The Expansion Of The First Clothing Trade Area In China Is Constantly Hidden Danger Of Homogenization.

Guang Bai group has taken the latest trend in the operation of Liuhua exhibition hall after the general fair. Recently, the author has learned exclusively that the group will pfer the right of operation with the Wenzhou chamber of Commerce in Guangzhou.

In addition, a "Liwan District world trade clothing city", which runs across the intersection between Yuexiu District and Guangzhou, is known as the "280 thousand world square" aircraft carrier garment city.

In the next two years, the garment market will expand from the current 600 thousand square meters to more than 1 million square meters.

The status quo: the expansion of Liuhua business circle, the world trade clothing city has started construction.

In February of this year, the Guangzhou municipal investment group of Guangzhou group, the successful owner of the group, won the right to operate the Liuhua Pavilion for 10 years, including 92 thousand and 300 square meters of business district and 56 thousand square meters of exhibition area.

After taking over, Guang Bai group will spend 100 million yuan to renovate the exhibition hall and rename it as "sinhui". Xun Zhenying, chairman of Guang Bai group, has said that Liuhua hall will set up a "never ending trade fair" through collecting the excellent brands and products of the whole country, integrating commodity display, wholesale and retail.

WTO clothing city or trial industry next year

Recently, I learned that Guang Bai would like to sublet Liuhua hall to the Guangzhou Wenzhou chamber of Commerce Clothing sub committee by pferring the right of management, and the latter is going to make it into a long-term clothing exhibition and trade hall.

The reporter called Tang Zhiquan, deputy director of the brand communication department of Guang Bai group, to verify the rent level and the details of the cooperation between the two sides. Tang Zhiquan said he had not received the exact information and refused to disclose more details.

In addition, in the Liuhua clothing trade circle, a city complex known as 280 thousand square meters - Guangzhou world trade clothing city has started construction.

It is reported that the project includes apartments, office buildings and commercial cities, with more than 3000 independent property rights shops and 3500 parking spaces.

Reporters in his investment floor book, the project investors are Guangzhou Railway Group, Nanling Railway Real Estate Development Co., Ltd. and Guangzhou Ming Long Real Estate Development Co., Ltd.

According to industry sources, the site of the project was originally a logistics unloading area of Guangzhou railway station. The actual investor is Wenzhou chamber of Commerce.

Form the largest country in the country

I understand that since the relocation of Liuhua exhibition hall to Pazhou guild hall in recent years, the expansion of Liuhua clothing trade area has not stopped over the past two years.

First, the Dongbao group took the lead in changing the Dongbao Exhibition Center of hall 20 of the Canton Fair, and changed it to Dongbao International Women's and baby products exhibition trade city. Then, the AB group's Taylor announced that it would spend 30 million yuan to kill the Liuhua business circle and pform the original Friendship Hotel into Guangzhou's most professional foreign trade clothing trading platform.

In October 2007, one horse pportation investment company invested about 1000000000 yuan in the opening of one horse clothing Plaza.

In addition, the Guangzhou Mei Bo garment city, which was invested and operated by Annwa group and rebuilt by the hotel, has also been pformed and positioned.

Ding Ning, executive vice president of the Guangdong apparel and apparel industry association, said that with the pformation of the original exhibition hall and hotel around the old Canton Fair and the re placement of the professional market, the 34 garment markets that have already been opened are lifting a business volume of nearly 1 million square meters in total. This is no doubt that it will become the largest clothing business circle in China. At present, 1/3 clothing in the whole country is wholesale in the clothing market of Liuhua district.

Survey: rent reduction will attract merchants to enter the market at a low price?

It is understood that the world trade clothing city across the intersection of Liwan District and Yuexiu District, operating categories covering clothing, shoes and hats, leather, jewelry, etc., only rented.

But the whole garment city is surrounded by the clothing city of kapok, white horse, one horse, Tianma, Mingzhu, Jindu, Guang'an, Jinxiang and so on, and the geographical location is not superior.

The rental price relates to

An industry insider who does not want to be named told reporters that the world trade clothing city may take a low price or part rent free investment strategy to enter the market. At present, it has issued an offer to the top quality brand merchants in the city of Liuhua District, with the rent reduction to attract these brand merchants to enter.

The Backstreet boys who operate men's wear brands in the red cotton international fashion city are among the merchants who receive the offer.

Shi Xiaoming, the person in charge, told reporters that if the rental level of the world trade dress city is comparable to that of the current Liuhua rental market, its investment will have great resistance; if the investment strategy of low price or even rent reduction is adopted, it may attract some brand merchants to set up a flagship store or exhibition hall in the past with more than 500 square meters of pavements, and bring in some small businesses to enter.

