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    Domestic Clothing Brands Are Gradually Terminated By &Nbsp.

    2011/4/7 14:24:00 89

    The End Of Domestic Clothing Brand And The Domestic Market Of Foundry

    The era of domestic clothing brands relying on the international brand of OEM is gradually coming to an end.

    Xue Baojin, general manager of Beijing's homegrown men's clothing brand, said that from the beginning of this year, the proportion of domestic sales will increase to more than 70%.

    And for

    DKNY

    The pformation of the international large scale foundry is also a microcosm of changing the business mode of domestic clothing brands in the case of sharp reduction in foreign orders.


    In the view of business experts, for domestic garment enterprises, although the profits of foundries are relatively low, they only intervene upstream.

    Operation mode

    Simple.

    Clothing enterprises enter the domestic market, which means that the production of goods is only the first step. Enterprises should not only invest heavily in product development and brand promotion, but also deal with rather complex domestic retail stores.

    Despite the huge potential of the domestic market, it is a test of the adaptability of enterprises.


    The trend of export to domestic sales highlights


    "30%-52%", which is an annual sales of more than 400 million yuan, exports to 200 million yuan in the United States, the proportion of domestic market pformation.

    More than 20% of domestic growth has cost the company 25 years.


    Xue Baojin, general manager of Shun Mei fashion Limited by Share Ltd, announced that from the beginning of this year, the proportion of domestic clothing sales will increase from 52% to 70%.

    It also increases the proportion of domestic sales by 20%, which may take up to 5 years for the United States.


    DKNY has been the famous international brand "OEM" as an important source of income in the United States, is also an important brand in the domestic men's wear market, its business model has become a major change in the domestic garment industry has been a microcosm of pformation.


    Some insiders said that the brands such as 361 degree, Anta and other brands, which also own the international sports giant, have already increased their investment in the domestic market.

    However, this information has not been confirmed by the relevant enterprises.


    According to the China Textile Industry Association, at present, more than 80% of the export enterprises in China's clothing industry have begun to "export to domestic sales".


    In fact, the pformation of domestic clothing enterprises from the export route to the domestic market has already begun to emerge after the international financial crisis.

    In the view of the industry, after the international financial crisis, many European and American countries suffered severe economic losses and the market demand shrank, leading to a sharp reduction in international famous brands' orders for domestic foundry factories.

    In order to alleviate the losses, these garment enterprises began to find new ways of development through domestic sales channels.


    Wu Zhize, vice chairman of the China clothing association and chairman of the newspaper bird bird Group Co., Ltd., has said that it is difficult for garment foreign trade enterprises to succeed in pformation to domestic sales, and it will not take 10 years to succeed.

    Even if it takes a lot of effort, it may be unproductive.


    Xue Baojin also believes that clothing brands to survive, need to continue to improve the quality of products, and in the design on the new.

    {page_break}


    Transformation from production to whole chain


    The large volume of foreign trade started last year and the hot market of domestic large tail goods benefited from the favor of consumers to "export to domestic sales".

    But one problem followed. Despite the large volume of sales, the price of these commodities decreased significantly from export to domestic sales, and the profits of OEM companies were still not guaranteed.

    For example, when a domestic factory outfits a foreign outdoor brand, it will only sell 30% of the price of domestic similar products after being sold domestically.


    In order to be able to find long-term solutions to survive in the domestic market, domestic garment traders began to walk.

    Branding Road

    And similar to Shun Mei and other already well-known brands, began to vigorously improve brand building.


    As a matter of fact, the prospect of brand marketing for export enterprises is quite broad. However, the pition from simple production to the whole industry chain will take a lot of cost.

    Liu Hui, a commercial consultant, said that although the profits for the international brand foundry commodities were not high, they only needed to pull the order and put into production the two processes.


    From the OEM to the domestic market, the garment companies that only had the production function in the past should not only spend a lot of money on product development, but also understand the needs of consumers.

    In other words, the main export sales only need to buy plant equipment, and to convert to domestic sales requires huge investment in marketing and sales channels.


    And business experts say that products that are suitable for foreign consumers may not meet domestic needs.

    Analysis of the market, design style, calculation of inventory and capital flow, the establishment of sales channels requires a large number of professionals.


    In addition, the productivity advantage of export oriented clothing brands may also be a burden to the domestic market.

    An insider who has been engaged in textile trade for a long time says that a brand's overseas orders can sometimes support several factories, and even a dozen or more domestic orders can feed an enterprise.


    Adapt to zero donor system and survive


    In fact, for garment enterprises that export to domestic market, increasing capital investment may not be difficult for large enterprises.

    In contrast, whether the garment enterprises that are engaged in production for a long time can adapt to the complicated supply system at present is the key to their smooth pition.


    Recently, disputes like Kangshifu, COFCO and Carrefour have been the real portrayal of the domestic zero supply market.

    The contradiction is nothing more than high entry fees, boarding fees, shop fees and advertising sponsorship fees.

    For garment enterprises aiming to expand domestic sales channels, even if a perfect operation team is established, it is necessary to gradually adapt to various "game rules" of domestic retail channels.

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