The Current Situation And Influence Of Jinjiang Underwear Order "Tight"

In the past few years after the Spring Festival, underwear enterprises in Shen Hu town in Jinjiang are generally worried about hiring.

This year's situation is not the same. Now, regardless of the size of the enterprise, the bosses of Shanghai and Shenzhen are worried about one thing: order.

The situation of Jinjiang underwear industry has changed a lot this year.

According to industry estimates, as of now, the underwear orders in Shenzhen and Shanghai have decreased by 30% over the same period last year.

This is a conservative estimate, and business owners may expect to be close to 40%.

Large enterprises barely maintain normal production, and the owners of small business owners who originally OEM for large enterprises are completely unable to sit down. There are only four words haunting them: the order is tight.

The domestic brand is on the table again.

Orders reduced by 30%

Businesses can't sit still.

After the Spring Festival, Mr. Wu, general manager of H, a leading underwear enterprise in Shenzhen town, complained to reporters that these days he hardly dare to answer anyone's phone call.

What's going on? After the Spring Festival, it's not the peak period of traditional debt collection. Besides, I never heard of H enterprises owning money.

After detailed understanding, I realized that Mr. Wu was afraid to answer the phone call, which was a phone call from the owner of the Shenzhen and Shanghai small factory.

Shen Hu town is a famous underwear town in China. In 2011, the output value of underwear industry accounted for more than 70% of the total economic output value of the whole town.

After more than 20 years of development, Shenzhen Shanghai town has formed a complete underwear industry chain, and has also formed a specific mode of production collaboration.

Generally speaking, international purchasers give large orders to the larger enterprises in Shenzhen and Shanghai. These large enterprises will find some small and medium-sized factories to complete the order together, thus forming the industrial collaboration pattern of the leading enterprises in the Shenzhen and Shanghai and the middle and small factories.

In this pattern, the H enterprise is the leader of the order.

"If we compare with the same period last year, we will lose at least 30% of the list this year."

Mr. Wu said that the current order quantity can only guarantee the normal production of his own enterprise, that is to say, he has no surplus list to do the small factory this year, which is why he has been afraid to answer those phone calls.

"Many factories have been working together for many years, and some are relatives or friends.

Mr Wu said frankly that some people even asked him to take the list through various relations.

Mr. Wu said that in fact, he understood the situation of these small factories, but his orders were also decreasing. At the same time meeting his own production demand, it was difficult to ensure that the list could be processed to small factories.

"Once the order is not made, and if I do not make any profit, my more than 50 workers will definitely be disbanded."

Mr. Cai, the boss of a small processing plant in the deep wall area, told reporters that this would be a devastating blow and the reason why factories could not stop anyway.

In the course of investigation, reporters found that the status of H enterprises is very representative.

Many small foundries are almost mad at the moment, and the boss of such a big business like Mr. Wu is soon driven mad.

Above, the reporter has also been confirmed in the responsible person of the underwear Association of Shenzhen town, Huang Qinghai, Secretary General of the association, told reporters that the situation is not good this year, and the estimate of orders reduced by 30% is more accurate.

Where is the order?

Some have evaporated and some have shifted.

So, where did these 30% orders go? The sharp reduction of orders made many lingerie business owners start looking for reasons.

Although the amount of his orders has not been greatly reduced, Cai Zhuolong, chairman of Fujian dragon Clothing Co., Ltd. has closely watched this change and made an analysis.

Cai Zhuolong believes that the reduction of rigid demand in the international market is the main reason for the reduction of orders in Shenzhen and Shanghai underwear.

"Our traditional export market for underwear in Shenzhen and Shanghai is Europe and the United States, but now the United States has started to shrink from two years ago because of the impact of the financial crisis. The spread of the European debt crisis has also been a blow to the European market."

Take dragon company as an example, there are several cases directly affected by the decline in rigid demand. For example, after the tsunami and nuclear leakage occurred in Japan last year, the export volume of the company to the Japanese market dropped from about 1000000 dollars a year to 0.

"This part of the order can be said to be directly evaporated."

Cai Zhuolong said that the decline of purchasing power in European and American markets is the direct cause of the sharp decline in orders.

