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    Brand Men'S Stock Has Hit The "Warning Line"?

    2012/3/2 13:43:00 14

    Brand Men'S Warning Line

    "Brother, I have put 500 thousand hits on you, I am sorry, you lend me your money and I have been borrowing for so long."


    "Xu, don't say so. I won't take your money to pick up the goods. Those goods are now in stock."


    Put down the phone, Jinjiang clothing brand Fujian branch leader Tian Yi (alias) sighed: inventory is a nightmare that just started.


    As a professional manager in the garment industry for nearly ten years, Tian said it was the first time to lend money to a dealer to pick up goods.

    Tian Yi's ten years in the industry is exactly the ten years that the domestic brand men's clothing has gone all the way.

    Especially after the cold winter of 2010, the brand men's clothing has ushered in the heyday of the industry.


    However, it is also the blind optimism of the flourishing age, which has laid a hidden danger for this inventory.

    20%~30%, which is a reasonable proportion of inventory, but now there are many brands of autumn and winter products.

    Stock

    Reached 40%~50%, has approached the enterprise can withstand the "warning line".


    The death of stock: approaching the warning line


    Not long ago, thousands of general merchandise stores in major cities released a promotional strategy of 100 yuan for 300 yuan.

    Red child marketing director Gu pointed out in time, "100 to 260 yuan, equivalent to 62% off, which is basically the limit that clothing brands can withstand."

    And this thousand department stores released the promotional activities so much that it is obvious that brand businesses have been hurt by inventory and can only be bloodletting.


    As a matter of fact, inventory has been in the end of last autumn and winter.


    I still remember the winter that I had not been able to come back last year.

    If the goods are not sold, dealers will not be able to return the funds.

    The dealer of Fujian Nanping is always a good dealer. Although the financial strength is not very strong, the management idea is very good. It has been well coordinated over the years.

    After thinking for a long time, Tian Yi decided to give him a hand.


    "Before the last wave of sales before the Spring Festival, I couldn't sleep when I looked at the goods I didn't mention in the warehouse.

    So, later, I made a piece of it myself, borrowed 500 thousand, and in my own name, I borrowed money from Xu.

    "Tian sighed and sighed." it's not his own sense of righteousness. "People who don't know what to do, if they don't ship the goods, they will become dead goods in the branch.

    Because the goods can not be put in place in time, the sales of the customers will be greatly affected at the end of the year. Once the products are over the season, the stock will be formed directly.


    However, Tian Yi helped the key customers, but he could not help all the customers.

    And this phenomenon appeared frequently in the brand men's clothing enterprises last year.


    Because at the terminal, sales are far more than everyone else.

    Expect

    Gu said in a timely manner that during the contact with many brands of channels and shopping malls, we found that the sales situation of the terminal was not very clear.


    Then, it is brand promotion, "in the national day, Christmas, new year's day and other traditional festivals promotion nodes, brand business enthusiasm for shopping activities is far higher than in previous years."

    Chen Shibo, general manager of Wolf Road clothing research and development agency, took a stack of coupons donated by the end of the year. He said, "in the past, these coupons were 6-7 fold, and last year they were 5-6 fold."

    What is even more surprising is that a line of men's clothing that has never been involved in a discount for many years has also been very rare in buying gifts.

    Because they have foreseen the death of this stock.


    However, in that kind of year and climate, promotions not only hurt the business, but also made the sales flourishing.


    At this point, high inventory nightmare began to spread in the industry.

    After many years of observation of the industry, many experts believe that the total inventory of the brand in the past years can generally be controlled within 30%, while many brands last year, the total inventory of products in autumn and winter reached more than 40%, and even some individual brands reached over 50%.


    Reasons for inventory:


    Rapid expansion under "great situation"


    "Last year, for the clothing industry, it was definitely a dramatic year, just like the roller coaster all the way up, then plunging.

    Sales before October of last year went smoothly, and there was a watershed in October.

    Tian Yi still missed the day before the year very much.

