Prospective Research Institute: Analysis Of China Men'S Wear Industry In 2018

Chinese men's wear industry enters brand maturity period

"Clothing, food, housing, transportation", clothing as one of the basic contents of human social life, textile and clothing industry occupies an important position in the national economy. As a sub industry of textile and garment industry, men's wear industry has gradually occupied a large market share in the market with the rise of domestic brands in recent years, and the industry has entered the brand maturity period as a whole.

For the domestic men's wear industry, after years of development, it has become the most mature sub industry in the clothing industry, production, management, marketing, brand men's casual shirt establishment and other aspects are increasingly reasonable and perfect. With the development of China's economy and the improvement of national income, the demand for men's wear in China is growing rapidly, which promotes the scale of men's wear market.

It is estimated that the sales revenue of China's men's wear industry will reach 750 billion yuan in 2018

According to the statistical data of the "production and marketing demand and investment forecast and analysis report of China's men's wear industry" released by the forward looking Industry Research Institute, the sales revenue of China's men's wear industry increased year by year from 2014 to 2017, and the average annual growth rate remained above 10%. In 2014, the sales revenue of China's men's wear industry has reached 464.221 billion yuan, with a year-on-year increase of 14.73%. By 2016, the sales revenue of China's men's wear industry exceeded 600 billion yuan. By the end of 2017, the sales revenue of China's men's wear industry had increased to 670.251 billion yuan, with a year-on-year increase of 11.54%. According to the growth rate of more than 10% in previous years, it is estimated that the sales revenue of China's men's wear industry will reach about 750 billion yuan in 2018.

Statistical analysis on the performance of Chinese men's wear enterprises in the first three quarters

From January to September 2018, the revenue of major men's clothing listed companies in the first three quarters totaled 10.856 billion yuan, a year-on-year increase of 13.18%, slowing down compared with the same period last year. Among them, the sales growth of jiumuwang has declined, and the quarterly growth rate of qipilang, Youngor and biyinlefen has increased month on month.

In terms of net profit, the net profit of the four men's clothing companies, namely, jiumuwang, septenaeus, biyinlefen and baoxiniao, totaled 841 million in the first three quarters, with a year-on-year increase of 30.74%. Among them, baoxiniao turned losses into profits, and jiumuwang's net profit declined due to the rise of raw material prices and the increase of promotion and publicity. Biyinlefen's revenue and profit growth rate increased quarter by quarter, with a strong development momentum. Overall, revenue and net profit increased steadily.

In the future, the market concentration will continue to rise, and there are still opportunities for local leaders to increase their share

The competition pattern of men's wear in China is similar to that of clothing as a whole, and the concentration has been rising steadily. According to the market share of the company, CR10 increased from 11.4% to 16.3% and Cr5 increased from 7.3% to 11.7% from 2008 to 2017. Due to men's less diversity of fashion requirements than women's, men's fashion trend is less than women's, formal business men's wear is more similar to standard products, and men's preference for sports clothes makes men's clothing concentration significantly higher than women's.

According to the semiannual report of Hailan house in 2018, there were 475 new stores and 170 closed stores, with a net increase of 305. By the end of June 2018, there were 6097 stores. In terms of the opening growth rate of Hailan home, the market concentration of China's men's wear industry will continue to rise steadily, with CR10 of about 17.5% in 2018.

In terms of horizontal comparison, there is still room for integration of men's wear in China. In 2017, the Cr5 of Japanese men's wear reached 30.0%, and other developed countries exceeded or approached 20%, 7-8 percentage points higher than that of China. In the future, China's men's wear market leaders, especially local ones, still have a large space to rise in the structural adjustment of the future pattern, and the market share will continue to rise. For example, the high concentration in Japan is mainly due to the 16.0% share of fast retailing (UNIQLO) in the men's wear market.