Where Is The Clothing Consumption Going?

Demand driven innovation

After the end of the 2010 China Textile Innovation annual conference, demand and

Q: what role do you think the goal of "rich and rich" put forward in the "12th Five-Year plan" proposal has on the clothing industry?

Sun Ruizhe: according to estimates, the capital formation rate of our country rose from 32% in the early 80s to 46.8% in 2009, and the final consumption rate dropped from 67% to 48.6% in the same period.

The lack of consumption is related to the unreasonable distribution of income structure, and the proportion of residents' income in the distribution of national income is low, which has affected the improvement of residents' consumption demand.

In 2008, the per capita clothing consumption expenditure of urban residents in China was 1166 yuan, while the per capita clothing consumption expenditure of rural residents was only 212 yuan.

In 2009, the per capita clothing consumption expenditure of urban residents in China was 1284 yuan, while the per capita clothing consumption expenditure of rural residents was only 232 yuan.

From 2008 to 2009 years, the difference between per capita clothing consumption of urban residents and per capita clothing consumption of rural residents is about 5.5 times.

The goal of "rich people" will enhance the overall consumption rate of the whole society and provide an optimistic policy expectation for balancing the consumption capacity of urban and rural textiles and clothing.

The textile industry is closely related to people's life. The textile and garment industry is not only an obvious industry and important livelihood industry of the international competitive advantage, but also an important driving force for improving people's life and having a healthier and sustainable way of life.

In the future, the textile and garment industry should become an important part of the strategic emerging industries and an important driving force for the fashion industry.

Q: what role do you think domestic demand plays in promoting clothing development?

Sun Ruizhe: from the national strategy, domestic demand must be an important support for economic development.

Let us give you two examples: one is the advanced developed countries, the other is the developing country, India.

Their domestic demand exceeds 92% and 88%, and China's 2008 figure is 72.8%.

Economic development has made objective demands on structural adjustment, and the ratio of domestic demand to the proportion of the entire demand must be raised.

Over the past two years, sales of textile and garment enterprises above Designated Size have been steadily improving in the domestic market, and this year is close to 82%.

Q: how do you think the demand driven industrial innovation capability should be understood?

Sun Ruizhe: to really push the "demand driven" connotative growth mode on the industrial level, we need to

First of all, it is to accelerate the development strategy of science and technology and industry.

Green, low carbon technology and industrialization as a breakthrough point.

Last year, the US launched the green economic recovery plan and the EU's green technology research and development plan, all of which were aimed at shaping new competitive advantages and seizing the new commanding heights.

Second, speed up the strategy of talents.

The internal quality of human resources has replaced the size of human resources and is the key guarantee for the strategic breakthrough of China's textile and garment industry from "textile power" to "textile power".

Thirdly, it is to accelerate the brand strategy.

Brand competition has made qualitative changes in the competition pattern of textile and garment industry: personalized competition has gradually replaced homogeneous competition, and value competition has gradually replaced price and quantity competition.

For brand development strategy, it is necessary to enhance the added value of brand and take the innovative path of connotative development.

Finally, we must accelerate the strategy of sustainable development.

The rational layout of domestic demand market and regional structure and industrial structure has established a dynamic mechanism for sustainable development of the textile and garment industry, and the development of energy saving and environmental protection and new technology has also provided the market basis and technological guarantee for sustainable development.

Q: what is the ultimate goal of industrial innovation?

Sun Ruizhe: the ultimate goal is to improve the competitiveness of the industry, realize the high degree of industrial structure and rationalization, and finally grasp the right to speak in the global value chain system.

As an innovation system adhering to the four main development lines of technology, talent, brand and sustainable development, the standard discourse power and the fashion discourse power will be combined to create a variety of innovative infrastructure projects, from the hard power and soft power level to win the right to speak in terms of technical discourse, market discourse and fashion value.

Standards are the commanding heights of independent innovation. Whoever masters the right to speak in standard setting will have the initiative in market competition.

Its main framework mainly includes technological innovation, innovation, quality system, information management and social responsibility.

