How Do Textile Enterprises Make Domestic Sales?

Recently, some export textile enterprises found the author and asked how to do domestic sales.

From their speech, I found that many textile enterprises accustomed to export trade do not know much about the domestic market, so many of their domestic marketing ideas are often doomed to failure from the very beginning.

"The water in the domestic market is very deep."

If I meet such a client, I will remind him first.

Of course, we fully understand the urgency of these textile enterprises in the domestic market.

In 2007, the exchange rate increased by 7 points, the labor cost increased by 20%, the export tax rebate reduced by 2 points, and the means of production rose by 3%-5%.

In the first three quarters of 2007, according to the statistics of the textile industry association, more than 2 / 3 of enterprises were below the average profit rate of the whole industry. The average profit margin of these enterprises was only 0.61%, and the total loss reached 9 billion 900 million.

In 2008, with macroeconomic regulation and monetary tightening, according to the twenty-first Century economic report, the crisis of overcapacity in the textile industry broke out, and 1/3 enterprises will be closed down.

Based on such a market reality, export-oriented textile enterprises hope to pform into domestic sales, but their laws are appropriate.

The author is familiar with the domestic textile market, so here I would like to talk about how the export oriented textile enterprises can pform into domestic sales.

First, we should first consider the innovation of the profit model.

In any industrial value chain, the profit zone is not only evenly distributed, but also drifting along with the maturity of the industry. As long as any link appears homogenization of products and services, profits will leave there.

Similarly, in the domestic textile and garment industry, profit pfer is also happening all the time.

As we all know, with the homogenization of production, spinning, weaving, clothing production and other production links have been very small profits, and profits have shifted to other links.

Let's take a look at some examples of innovation in the textile industry's profit making mode. We should understand the importance of profit mode innovation to domestic sales of export-oriented enterprises from their success.

PPG has made full use of the change of network information to combine the shirt Market and network sales, and has established the unique marketing mode of "server monopoly", which mainly attacks brands, products and customers, outsourced production, and changes the sales pattern of traditional shirts with price advantage and channel mode.

Lycra itself is a kind of fiber. The normal mode of making raw materials is to keep away from consumers, to do research and development, to price negotiations in tons, and a permanent order recipient.

But Lycra sold a different pattern.

Lycra found that industrial products rely on product quality to maintain price differentials, but account for 10%, while brand support spreads to 40%.

That is to say, Lycra discovered that the industry profits had shifted to the fiber brand.

Therefore, Lycra put forward the strategy of "downstream and upstream".

"Triggering downstream" is that Lycra becomes a brand dealer from raw material business, and promotes clothing dealers and clothing consumers. "Driving upstream" is that Leica can drive upstream garment enterprises and fabric suppliers through mastery of downstream.

In other words, "triggering downstream and driving upstream" is that Leica's left hand drives consumers and distributors, and the right hand pulls large fabric producers and garment manufacturers, thus firmly becoming a leader of a long value chain, and has achieved great success.

For example, most of our export textile enterprises either rely on low-cost production for export or make OEM for others. Such a business mode determines their meager profits.

On the contrary, Jiangsu Anyang fashion company, with ODM (original design manufacturer) as its main battlefield, has a net profit rate of over 35%, which can be regarded as a miracle in the clothing industry.

The creation of this miracle is only due to the original design ability of Anyang Yang, which has international influence. It fully excavates the innovation ability of enterprises in R & D and design, and endows its brand with profound cultural connotation to enhance its added value.

Through the above three cases, will our textile enterprises get some inspiration?

To do the domestic market, and to rely on the previous kind of production of a product, we hope that the era of the world has gone.

The Chinese market has been pforming. Our entrepreneurs must change their habits of thinking, change their production oriented thinking, find the most profitable link in the industry value chain, and then combine their advantages to create their own new profit models. Only in this way can they grasp the opportunities in the fierce competition.

Otherwise, if you just want to turn the original export products directly into domestic sales, the result will be a crushing defeat.

Because, no matter which category of textile industry, the competition in the domestic market has been very intense. At this time, the market needs not one product, but a new business mode.

Second, be an opportunist.

The most lovely part of the Chinese market is that it is still in drastic change up to now.

The market is full of undeveloped demand, and everywhere is full of opportunities, whether it is regional blank or consumer blank.

When an enterprise can enter the market blank first, it can often achieve great success.

The textile industry is a very mature industry in China.

From suits, shirts, casual wear and sportswear, it seems that every product category is full of brands and full of competition. It seems that there is no chance in the textile industry.

However, let's take a look. In this almost impossible market, in this almost saturated market, thermal underwear was sprung up in 1998. Just relying on a concept of warmth, it started to thrive. Since 2003, China's home textile market has sprung up. In the past two years, it has become a few new opportunities in the textile industry. The market share of light bedding can reach 100 billion yuan.

Apart from thermal underwear and home textiles, is there no other opportunity for the textile industry?

Such textile brands as Ting Mei, PPG and ITAT, have they found their own opportunities?

I think the answer must be yes.

Therefore, the market is not lacking.