Ningbo Clothing Pformation Continued Labor Pains &Nbsp; Small Business Brand Big Business To Sell Culture

In Ningbo, when a lot of "exports turn"

On the 19-23 day of October, the fifteenth international clothing festival was held in Ningbo. Many local fashion brands such as YOUNGOR participated in the exhibition. Once again, the name "Ningbo dress" was displayed.

Reporters at the clothing festival site, as Ningbo's clothing industry bigwigs, YOUNGOR's booth occupies half of the 1 hall, and its six brands are also unveiled.

At the same time, this year's clothing festival has attracted many small and medium-sized garment enterprises that export to domestic market, many of which are also attending the fashion exhibition for the first time, hoping to take this opportunity to open up.

In the market of raw materials and labor costs continued to rise, exchange rate changes and so on, Ningbo garment enterprises have gone to the road of "export to domestic sales".

However, the road of pformation is not a smooth road.

For many small and medium-sized clothing enterprises in Ningbo, although manufacturing and manufacturing links are not a problem, how to brand and solve the retail problem of terminal is undoubtedly the most important thing in the current pformation.

In contrast, many large garment enterprises appear to be more leisurely in opening the domestic market because they first embarked on the road of independent brands.

Ningbo Haishu Ge Mei Garments Co., Ltd. is a small garment enterprise that has been doing foreign trade for many years. With the change of the trade environment, the company has to turn to the domestic market now.

"Before making OEM processing, our profits can be about 15%, but now the cost of raw materials is increasing, and the cost of labor is also increasing. With the appreciation of the renminbi, there are more and more trade barriers abroad, and the profit margins are getting smaller and smaller, so it is hard to continue to do so."

Miss Hui, purchasing manager of Ge Mei, Haishu, told Xinhua in an interview with Xinhua news channel that compared with the domestic market demand, the profit space is even more impressive.

{page_break}

In order to gradually expand the domestic market, the company took part in the fifteenth international clothing festival held in Ningbo. This is also the first time that the company has participated in the domestic clothing festival.

However, the results do not seem to be ideal.

"Most of the people coming to the booth are members of the public, many of them are looking for foundry companies, and there are not many buyers."

Miss Xu said that the company is also actively contacting some trading companies, hoping to expand domestic sales channels as soon as possible.

Like the Haishu Ge Mei company, Fenghua's fan Sheng Jiye Garments Co., Ltd. is also a foreign trade processing enterprise ready to gradually turn to domestic sales.

The knitting enterprise, which has a history of 22 years, can produce 5 million pieces per year.

"Now doing foreign trade, profits can reach 5% is good.

The cost is rising, but the price of foreign buyers is not rising, but they still want to keep prices down. "

Fan Sheng Jiye staff told Xinhua Financial Channel reporter, in the current trading environment, continue to make foreign trade difficult, the company can only try to start domestic sales, has opened shop on Taobao.

With the deterioration of the foreign trade environment and the continuous compression of profit margins, more and more small and medium-sized garment enterprises like Haishu and Mei Sheng have been forced to turn from foreign trade to domestic sales.

For these enterprises, how to cultivate their own brands and quickly make up for deficiencies in design, terminal sales and other links has become the key to successful pformation.

Although many enterprises are beginning to form their own design teams, the cost of construction of sales channels is even greater.

In order to avoid early investment failure, many enterprises began to open online shops with the advantage of e-commerce.

Cao Lei, director of the China Electronic Commerce Research Center, pointed out that the development of e-commerce in the clothing industry has "natural advantages" to reduce costs and increase efficiency for profit.

As garment enterprises accelerate the pace of e-commerce, there are more than 5000 garment enterprises on Taobao, which are developing online direct selling through different forms.