"The world trade garment city is not impossible in the short term, the key is the rental price should be appropriate."

Shi Xiaoming said that at present, some brand businesses have paved surfaces in several garment cities in the commercial circle, while the products sold are almost the same. More importantly, the wholesale price of clothing has been very pparent, buyers no longer have three goods, but they are getting goods from familiar merchants, so more or less shops have little impact on the brand.

WTO or down rent 50% entry

Insiders pointed out that the world trade clothing city may be lower than the current average price of Liuhua shops 50% or even lower into the market.

It is understood that with the major garment city out of the haze of the economic crisis, the rent has also risen.

Some clothing city rents hit 45% off last year, this year has risen to 30 percent off, back to the level before the financial crisis; while the stall of Station West Road, the rent increased from 20 thousand yuan / month in the previous two years to 30 thousand to 40 thousand yuan / month.

After this year's property market has experienced two regulatory storms, shops investment has entered the "hunting" range of investors.

According to he Fu home statistics, in recent months, the Guangzhou commercial real estate market has more active shops concentrated in 3 million to 5 million yuan, an increase of two or three over the beginning of the year.

Therefore, the world trade clothing city low price into the market has great damage to the business circle.

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Industry discussion

The advantages and disadvantages of the expansion of business circles? The key to a double-edged sword lies in stagger positioning.

Bu Xiaoqiang, general manager of the international fashion city of Hong Kong, said that the entry threshold of the clothing industry was low and competition had already been quite intense. In addition, the financial crisis had caused a great impact on China's clothing export market, and many garment enterprises were turning around to divide the cake of the domestic market.

Since last year, the cost of clothing raw materials and labor has been rising, and the pressure of survival has already been great. At present, the capacity of Liuhua clothing business circle has been saturated, and the investment risk can not be ignored.

Cheng Jiuzhou, general manager of the white horse clothing market, believes that the expansion of Liuhua clothing business has advantages and disadvantages. On the one hand, if the new market can make innovations and complementarity from planning, functional positioning and format layout, it will benefit the diversification and diversification of Liuhua products, and also enhance the radiation force and influence of Liuhua clothing business circle. However, if the investment homogenization and the addition of new sources do not exist, the competition of Liuhua business circle will be even more brutal.

According to statistics, by the financial crisis, Guangzhou has more than 100 million professional markets in the past 157, only 5 more than the previous year, with a turnover of 180 billion 900 million yuan, an increase of only 4.5% over the previous year.

From last year's increase in the number of professional markets to the year-on-year increase in turnover, last year's performance was significantly worse than in previous years.

Competition is saturated? The rise of clothing cities everywhere is more pressing.

The industry generally believes that the current capacity of Liuhua business circle has been saturated, and homogenization competition is fierce.

Cheng Jiuzhou said that it is hard to say whether the business circle is saturated at present, because the market will naturally adjust.

He believes that the current competitive pressure of Liuhua clothing business circle is more from the outside.

"10 years ago, the first class clothing wholesale market in China (mainly composed of manufacturers) was mainly located in Guangzhou and Hangzhou, where the Yangtze River Delta and the Pearl River Delta are the two major garment bases, with a complete industrial chain support behind them."

Cheng Jiuzhou said, but in the past 3~5 years, the professional market has sprung up all over the country. Especially after the financial crisis, some garment factories moved obviously. "The clothing market in the mainland may lack the soil for growth, but now once the factory is set up, coupled with the low cost of land and labor in the mainland, the development of the soil will be better than before."

Cheng Jiuzhou pointed out that the wholesale clothing market in Zhuzhou, Changshu, Hangzhou, Fuzhou, Wuhan, Beijing and other places has grown up, and a garment city is always 500 thousand to 600 thousand square meters. Some local buyers are more willing to purchase nearby, which is a great deal of diversion for merchants in Liuhua District.

Reporters also learned from public information that in nearly 2000 different types of clothing markets in the past 5 years, the number of new (including pformation) clothing markets accounted for 70% of the total volume, accounting for 85% of the total area of the clothing market.

The biggest obstacle now? The way of operation and hardware can not keep pace with the expansion of business circle.

Most of the garment city managers have expressed concern about the vicious competition in the recent two years.

Bu Xiaoqiang, general manager of red cotton, believes that the biggest development constraint of Liuhua clothing business circle is: it is still in a relatively primitive stage of operation and expansion, and there is no new development in the quality of operation, and there is no qualitative leap in connotation.

