Shenzhen'S Garment Industry Has A Collective Pformation Of &Nbsp; An Average Of Two Or Three Enterprises Own A Brand.

A new round of cost pressures hit the Pearl River Delta

"It has just increased wages again, with an average of 200 yuan per worker per month. Now the monthly salary of workers is basically over 2000 yuan, and they also need to eat and lodge.

If such a level is not reached, it is difficult to retain skilled workers in Shenzhen.

The price of raw materials has gone up very badly. The price of imported fabrics has increased by more than 30% this year.

However, brand plays a great role in the cost of digestion.

Chen Lingmei, chairman of Shenzhen winner Clothing Co., Ltd., told reporters yesterday that rising cost is an inevitable trend. The key is the adjustment of business strategy. Enterprises that rely only on cheap cost mode will eventually be eliminated.

Chen Lingmei said that the sales target set up this year is an increase of 42%. In the first half of the year, it has been completed according to the original plan. A set of garments has been sold for about 5000 yuan. Some of the dresses have even been sold to tens of thousands of yuan. There is a larger profit margin to digest the sharp increase in production costs this year.

However, the investment in brand creation is large, with certain risks.

Chen Lingmei, for example, has launched a new independent brand in 2008. Now it has invested 35 million yuan. Now it is open to six or seven stores. It is still losing money. When it plans to invest 50 million yuan, it will be able to turn a profit into a deficit. To be a high-end brand, we must stick to it and prepare for the money in the first three years.

Many processing enterprises are worried about investment risk and unwilling to take the road of brand, but foundry is not a long way to go.

As a number of high-tech enterprises continue to emerge, a growing number of garment enterprises in Shenzhen realize that if they want to stay in the city to continue to develop and compete with some high value-added manufacturing enterprises for workers and factories, they will have to change the growth mode. Processing alone will not sustain the increasing cost.

Xia Guoxin, chairman of Shenzhen Ellassay Apparel Industrial Co, revealed that the profit difference between the processing and brand operation was 1: 9, the gross margin of the OEM was less than 10%, and the gross profit margin of the brand management was as high as 90%.

At present, Shenzhen is the largest production base of women's clothing brand in China. The output value of clothing brand has increased from less than 10% in the early 90s to 49% last year, and this trend is accelerating.

Jiang Hengjie, executive vice president of China clothing association, told an interview with our reporter that China's clothing industry is showing the trend of brand clustering. There are only more than 3000 garment enterprises and more than 1200 brands in Shenzhen alone.

The homogenization competition in the garment industry is serious. It is particularly important to find a unique brand competitiveness and precise market positioning.

Expand brand and domestic sales, which also plays a great role in promoting exports.

Xu Yuping, general manager of Shenzhen Gore Fashion Co., Ltd. said that walking on two legs on both sides of the market helped the company grow steadily. In the process of building the domestic brand, the design and product quality were continuously improved. In fact, the export orders also paid more attention to the pformation from quantity to quality, and the price rose to the offshore customers relatively smoothly. The company's performance increased by 20% this year, which can bear the pressure of the rising cost.

This year, Shenzhen, the largest garment exporter in Guangdong, has maintained relatively rapid growth.

Customs statistics show that in the 1~6 months of this year, Shenzhen exported 5 billion 350 million dollars of textile and clothing, an increase of 16.4%, accounting for 32.5% of the total value of Guangdong's textile and garment exports in the same period.