In addition, it is very important to strengthen the construction of fashion discourse power and create the leading power of the popular trend.

It should be noted that fashion pformation is the only way for the traditional manufacturing industry to obtain pricing power and dominate the fashion value evaluation system.

Its main contents include the leading power of creating the fashion trend planning, the incubation mechanism for building fashion creativity and the big fashion alliance to build cross border integration.

The establishment of fashion discourse power requires the upstream and downstream enterprises of the textile and garment industry chain to accelerate.

The construction of industry fashion discourse power should actively promote the soft power of the national brand, actively promote the overall promotion of "industrial diplomacy" and fashion industry, and gain a more extensive and in-depth cognition at the level of public consumption at home and abroad.

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Where does clothing consumption exceed US $3000 per capita?

At the 2010 China Textile Innovation Conference, which was just concluded, Sun Ruizhe, vice president of the China Textile Industry Association, said: "there is a big gap between China's current consumption level of major families and individuals, and this gap is also a major direction for Chinese people to improve their living and expand domestic demand, which will bring opportunities to the textile and garment industry."

In the first three quarters of this year, the continued growth of retail sales and retail sales of clothing confirmed this statement.

In the first three quarters, the retail sales of garment market increased by 85%, and the volume of retail sales increased by 12.3%.

For the main consumption population, from 2010 to 2025, 20 to 59 years old is the main consumer group. They will take the turning point of our consumption upgrading.

At present, there is an empirical value in the world, with per capita income of more than 3000 US dollars, which is regarded as a significant change in the consumption behavior of residents.

Huatai Securities made a calculation of per capita income. In 2002, China's population with an annual average income of 3000 US dollars was less than 10%, and it was close to 40% by 2008.

So 3000 dollars is bound to bring about a significant change in consumption patterns and consumption patterns.

This is a change to the brand consumption stage, which will bring new opportunities to textile and clothing.

Continued consumption of clothing

In 2010, the internal and external development environment faced by the garment industry is complex and changeable.

The substantial rebound in the international market is not yet clear. The overall weakness in the recovery of developed economies in the United States, Japan and Europe has cast a shadow over the prospects for the recovery of the global economy and the market. Exchange rate issues and trade protectionism are all problems that the industry must face.

The irrational rise in the price of cotton led to the rapid increase in the price of almost all the raw materials of clothing. The rising cost of wages and welfare and the decline in the quality of the labor force greatly increased the labor cost. As the first element of the manufacturing industry, the dilemma of "manpower" and "raw materials" has brought many chain reactions to the industry.

In spite of this, the various indicators of the clothing industry have obtained high growth, one of the important reasons is: consumption to power.

The continuous high growth of domestic demand and the promotion of consumption structure have become the first pull driving force for the development of textile and clothing industry.

According to the November national economic statistics released by the National Bureau of statistics, in November, the total retail sales of social consumer goods totaled 13911 billion yuan, an increase of 18.7% over the same period last year. In 1~11 months, the total retail sales of social consumer goods totaled 139224 billion yuan, an increase of 18.4% over the same period last year, which was 0.1 percentage points faster than that in 1~10 months.

Among them, the wholesale and retail sales of clothing retail sales increased by 24.5%.

In fact, during the "11th Five-Year" period, clothing consumption maintained a year-on-year growth of over 20%, and the growth rate was significantly higher than that of the total retail sales of social consumer goods.

In 2006, the total retail sales of consumer goods in China totaled 76410 billion yuan, an increase of 13.7% over the same period last year, of which apparel retail sales increased by 20%, and the growth rate was 6.3 percentage points higher than the average level. In 2007, the total retail sales of social consumer goods increased by 16.8% over the same period, and the retail sales of clothing products increased by 28.7%. The growth rate of clothing retail sales increased by 28.7% percentage points, and the growth rate was higher than the average level of 11.9 percentage points. In 2008, the total retail sales of consumer goods in China totaled 108488 billion yuan, an increase of 21.6% over the same period last year, of which the growth of clothing retail sales was 25.9%, the growth rate was higher than the average level by 21.6% percentage points. In 2009, the total volume of retail sales of consumer goods nationwide increased by 8 yuan, up from the same period last year, of which clothing retail sales increased by more than the average growth rate by one percentage point.

