services." In his view, there is a big gap between Kaiser shares and international brands. To become a flagship store for hundred years is the only way for future development.

Zheng Heming has calculated an account. If the existing men's clothing, women's clothing and leather goods businesses divide and rule, they need three sets of people. Through the layout of comprehensive stores, we can not only achieve resource sharing, but also increase efficiency, reduce costs and improve service quality, so as to realize the "3 home business" plan for the past 3 years.

In view of the reason that the number of new stores is lower than the market expectations, Zheng Heming explained that because of the influence of real estate policy regulation, some investors turned to commercial real estate investment, which increased the difficulty of purchasing the company. He said that Kaiser shares did not slow down the pace of opening stores, but only cautious in site selection. "The new business circle in the south of the Yangtze River has strong consumption capacity and is suitable for operating comprehensive stores. However, the cold climate in the northern part is not conducive to outdoor shopping, and is more suitable for setting up shop stores."

In the extension of the expansion, Zheng Heming is willing to pay more attention to the brand and promote the brand value through various channels of communication this year. In June 28, 2011, Kaiser shares were once again rated "China's 500 most valuable brand" by the world brand laboratory, and its brand value jumped to 2 billion 81 million yuan, up 673 million yuan over the same period last year.

　　 Zheng Heming introduction

Zheng Heming, chairman and general manager of Kaiser shares, Hongkong permanent resident.

He took part in the work in 1976, and moved to Hongkong to do business in 1979. He was proficient in the development and production of fur and leather products. In 1985, Kaiser (Group) Limited Hong Kong Company was established.

He is currently standing committee member of Guangdong provincial CPPCC, vice director of Specialized Committee, China Leather Garment Association, vice chairman of leather leather Specialized Committee of China Leather Association, vice chairman of the Sixth Council of China Leather Association, and vice president of Guangdong Federation of industry and commerce.