International Brands Have Been Cutting Prices, And Domestic Brands Have Been Reduced.

Recently, a number of clothing business circles in Beijing have seen a wave of price cuts, including some new autumn fashion products including ZARA, MANGO and other international fast fashion brands. This year, the original price of the tag dropped by about three or four over the same period last year, while domestic brands such as Metersbonwe also fell.

In recent years, the famous household electric supplier of China has launched 5th anniversary promotional activities, and the promotional price of flannel shirts in the autumn has been reduced to 68 yuan, which is 30% lower than the original price of 99 yuan, leading to the bottom line of the price of similar products of rival Youiku (UNIQLO).

In 2012, the American fashion clothing brand Forever21 entered the mainland of China. One of its marketing strategies was to play a cheap card that was popular with consumers: 10 yuan from jewelry and 40 yuan from costumes.

Recently, reporters at a Metersbonwe store in Beijing saw a "two piece twenty percent off" discount sign in winter clothing, and the clothing discount in the past was not common.

Bomar Noua group's Cache-Cache brand promotion is also undiminished, and even less than 100 yuan for a pair of jeans.

It is understood that this is the first time that ZARA has fallen in China in the past 6 years. In addition to its own market strategy, this year's apparel industry is in recession.

The landslide is also a contributing factor to the fall of many brands in the autumn.

International brands slash prices

Recently, a new sweater woman's coat priced at 399 yuan in the ZARA store of the blue harbor in Chaoyang District, Beijing.

"The same kind of jackets sold in previous years will be sold for 599 yuan."

A salesperson said.

Coincidentally, the autumn clothing prices of brands such as PULL&BEAR and Bershka of ZARA group, which belong to the international fashion giant, are also significantly lower than those of Inditex.

PULL&BEAR a blue sweater from the past 199 yuan to 149 yuan, the jacket from 229 yuan to 199 yuan, trousers prices basically unchanged.

The clerk said, "the average reduction is about 20%, and there are other discount activities in the store."

Although the Spanish fashion brand MANGO sells clothes all the year round, all kinds of clothes are on sale, and their coats and skirts have been reduced from 599 yuan in the past year to 399 yuan, and trousers are on average 100 yuan cheaper each.

There is also a high-end clothing brand like GUESS. Although there is no marked reduction in autumn clothing, the discount rate is much larger than in previous years.

GUESS a shop assistant told reporters: "summer wear 1 pieces 50 percent off, 2 pieces 60 percent off, 3 70 percent off, jeans 30 percent off, since the beginning of September discount, the most in the past dozen 50 percent off.

We are not as strong as ZARA and H&M. Their clothing is mainly produced in Bangladesh, Pakistan and Kampuchea, and the cost is relatively low.

Our clothing is mainly from the United States and Han Guoyun, the cost is much higher.

After the first implementation of the price reduction strategy by ZARA, the Japanese fashion brand UNIQLO is also on the way to reducing the price of the market. The price of the down season clothing with a price of 499 yuan is 399 yuan, and the flannel shirt with a price of 199 yuan is set at a special price of 99 yuan.

In the industry view, this is due to the international macroeconomic background.

On the other hand, it is because domestic brands, especially online brands, continue to exert pressure on foreign fashion brands.

Recently, UNIQLO hundred flannel lattice shirts were launched with a special price of 99 yuan for sale.

According to the insiders, UNIQLO can be interpreted as a threat to the traditional brand retailers, who have felt the threat from the electricity supplier, and began to play a price war with the Internet brands such as customers.

On the other hand, a more cost advantage fan announced on the 26 day that the flannel shirt, whose original price was 99 yuan, was reduced to 68 yuan, facing the low price strategy of UNIQLO.

A senior clothing industry insider revealed that although the foreign fast fashion brands such as UNIQLO and ZARA have their own pricing system, when entering the overseas market, enterprises will also investigate the local market and determine the appropriate price.

Domestic brand "being" reduced price

An international fashion brand insider told the media that the fall in clothing prices this autumn is mainly influenced by exchange rate, brand strategy and bad economic environment.

Especially in European brands, the change in the exchange rate between the RMB and the euro is one of the factors that affect the pricing of clothing in China.

More importantly, by the impact of this year's global economic downturn, the company's brand marketing strategy has also been adjusted accordingly. The price adjustment is also intended to reduce the difference between its brand and its competitors.

Textile chamber of Commerce found that the decline in the price of international brand clothing is closely related to the environment. The continued downturn in European and American economies and the sluggish domestic consumption are the direct reasons for their price reduction.

The general reduction in international brand autumn clothing this year has nothing to do with cotton prices, because only China has cotton quotas.

International brands will not be affected by the fluctuation of cotton prices in China. Instead, domestic brands will be greatly affected. The price reduction of international clothing brands will force domestic clothing brands to lower prices.

The most tragic thing at present is the domestic sports brand, and the overall price is falling.

It is understood that as an important raw material for clothing, the price of cotton has a significant impact on domestic clothing prices.

It usually takes about half a year to pmit the volatility to the retail terminal.

In March 2011, cotton prices once exceeded 30000 yuan / ton, which resulted in an average increase of 20% last autumn and winter clothing prices last year.

But cotton prices have plummeted since the second half of last year, and have been below 20000 yuan / tonne since last August.

It has been reported that the price of autumn clothing will fall by about 10% compared with that of last year, and winter clothing will also be further affected by this influence.

How can domestic brands survive in cracks?

There is no doubt that the complex and severe market situation has cast a shadow over the survival and development of the domestic clothing brands.

As consumption is sluggish and production costs continue to rise, nearly 1/3 garment companies across the country will not be able to keep up.

These enterprises are in urgent need of pformation and upgrading, and the introduction of advanced equipment, but this can not be accomplished overnight.

At present, the domestic clothing brand can not go out, the price can not go up, and the international brand is not the same.

Recently, the "eight countries of foreign trade" have been introduced. Clothing enterprises are concerned about the relevant policies, such as speeding up the export tax rebate.

In fact, there are many excellent domestic clothing brands.

Shanghai Silk Group Co chairman admitted that the group's fashion brand Lily is relatively stable at present, and has not been significantly affected by the external environment, and monthly sales are growing steadily.

But in the future, the difficulties will be bigger and bigger. As the growth of foreign trade is weak, the garment trade enterprises will turn to domestic market one after another, and the competition environment will become worse and worse.

Talk about the country

In the competition with international brands, international brands have a wide range of audiences, and their products cover almost all types and styles.

And domestic clothing brands will focus on their advantages. Some brands have very precise target customers. They will identify the market position and go deep into it.

Hangzhou Jiangnan cloth Garments Co., Ltd. believes: "Jiangnan cloth is highly respected local designer brand.

Our designers are very young, mostly from the south. They are talented in fashion design and artistic creation, and have unique requirements for color and texture.

Jiangnan Buyi and ZARA, H&M and other international brands must be different. The clothing they sell belongs to "fast fashion". From design to sales, every link of the whole value chain requires fast operation.

And Jiangnan cloth is highly respected and original. It is very refined in cutting and materials, and the style of clothes is also very distinct.

A professional designer of the China clothing association suggests that domestic clothing brands should learn the positioning strategies and channel terminal strategies of European and American brands, learn how to grow fast and optimize the industrial chain, rather than compete solely with labor and resources.