    In the winter of 2010, many enterprises felt a sense of relaxation. After the financial crisis in 2008, the economic recovery was caught in the cold winter. Therefore, the sales volume of the brand which was slightly "reliable" was good.


    "In February and March last year, when autumn and winter products were ordered, the year was very good. Seeing that sales had been so good for the past year, many business owners were strong and desperate, and dealers in that atmosphere also had a lot of enthusiasm.

    Tian Yi said with a bitter smile, when the order meeting was held, comrades shouted, "rush! Rush! Rush!" the shouting is still ringing in the ear.


    Orders for the same period last year, brand men's clothing generally ushered in the leap growth, the first-line brand order quantity generally increased by 30%~40%, which has been confirmed in the semi annual reports of the listed companies.

    And the two or three line

    brand

    The new men's wear brand also rises with the wave.


    At this point, the domestic brand men's wear has come to a peak, and many brands have been dazzled by the gratifying rise.

    "A quarter of the goods, the order quantity of the brand generally rises by 20%~30%. Is it possible for the Chinese men's clothing to go up so much in one year?" an insider who asked not to be named clearly pointed out that the crazy order had already buried the hidden danger for the stock.


    The house is leaking for a rainy night.

    European debt crisis, macroeconomic slowdown and so on, to a certain extent, inhibit consumer spending power, and influenced by many factors such as cost increase, last year's fall and winter products' tag price generally rose.

    On the one hand is the reduction of consumption power, on the one hand, it is the price increase of products, so last winter, no matter how the terminal discounts and promotions, it is difficult to drive positive consumption.


    When the consumption is sluggish, the weather is in trouble again.

    "First warm winter, early winter sales will not go out, dealer funds can not come back, until the next two weeks of the Spring Festival, the temperature has plummeted, this would like to take advantage of before the festival, this time to urgently adjust goods, logistics is not gone."

    Tian pointed out that many enterprises encountered such a situation last year.


    Internal and external factors make inventory more and more high.

    "Last autumn and winter, unless the brand is strong, the better the order, the worse the death."

    The industry pointed out.


    Inventory risk:


    Involve the capital chain


    As Tian worried, the biggest factor affecting inventory is capital.

    Funds are the blood of dealers, agents and even headquarters. The slow flow of blood means that it is difficult to move or even collapse.


    As a senior researcher who has studied the market for many years, Li Yu Feng, the marketing director of the company, pointed out that in the past two years, a lot of brand agents' funds are relatively scarce. "A lot of brands will try their best to pressure agents to open stores, and some of the funds are opened, and some are pressed by these stocks."

    Zhang Yufeng told reporters that before the agent's funds can turn 4 times a year, today many brands of agents can only turn 2.5 times a year, turning slowly, it is difficult for money to generate money.


    Those goods stacked in the hands of agents, distributors and branches are called channel stocks.

    Channel inventory takes up a lot of liquidity from dealers and agents.

    In addition to the embarrassing situation such as weather, but no money to pick up goods, for dealers and agents, how dare they place orders for the next season? In addition, the stock is so huge that dealers' most valuable "confidence" can be further promoted by headquarters. These problems have become the most common concerns of most of the clothing industry in Tian Yi and other industries.


    Because although most men's brands are buyout orders, the headquarters does not actually have too much inventory, but when dealers are afraid to place orders again, it is obvious that the involvement of headquarters in inventory is inevitable.

    "Due to the difficulties in operation in 2011 and being affected by capital and profitability, it will surely cause some customers to delay delivery due to capital problems or to close the list.

    Headquarter's 2012 annual performance and profits will be greatly reduced and face huge inventory pressure.

    Chen Shibo analyzed it.


    In addition, when dealers are willing to spare money and ignore the brand image, they are injured.

    "No discount sales can not be out of stock, and discounting the injury brand is the main contradiction that the clothing brand has not yet solved.

    In such an era, this contradiction has been sharply intensified.

    Mr. Lin, director of the Fujian branch of Fu Fu bird's men's clothing, pointed out that the brand discount is a long-term game with consumers. Once the brand is considered to be sold by discount, it is a no return road, because many consumers are patient enough to wait for the discount.

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