Late Summer Clothing Business Profit Reduced By 50%

Summer sales are sluggish, and autumn and winter products are expected to rise.

The industry suggested that clothing operators should increase the intensity of summer clothing rejection, and actively withdraw funds, while the factory price of clothing in autumn and winter has not yet been adjusted in large areas, with the withdrawal of funds to advance orders, in order to avoid the pressure of late price increases.

The late summer of this year caused the merchants in the wholesale market of Lotus Pond to do business with the summer sale of gold.

The Chengdu chamber of Commerce and industry's Lotus Pond chamber of Commerce survey of more than 500 member enterprises found that the summer clothing profits this year have reduced 50% compared with previous years.

I learned from the Lotus Pond market the latest situation, businesses have started ordering autumn and winter clothing, but due to rising raw materials, autumn and winter clothing prices are expected to rise stronger, more severe situation placed in front of businesses.

In the summer, the profit of clothing business is reduced by 50%.

According to the provincial meteorological department data, the average daily temperature in Chengdu was only 22 days over 5 consecutive days in June 14th.

What does this late summer mean to the clothing boss?

Chen Gang, who has done many years of clothing wholesale business in Lotus Pond, told me that this year's business is much worse than before.

He introduced that the sales of new products for summer wear generally began to warm up the market in March, and the peak period was from May to early June. In the middle of June, it was a discount period.

This year, it didn't begin to warm until mid June, and the rush hour was almost over.

His business has dropped by about 5 compared with previous years.

Mr. Li, a general agent of a brand clothing in Hongkong, said that the business cycle of summer wear is relatively short. Once missed, it will result in backlog of products, which not only affects sales volume, but also has a direct impact on the sales price of new products.

He said that at present, he can only use the coming summer time to increase sales.

I learned from Lotus Pond Dacheng market, gold lotus and other clothing wholesale market, this year many clothing business performance fell sharply.

Yao Xueyi, President of the Chengdu chamber of Commerce and industry of the Lotus Pond chamber of Commerce, said that at least 30% of the more than 500 member enterprises of the association are in the clothing business.

This year, these businesses' summer wear business has generally declined by 1/3, and their profits have decreased by 50%.

Yao Xueyi added that in addition to the weather, wages rose, raw materials rose and upstream costs increased, and the consumption level of the public did not rise, which was the reason for the decrease in profits.

Cost increase, autumn winter wear prices are expected to strong

Zhu Dalei, a staff member of the Kowloon Chamber of Commerce of the Guangdong Provincial Federation of industry and commerce, revealed yesterday that many businessmen have adjusted their focus to the market of autumn and winter clothing, and many bosses of clothing companies have visited goods such as Shenzhen and other places in the past few days.

And Lotus Pond wholesale market, there are also clothing manufacturers in the autumn and winter clothing new products.

However, businessmen who returned to the coastal area ordered feedback that the price of finished clothing orders in autumn and winter is expected to increase strongly due to the rising prices of raw materials such as upstream cotton. This year, some manufacturers have already increased the price of clothing orders.

Sales of summer clothing are sluggish, and new products in autumn and winter are expected to rise.

The industry suggested that clothing operators should increase the intensity of summer clothing rejection, and actively withdraw funds, while the factory price of clothing in autumn and winter has not yet been adjusted in large areas, with the withdrawal of funds to advance orders, in order to avoid the pressure of late price increases.

Experts suggest establishing meteorological warning mechanism

I understand that many garment manufacturers in China have realized the importance of meteorological information and cooperate with the meteorological department.

The industry suggested that clothing enterprises should pay more attention to and collect meteorological information. Trade associations should establish a set of meteorological warning mechanism, maintain regular communication and contact with meteorological departments and authoritative meteorological experts, timely remind clothing enterprises to pay attention to climate change, so that enterprises can make adjustments in product mix earlier and reduce losses as far as possible.

In addition, clothing enterprises should adjust the "time period" on the basis of weather conditions and develop products with large temperature span.