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    The Rising Cost Of Leather Causes The Price Of Winter Shoes To Rise.

    2012/11/15 22:01:00 14

    BeijingSnow BootsMaterial Sheepskin

    The recent rain and snow weather made the temperature drop suddenly in Beijing. With the early arrival of winter, boots and other winter shoes were on the market. It is reported that the price of winter shoes has risen slightly this year compared with last year, but sales have accounted for more than 60% of all footwear products.


    In addition, with the rising cost of raw materials and manpower, the manufacturing industry of Pearl River Delta has been in a "recession" phenomenon, and shoe manufacturing is shrinking.


       market


    Winter shoes account for more than 60% of the shoe sales in the morning.


    In November, Beijing Ushered in the first heavy snow of 2012 winter. The weather of Haramoto Haruro suddenly became a strong wind and rain and snow. The temperature did not pick up again after the snowfall.


    Affected by this, all kinds of winter clothes in Beijing shopping malls began to be put on shelves. Snow boots Warm boots such as boots and winter shoes have become the main selling brands of all footwear brands.


    "This boots are pure leather, with hair inside. It must be very warm." Reporters yesterday in the 100 million, BELLE, Jiu Xi, kissing cat and other women's shoes brand counters, most often heard salesmen said this is the opening speech.


    As the temperature continues to fall, most of the citizens choose warm shoes as the main form when purchasing winter shoes. But not in previous years.


    The reporter only took a half hour in a brand women's shoe area, and the brand made up 5 pairs of women's boots.


    Affected by the concentrated purchase of winter shoes by the public, the sales of winter shoes in various shopping malls in Beijing have increased significantly in the past week. The data that the reporter understands from the market shows, because enter winter, boots accounts for 60% of the total sales of goods in the shoe area, the average unit price is around 800 yuan. Winter shoes have become the absolute main force in all shopping malls.


       Price


    Winter shoes are getting more expensive and the average price is up 10%.


    Compared with last year's price of thousands of boots, the price increase of boots this year is still obvious. The average price of each pair of boots is 100 yuan to 200 yuan more than that of last year.


    Last year when a pair of boots was over 1000 yuan, consumers complained that shoes were expensive. Unexpectedly, shoe prices continued to climb this year.


    Miss Fang complained to reporters that if they did not care about brands before, hundreds of yuan could also buy a pair of good shoes at the mall, but this year, whether they are shopping malls or street stores, the price of a slightly decent leather shoe is worth seven hundred or eight hundred yuan, let alone cotton and wool, which is more expensive.


    Reporters then visited the major shopping malls, found that a brand of women's shoes, for example, a pair of winter single shoes marked price of 1099 yuan, after thirty percent off, the price of 769 yuan.


    The price of the new winter boots has risen this year. "The price of leather boots in our family is around 2000 yuan this year," the salesperson told reporters. But the quality and style of our boots are even richer than last year. Even if the price rises little, it will not affect sales volume.


    BELLE women's beauty shopping guide gave reporters a similar pair of shoes for BELLE in 2011 and 2012. The price of this pair of women's shoes in 2011 is 1280 yuan, and this year's new price is about 1550 yuan. The price of the winter boots increased by 270 yuan compared with that of last year, and the price rose by nearly 20%.


    The reporter learned from the responsible person of Chongwenmen new world that the average price of winter shoes rose from 950 yuan last year to 1045 yuan, an average increase of 10%, which is in sharp contrast to the decline in winter clothing prices.


    Affected by this, the brands now offer weekly rebate activities to maintain sales volume, ranging from 70 percent off to 20 percent off.


      market


    Footwear prices jumped 20%


    In fact, the CPI data of the National Bureau of statistics in September showed that non food prices became a new price increase factor, and clothing prices rose by 3.4% over the same period last year. Among them, clothing prices rose 3.7%, footwear prices rose 2.3%.


    This is not only evident in the market, but also in the dealership. Mr. Zhang, who runs shoe trade in foreign trade, has been doing business for five years. He told reporters that "this year, our purchase price has also risen to varying degrees. Last year, the price of single shoes with a price of 200 yuan increased by 20 yuan this year, not to mention those winter boots such as boots, and the purchase price rose at least one or two percent."


    "All costs are rising and retail prices are rising." Shoe industry veteran told reporters frankly, "recruitment difficulties are prominent problems. In fact, some larger brand shoe factories are unable to recruit people in the whole Guangdong area. The number of workers in a brand shoe factory is less than 1/10 that of ten years ago."


