For a brand of clothes, in addition to the LOGO embroidered on the chest, there is information about the dress, which is hidden in the back collar of the clothes, or hidden on the small piece of cloth on the inside of the clothes. . Although it looks “small”, it is an indispensable part of branded clothing.
Because of the “small size”, most people don’t care where the trademark cloth comes from, or even ignore its technology. However, if the national and global clothing brand companies are willing to purchase the same company that produces the trademark cloth, then What will this company be?
According to the standard proposed by Hermann Simon, such a company is a stealth champion.
In China, there are countless products that are nationalized and globalized, and the most concentrated area is the Zhejiang economic region. Such as companies that produce eyeglasses, companies that produce lighters, companies that produce buttons, and so on.
Bian Bin is the president of Zhejiang Kairuibo Technology Co., Ltd. (hereinafter referred to as “Kerry Bo”), which relies on trademarks for commercial customers including Adidas, Uniqlo, H&M and various luxury brands. With a global production share of 40%, it has become another invisible champion in China and around the world.
From “sellto” to “sellthrough”
According to public information, the predecessor of Kairuibo was the Wenzhou Lucheng Weaving Trademark Factory founded by the founder Yan Youyi in 1982. After 1996, it was renamed Zhejiang Kaien Trademark Ribbon Co., Ltd. Then in 2001, the company and Australian UA Trading Co. jointly invested in the establishment of a modern enterprise – Huzhou Kaien Coating Co., Ltd. In 2010, in order to further expand the market, Huzhou Youfu Ribbon Weaving Co., Ltd. was acquired and officially entered the foreign trade market. In 2011, the company launched a second acquisition, acquired Huzhou Juneng Trademark Belt Co., Ltd., and established Kerrybo in the same year.
Before the establishment of Kairuibo, Bianbin had joined the Kane Company, which was located in Huzhou Changxing Economic and Technological Development Zone. “At that time, the 19-square-kilometer development zone was still ridiculous. There was no company. Kane was the first company to settle in.” Bian Bin, who joined the team at the time, recalled the past as yesterday. At first he was responsible for the management work, and later began to take charge of the company’s foreign trade expansion, from then on, to become the general manager of the company, responsible for the operation of the entire enterprise.
Instead of making a trademark, Kane provides raw materials for washing trademarks. “There are very few people in China who have done this. They are all imported from Japan. There are overwhelming garment factories in China, and the label is a small raw material imported from abroad.” Bian Bin said that this seemingly marginal industry is hidden. A huge opportunity. “Because the clothing manufacturing industry is already in the Red Sea, there are not so many people in our industry.”
Relying on the first precise positioning at the beginning of the business, Kane successfully avoided the competition and became one of the few label companies in China. At the same time, with the prosperity of the apparel industry in China, and the major fashion giants began to pay attention to China’s huge market, the business of the company is getting more and more prosperous. Soon, like the creeper outside the factory, “Kane” began to expand outward in the trademark fabric industry. Nike sportswear, H&M, and GUCCI have more and more high-end customers.
“At that time, doing business was just a simple trade. We called sellto (selling to dealers), mainly dealing with label distributors, and making production plans through dealers, rarely dealing with real customers.” 2005 Around, Kane, who is still in the blue ocean, is quite moisturized, and Bianbin feels uneasy, and he begins to think about what to do next. “After a period of exploration, we believe that the business should eventually be sellthrough (via dealers to sell the terminal). Our products should face the needs of end customers, serve brands and enterprises, and be self-innovated for their possible future innovation trends. innovation.”
Since then, Kane has embarked on the road to innovation, and apparel manufacturers and fashion brands do need this kind of independent innovation from suppliers. In recent years, only in the label industry, many manufacturers have begun to specify material customization.
For example, the “Victorias Secret” label uses a yarn made from coffee grounds. When ice silk is blended with coffee ingredients, it not only has the effect of moisture absorption, but also has a cool comfort when worn. At the same time, this fashion brand, which is mainly for women, has more than a thousand colors of label cloth, just like the rainbow’s colorful light reflected in different light. Therefore, the requirements for the color matching of the label cloth are also high. For example, the ordinary plastic bottle is broken and the bottle is reused to make the yarn, which achieves the goal of environmental protection, energy saving and consumption reduction. In recent years, the requirements of environmental protection by various brands have been continuously increased, and such requirements have also been applied to the upstream and downstream suppliers of the brand.
Kane, who took the initiative, touched the “heart” of the serviced company earlier than his peers. “Remember that in the past two or three years, I have to fly around the world for at least half a year, and visit customers and distributors all over the world.” Bian Bin’s “flying trapeze” career also established a communication bridge between the company and its customers, deepening Understanding and trusting each other.
Since 2006, Kane has secured the position of the largest label fabric manufacturer in the country. The company’s marketing network has also expanded and expanded, and its products have been exported to more than 50 countries and regions in the Americas, Europe, Africa, Asia and Oceania.
Black and white technology on the trademark
After becoming a leader in the industry, Kane has not stopped the road to innovation.
On November 25, 2017, ZARA’s second innovation store opened in Shanghai Zhongshan Park Longzhimeng Mall. In order to optimize the shopping experience, the innovative store has introduced “radio frequency identification technology” (RFID). When the customer picks up the clothes, he can put the items on the counter and make a list of details in one second, and quickly realize self-service payment and quick checkout.
The secret lies in the trademarks that people are familiar with. Different from the ordinary label, the RFID “black technology” electronic label can be used to automatically identify the electronic label made of special materials and obtain relevant data through the radio frequency signal without the operation of the staff. Through it, consumers can enhance the experience, and the clerk can manage the shelves more efficiently.
