"High Quality" Takes The Place Of "High Speed" &Nbsp; Clothing Brand Resists The Temptation Of Price War.

Brand deep ploughing should not only replace "high speed" with "high quality" but also resist the temptation of price war.

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But the actual situation is not.

With the competition of the domestic women's clothing market becoming more and more intense, some brands have to occupy.

From this point of view,

Shenzhen clothing is a mystery.

It develops at an amazing speed.

In the past 20 years, the proportion of industrial output value of Shenzhen's own brand has risen from less than 5% to over 80%; in the past 10 years, its private brand has increased from less than 200 to 1200; in the past 5 years, the total economic growth of the industry has increased by 25% per year, which is higher than the average annual growth rate of 10 GDP in Shenzhen.

Its "helmsman" is unhurried.

Leading enterprises are not concerned about the scale of expansion, and industry associations are "not worried" about rising manufacturing costs.

It is in the extreme perseverance of speed and scale and the extreme persistence in quality and efficiency that Shenzhen clothing brands occupy 60% of the domestic shopping malls and monopolize three yuan in the ten sales profit margin of China's garment industry in 2010.

At the beginning of 2011, China's manufacturing industry suffered from the "three shortage" dilemma of electricity shortage, shortage of money and shortage of human resources.

However, the Shenzhen garment industry, which has gone a step further, is no surprise.

"Raw materials for enterprises may be produced in Dongguan, products are processed in Suqian, and channels are all over the country. Processing enterprises account for less than 20% of Shenzhen's clothing industry. Most enterprises will not worry about" three wastes ".

Shen Yongfang, President of Shenzhen garment industry association, said.

In the 80s of last century, more than 1000 garment enterprises and 400 thousand workers in Shenzhen were engaged in processing export.

With the rapid growth of China's garment industry capacity, Shenzhen garment industry, which is at the forefront of industrial pfer, is the first to feel the urgency of pformation.

"At that time there was no market, no design. The fate of the enterprise was pinched in the hands of others, like duckweed.

Finally, exporting a shirt will earn 7 yuan for processing fees, and pay for rent and labor.

Zhu Chongyun, chairman of Limited by Share Ltd in Shenzhen, recalled.

Reducing the proportion of manufacturing links and upgrading to the two sides of the "smile curve" has become the first choice for garment processing enterprises to pform their own brands.

In 1993, Zhu Chongyun founded "Marisfrolg" and gradually withdrew from the "OEM" industry in.

Today, "far away from the manufacturing industry," more than half of the products have been produced by others, and 200 employees at headquarters are engaged in design and management.

"Design is our core competitiveness.

Good design makes people do not want to take off, so the design is superior to others, and the price is superior to others.

In 2010, the sale of "manasfield" was about 2 billion yuan, with a net profit of 600 million yuan, ranking the first in China's clothing industry sales profit margin.

Zhu Chongyun said frankly, "now making brand, making the brand money of fashion industry is really not the same as earning sweat and money for OEM processing."

Even the garment trade enterprises that have never been engaged in processing and manufacturing have quickened the pace of cultivating their own brands.

In 1996, Cao Zhang, general manager of Shenzhen City Fu Fu Garments Co., Ltd. opened a children's clothing store and poured children's clothing from the wholesale market.

Slowly, Cao Zhang found that a shop followed him every day, and each piece of clothing could always be 5 yuan cheaper than him.

"Although the difference is only 5 yuan, the business is much worse.

Without their own design and brand, it's hard to build a foundation.

Cao Zhang, who saw the direction, founded the "angel" brand in 1998, developed his own design and commissioned others to produce.

Today, "sales" has ranked the forefront of children's clothing nationwide.

"Over the past two years, raw materials have gone up sharply, labor costs have risen by 20% every year, and manufacturing enterprises are under great pressure.

But my brand is in the upper reaches of the industry chain with pricing power, and the profit margin is growing.

The brand awareness of Shenzhen clothing enterprises extends from clothing to fashion derivatives, from product design to sales service.

Founded in 1995, ELLASSAY sells and sells clothing, shoes, bags, accessories and other fashion products. Designers are not limited to clothing development, but also engage in accessories, packaging, advertising, display windows, storefront space, and even customers' head to toe image design.

