Clothing Enterprises Shrink Serious Sports Brand PEAK Thousand Shops Shut Down

At the same time, the reduction of PEAK store showed that the total order volume of PEAK in the second quarter of 2013 (at wholesale price) decreased by 20% to 30% compared with the same quarter in 2012.

among

The magnitude of the class order decreased.

The amount of orders is significantly reduced, while the average wholesale price of products is zero growth.

In fact, as early as before PEAK, the domestic sports brand giant.

The company has also announced a reduction of 1200 stores, but according to media reports, Anta, Metersbonwe and other well-known domestic garment enterprises have also been shrinking channels to deal with the winter industry.

From horse race enclosure to channel sink

according to

The latest China business report released in May shows that as of March 31st this year, the number of retail outlets in the group was 7523, which was 283 lower than the end of 2011.

As of June 30th this year, the number of retail outlets was 7059, down 464 from three months ago.

From June 30th to September 30th, PEAK retail outlets closed 320.

Liu Xiang, deputy director of PEAK public relations, told reporters that since last year, PEAK has been implementing the channel optimization strategy of "close shop and big shop", from the "batch type" centered around the order volume to the "retail" mode of operation to increase the profit of single store.

"PEAK shut down inefficient stores covering 1 to 4 line cities, and will continue to upgrade these sixth generations to seventh generation stores."

Liu Xiang added.

In fact, since last year, after experiencing the crazy "horse race enclosure", our country

The pace of expansion has slowed down.

According to statistics, in 2009, Anta actively expanded its retail network in the mainland, and the number of retail outlets surged from 924 to 6591. But by the end of 2011, the number of Anta stores grew by only 229, reaching only 7778 in the end.

It is reported that in recent years, the rental, decoration, store maintenance and labor costs of clothing enterprises have been rising, which has greatly squeezed the profit margins of enterprises. On the other hand, the clothing market has been in a depressed state due to macroeconomic impact, with high inventories and large sales performance.

Rent, decoration, store maintenance and labor cost account for 50% to 60% of the cost of the store.

According to the current situation of the industry, many garment enterprises choose to reduce the number of stores to comply with the market.

According to the data, Lining has been re - evaluated for the store's profit and reduced 1200 inefficient stores to cope with the cold winter of the industry.

As of June 30th, the number of shops in Lining decreased by 952 compared with the end of last year.

Analysts believe that, because there is no obvious inflection point in China's macro economy, the level of purchasing power continues to be low, resulting in high inventory of clothing.

Zhu Qinghua, a light industry researcher at CIC, told reporters that closing down some inefficient stores could reduce operating costs.

At the same time, due to the fierce competition in garment enterprises, the supply of the market is greater than demand, closing stores can reduce market supply.

Analysis of the industry, although this year the clothing industry has experienced a "shuffle" period, many garment enterprises have taken a series of measures to deal with, next year or will see some results, but the clothing industry is warmer and the macroeconomic trend is closely related. If the macro-economy is not fully recovered next year, the plight of the garment industry will not really be reversed.

Garment enterprises need to prepare for a long period of winter and try to pform their business practices in order to reduce the losses caused by the downturn in the environment.

After the "horse race enclosure" era

In the past few years, along with the vigorous development of China's economy, the Chinese mainland

The brand has shown a leaping development in the past 10 years.

According to the National Bureau of statistics, clothing from 1 to October last year

And needle

The total retail sales of goods increased by 24% over the same period last year, while the growth rate of similar products increased from 17.9% to 1 this year.

With the financial crisis and domestic demand sluggishness and many other factors, the growth of domestic apparel brands has slowed down. The era of sales growth by relying on big stores has ended, and this development mode will no longer continue.

Zhu Qinghua believes that in the era of "horse racing", with the development of technology, online shopping is gradually accepted by consumers and become a habit of consumption.

Liu Xiang told reporters that PEAK will optimize the 1000 "seventh generation stores" by the end of 2013.

PEAK encourages distributors to take two ways of direct marketing and franchisees. While improving the market reaction speed, these stores will also interact with online sales, and take the service of delivering goods to the door-to-door and exchanging goods nearby.

So as to avoid the conflict between the left and right hands.

At the same time, the industry veteran believes that the domestic apparel enterprises online and offline co-exist mode, should also deal with offline stores to take quality development.

When the channel sinks, raise the profit of single store.