Brand Strategy Is The Key To Yantai'S Transformation Of Service Enterprises.

People in the industry have put forward such a view: "if China's local luxury brands will emerge, it will not be the liquor and tea that people are proud of, and it will not be any particular process embroidery." It is most likely to emerge in two industries: the fashion industry and the jewelry industry. " For this reason, at present, many domestic clothing The brand is striving to upgrade to the high end. Yantai's local clothing has experienced many years of development, and has reached a critical point of brand development. It also needs a gorgeous transformation. This will also determine the future trend of Yantai brand women's clothing.

The changes are quiet and the scale of enterprises is reduced by more than 20.

The number of orders reduced by half, an old Korean customer to build a factory in Burma, three old customers to transfer clothing orders to Vietnam, the wages of workers 3000 yuan per month...... Faced with these figures, Tang Shouxi, who has been doing the processing for women's wear for 30 years, is hard to calm down. The golden age of Yantai's foundry production has passed away. "If we don't transform and upgrade, it will be a road of no return."

At the end of last year, Yantai proposed the construction of a famous Chinese women's clothing city, and encouraged many Yantai processing enterprises to develop their own brands. At present, Yantai women's clothing research work is basically over. The survey results show that by the first half of the year, more than more than 20 garment enterprises in scale have been affected by the economic environment. More and more enterprises are turning from foreign trade to domestic sales, so as to cultivate their own brands.

If we want to build the core competitiveness of the brand, it is particularly important to create the core competitiveness of the commodity. The proposal of "brand" strategy means that the strategic transformation of Yantai garment industry is imperative.

It's time to transform "to build your own brand" under pressure.

Tang Shouxi, general manager of Yantai Haide Garments Co., Ltd., has been struggling for 30 years in the clothing industry. It is the "boss" in the garment processing industry of Muping district. However, facing the current situation of RMB appreciation, European debt crisis and domestic labor cost rising, etc. Tang Shouxi soberly realized that the golden age of Yantai's foundry production had gone away, "it's time to build up our own brand."

"Orders from the first half of the year saw a decrease of half as compared with the same period last year." Tang Shouxi frowned and told reporters that the company had a long-term cooperative relationship with three Korean brand clothing enterprises and a Japanese clothing enterprise. At present, these more than 10 years of cooperation with the old customers have OEM orders have shifted to Vietnam, Burma and other Southeast Asian regions. The company's life is very difficult, "let alone profit, the current operating conditions, even the depreciation of machinery and equipment is not enough."

Because of its proximity to Korea and Japan, and low labor cost, Yantai has been brilliant in garment processing. However, with the rise of domestic labor costs and the impact of cheap labor in Southeast Asia, Yantai has lost its "superiority" which has long been relied on. Faced with the practice of reducing the number of foreign investors in the market, many garment processing enterprises are somewhat "muddled".

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Tang Shouxi gave the reporter an account. In Yantai, the wages of a worker in a garment factory were about 2500 yuan per month, plus insurance and other expenses, which was nearly 3000 yuan per month, and many people were unwilling to do so. In Burma, a worker has a monthly salary of only 500 yuan. The huge gap in labor costs, like tornadoes, has swept away many of the estimated orders of Yantai garment factories.

Since the second half of 2010, many of Tang Shouxi's regular customers have begun to reduce orders and transfer to Southeast Asian markets.

Implementing brand strategy and originality is the key.

Apart from the passage of big Japanese and Korean customers, the European and American markets are also sluggish. Tang Shouxi told reporters that the original list usually has five thousand or six thousand to 10000 pieces, and now there are only two thousand or three thousand pieces. In her view, according to the current market situation, only doing foreign trade will be a dead end.

At the end of 2011, Yantai proposed the construction of "China's women's clothing city" to encourage a large number of garment manufacturers to produce their own brands. At present, the preliminary research work has basically ended, and the next step will be in the process of material declaration. Lou Liren, Secretary General of Yantai garment industry association, said that many problems were also found in the comprehensive investigation. Although Yantai has more than 2000 garment enterprises and 70% produces women's clothing, eight have become small and medium-sized enterprises, and most of them are foreign trade processing enterprises, and their own brands are relatively few.

Thanks to the appreciation of the renminbi, the European debt crisis and the rising labor costs, many small garment enterprises have gone bankrupt. Lou Liren said that clothing companies with over annual sales income of over 20 million yuan were also affected, and the number of enterprises decreased from 232 at the end of last year to less than 210 at present.

Statistics from Yantai Statistics Bureau show that from 1 to June this year, the output of clothing above Designated Size in Yantai was 117 million 917 thousand, down 0.1% from the same period last year, of which the income of textile and clothing was 10 billion 53 million, down 12.7% from the same period last year.

In the face of the loss of foreign orders, many garment enterprises turn from foreign trade to domestic sales, focus on the domestic market, cultivate their own brands, and no longer "look at other people's wink". Lou Liren introduced that, for example, Yantai Sheng Tai Garments Co., Ltd., which has been doing foreign trade processing for many years, has cultivated the brand of "children's clothing" on behalf of processing, and its brand evaluation in the market is very good.

Originality wins the right to speak, brand needs more accumulation.

If we say that processing from foreign trade to creating our own brand is the new direction for the development of Yantai's garment industry. As early as 10 years ago, Sun Chao, vice president of Yantai garment industry association and general manager of Yantai Rong Chao Knitting Co., Ltd., was a magnificent turn. He has a considerable say in the transformation of garment enterprises.

Sun Chao recalled that in the ten years from 1995 to 2005, it was a crazy expansion period for foreign trade and garment enterprises. At that time, the local government provided many tax policies. Many Korean and Japanese enterprises came to invest in Yantai, and the threshold of clothing enterprises was low, and at least a few thousand yuan could set up a small garment factory. For a time, the apparel industry is booming.

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"Working for yourself is better than working for others." In the golden age of the apparel industry, Sun Chao made a few years of processing, and then turned to most of the independent brands that most garment companies were unwilling to enter, and developed his own brand, Rong Chao. The main sportswear and thermal underwear are sold to the northwest, northeast and North China.

Sun Chao said that the creation of independent brands, design and R & D is a difficult problem facing enterprises. Compared with the atmosphere of clothing design in Shenzhen and Shanghai, although Yantai is a large garment production market, its R & D talents are in short supply. "At present, it is difficult to hire a suitable designer for 10000 yuan." Sun Chao said that some young and creative fashion designers would rather earn a few thousand yuan in the big cities of the South than earn 10000 yuan in Yantai.

For the current transformation of clothing enterprises, Sun Chao expressed his concern. Because of the simple production process and the popular style, most of the transformation enterprises are trained to cultivate leisure brands, resulting in uneven quality and confusion in the market. In order to expand the new industrial chain, last year, he began to set foot in the children's clothing industry, and registered in South Korea "small Superman" and "golden hamster" and other brands to create "Han Feng" children's clothing.

From the processing of foreign trade to the cultivation of independent brands, the transformation of enterprises needs a process. It must also undergo a "painful period". It is suggested to walk with multiple legs. Lou Liren said that Yantai has certain foundation and superiority in clothing brand. Shandong is a major province of garment industry in China. Yantai is an important garment production base in Shandong. "Yantai clothing industry has always ranked the top two in the province, and some indicators even rank first.