While consumption continues to grow, another feature is worth noting: two or three, the consumption growth of line cities is remarkable.

On the day of the mature saturation day of the first tier cities, the two or three line market and the more extensive market become the most shining market growth point of the clothing industry.

In addition, the rural clothing consumption market and the urban clothing consumption market are developing at the same time.

In recent years, with the increase of farmers' income and the increase of rural consumption level, the demand of clothing for rural consumers has changed from wear resistance and cold resistance to novelty, beauty and high quality. Clothing consumption has begun to become casual, fashionable and urbanized.

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According to a data from the National Bureau of statistics, since the reform and opening up, the expenditure per capita of clothing purchased by rural residents increased from less than 6 yuan in 1983 to 142 yuan in 2008, an increase of 23.9 times. The number of clothing purchased from various sectors increased from 0.7 to 2.7, an increase of 2.9 times.

It is understood that some garment enterprises also recognize the great potential of the rural market, and gradually increase their investment in the rural market.

Jiang Hengjie, a consultant of China Fashion Association, also stressed that "clothing enterprises should pay attention to tap the potential of the rural market and make clothes for 1 billion 300 million people."

China will become the largest consumer of luxury goods.

"In the next three years, China will replace Japan as the largest consumer of luxury goods."

Regarding the future development trend of the luxury market in China, Zhu Mingxia, director of the Research Center for luxury goods at the University of foreign trade and economics, made a prediction on the development trend forum of luxury goods held in Beijing.

Goldman Sachs investment bank predicted that China's willingness to spend luxury goods in the next five years will rise from 40 million to 160 million.

A market watchdog pointed out that Asian economic prosperity and luxury goods are popular.

Data show that in 2010, China's luxury consumption reached US $6 billion 500 million, the first growth rate and the first sales volume in three consecutive years.

China, which accounted for 12% of the global luxury goods market last year, has increased 3 percentage points to 15% this year.

According to Goldman Sachs's latest Asia Pacific consumption data, almost all the luxury brands that have landed in China have gained two digit growth in the coming 2010.

The development trend of the Chinese market is amazing.

According to the information provided by Gucci, it entered the Xpu Ha Palace Hotel in Beijing in 1997, and opened another store in Shanghai Times Square in 2001. The number of new stores in 2004 increased by 3, 4 in 2006, 7 in 2007, 9 in 2009, and nearly 30 in 2009.

In the next few years, Gucci plans to set up 40 branches in China.

At present, Gucci has 50 in Japan and about 70 in Europe.

China has become a key area for the growth of Gucci sales. Sales of Gucci brand products in mainland China, Hongkong and Macao jumped 41.5% last year, pushing Gucci group's overall revenue growth by 8.1% to 3 billion 380 million euros.

After the financial crisis in 2008, the growth rate of global luxury consumption is declining sharply.

Chanel group therefore laid off 200 people, accounting for 1/10 of employees; France's advanced custom fashion brand Christian Lacroix filed for bankruptcy protection; the British luxury ceramic company Waterford Wedgwood filed for bankruptcy protection, and private investment firm KPS acquired its global assets, including Hongkong subsidiary.

But China quickly became a haven for luxury goods.

Data from Husband Retail Consulting, a retail marketing consultancy, showed that nearly 300 top stores opened in Beijing before the end of 2009.

Data released by a number of agencies show that China's luxury goods industry has maintained a growth rate of over 20% in recent years.

Insiders said: "although these are part of the survey data, no one can get accurate statistical results, but at least we can see the luxury brand's enthusiasm for the Chinese market."

In China, the middle class, another main force in luxury consumption, is attracting more attention. China's middle class also takes pride in wearing or having a luxury LOGO.

Sun Ruizhe said: "China's definition of the middle class is rather vague. The middle class must be the most important part of consumption.

