Clothing Inventory Warning Line Bright Red: Tail Goods As "Home"

Tremendous

The red light is on the stock warning line.

According to the normal operation of the industry, the scope of 10%-20% is regarded as safety stock, that is to say, 10000 garments are produced, 1000-2000 of which belong to stock.

However, with the change of the economic environment, on the one hand, the export is blocked, and more and more foreign buyers are destroying the list. On the other hand, the domestic dealers are beginning to be cautious, and the purchasing intention of the ordering meeting has been weakened, which has led to a reduction in the volume of delivery.

"We have no choice."

A dealer in a domestic menswear brand listed company told reporters that sales in the second half of last year had had an impact on confidence.

"The money earned in the past few years will probably be lost in half a year, so we have to be cautious."

This is not exaggerating.

The decline in export figures is directly related to the reduction of orders.

In 2008, when the financial tsunami suddenly struck, the "destroyed order" made a large number of finished products stacked in the warehouse. The inventory figures of many enterprises had already broken through the warning line of 20%, and the red light had been lit.

Whether it is the product management method that the enterprise is trying to start from the source to "sell the product" or "follow the goods regularly", or is it?

Inventory handling methods have their advantages and disadvantages.

There are two main categories of clothing inventory, that is, factory inventory and channel inventory. The main way for general manufacturers to clean up inventory is to pfer inventory to the channel, and the final sales will have to be completed through channels.

Therefore, cleaning up channel inventory is the key to digest inventory.

Then, how should the garment industry digest the channel stock? Usually the most practical way is to shift the inventory level to the first level, and then through the terminal's large-scale promotion, through the special price, buy gifts and other means, to encourage the stock to sell more goods.

At present, the main methods for apparel enterprises to deal with inventory are:

First, set up special stores or set up special stores in shopping malls.

Sales of many brands have even exceeded the sales of positive products.

Two, as promotional gifts to distributors.

This method can stimulate the dealers to purchase more goods, which is a more effective way to channel incentives. But if the management is improper, it will cause dealers to sell the special products at will, thereby affecting the brand image. Moreover, the existence of too many specials will inevitably affect the sale of the distributors' positive prices.

Three, pform circulation channels and go wholesale.

Four, export sales to underdeveloped countries.

Such enterprises often need larger sales energy, and have good export experience and ability.

Or have good cooperation with foreign trade companies.

The vast majority of garment enterprises do not have the ability to export.

Therefore, this method can only be adopted by a few large enterprises.

While most garment exporters complain repeatedly about the current situation of high cost and low profit, the garment tail merchants get high profits.

Unlike foreign trade orders that are selling cheaply in the Chinese market, apparel tail traders sell stocks at low prices to foreign countries again.

It is understood that the popular discount stores in Europe and the United States, such as "99 American stores" and "1 dollar stores", prefer Chinese products. If they are produced and processed, the cost is too high to purchase the tail cargo from clothing manufacturers at below cost. This is exactly what they want.

There are many problems in the tail cargo market.

Because of the pressure of export tax rebate adjustment and rising production costs, some garment manufacturers simply abandon their original business and start trading in tail cargo. This low risk and high profit industry appears to be "profitable" for them.

In the first half of this year, sales of the 8 largest cargo markets in Beijing, such as Tian Lan Tian, Tian Hui and Tongzhou, had exceeded 2 billion yuan.

Only the Tian Lan Tian Wei cargo market has achieved 500 millionaires in two years.

In July 1st this year, the Ministry of Commerce formulated the "technical regulations for the management of tail cargo market operation", and redefined the concept of "tail cargo", not only referring to the "foreign trade tail sheet", but also covering the products outside the order.

The relaxation of the definition of tail cargo will increase the stock volume of the tail cargo by about 25%.

As the economy recovers, the number of goods in the garment industry will increase again.

All this has brought new vitality to the tail cargo market.

However, there are tens of thousands of market operations for the tail cargo opened in succession, and most of the market is constantly being duplicated.

This has led to many problems in the domestic tail cargo market: the first is to get together and start business; the other is that some market operators have been in a difficult position. Because of the upstream channel of the tail cargo, the manufacturers and distributors of the brand products are hard to find. Under the condition that the fixed source of goods is difficult to guarantee, many merchants' "tail goods" business is hard to make profits; thirdly, the adulteration of counterfeit and inferior goods is difficult to guarantee because the quantity of the tail cargo accounts for only 5% of the national capacity, and the actual supply is limited, so there is a general confusion in the tail cargo market.

In these tail cargo markets, there are some merchants who are not operating the tail cargo, and the operation chaos is unavoidable.

Because there are various drawbacks in the current inventory handling mode, how to find a more convenient and effective channel has become a matter of great concern to garment enterprises and agents.