The Ultimate Direction Of Local Clothing Brand Shortcoming Is Probably The Abyss Of Abyss.

A large number of inventory items are selling at a super low discount in a famous brand discount store in Guangzhou.

One is standing.

The customer who weighed the brand for a few minutes finally turned around and picked up a Nike T-shirt that he had seen before.

The reason is straightforward and simple: the same style, the same price T-shirt, Nike "more cost-effective".

This can not help Chinese enterprises to reflect on a question: what is "more cost-effective"? Let's take a look at this example: a man in a department store looked at a domestic brand of casual wear casual pants, but even after 50 percent off, the selling price is above 500 oceans, and he finally bought a pair of trousers of the same style and homogeneity in the online foreign trade store, the price is less than 250 yuan.

Not long ago, Luo's boss, who came back from Europe, bought a pair of Prada leather shoes from overseas outlets, which only cost 200 euros. At home, some well-known local brands, the price of a pair of men's shoes has been at least over 1000 yuan.

There is almost no suspense choice, so that "more cost-effective" clearly visible: that is, with the least possible money, buy as good a product as possible.

In jargon, it is a product with high cost performance.

This is the "natural instinct" of most customers.

But unfortunately, China's clothing and footwear enterprises in recent years collectively "go mad" and want to carry the banner of "high-end" and "internationalization".

And in the "high-end", "international" noise, the local brand "self lift", so that the goods factory tag price, from the original higher than the cost of 3 times crazy roll to 7-10 times the cost.

Maybe it shouldn't be too harsh.

In the past few years, the "mental disorder" of cotton yarn prices has greatly increased the cost of raw materials for garment enterprises, and the cost of retail channels such as general stores has been climbing again. The labor cost has been worsening after the introduction of the new labor law, and the last straw of high inventory has forced Chinese clothing shoes enterprises to the corner.

As we see now, in the direction of pformation, many local brands have chosen to move to the upper end of consumption in Pyramid. In order to cope with this "great move", they have consumed a lot of energy in product design, channel innovation and so on.

However, the gold content of product design and channel innovation is not enough to match the soaring prices.

Compared with the blind "elevation" of China's local brands, let's see how international brands can absorb high costs and achieve "cost-effective" positioning.

UNIQLO is one of the fastest growing fast fashion brands in recent years.

The new fabrics made by manufacturers jointly develop a series of ultra lightweight down garments with only 206 grams.

This series of Down Vest costs only 299 yuan, but Bosideng's old feather down vest store has a price tag of more than 300 yuan.

UNIQLO, who is taking the technical route, is obsessed with quality innovation. At the same time, the price stays at the middle and low end, and digs the cost through market expansion, small profits and quick turnover.

ZAR A is going to cut the cost of supply chain.

The top ranked clothing brand is made in China. In order to reduce the supply chain time, it even produces clothing for the Spanish market in Turkey. This kind of near procurement makes its products from design to pportation to the shelves, as long as 17 days, and the clothing styles are many, each quantity is small, the basic zero inventory.

Comparatively speaking, China's clothing shoes enterprises are rather lazy. By raising prices, it is a shortcut that they think they can digest the fastest cost.

But the ultimate direction of this shortcut may be abyss.

Currently in China

The consumer market, the bottom of the Pyramid market, is that many shoe and clothing outlets and foreign trade shops occupy the main market. Up to now, the international fast fashion giants have swept the whole field in the field of casual wear due to their style and price advantage. The price advantage of Nike and Adidas, which has brought about the "internationalization" route, has disappeared since the appreciation of the RMB and the price reduction brought about by the appreciation of the renminbi. In the meantime, the continuous increase in the price of the local brands has led them to repeat the price of the "light luxury" series launched by the international luxury brands. The strong brand advantage of the latter and the decoration subsidies and the discount offered by the local channel providers are far from enough for the local enterprises to keep up with Lining.

It is not hard to see that in the current market structure, China's local brands have been surrounded by numerous networks.