The Downturn In The Apparel Industry Has Been Declining.

The current clothing market has plight and opportunity, and itches and pains are at the same time.

Finding and solving sharp problems, facing the current situation of the industry objectively and calmly, finding breakthroughs and getting out of the predicament need us to have wise eyes, strategic thinking, traditional breakthroughs and upgrading of ideas.

In an economic year, up to 3/4 of the time, the performance of this industry seems to be doomed to no longer be staged.

In the coming 2017, now that this kind of bedding has already been laid, it is equally not optimistic that we want to rejoin the stage and sing a prosperous drama.

Because the garment industry has obviously arrived at a crossroads of anxiety and anxiety. It needs a qualitative breakthrough and expects a rapid and comprehensive pformation.

However, in this era of complex pformation of technology, culture and economy, it is obvious that an industrial pformation is not easy.

Faced with the current situation of the clothing industry, many people will undoubtedly say that the winter period of the clothing industry has come, which is caused by the economic environment, the economic environment and the impact of the Internet business.

However, what I want to say is that industry pformation, enterprise pformation, business mode pformation and marketing system pformation are more urgent than ideological pformation and conceptual pformation. Many of our entrepreneurs and managers are under the background of collective pformation of global business mode. Under the background of Internet economy and Internet culture, enterprises are still unable to break through traditional thinking shackles and experience trajectories in pursuit of development.

Opportunism and utilitarianism are the "genes" of many Chinese enterprises. This kind of "gene" does not change and is difficult to pform.

To promote pformation and upgrading, first, entrepreneurs and managers should realize pformation and upgrading. First, we should pform and upgrade the minds of entrepreneurs and managers. Take the construction of modern enterprises as a clear line, take the brand value as the goal, take the green ecology and humanity as the practical path, take information technology data construction as an important means, establish the sense of social responsibility of entrepreneurs and enterprises and brands, improve the market oriented ability of product research and development, the sense of the times and professionalism of product marketing and marketing, and comprehensively upgrade the level of technology, products and management services.

In the first half of the year, the retail sales of clothing commodities of major large retail enterprises in China were 28 billion 350 million yuan, up 23.9% from the same period last year, accounting for 20% of the total retail sales, and 142 million 10 thousand of all kinds of clothing sales, an increase of 22.9% over the same period last year.

Clothing prices continued to fall.

There are two phenomena worth pondering:

(1) under the general situation of the overall downturn in the clothing sales market, the growth rate of retail sales of clothing retail businesses in retail enterprises has exceeded the growth rate of overall sales and retail sales over the same period.

(2) overall clothing sales market clothing clothing commodity price index continued to decline.

Manufacturers and shopping malls often rely on discounts and promotions to fight chicken blood.

This situation shows that in the mainland, the first is the lack of valuable brands in the garment industry, followed by plagiarism and lack of innovation.

In addition, the quality is moderate, each type of clothing, only a very small number of brands to win consumer trust.

When the luxury consumption of luxury clothing suddenly cooled down in the mainland, fast fashion apparel took the lead.

But in just two years, the pace of fast fashion is also limping up. What is the reason? - the absence of brand and quality.

All marketing models and market shows can not resist the ultimate decline of quality.

How to pry the market of clothing brand? Quality and innovation bear the brunt.

The designer brand in fast fashion is an attempt worth studying.

For example, there are 30 Chinese designer brands, including fashion, accessories and household products.

By the end of 2016, this figure should be close to 50.

Among them, Ms MIN is the top fashion brand created by Chinese independent fashion designers in 2010.

He always adheres to the design concept of "simplicity, richness, romance and Fortitude".

At present, for the apparel industry, the cost of human resources is the biggest shackle of business and competition, both upstream and downstream.

Wages have doubled in recent two or three years, and enterprises have doubled.

Heavy.

The apparel industry is in a slump.

To eliminate high-end luxury goods and remove low-end mass market, what is currently showing is fast fashion.

The performance of the world's four fastest fashion brands in the first half of 2016 is clear.

Inditex group's first quarter turnover reached 4 billion 880 million euros, an increase of 12% over the same period.

In the first quarter ended in April 30th, Inditex net profit rose to 554 million euros from 521 million euros in the same period last year, an increase of 6.3% over the same period.

Gross profit margin was 58.1% lower than 59.4% in the same period last year.

In the first quarter of 2016, the parent company opened new stores in 31 markets with a 10% increase in operating costs.

Net sales of SEK 46 billion 874 million, an increase of 2.2% over the same period; group net profit of 5 billion 357 million kronor, a decrease of 16.9% over the same period last year.

Net interest rate 11.4%.

Gross profit margin was 57.6%, down from 59.4% in the same period last year.

H&M had an increase of 6% in the second quarter of sales management expenses, an increase of 8% in the first half of the financial report.

At the same time, inventory costs are also increasing, an increase of 29% over the same period.

Sales figures for the first three quarters (9-5 months) ending in late May were 1 trillion and 430 billion yen (about 91 billion 100 million yuan), up 6.4% over the same period last year, and operating profits fell 23% to 145 billion 800 million yen (9 billion 260 million yuan). The profits of the parent company decreased by 46.4% at this quarter to 71 billion yen (4 billion 500 million yuan), of which the sales volume of the quarter (March to May) was Yen Yen, up from the same period last year.

Gap's first quarter sales fell 5% year-on-year, and net sales in the first quarter amounted to US $3 billion 440 million, compared with net sales for the same period last year, US $3 billion 660 million, gross margin 35.2%, down 37.8% from the same period last year, and net interest rate 3.7%.