McKinsey has made statistics, including more than 10 emerging countries, including China. At present, the middle class has already covered nearly 2 billion people. At present, they spend nearly 7 trillion dollars per year. In the next 10 years, this figure will reach US $20 trillion, which is two times that of the US, and China must be half of it.

Its consumption potential is very large. "

According to statistics, the average age of luxury goods consumers in China is 15 years lower than the average age of global consumer groups.

Louis Weedon, chief strategist Huang Xiu, who is based on luxury marketing, points out that the luxury consumption of young people is T level development. "The first package may be an ordinary pop bag, and the next package may be worth five thousand or six thousand. Next year it may buy a new one. Maybe it will buy Hermes next year, which has become a normal consumption behavior. That's why so many luxury companies have entered China."

Clothing consumption ranks first among urban women for 5 years in a row.

Clothing, food, housing, travel, clothing ranked the first place, why? Perhaps the National Women's Federation propaganda department, the China Consumer Association, China Women's magazine and other units issued the "2010~2011 China urban women consumption survey report" can answer the data.

The survey shows that in 2010, urban women's consumption was the largest expenditure on clothing and clothing, ranking the top of consumption (the top five consecutive years), followed by travel, health and car related expenditures.

The survey also shows that Chinese women prefer domestic clothing brands to the top 49.3% of the most expensive (one) garments purchased by urban women, reaching the top of the list of "domestic brands", reaching more than 60%; choosing more than 60% of "domestic brands" and "joint venture brands"; the awareness of urban women for international brands is related to the degree of internationalization of cities; the cities with higher proportion of international brands are Beijing, Dalian and Shanghai.

In the data of the increasing consumption of beautiful women, clothing and clothing are the eternal themes in women's consumption. In the first 10 months of this year, 96.8% of the respondents had clothing and clothing consumption experience.

The average cost of buying clothes for oneself is 4267 yuan, and the average expenditure for buying clothes for the whole family is 8793 yuan.

Respondents bought themselves the most expensive item (clothing) on average for 1390 yuan.

In addition, online shopping has become one of the most important shopping methods for women: in 2010, the number of respondents who participated in online shopping reached 70.8%, and the proportion of online shopping was only 42.3% last year.

The number of respondents who participated in online shopping in Beijing reached 90.7%, ranking first in 10 cities.

Respondents aged 18~30 years reported the highest proportion of online shopping, while 39.8% of respondents aged 51~60 years were involved in online shopping.

The survey selected 10 large and medium-sized cities such as Beijing, Shanghai, Guangzhou, Harbin, Changsha, Lanzhou, Dalian, Taiyuan, Chengdu, Ningbo and so on. 1050 questionnaires were distributed and 1024 valid questionnaires were collected, with an effective recovery rate of 97.52%.

The respondents were 18~60 year old urban women with recurrent income, whose average age was 36 years old.

The explosive growth of e-commerce consumption

Sun Ruizhe said at the 2010 Annual Conference of the textile industry association: "online shopping must be a concern for everyone.

At present, this form is developing in China, and our textile online shopping is ranked first, more than the digital home appliance industry.

The textile industry association information center once had a demand research report on textile and clothing products, and also showed a strong willingness to choose online shopping on the consumption level.

According to the "2010 China e-commerce consumer market research report", 30% of the 3532 netizens in the three cities surveyed have been involved in e-commerce activities. These people are not only Internet users who spend more than 6 hours a week online, but also have participated in online shopping, online auctions, online auctions, online education, online booking, online stock trading and other e-business activities in the past year.

According to Ai Rui's "2009-2010 China online shopping industry development report" data, the total amount of online shopping in 2009 will reach 250 billion yuan.

But overall, online shopping accounts for only 1.98% of the total retail sales of consumer goods.

Online shopping groups are gradually expanding along with the growth of Internet users' base, but the penetration of Internet users in China is still lower than that of developed countries, and there is a huge gap between online shopping penetration and cities. All these imply that the explosive growth of e-commerce market in China still has huge potential in the past.

