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Underwear brand stores by the network to domestic sales into two or three million
In the context of global economic downturns, many domestic enterprises have turned to self-reliance by shifting from OEM (Original Equipment Manufacturing) production—essentially "raising children for others"—to building their own brands. The Pearl River Delta, a hub for clothing and undergarment manufacturing, has seen several companies take this path. One such example is Mayfair Apparel, which successfully transformed its business model through online marketing.
Faced with declining export orders due to the financial crisis, many factories in the region had to rely on OEM contracts for international brands. However, instead of retreating, Mayfair chose to focus on the growing domestic market. By launching its own brand and leveraging e-commerce platforms like Taobao, the company not only survived but thrived. Just a year after transitioning to online retail, its monthly sales reached 23 million yuan, and its brand quickly climbed to the top of Taobao Mall's rankings.
The journey began in April 2008 when Zhang Xiang, the founder of Mayfair, shifted his business from exporting to selling directly to Chinese consumers via Taobao. Starting with just a few hundred yuan in monthly revenue, the shop grew rapidly to generate millions within a year. This success was driven by Zhang’s long-term experience in the industry. He started with a small team, expanding from a family workshop to a factory with over 1,000 employees. While he once focused on foreign trade and OEM work, he became increasingly dissatisfied with the idea of producing high-quality products that were then sold under other brands at premium prices.
Zhang believed that fashion should be accessible to all, not just a privileged few. So, he decided to create his own brand, positioning it as stylish and affordable, targeting young women. To promote the brand, he focused on cost-effective digital marketing rather than traditional advertising. He built an e-commerce center with dedicated departments for brand planning, customer service, logistics, and after-sales support.
One of the key strategies was to use high-quality product images to enhance the shopping experience. With visually appealing photos, the shop quickly gained popularity, selling thousands of units in its early stages. Despite competition from well-known international brands, Mayfair’s own brand consistently outperformed them in terms of sales volume.
To further improve customer trust, Zhang invested in pre-sale services. A dedicated customer service team provided detailed guidance on sizing and style, helping customers make informed purchases. This approach significantly reduced return rates and increased satisfaction.
While online retail offers low costs and high margins, Zhang also warned that traditional retail models might struggle to compete. Stores that rely on middlemen often find it hard to match the efficiency of a direct-to-consumer model. Even with low commissions, the profit margin is still much lower compared to the factory-direct approach.
The advantages of e-commerce include faster market response, reduced operational costs, and better alignment with consumer preferences. However, there are challenges too. Perishable goods or high-value items may not be suitable for online sales. Some consumers remain hesitant to share personal information online, and changing shopping habits can be difficult.
Despite these challenges, Mayfair’s success story highlights the potential of e-commerce in transforming traditional businesses into modern, consumer-focused enterprises. By focusing on quality, innovation, and customer service, the company proved that building a brand online can be both profitable and sustainable.