"The proportion of manufacturing links in enterprises is getting lower and lower. Clothing prices have long been measured without cost."

Xia Guoxin, chairman of Shenzhen Ellassay Apparel Industrial Co, said that the international high-end brands such as Chanel and Hermes are using a single brand to provide diversified products and create a fashion industry chain.

"Hundreds of dollars of LV leather bags can be sold for tens of thousands of dollars, which shows that the added value of fashion industry has already surpassed the high-tech industry."

"Stores only increase by less than 10% a year, but sales increase by 40%, and profits increase by 30%."

New theory of Xia kingdom.

This is a very interesting thing: on the list of top 100 clothing companies in 2011, none of the top 70 clothing companies in Shenzhen ranked top ten in the list of sales revenue. However, in the top ten sales profit margins, Shenzhen apparel enterprises occupied the first, fourth and tenth positions.

"The upside down of this kind of scale and efficiency reflects exactly that Shenzhen's clothing brand enterprises have changed their development mode, and replaced the" high speed "with" high quality ", thus promoting the high-end of traditional industries.

Zhang Bei, mayor of Baoan District District of Shenzhen, said frankly.

In order to replace "high speed" with "high quality", sometimes we must sacrifice the scale voluntarily.

In 2011, the sales revenue of "Song Li Si" did not enter the top 100, but its total profit was fifty-fourth, and its sales profit margin ranked fourth.

"Controlling speed, focusing on quality and pforming epitaxial growth into connotative growth is the secret of making money by the singer."

Xia Guoxin introduced that the store of George's only increased by less than 10% a year, but sales increased by 40% and profits increased by 30%.

Xia Guoxin frankly said that some brands spend a lot of money and open four thousand or five thousand stores in a short time.

However, a slight downturn in the macro environment, coupled with poor management, will trigger a chain reaction and a devastating blow to the brand.

The gross profit margin of "running volume" enterprises may be only 20% to 30%. Now manufacturing costs and store rents are doubling. Low end customers do not accept price increases. The result of blind expansion is only bankruptcy.

As a high-end brand, the gross margin is 80%, so long as the quality is maintained, customers will accept it even if the price is raised.

Coincidentally, in the past 8 years, the total volume of "store" has not changed much, and has remained at around 500.

Many shopping malls promise "no rent, send decoration fees, help digestion inventory", but Zhu Chongyun "refused to open shop".

"If the location of the mall is not accurate, or the location is not good, I will not do it, and do not want to repeat those old roads with scale and efficiency."

Although the total volume has not changed, the store structure of "Ma Fei Fei" has been adjusting.

Shops that sell less than 200 thousand yuan a year are being turned off one by one.

At present, the old counters maintain monthly sales of 700 thousand to 1 million yuan, and the monthly sales of new counters reach 400 thousand to 500 thousand yuan. The annual sales of 500 square meters of clubs are 70 million yuan.

"This is not going to expand the store.

In the first half of this year, our sales volume is increasing at a rate of 30%, which can be said to tap the potential of every square meter at the counter.

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The use of "high quality" instead of "high speed" can also resist the temptation of price war.

"Masfield" clothing in the season does not bargain, not discount within two years, do not participate in the discount activities in the mall, in order to maintain brand value, avoid price interference, so that consumers at any time, any shopping malls can not hesitate to spend.

"Just like this insistence, in recent years, our sales volume has maintained an average annual growth rate of 30%, and has maintained a net profit margin of more than 30%, and this level can be maintained for at least 10 years."

Zhu Chongyun said.

"" song is not good at discount and buckle ".

Xia Guoxin said frankly, "easy discount will destroy the brand image, so although we also do a special sale, it is only limited to the old money two years ago."

Even in the test of online shopping, which is famous for its low price, "Song Li Si" still sticks to this idea.

"E-commerce is not simply cheap."

Xia kingdom said that it has invested 10 million yuan to start the construction of e-commerce platform, but it is not in a hurry to form a scale.

"For this new channel, we do not want to repeat the low price model of others.

We want to fully tap the convenience and timesaving characteristics of e-commerce, and create high-end services corresponding to high-end brands. "