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The average age of luxury consumer groups in China is 15 years lower than that of the global consumer group, and the majority of them are between 25 and 44 years old.

Online shopping, watching TV shows, watching news and chatting have become the main way of life for this group.

In order to cater to the core consumer power of luxury brands and attract younger potential consumers, the marketing strategies of luxury brands are also changing and starting to get involved in Internet marketing.

In the past two years, the online stores of luxury brands have already opened to China from Europe and America.

At present, Armani and other companies begin selling seasonal products through official online stores.

Italy YOOX group, which specializes in setting up online stores for luxury brands, has recently landed in China.

"Luxury brands have always been conservative in online marketing, but now the demand for consumers is changing. No matter how strong the brand is, they can not stick to the original marketing methods and adjust them according to the change of consumer demand."

Luxury website "excellent network" marketing director Huang Siwei said.

VANCL, who claims to create "civilian fashion" clothing e-commerce leader, has grasped the mainstream of mass consumption. In just a few years, sales exceeded 2 billion, which has made a myth of the clothing industry.

There are three reasons for the rapid rise of online shopping: first, consumers have more shopping options than shopping in the shop when they shop in the shop. They can easily shop goods and save time; second, online shopping can learn more about the reputation of brands and products through interaction and search, so as to make more accurate shopping decisions and save worry. Three, because of the lack of channels, promotions and other costs, the products of online sales will be more favorable than those of physical stores, that is, the so-called money saving.

As of 2010, China had 420 million Internet users - 5 times more than India's Internet users, almost double the number of Internet users in the United States - new users are increasing at a rate of 6 million per month.

About half of China's urban population is using the Internet, while the proportion of rural residents using the Internet also reaches 1/7.

It is estimated that by 2015, the penetration rate of PCs in Chinese cities will reach 66%, which is comparable to that in Western Europe, while the Internet penetration rate in rural areas will double to nearly 30%.

With the increase in urban and rural areas, China will have more than 750 million Internet users.

Such a huge consumer base is the foundation for the rapid growth of Internet sales. E-commerce must be the fastest selling mode in the future, and the consumers of clothing e-commerce will show a geometric growth.

Questionnaire results

Drawing / Ceng Youchao

Recently, this newspaper conducted a small sample survey on the clothing consumption of ordinary consumers in recent two years.

A total of 100 questionnaires were issued, of which 74 were valid questionnaires.

The survey was conducted mainly in middle-income urban youth, mainly in the cities of Beijing, Shanghai, Guangzhou, Chongqing, Hangzhou and some provincial capitals.

According to the survey, more than 30% of respondents indicated that clothing expenditure increased this year compared with last year, while the clothing consumption of half of respondents was basically the same as that of last year. Less than 20% of the respondents' clothing consumption has declined.

For next year's clothing consumption expectations, more than 30% of respondents will increase, less than 10% of respondents will show a decrease, and 60% of respondents will be uncertain.

Question 1: "how much did you spend on clothing last month?" in the survey, there were 20 people who chose "less than 200 yuan", accounting for 26.3%, and 32 people, 42.1% of those who chose "200 yuan ~500 yuan", 16 people who chose "500 yuan ~1000 yuan", accounting for 21.1%;

Question two: "what is your average monthly clothing consumption?" in the survey, 16 people were selected for "less than 200 yuan", accounting for 21.1%; 34 yuan, 44.7% of the "200 yuan ~500 yuan" were selected; 14 persons were selected for "500 yuan ~1000 yuan", accounting for 18.4%; and those with "1000 yuan or more" were 18.4%.

Question three: "is it expected that next month's clothing consumption will increase?" in the survey, 25 will be selected, accounting for 32.9%; 20 will choose "no", accounting for 26.3%; those who choose "uncertainty" will be 31, or 40.8%.

Question four, "will you consume luxuries?" in the survey, there were 22 people who chose "Hui", accounting for 28.9%, and 54 who chose "no", accounting for 71.1%.

Question five "do you have the experience of buying online clothing?" in the survey, 67 people were selected, accounting for 88.1%, and 9 who chose "no" accounted for 11.9%.