Mainly manifested in the backward way of business pactions, still cash, spot, on-site "three now" sales; road traffic, storage, parking lots, office buildings and other hardware facilities did not keep pace with the expansion of business circles over the past few years.

He believes that if the new garment city can make dislocation and innovation from the aspects of planning, positioning, investment and so on, it can introduce clothing leading enterprises in Sichuan, Hubei, Fujian, Jiangsu and Zhejiang provinces in the aspect of investment invitation, and create new features in terms of function, positioning, format combination and management mode, so as to expand the radiation power of the business circle.

This reporter has learned that after 10 years of adjustment, Liuhua clothing business circle has been very clear in various market operations, such as white horse in the middle and high-end fashion women's wear, men's clothing, red cotton is positioned as young fashion trend men and women's clothing, one horse gathered a large number of domestic well-known high-end men's wear brand store, Kangle to cowboy series as the fist product, Royal Dragon, Canaan and other foreign trade clothing market mainly for the Middle East and Africa and other places of foreign trade business, and Dongbao to operate women and baby products mainly, the new earth clothing city chose the main knitted sweater.

A consultant who has long been engaged in professional market analysis and research has pointed out sharply: "it is the key whether we can stop our feet after expansion."

It is understood that the current wholesale market homogenization of Liuhua business circle is quite serious, and as a latecomer, if the market positioning, the introduction of brand and the original market is almost the same, which is very unfavorable for the development of business circles.

Expert opinion should set market access threshold and protect business circle.

It is reported that after the world trade clothing city and Guangzhou Trade Fair Liuhua business district put into operation, the business area of Liuhua clothing business area will expand from the current 600 thousand square meters to 1 million square meters.

Regarding this, Wang Xianqing, director of the Institute of circulation economics of Guangdong University of Business, said that the government departments should set up entry barriers for convective flower business circles, because the affordability of the business circle is limited and can not be blown up by infinity. On the basis of investigation, the government should make certain "market protection zones" according to the current market distribution and industrial layout, and assume the responsibility of fostering and guiding the market.

For example, we should give city planning confirmation to the market in the protected area, confirm the qualification of the market development zones and operators in the region, and confirm the property suitable for the market development in the region.

In addition, garment city managers should change their business philosophy and pform from the maximization of short-term interest in pursuit of "rent rent" to the long-term development track of jointly developing brands with merchants.

For example, market operators can organize merchants to join hands in the construction of domestic garment circulation channels, extend the market chain and participate in the construction of domestic channel system.

At the same time, market operators can join hands to form market alliances, participate in market competition in other regions of the country, and jointly build regional brands.

Zhou Lun, Secretary General of Guangdong clothing and apparel industry association, also pointed out that the current expansion of the Liuhua business district should not be the lowest rent, but should be differentiated from service and management.

He pointed out that at present, Guangzhou's clothing market is entering into a new turning point that integrates functions of trade, display, price, information, service, e-commerce and so on. After expansion, the Liuhua business circle will also carry out a new round of shuffling.

Extending the "blood sucking mode" of commercial real estate

In the industry, whenever there is a new market, some brand businesses, especially small and medium-sized businesses, will have to spend a few years' savings to get the stalls, which is known as "blood sucking" by the industry.

Zeng Hao, who once ran cloth business in the Zhongda cloth market, said that because of the fierce competition in the market, merchants were worried that the new stadium would have better hardware facilities and would rush to do business if they did well. Then the price of the new flower would be higher, so the phenomenon of "blood sucking" would exist in every business circle.

Shi Xiaoming, a backstreet boy, also pointed out that since the beginning of this year, cotton prices of one of the raw materials of clothing have been rising steadily, and the pressure of clothing enterprises is very high.

He calculated an account, now 2 million yuan capital only dare to produce 1 million yuan, because cotton one day price, fabric merchants do not dare to prepare the spot, which requires the clothing enterprises to use cash, and the downstream agent is the first sale payment, so the clothing enterprise is the capital strength.

I understand that in October 13th, cotton trading prices rose to 25380 yuan / ton, up 2765 yuan / ton compared with September 30th before the National Day holiday, and last October, cotton prices were still around 14000 yuan / ton, and cotton futures prices also hit the highest level in 15 years.

Shi Xiaoming said frankly that under such high cost pressure, there is also a phenomenon of "laying shop" in Liuhua. Some large businesses will take advantage of their brand influence and take several Pavements at some new prices. After the new market is prosperous, they will rent or pfer to other brand businesses and earn rent difference to feed their own shops.

"Now small businesses have no funds to get new pavements, and whenever the business circle expands, this" blood sucking "mechanism is unavoidable, and I hope the government can introduce relevant guiding policies.