    It is learnt that the shoemaking industry is a traditional industry, which is not very attractive to young people themselves, but the traditional old shoemaker has gradually left the industry because of low social status and low wage income, and gradually formed a vicious circle of personnel turnover.


    {page_break}


     


    Analysis


    The rising cost of leather causes the price of winter shoes to rise.


    "It is mainly due to the increase of raw materials, the increase of labor costs, and the increase of the cost of some venues in shopping malls. These are the reasons for the price rise of new winter boots this year." When talking about the reason why the winter shoes are expensive this year, a woman shoes brand leader told reporters.


    The reporter understands, one of the reasons that affect the price of winter shoes is continuous leather price. Since last year, the price of leather has skyrocketed, rising by more than 40%.


    Main needs of leather industry in 2011 Material sheepskin From about 11.9 yuan per square foot in 2010 to 17.925 yuan to 19.12 yuan. And this rally has a direct impact on the price of leather shoes from last autumn to the present. Some brands of women's shoes include a single shoe price of over 1000 yuan. Relevant data show that leather prices rose by around 20% in 2011. This winter's boots production just caught up with the rising price of leather.


    "Raw materials have doubled, labor has increased by 20%, and the average gross profit of leather industry is only around 10%. The present situation is: it is a pity to look at the list not to pick up the bill, and if we do it, we will lose money after checking it out. The head of three Xin leather, one of the largest leather manufacturing enterprises in China, sighs with reporters. It is reported that many leather shoes factories in Wenzhou use their raw materials.


    According to the data, pigskin has risen to 80 yuan from last year's 40 yuan, and sheep's skin has risen from 24 US dollars to 29 dollars, and the price of leather has also reached the highest level in the past ten years.


      extend


    Cost increases, recruitment difficulties, Pearl River Delta leather shoes manufacturing industry is declining


    The rising cost of raw materials and manpower has not only affected the price of winter shoes, but also affected the once glorious Pearl River Delta leather shoes manufacturing industry. Due to the pressure of cost, the Pearl River Delta region is facing the shrinkage of the manufacturing industry, and the reduction of large brand orders and the transfer of large factories make the manufacturing industry of the Pearl River Delta, which is famous in China, become a declining empire.


    Statistics show that in August 2011 alone, the number of enterprises related to footwear industry in Dongguan, Guangdong reached 65.


    Chen bosses, the head of a medium-sized shoemaking factory in Zhongshan, Guangzhou, told reporters that the shoe industry is now facing a shortage of processing plants in Guangdong. "Now, more than 80% of the production lines of shoe factories in the Pearl River Delta have been transferred to Southeast Asia or inland areas. Some small factories with only one or two production lines, only more than 1000 workers, basically all went bankrupt.


    Chen told reporters that in order to keep the right workers, the general factories will receive two pay increases per year, namely, March and October, respectively, and "increase 100 yuan to 200 yuan each time."


    In addition, the reporter understands that export business is not good now. European and American customers directly transfer orders to Southeast Asia, such as Vietnam, Bangladesh and other countries. In the past, orders for more than 80% of a brand were completed in China, but now the factory can only receive 30% orders.


    Due to the gradual shift of the production line of the big shoe factory, the vacancy rate of the shoe making factory in Guangdong has reached 30%. "The larger the vacancy rate of the large processing plant is, the smaller the factory building is, the more intense it is." The reason is that many bosses distribute the production process gradually.


    Take a brand shoemaking factory as an example, the previous factory can accommodate ten thousand employees, with 12 production lines and three factories, covering an area of more than 30 thousand square meters. But now no one can be recruited, and the factory has less than 3000 people, half of whom are management staff and half of workers. Due to lack of people, the boss allocated the production line according to the process, and only 5 of the existing production lines can be worked out, and the rest have been gradually transferred to the inland provinces such as Jiangxi and Vietnam.


    Forecast


    Footwear environment embarrassed footwear prices or rise again


    The industry believes that the Pearl River Delta region is undergoing a big change: phasing out the production enterprises with high consumption, high pollution and backward technology, and actively increasing capital and technology input, promoting industrial upgrading, and promoting the transformation of processing trade from mainly processing export labor intensive products to capital technology intensive high value-added products.


    In this regard, insiders predict that the shoe making environment in the next one to two years may be even more embarrassed. The Pearl River Delta region may slowly shift from production base to R & D design base. "No innovation, we must die". This is the problem that almost all domestic shoemaking enterprises are facing now. At that time, not only winter shoes, all footwear prices may continue to rise.


    Industry insiders say that in the long run, the rise in footwear prices has become a trend. It is expected that the trend will continue to rise next spring.

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