In addition to this obvious reason, many people in the underwear circles of Shenzhen and Shanghai have begun to see a more profound factor, that is, the pfer of orders.

After visiting and understanding, the reporter summed up the pattern of "pfer" roughly.

The first "pfer" was pferred to Vietnam, Kampuchea, Malaysia and other countries in Southeast Asia.

It is reported that in recent years, the rising labor cost in China has made the "made in China" advantage vanish. Instead, some Southeast Asian countries have undertaken a large number of labor-intensive product orders in Europe and America in recent years.

The second "pfer" is not so easy to see, that is, the "scattered" pfer of purchasing power of international buyers.

Reporters learned that, in a better economic year, buyers at the international level are very generous, with fewer than hundreds of thousands of pieces and millions of pieces. But behind these buyers are two or three wholesalers.

But the current situation is that many two level wholesalers, in order to save costs, bypass the first level buyers and directly seek cooperation with the processing plants, so the number of orders is reduced a lot every time.

Suppose that an enterprise has 20 customers a year, 500 thousand orders for each customer, then the annual order is 10 million. Now, assuming that the enterprise still has 20 customers, the average number of orders per customer is only 200 thousand, so the total number of orders is only 4 million.

"That is to say, the customers who are now in contact with the enterprises are not the big ones, and the list is not so large. This is also a way to pfer the orders in an invisible way."

Cai Zhuolong said.

"Long line fishing for big fish" will not work.

Lean management, customer breakthrough

Indeed, many of the lingerie enterprises in Shenzhen now feel that their customers are getting smaller and smaller.

For more enterprises, cherish every customer, even if the list is not very large, it is also a way to deal with the shortage of orders.

Since last year, some of the underwear enterprises in Shenzhen and Shenzhen have realized that orders may be slipped, and Cai Zhuolong took part in the attack plan ahead of schedule.

According to introduction,

This layout effect has already appeared.

According to introducing, under the situation that the industry orders are generally declining this year, there is not much fluctuation in the foreign trade business of the dragon company.

"Now the management of customers is more lean."

Cai Zhuolong said, because any customer, no matter how big or small, is extremely precious. We should maintain good service and track well.

Chen Gang, another lingerie leading enterprise in Shen Hu Town, has just participated in the China Trade Fair held recently, and has also been more aware of the current foreign trade situation in the underwear industry.

"There is no deal list, but this is also expected."

Mr. Chen said that he would go to the spring fair in the past few days, but he also hoped that he would not take the opportunity to take orders on the spot, that is, he could see the situation clearly, and see whether he could catch some "small fish" to take a look at the company in Shenzhen and Shanghai.

Wu Yunfeng, general manager of Jinjiang Dali garments and Knitting Co., Ltd., also recognizes that he can no longer go to the "dislike" list. It is too small to do so. As long as there is a single job, it is necessary to do well. Dali's single lower limit has been reduced to 10 thousand pieces, which was impossible in the past.

Underwear in Shenzhen and Shanghai has been established by foreign trade processing. In recent years, many enterprises have been planning to sell their own brands independently.

But for various reasons, this brand of domestic brand is not going smoothly. Many times it is off and on.

With the decline of foreign trade orders, this topic has been put on the table again, and this time, it seems more pressing than ever.

At the beginning of this year, the independent underwear brand of Dali company came to a significant step: the Taobao mall store opened, so far, the sales volume is very good.

This is another major move of the brand after advancing into the first tier cities such as Beijing and Shanghai.

The dragon family's own brand "warm family" has also opened many stores, covering many towns in Jinjiang, such as Ying Lin and Jin Jing, and will continue to expand this year.

"Compared with the cold market in the international market, our enterprises have a clear understanding of the potential of the domestic market."

Huang Qinghai believes that although domestic sales are an old topic, in today's foreign trade situation, conditional enterprises will be determined to intensify their efforts and make some achievements in the field of domestic sales.

Now, the order is already a fait accompli, at least for a relatively long time, this situation is difficult to change immediately, then, can the powerful enterprises in Shenzhen and Shanghai take a beating?

Let's wait and see.