Judging from the 2016 quarter results of the four mainstream fast fashion brands, they are deeply competitive in the industry and have not made much breakthroughs in product homogeneity and brand image.

In addition to facing the enormous competition pressure brought by consumption upgrading, market structure change and personalized demand, ZARA and H&M have only 11.3% to 11.4% net interest rate in this season, 5.97% of UNIQLO and 3.7% of GAP, which further shows that the overall cost of the apparel industry is increasing.

The prospect of further compression.

Cost increase, profit reduction, and even lead to the closure of garment enterprises, the reasons are very complicated, mainly from the following points: China's demographic dividend period has disappeared, human resources costs have risen rapidly; raw material prices have risen; local taxes and fees have increased; exports have weakened; enterprise operation and marketing costs are too high; capital chain maintenance costs are high.

It is not difficult to solve these problems. The key is to have firm determination.

Many precedents have enlightened us.

The feature of Spanish brand ZARA is that the new style is extremely fast, from commodity design to trial production to store sales, which takes 10-15 days on average. Of course, the goods are also very fast. Almost every three weeks, the old goods are replaced completely, and many of them are only a few pieces. If they are finished, they will not replenish the goods. So if customers see goods that they like in ZARA, they will not hesitate to go underground.

It is precisely because the goods have been rapidly refurbished, shopping to ZARA will always be fresh, which of course has become an important reason for customers to "go back".

ZARA has nearly 400 designers. They design about 12000 kinds of fashions in one year. These two figures are far more than other famous clothing brands.

These designers are typical "flying trapeze". They often fly to Milan, Tokyo, New York, Paris and other places to see various fashion conferences, observe and learn from the latest design of some top brands, and to consumers, they can buy a big design style at a low price.

Take "fast" as the theme, preferring to abandon the follow-up sales opportunities of excellent money, and keep up with the new frequency and rhythm, and persist in the speed and frequency of innovation.

Low price is the origin of fast fashion and the black hand of sending fast fashion to the grave, because some fast fashion brands ignore the core value outside price.

In addition to squeezing the profit margins of the products, misleading the market and consumers, they set up a vicious circle of cost abyss.

The competitiveness of products is certainly not from the price, but the value laying of products and the accumulation of brand value.

This is the core competitiveness of the brand.

KM is a fast fashion designer brand based on Nordic culture. Its design style tends to be simple and natural in northern Europe, and focuses on creating quality and fashionable life for the masses of consumers.

Since its inception, KM has adhered to a simple and comfortable, leisure and elegant design route instead of pursuing the noble luxury of products.

Moreover, following the Nordic designers' concept of product crafted and natural environmental protection, we have developed and improved the raw materials and manufacturing processes to make them more fashionable, high-quality and elegant.

Taking Nordic culture as the brand foundation, with simple comfort and leisure elegance as the product design route, through the development and improvement of raw materials and manufacturing processes and effective control of product prices, consumers can get the shopping experience of high price ratio only by paying the cost equivalent to the cost price.

KM insists that fashion is not only reflected in product design, style and tailoring, but also a cultural communication.

KM pays attention to the cultural value and brand of products.

Accumulate and integrate the Nordic life philosophy into the product, so that customers can feel the real meaning of fashion when they experience it.

In the past two years, KM has opened hundreds of new stores every year, which is of great significance for them to grasp the market and establish a big data management system. Through real-time store feedback, data can be used for the first time to maximize the sales rate, effectively reducing the risk of inventory unmarketable, and making clear the design trend and production plan of the next batch of commercial products.

For example, the introduction of automation and intelligent technology in the field of garment production and production is very effective in improving productivity.

The clothing hanging system is a production unit or system developed on the automation equipment and computer technology items of numerical control machinery, robot, automated warehouse, automatic conveying, etc.

After a finished product is finished, it passes through about 17 processes, and completes it from start to finish.

The system can shorten processing auxiliary time, improve production efficiency, reduce the floor area of semi-finished products, and ensure product quality.

Wire cutting machine is also a kind of intelligent production machine instead of manual operation, such as jeans cutting line, the efficiency is 8 times of manual shear, which is amazing for productivity improvement and labor cost reduction.

In such a business environment, enterprises must consider the automation and intellectualization of production management.

We should step out from the original manual workshop and semi mechanized production, and gradually pform it into a modern production mode, replacing the traditional production process with highly automated and intelligent production technology.

This society is already a highly intelligent society. In the era of rapid development of computer technology and Internet technology, it is believed that the use of machinery instead of manual manual operation is a major trend. For garment production and processing links, the cost of labor is greatly reduced, and its core lies in the improvement of labor productivity by leaps and bounds and the promotion of the overall efficiency of enterprises.

For the traditional labor intensive industry, the textile and garment industry, it is an option to get rid of the operating cost by trying to find technological dividends through machine substitution.

At present, Japan intends to use robots to replace wage labourers in 2020 to occupy the price advantage.

The textile and apparel industry is a labor-intensive industry. With the gradual disappearance of demographic dividend in China, pformation and upgrading is imperative.

Mechanization, automation and intellectualization have become an effective way to pform traditional industries, promote industrial pformation and upgrading, reduce staff and increase efficiency and ease recruitment difficulties.

Zhejiang province is the first province to implement the "machine substitution" plan. In early 2013, the government of Zhejiang launched the "four exchange" project to fully implement the "cage changing bird, machine replacement, space exchange, electricity supplier changing city".