ZARA is not the only fashion brand to test water RFID. Decathlon, H&M and other brands have begun to apply RFID. What is hardly known is that the electronic label materials used by these fashion brands are mostly from the new industry platform of Kane, Zhejiang Kairuibo Technology Co., Ltd. (hereinafter referred to as Kerrybo).
Time goes back to 2011, and Kerry Bo was formally established. This new industry platform, which was led by Bianbin, began with the goal of producing high-tech coated trademark tapes and RFID electronic tag materials. The story of him and Kerry Bo began. “If we were to innovate mainly to meet the needs of our customers and cater to market changes before 2011, then from 2011, our innovations will focus more on leading the industry trends and helping our customers better serve consumers. “Bian Bin said, “The relationship between us as a supplier and fashion brands has slowly changed over the years. In the past, we have been producing more on demand, and now we are taking on the task of helping to innovate.” Reconstruction of roles in the changing times, precise positioning, and always contributing value to customers are important secrets for the rapid development of Kairuibo.
The development and production of RFID electronic tags is the best proof. In 2010, Decathlon established its own RFID company Embisphere, which used the label cloth material from Kerry Bo. By the spring of 2014, almost all of Decathlon’s products were tagged.
“In the beginning, Decathlon wanted to help customers quickly find goods on the shelves and improve the efficiency of cashier payments. After fully applying RFID tags, Decathlon’s ERP software can track its warehouses and stores around the world, anytime, anywhere. To the number of products in a world, in which warehouses, and even on which shelves. If there is a shortage of goods, Decathlon can immediately place an order for the nearest factory. On the consumer side, even if the customer takes dozens of the entire store. A piece of clothing, as long as you put things on the counter, you can make a list of details in a second, and in the past, you need to manually input one by one, which takes a lot of time and manpower.”
Behind the Decathlon label upgrade is Kerry Bo’s silent effort. “This is different from all the products we have done in the past. We need to develop new substrates to meet the needs of RFID tag production. We are facing new indicators in terms of feel, stiffness, static de-acting, etc. The challenge.”
A small piece of label cloth, Kerry Bo spent more than a year to develop successfully. It is based on Kerry’s professional new material research and development center, where new materials suitable for the industry’s forward trends are being developed. During the development of the electronic label substrate, Kerry Bo tried hundreds of different solutions to find the optimal solution. At present, in addition to special materials such as electronic label cloth, Kerrybo is also developing more environmentally friendly, more energy-efficient and more comfortable substrates to help brands better serve consumers.
Since 2013, Kerry Bo has defeated the “powerful” in the traditional industries from Europe, Japan and other countries. Take H&M as an example. Two-thirds of its labels come from Kerry Bo, and from the Volkswagen brands such as HM, Decathlon, and Adidas to various luxury brands, Kerry Bo’s label cloths are “looking out” and gradually The segment of RFID electronic tags dominates the industry’s commanding heights.
Drawing the industry chain smile curve
It is another attempt of Kerry Bo to expand vertically to the upstream and downstream of the industry and draw a complete smile curve of the industry chain.
“Starting in 2015, we started to develop professional trademark label printing inks and trademark label printing machines.” This seems to be a “cross-border” move in the industry. In Bianbin’s view, it is a homeopathic trend. “We have always been trademarks. The most professional companies in the label field, we know what kind of inks and printing presses can achieve the best results and meet the needs of customers.”
This kind of attempt is also a punch that Kerry Bo tried to break the ceiling of the industry: “In the field of label cloth, we have already achieved the boss. But it is only a small sub-sector, and the global scale is relatively stable every year. To achieve faster growth, Kerry Bo needs to find new directions and enterprise accelerators.”
In December 2017, Kerry Bo officially launched the printer brand Ketch and the ink brand LabelInk, which attracted the attention of peers.
Internationalization is another important strategy that Bianbin has developed for Kerry Bo. “The industry rules of clothing enterprises and fashion brand enterprises are international division of labor and international cooperation. From the perspective of long-term development, if we can not participate in the international division of labor of these brands as suppliers, then one day sooner or later, we will be eliminated.”
How can we participate in the global layout of our customers? This requires that the team of Kerry Bo can also be internationalized, with the best quality and the fastest efficiency to do the service. Previously, the company had distributors in Europe, America and Southeast Asia. The sales team also recruited overseas students in Hangzhou. After training, they went to work in the local sales company. “In the past two years, we have set up a management center in Ho Chi Minh, Vietnam. We intend to use this as a position to radiate Southeast Asia and set up an office in Dhaka, the capital of Bangladesh, to radiate the South Asia zone.” At present, the global clothing and fashion giants are in a densely populated factory. In the future, Kerry Bo also plans to set up offices or branches in Europe, the Middle East and the United States, and strive to become a new engine in the global layout of customers.
Outside of work, as the father of two children, Bian Bin is keen to take a trip with his family to see the world during the holidays. The journey of a family is always warm and beautiful. Going out with the family in a foreign country, taking a walk, going to the temple to worship Buddha, enjoying pure, quiet, only one family life every day. Just like meticulously treating work and career, every time he takes a child to travel, he will do his homework in advance.
This kind of thinking is equally applicable to personal learning. Bianbin also hopes to be able to give himself some quiet time and space while he is busy, so he can think hard and absorb “nutrition.” Therefore, Bianbin chose to study at the Zhejiang University EMBA: “I want to have a few days to calm down every month, open my work, study hard. I also hope that through study, I can have new inspiration for my career. ”