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    Shoemaking Costs Rise By &Nbsp; Export Shoe Companies Are Having A Headache.

    2010/7/8 11:39:00 26

    Footwear Raw Materials

    Since the beginning of this year, the traditional manufacturing industry has been faced with factors that are not conducive to development, such as rising labor costs, rising raw material costs, and so on, resulting in shoe companies having to raise their quotations. This will inevitably lead to the loss of orders from some new customers, which will reduce the profit level of the footwear industry as a whole, and the original advantage of the domestic footwear industry is gradually turning into a disadvantage.


    It is understood that

    Raw material

    The continuous rise of prices is the biggest pressure on the footwear industry. Every change in the price of raw materials affects the whole industry chain.

    From the beginning of this year, cotton prices surged 20% to 30%, rising from 11 thousand yuan per ton at the beginning of last year to more than 17 thousand yuan per ton.

    Faced with the gradual increase of raw material prices, the pressure on footwear industry is also increasing, making shoe making business feel pressure.


    In addition to the increased cost of raw materials, the shoe manufacturers are still facing

    The labor

    The adverse factors of rising cost.

    The labor cost has risen by more than 10% this year. The shortage of workers has led to the extension of the product production cycle, resulting in the payment of some liquidated damages, not only eating up the meager profits, but also losing some of the cost.

    Obviously, the gradual loss of the advantage of cheap labor makes the export competitive advantage of footwear products decline, and the shortage of labor resources and the rising cost of labor are one of the main problems facing the footwear industry.


    Change always comes so fast.

    footwear

    The strength of the cheap labor force and the advantages of raw materials are constantly intensifying. How will the shoe manufacturing industry go?


    Reporters visited several shoe-making enterprises in Quanzhou's processing trade, and found that although much work has been done in promoting structural adjustment and pformation of economic development mode, some achievements have been achieved, but the overall change is still preliminary. The characteristics of extensive development are still obvious, including the weak ability of independent innovation and the lack of future competition conditions.


    It seems that the proportion of shoe enterprises in the whole technology intensive industry is relatively small, and the phenomenon of brand loss is also more serious.

    In terms of product development, we should introduce more skilled talents, and carry out multi category production under the premise of quality assurance.

    Secondly, change the traditional marketing mode.


    At present, most export oriented footwear enterprises are mainly operated at low prices, attracting foreign markets by price war.

    However, this marketing mode is not only difficult to meet the needs of consumers.

    It also restricts brand building and brand development.

    Therefore, adjusting the marketing plan has become a top priority for export oriented shoe enterprises.


    Finally, we should carefully analyze the changes in the market, be good at grasping the favorable channels, and establish a win-win mode.

    Through event marketing, exhibition marketing, soft Wen, website promotion and so on, enhance market share and integrate both sides' strength.

    According to the characteristics of the brand, we should analyze the advantages and disadvantages, seize the glittering point, endow our products with new connotations, and scientifically conquer the market.

    Differentiated marketing channels in highly competitive markets.

    Admittedly, the structural adjustment of the shoe-making enterprises in processing trade is imperative. In the current situation, we must extend to the direction of deep processing and high added value. We should introduce more talents of science and technology with structural advantages and change the extensive development mode of over reliance on migrant workers. Only in this way, can shoe enterprises remain invincible in the volatile market.

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