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    Business Intelligence Under "Chaotic Market"

    2010/6/25 9:42:00 49

    Clothing Business Intelligence


    For many local clothing brands, the current Chinese clothing retail market may be a "chaotic market". This is in the context of the global financial turmoil, opportunities and challenges coexist. In the financial crisis, the Chinese market still has great vitality and potential; meanwhile, the fast growing influx of international brands is using sophisticated business operation capabilities to seize market share, which has led us to the best of times, but also the worst.


    In fact, whether this era is good or bad, we are already in it. The only thing we need to do is adapt to this era. In this battle with international brands, we imitate, learn, learn from, innovate, and use all possible means to improve our business intelligence.


    Because in this era, whether there is wisdom in creating and grasping opportunities in the commercial world has become a prerequisite for deciding the future direction of the brand.


    Clothing and footwear are popular consumer goods and conform to public consumption habits. clothing Brand has a very wide market.


    In the near future, the general wage increase of the middle and low income groups in China will lead to the improvement of the quality of life of the working class, and stimulate the consumption of brand clothing and footwear, and bring the chance of continuous growth for the public shoe and clothing brands. Local brands, as the main medium and low consumption varieties, are expected to be the main beneficiaries of the promotion of consumption. The brand with high popularity and cost-effective has strong potential for growth.


    Looking at men's wear, sportswear and women's shoes, they all have large market capacity and rapid growth. Sub industry The reasons are as follows:


    The total market of men's clothing is 2000-2500 billion yuan, the pattern of formal dress is stable, casual wear is growing rapidly, the trend of integration is obvious, the market competition is weaker than sportswear, and the number of stores has 1-2 times of room for improvement. At present, the biggest sub category of men's clothing market in China is formal clothing, which accounts for more than 40% of men's clothing consumption. The market structure is relatively stable. Leading brands such as YOUNGOR have ranked first in the market share for more than 10 consecutive years, with a market share of more than 10%. At the same time, with the men's wear of Fujian Province as the representative, the leisure wear of men's formal clothes has increased rapidly. YOUNGOR and other formal brands have also launched sub brands or sub series to add more leisure elements to meet consumer demand. Generally speaking, market share is more dispersed, competition is not as fierce as sportswear and other industries, and brands are still in the fast growing stage of horse race enclosure. And teenagers' leisure brands also have larger market space. But cheap and low-quality brands are not in line with the current trend of mass consumption upgrading.


    Women's shoes have larger market capacity and faster growth. The top three companies in the industry are BELLE, Daphne and Saturday. Sales growth in the past 3~5 years is faster than the industry average.


    The sportswear market is bigger and faster than the top five. brand Nearly half of the market share has been allocated, and competition is fierce. Now well-known sports brands in China are listed, with strong financial strength and super large scale (more than 6000 stores with more than 3 billion annual sales), and will enter the market integration stage in the next few years, leading companies will win. In the future, China's functional sports market will be dominated by four brands: the first tier is Nike and Adidas, Lining in mid-range positioning, and Anta in the low-end market. Lining and Anta have higher cost performance, which can better benefit from this round of consumer spending driven by general wage increases for middle and low income groups. With the relocation of Lining to a more high-end development, Anta's middle and low end market space is even broader.


    Therefore, based on the above reasons, according to the development stages of different industries, it is recommended to invest in: 1, leading enterprises in mature sub sectors, which have strong brand appeal and market leading power; 2, rapid development of high quality enterprises in the industry is expected to achieve explosive growth from small to large. (Research Institute of CICC)

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