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    Analysis: How Can China'S Export Shoe Enterprises Establish Distribution Channels In The European And American Markets?

    2010/12/21 10:08:00 104

    Export Shoe Enterprises Distribution

    December 21st, footwear has always been China

    Exit

    One of the commodities.

    In 2004, footwear products exported 15 billion 200 million US dollars, accounting for 9.1% of total exports of light industrial handicrafts 167 billion 100 million US dollars.

    It accounts for 2.6% of the total export volume of US $593 billion 400 million.

    In the international footwear market, our country also occupies a very important position.

    According to relevant information, the annual output of footwear in China is about 10 billion pairs, accounting for about 60% of the world's total output, ranking first in the world.

    In the global footwear trade, China's footwear exports accounted for more than 25%, ranking first in the world.


    China is the world shoe center.

    market

    65% of the shoes are made in China.

    China's footwear products can enter the US market through different channels.

    Before we open up the market, we must make adequate preparations.

    The market in the United States is huge and complex.


    This is not only a fierce competition, but also a rapidly changing market. The American legal system has different ways of managing the market, businesses and products, and the US businessmen have a very high demand for business partners and products.

    Chinese footwear enterprises need to have enough sober knowledge and understanding before opening up the US market, otherwise, even good products may not succeed.


      

    distribution channel

    Choice and establishment


    The US economy is highly developed. It is the largest consumer market in the world and has huge market demand.

    But the US market is complex, changeable and competitive.

    Therefore, if Chinese footwear enterprises occupy a certain share of the US market, they need to establish a relatively stable distribution channel in the US market.

    There are various types of distribution channels, no matter how they exist, so long as they enable customers to contact and communicate at any time, and constantly expand their market share, that is the most effective channel mode.

    Chinese footwear enterprises should closely grasp the US market, combine the characteristics of the US market and the situation of the enterprises themselves, and select and establish a suitable distribution channel for the enterprises.


    Footwear enterprises should choose and establish suitable distribution channels according to their own conditions.

    Enterprises with strong economic strength and rich market experience can choose to set up branch offices and offices in the United States to facilitate first-hand market information; enterprises with weak economic strength and market experience are not very rich, and enterprises can choose to expand market channels through intermediaries.

    At the same time, we can adopt new marketing methods to expand business.


    The purpose of establishing distribution channels is to better communicate and communicate with customers, so we should pay attention to localization.

    Local people have an incomparable advantage in communicating, cultural background and understanding of customer psychology.

    Local managers and employees are employed to promote the establishment of brand by using their advanced management experience and mature sales channels. The footwear enterprises in China employ locals to localize their employees, so as to facilitate the establishment of good customer relations and lay the foundation for market expansion.


    Strengths and weaknesses


    China's footwear products have different grades of products, which can meet the needs of consumers at different levels in the United States. China's labor resources are abundant, shoe material resources are abundant, and raw materials are cheap. Chinese footwear enterprises have the advantages of capital and technology, which have covered the strength of the footwear industry of two shore and three places, and have the unique advantage of developing the US market.

    The products of Chinese footwear enterprises occupy an absolute advantage in quantity in the US market.


    At the same time, China's footwear products lack their own brands, and are not conducive to the establishment and expansion of distribution channels. Footwear products have low internal quality and low technology content, and the quality of footwear products needs further improvement. They need to continuously improve their R & D capabilities; footwear products occupy a relatively small share of high-end market and lower product grades.


    Therefore, when choosing distribution channels, footwear enterprises should not only see their own advantages, but also clearly recognize their disadvantages.

    We should foster strengths and circumvent weaknesses, give full play to our advantages, establish brand reputation, and constantly improve the internal quality of products while establishing distribution channels.


    Foreign products dominate the footwear market in the United States.

    In the non rubber shoes market, 76% of the products are made in China; in the rubber and fabric shoes market, the products made in China account for 75%, which shows that China's footwear products occupy an absolute advantage in the US market.

    At the same time, it is also facing great challenges.

    The United States government is particularly strict about the hygiene and safety requirements of footwear products. The US green barrier is required to be high, and the restrictions on all kinds of harmful chemicals are strict; the US tariff is generally high; the American consumers have high requirements for the internal quality of footwear products, and the demand for science and technology is higher; the US market has great potential and the competition among countries is fierce; the customs clearance procedures for footwear products in the US market are extremely cumbersome and costly.

    {page_break}


    Faced with these severe challenges, Chinese footwear enterprises should take a positive attitude and take full account of these problems when choosing distribution channels, formulate distribution channels and publicity strategies aiming at the characteristics of the US market and consumer buying habits, and also need to understand the laws, marketing modes, sales channels and cultural differences between the East and the West.


    China's shoemaking enterprises can make use of their abundant labor resources and low raw material prices to develop and produce in China, and produce products to be exported to EU Member States.

    Large retailers adopt their own global sourcing centers and regional sourcing centers.


    First, large-scale commodity procurement, and then decentralized sales.

    In this way, we can expand sales channels, protect Chinese enterprises and products, and speed up product sales.


    Advantages of China's export shoes


    (1) low price


    China's labor resources are abundant and cheap, raw materials are cheap and energy prices are low.

    These factors make China's footwear have obvious price advantages in the EU.


    (2) many styles


    There are many kinds of shoes in China, and there are many styles. The distinction between price levels is more obvious, which can satisfy consumers' consumption in EU market.


    Diversified and hierarchical consumption demand.


    (3) certain quality advantages


    The quality advantage of Chinese shoes is also obvious, which reflects the overall advantages of Chinese shoes.


    Disadvantages of China's export shoes


    (1) lack of brand names


    For example, Italy, Britain, Germany, Spain and other countries have some world-famous brands of footwear, which have a very high reputation among consumers.

    Lack of brand and traditional Europeans like luxury, brand consumption habits do not match.


    (2) the production scale of China's footwear manufacturers is relatively small compared with the export volume of individual enterprises. It is difficult to achieve scale effect, increase unit costs and reduce their profit margins.


    In the European Union, shoe making industries in Italy, Britain, Germany and Spain are all well developed.

    They have done a good job in brand building, such as ATTIVA, LORIBLU, Lesaunda, SergioRossi, VitoArtioli, Geox, Paul and other brands in the global reputation is very high.

    Although there are also some famous brands in China, such as BELLE, riches and birds, and so on, they are not very famous in the international market.

    Some famous brands abroad have brought great challenges to China's footwear export to the EU market.


    Footwear in other countries in the EU market also poses challenges to China's export footwear in terms of quality, design, management and marketing.

    For example, Italy shoes, the pursuit of excellent quality and fashion trends, elegant, casual and highly concise design benchmark.

    In the design of women's shoes, the function of casual shoes is not only abandoned by the high heel and pointed top shape, but also the quality of leisure shoes is more practical.

    In addition, Italy shoes also use many colorful geometric printing patterns, and rich fabric selection and brighter colors are used more.


    In addition, the challenge to China's footwear exports to the European Union is the footwear products of some other countries in the EU market, such as Turkey and some countries in Southeast Asia. These countries have certain advantages in terms of price, capital and technology brand, which pose great challenges to Chinese shoe products.

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