The High Price Of Clothing Causes The Domestic Garment Industry To Enter The Cold Winter.

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The Xiaobian of the net introduces the cold winter of the domestic garment industry, which is caused by the high price of clothing.

Recently, the domestic clothing industry ushered in the cold winter, and the owners of Fujian clothing enterprises lost their jobs. Even Ding Hui, chairman of the stock company, the chairman of the regional group, was also confirmed that the volume was lost and had been investigated by the police.

Coincidentally, Li Ning Co's semi annual report in 2014 also showed that its loss expanded from 184 million yuan in the same period last year to 586 million yuan.

The reasons are all related to the declining sales and the accumulation of stock in the traditional clothing industry.

What led to the traditional clothing industry encountered sales slump and inventory backlog serious? I believe that mainly from three aspects: first, the traditional clothing industry blind expansion of stores nationwide, greatly increased shipments and costs.

Two, the new network consumption has a greater impact on the traditional clothing sales mode based on the mall stores.

The three is the increase of human cost and store rentals, as well as the huge increase in endorsement fees and sponsorship costs, making the current clothing prices high, far beyond the capacity of the vast number of consumers in China.

Take Lining as an example, people often ridicule.

It is said to be "domestic brand, Shanzhai, international price".

It is not unreasonable to say so. While Nike, ADI and other international sports brands are constantly lowering prices, Lining's price is increasing day by day.

If it is not clearance sale, Lining shoes store has rarely seen less than 400 of the sports shoes.

Other clothing prices are also the same, the price of clothing in the mall is shocking, and an ordinary coat is about eight hundred or nine hundred.

And what is the general affordability of domestic consumers to clothing prices? We can roughly calculate: in 2013, the per capita disposable income of the whole country was 18311 yuan, and the Engel coefficient was around 38%.

The average disposable income of residents is about 1100 yuan per person after each month.

And the 1100 yuan also includes housing expenditure, education expenditure, water and electricity network communication and pportation expenses, and finally, part of the pension cost has to be left.

Finally, the expenditure on clothing is numbered.

Of course, the consumption capacity of domestic urban residents may be stronger, especially in some big cities.

But even in a bustling metropolis such as Beijing, its clothing consumption is not optimistic.

According to Statistics Bureau, the average per capita clothing expenditure of urban residents in Beijing was 2795 yuan in 2013.

It seems that the figures are higher, but the average cost to each garment is about 200 yuan.

After all, logically speaking, 2800 yuan of clothing expenses should include at least two to three pairs of shoes, a winter suit, a set of spring and autumn clothes and several summer wear.

Considering that Beijing can basically be one of the cities with the highest domestic consumption capacity, and the gap between the domestic urban economic development is larger, in fact, most of the people in China are difficult to exceed 200 yuan in the clothing price.

Obviously, the price of the clothing industry has reached the psychological threshold of the purchasing power of the masses. If this trend is not reversed, the winter will be very long.

In fact, from the data of the Bureau of statistics, the expenditure of domestic residents in clothing consumption has maintained a relatively high growth rate, and the market has not disappeared, but the price of traditional clothing manufacturers has been difficult for people to bear.

It is also seen that the clothing industry lacks the opportunity of the intermediate price brand, so the relatively inexpensive UNIQLO will quickly occupy a considerable part of the market share, and the customers who go online shop will suddenly become a new force.

The common feature of both is to substantially reduce costs.

In particular, all customers focus on network sales, and use millet like zero inventory marketing mode to minimize costs.

Changes in the traditional clothing industry, the more people, the more production, the more backlog, the higher the price of the vicious circle.

Therefore, on the basis of consumer's ability, we should reformulate marketing objectives and adopt various ways to reduce prices.

This is particularly important for the current domestic garment industry.

Otherwise, under the effect of Domino, the fall will not be just a few manufacturers.