Price Tag Scare Consumers Away. Who Will Pay For The Price Increase?

Along with the "boom" sound, clothing prices in this winter also "eight degrees", the clothing price tag in the major shopping malls, enough to make many wage earners feel excited.

According to some surveys, this year

Cotton prices continue to rise, and the environment of inflation, clothing prices rise early as many people expected.

The soldiers will stop the water and cover up. If you increase your price, I will buy mine.

In this era of diversification of consumer channels, clothing prices can not be difficult to beat smart consumers.

To the high end, luxury consumption is in the ascendant in China, and the prices of goods in shopping malls are rising.

A well-known domestic fashion writer mentioned in his blog: "I saw a discount in Macys department store," DKNY long "down jacket" was only 150 dollars, while the goods in domestic department stores were more than 2000 yuan (RMB).

At the end, she also expressed her puzzled words in the brackets: do you have such questions, students, who are they buying clothes in the department store?

Then look down the consumer axis, headed by Taobao

In this way, the rise in clothing prices results in a gathering of consumers at higher and lower ends, while the mid market stores are left behind.

The clothing market is different from other consumer goods markets. Unlike food prices, it is closely related to people's livelihood. This is a long-term oversupply, and there is no simple choice. Consumers have great maneuverability in the purchase process.

In such a rising price whirlpool, consumers seem to be the ultimate bearers of high prices, but in fact, because of the diversion and re integration of consumer groups, the interests of consumers are not great. In other words, consumers can choose to be "high priced" or choose not to be "expensive".

Price tags scare consumers away, so who will pay for the price increase?

The unsmooth supply chain caused by price increases has begun to highlight.

According to the latest report of Jiefang Daily, following the long time continuous sales growth, the weekly sales volume of 50 single department stores monitored by Shanghai has dropped for the first time, and one of the reasons is that the sharp rise in prices of commodities has restrained consumers' shopping desire to a certain extent.

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Just think, for clothing, the price that rises up is very hard to fall down, the consumer does not buy, will cause the product massive backlog.

Although the reasons for the change in winter clothing prices are more complex, tracing back to the source will undoubtedly return to cotton prices.

We should clearly see that the irrational components of the cotton price rise and fall are first set at a record high level. In the past half a month, they have turned to a sharp decline.

Upstream spinning and weaving enterprises may be able to retreat, but downstream.

What does this mean for China's clothing industry? As a big garment country, what China lacks is clothing enterprises, and there is no shortage of clothing products in the market, but the lack of influential brands and high-quality clothing.

After the crisis, small and medium-sized garment enterprises have just taken the steps of original brand. They generally choose to try to enter the market, and the brand positioning is not high. Such a large price increase is no good news for new brands to open up the market.

There are also some mature domestic brands, which have taken a place in the middle end department stores in recent years, and have established a certain reputation among consumers. But in order to resist the strong offensive of many foreign brands, they are also in the difficult stage of climbing to the high-end market.

If we want to expand the brand advantage, we must maintain the good location of the middle end department store, which is conducive to brand promotion, and the mid end department store "cold spot" caused by the price rise will inevitably make them feel "cold".

Some people may say that wherever there is a consumer, there is a market. The clothing brand named NE. TIGER (northeast tiger), which Zhang Zhifeng has been trying to build, has already shown the clue of China's luxury brands. Taobao's folk brands, such as crack and silk, seven grid, are influential.

But only with a few aspiring brands or several Taobao brands, it is still difficult to support the banner of "Chinese clothing". Our mainstream clothing enterprises need more effective regulation and control ability of the market itself or macro, and a sound price mechanism, so that they do not become the ultimate victims of price fluctuations.