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    Climate Reasons Lead To High Inventory Of Shoes And Clothing Business Enterprises

    2012/5/14 10:28:00 29

    Shoes And Clothing BusinessTextile And Apparel IndustryInventory Backlog

    The problem of VQ inventory, which was widely questioned by the media before, is another important reason that has been neglected in addition to the over expansion of the category which was reconsidered for the past years: the abnormal climate in the winter of 2011 reduced the desire of consumers to buy, resulting in a large backlog of winter clothes.

    Climate anomalies beset the whole.

    Shoes and clothing

    The production and marketing industry is the end of the supply chain.

    Footwear business

    Nature also needs to "watch the sky for dinner".


    There is a "Delphi Meteorology Law" in the economic circles: the input output ratio of meteorological is 1:98, that is, enterprises invest 1 yuan in meteorological information, which can get 98 yuan economic returns.

    With the change of temperature of 1 degree C, the sales volume of products may change dramatically.


    This classic principle is also constantly tested by the shoe and clothing industry: according to media reports, last year, the backlog of all customers was serious, reaching 1 billion 445 million yuan.

    It is understood that, in addition to the "dead stock" of mops and rice cookers caused by the mistakes in the decision-making level and the excessive expansion of the category, the abnormal climate in winter has also reduced the desire of consumers to purchase.


    Some offline brand clothing retailers are also having a hard time: according to local media in Ji'nan, due to the warm winter, the UCC snowshoe brands in Ji'nan market orders fell sharply, sales fell more than 30%.


    A report on the textile and apparel industry tracking report February 2012 by CITIC Securities pointed out that the 2012 quarter was due to the influence of warm winter and cold spring.

    Textile and apparel industry

    Retail sales growth will slow to 15%, and the second quarter is expected to increase to 20%.


    From the meteorological data, last winter is not warm, but there are some anomalies: taking Beijing as an example, from December 2011 to March this year, the average temperature in winter is -3.2 degrees C, which is lower than the mean -2.3 degree C, which belongs to the "cold winter" in meteorology category.

    But the winter day is November 9th, more than 10 days later than in the past, and the winter is shorter. The snowfall is only 2.5 millimeters, less than 7 over the previous years.


    This abnormal climate began in the winter of 2010 and became an important factor affecting the inventory of garment enterprises: the American state clothing last year showed that its inventory grew 220% to 2 billion 890 million yuan over the same period last year.

    Zhou Chengjian, chairman of Smith barrack, blamed the high storage on the short winter of 2010, and the 2011 spring came early, and sales were affected.

    In a research report of CICC, warm winter is also an important reason for the backlog of US state goods.


    The main reason for the business of "shoe watching" is that the supply chain reaction is lagging behind.

    It is understood that the brand clothing companies often have to advance two or three quarters, to the factory order, and then complete the design, production, pportation and terminal distribution of a series of processes, the climate and temperature of the temporary strain capacity is poor; the electricity supplier company reaction is relatively fast, generally also two or three months, if suddenly warm winter and cold spring, it is easy to encounter.

    Inventory backlog

    Or out of stock.

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