Three Angles For Finding Excellent Companies In Textile And Garment Industry

Clear

The root cause of Lining's crisis is that the positioning of the brand is not clear enough. On the one hand, there is still a big gap between the brand recognition and Nike and Adidas. On the other hand, there is no corresponding price difference on the price, but it is not high or low.

In contrast, nine shepherd kings and seven wolves are the leaders of China's local men's wear brands. As a Chinese male trousers expert, nine products have been widely recognized by Chinese men. The seven wolves have the first seven wolves jacket with a market share of ten years.

This is the power of a clear brand positioning. Even in the context of the macroeconomic downturn, consumption growth is not as fast as in the past few years. Nine herd kings and seven wolves still achieved more than 20% revenue growth in the first half of 2012, and the data of the order meeting remained strong.

It can be seen that clothing companies with a higher brand awareness have the ability to cross the business cycle and belong to attack and defend.

Strong control over channel (direct sales, distributors)

On the one hand, the ability to control channels is reflected in the

In order to achieve a win-win situation, it is necessary to adopt various measures to encourage and cultivate dealers, but also to ensure effective control of the channel, but also to prevent excessive cargo loading. This requires the management wisdom of the operators.

At present, because of the rise of electronic shopping, how to realize mutual supplement of online and offline channels rather than pinch, it is necessary for clothing companies to explore and summarize more.

On the other hand, the control capacity of the channel comes from the construction of the direct store, and the direct investment in the store is very high. At the same time, it is necessary to provide corresponding human resources for management. Therefore, the high proportion of Direct stores will cause greater pressure on the capital chain, which will be too conservative in the expansion cycle.

But at the same time, if the proportion of direct outlets is too low, there are many disadvantages. In the face of changes in terminal demand, it will not be able to track and make adjustments in time. Taking Luo Lai home textile as an example, the proportion of direct operation is too low, resulting in the company's failure to adjust the radical strategy before the end of 2011 in the economic cycle. In 2012, half a year report showed that the income growth rate was less than 10%, while Fuyuan, a company with the higher proportion of direct outlets, had gained more than 20% of the income growth.

When the economy shrinks, the advantages of Direct stores begin to emerge.

A dynamic balance between direct operation and franchise is also an important means to control the channel.

Cost control ability (sales cost, manpower cost)

Cost control, on the one hand, can be seen from the change of gross margin. On the one hand, it is other operating costs, such as sales cost, labor cost and so on.

Textile and apparel industry pays more attention to the cost.

Or the example of Luo Lai home textile, a large number of people recruiting in early 2012, while the sales cost has not been well controlled, misestimating the situation, resulting in a 17% decline in net profit.

The male wolves and the nine wolves show good cost control ability. The revenue growth is more than 20%, while the net profit growth rate exceeds 40%.

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The control reflects the level of meticulous management of enterprises, and is also an important factor for evaluating management level.