Industry Watch From October 2011, China's clothing market has undergone a sudden and dramatic change. On the one hand, shopping mall sales pressure has made it difficult for garment companies to bear. On the other hand, the competition between peers has become increasingly intense, and many apparel companies have experienced stagnation in sales, and stocks have soared. How to digest the inventory of the Year of the Dragon has become a severe test that garment companies have to face.
At present, the international economic situation is still chaotic. As the world's largest clothing producer, China's garment industry is hard to leave. The export situation of China's garment industry this year is not optimistic. The obstruction of foreign trade will inevitably lead to a chain reaction, which will lead to a far-reaching impact on the domestic apparel market. First of all, the impulse of exports of garment exporters to domestic sales will be strengthened, which will bring new impact on the original market structure. Secondly, the expectation of a global recession will further aggravate the continuing downturn in the European and American markets. The desire of European and American clothing giants to seek outlets in emerging markets such as China will also be fierce. In 2011, ZARA, HM, Uniqlo and many other international brands entered the second-tier and third-tier markets in China, and this trend may be strengthened in 2012. It can be predicted that in the next 3-5 years, the fierce competition between international brands and domestic brands in the second and third-line markets will be unprecedented.
Although the domestic economic situation seems to be much more optimistic than the European and American markets, however, the current inflation rate of more than 4% indicates that China’s macro-control policy will not be completely turned this year, and through this fine-tuning, it may explain us The overall economy is suffering from an unacceptable transformational pain.
This means that in 2012, the outlook of China's apparel industry has not substantially improved, and with the public's concerns about the economic development prospects, it is even more difficult for private clothing companies to obtain ** from banks. The downturn in the securities market has also caused many garment companies to be "injured." Although apparel companies in 2011 have strong market enthusiasm and a large number of domestic apparel brand companies are seeking listings at home and abroad, the situation is not optimistic. According to a survey, the passing rate of IPO in China's apparel industry was only about 50% in 2011.
In 2012, for many domestic garment companies, the financial caution principle may be a better choice. Due to concerns about the market, domestic apparel companies will be more cautious in terms of channel expansion, product development and other aspects, and strengthen cost control to tide over the difficult period.
Decrease may be one of the top priorities for garment companies in 2012. Due to the pressure of inflation, the people’s spending power is curbed, coupled with the uncertain market outlook, the wise move of Chinese apparel companies may be to keep pace with changes in the market, continuously innovate products to adapt to new market segments, and tightly control Good inventory level.
Of course, another good way to digest inventory is to accelerate the expansion of terminal stores. The strategy of opening a large store seems to be the current trend of more popular clothing companies, but in the current market in China, whether the big stores can really bring profits is still a relatively tangled issue. Although large stores can drive a large amount of sales, it is also a hidden danger of huge inventory. Current apparel companies need to be more cautious about store expansion.
Although many apparel industry sources stated that combining the development experience of Europe and the United States with the development of the domestic market, the Chinese garment industry will still be at a relatively high growth stage for a long time. However, how to spend this may be more than imagined. In the cold economic winter, it is the most pressing practical issue for many Chinese garment companies. Guo Jin
At present, the international economic situation is still chaotic. As the world's largest clothing producer, China's garment industry is hard to leave. The export situation of China's garment industry this year is not optimistic. The obstruction of foreign trade will inevitably lead to a chain reaction, which will lead to a far-reaching impact on the domestic apparel market. First of all, the impulse of exports of garment exporters to domestic sales will be strengthened, which will bring new impact on the original market structure. Secondly, the expectation of a global recession will further aggravate the continuing downturn in the European and American markets. The desire of European and American clothing giants to seek outlets in emerging markets such as China will also be fierce. In 2011, ZARA, HM, Uniqlo and many other international brands entered the second-tier and third-tier markets in China, and this trend may be strengthened in 2012. It can be predicted that in the next 3-5 years, the fierce competition between international brands and domestic brands in the second and third-line markets will be unprecedented.
Although the domestic economic situation seems to be much more optimistic than the European and American markets, however, the current inflation rate of more than 4% indicates that China’s macro-control policy will not be completely turned this year, and through this fine-tuning, it may explain us The overall economy is suffering from an unacceptable transformational pain.
This means that in 2012, the outlook of China's apparel industry has not substantially improved, and with the public's concerns about the economic development prospects, it is even more difficult for private clothing companies to obtain ** from banks. The downturn in the securities market has also caused many garment companies to be "injured." Although apparel companies in 2011 have strong market enthusiasm and a large number of domestic apparel brand companies are seeking listings at home and abroad, the situation is not optimistic. According to a survey, the passing rate of IPO in China's apparel industry was only about 50% in 2011.
In 2012, for many domestic garment companies, the financial caution principle may be a better choice. Due to concerns about the market, domestic apparel companies will be more cautious in terms of channel expansion, product development and other aspects, and strengthen cost control to tide over the difficult period.
Decrease may be one of the top priorities for garment companies in 2012. Due to the pressure of inflation, the people’s spending power is curbed, coupled with the uncertain market outlook, the wise move of Chinese apparel companies may be to keep pace with changes in the market, continuously innovate products to adapt to new market segments, and tightly control Good inventory level.
Of course, another good way to digest inventory is to accelerate the expansion of terminal stores. The strategy of opening a large store seems to be the current trend of more popular clothing companies, but in the current market in China, whether the big stores can really bring profits is still a relatively tangled issue. Although large stores can drive a large amount of sales, it is also a hidden danger of huge inventory. Current apparel companies need to be more cautious about store expansion.
Although many apparel industry sources stated that combining the development experience of Europe and the United States with the development of the domestic market, the Chinese garment industry will still be at a relatively high growth stage for a long time. However, how to spend this may be more than imagined. In the cold economic winter, it is the most pressing practical issue for many Chinese garment companies. Guo Jin
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