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    Clothing Prices Enter The Four Figure Era, Revealing The Invisible Hand Behind The Rise In Prices

    2012/12/1 11:37:00 35

    Clothing PricesClothing PricesClothing Brands

    As for soaring prices, I believe we need not say much.

    But why pork prices have gone up *

    Clothes & Accessories

    The price tag will only rise or fall? This year's winter clothing is on sale.

    clothes

    The original price is often seven hundred or eight hundred yuan, or even thousands of yuan.

    However, there is a recent message that if all the country is owned

    clothing

    The production line of the enterprise has been shut down for three years, and consumers may not notice at all.


    Seeing that the electricity supplier has made a lot of money, how can we deal with the competition of the electricity supplier and how to make the price rise rapidly?


    Clothes enter the four digit era: "can not afford"


    The reporters found that no matter how the price of raw materials changed, the business became a "routine" by changing the season.

    Although shopping malls regularly give customers a "Crazy" promotional campaign, the overall price is still higher than last year.


    On the first floor of the landmark Plaza on Nanjing East Road, Shanghai, there are no less than twenty women.

    shoes

    Brand, container is basically the season of women's boots.

    The reporter randomly picked up a pair of genuine leather short boots, and the price of the sole was 1288 yuan.

    This price can only be considered as middling here. If you have a pair of medium boots, the price is generally close to 2000 yuan.

    Some counters made a 7-8 discount, but the price is still in four digits.

    It's hard to find women's shoes with a discount of three hundred or four hundred yuan, even if they include shoes that are already in season.

    A consumer turned around and tried not to buy a few pairs of shoes.

    She said, "it's too bad now to wait for a discount."


    In November 29th, there was another day to start the Spring Festival "no closing" promotion in Paris.

    Despite the working day, Paris spring passenger traffic on Huaihai Road is much larger than usual.

    The salesperson is also very clear, "they are coming to proofing."

    A woman who has seen two cotton padded clothes and a sweater in the two floor women's clothing counters told reporters that "in the first two years, the clothing of the brand shop was still somewhat expensive when it was between 500 yuan and 800 yuan, but now it is in the shopping mall.

    Brand clothing

    The price range from 1200 yuan to 1500 yuan has become a more common phenomenon.

    Therefore, she will only buy when she does promotional activities in the mall.

    The original price of three clothes for Ms. Wu is 1458 yuan, 1098 yuan and 699 yuan respectively. If you take part in the activity of "full 99 reduction 50" in the shopping mall, you can save 1500 yuan after folding.


    The best way to understand the price of clothing is to look at the brand control of a brand.

    Unfortunately, the special store saw its original price and sold it for 88% off.

    That mood is better than PetroChina's "shareholders".


    About six years ago, Miss Liu walked into a clothing store casually at Zhengda square, and the salesperson was very good at doing business. He recommended a set of collocation for Miss Liu to try on.

    The overall design style of this brand is quite suitable for Miss Liu. She bought a pile at once and became a gold card member directly.

    From then on, the attentive salesperson told her Miss Liu a few months later that she had promotional activities. When Miss Liu was free, she went to pick up a pack of clothes and go home.

    She thinks that such a clothing mode is more labor-saving and less anxious. Compared with Taobao, the quality and design of counters can be reassured, and it is not easy to "crash".


    The brand is not famous. Shanghai produces twenty or thirty special counters in the mall.

    In such a general brand, loyal customers buy a suitable brand.

    "At that time, the price is OK, the price tag is two hundred or three hundred yuan, five hundred or six hundred yuan, the winter coat is about 1000 yuan, and a promotional activity such as 300 minus 80, and then playing twenty percent off with the gold card, is not too cheap but not expensive for my psychological price." Miss Liu recalls that in the first year or two, she spent four thousand or five thousand yuan at a time, carrying her clothes back, and even more than ten accessories such as scarf belts, enough to wear for a season, and no longer needed to spend time shopping.

    At the end of the year, the clothing company also sent her a 800 yuan voucher.


    Later, the price rises year by year, a common jacket is seven hundred or eight hundred yuan, a chemical fiber trousers five hundred or six hundred yuan, and a summer silk dress two thousand yuan.

    Before the Spring Festival last year, Miss Liu accidentally spent ten thousand yuan, and felt a lot of pressure.


    Miss dau did not dare to go to Zhengda square for a long time. Miss Liu was rather "worried". Unexpectedly, this summer discovered that the brand opened a shop in Tmall.

    7 pieces are selected, the total price is 800 yuan, and the price can only get two pieces in the store.

    The shop will write out the original price for each label, and Miss Liu knows that the original price of "wild wild" is not deceptive.

    For example, the original price of a seven cent trousers is 790 yuan, 70 yuan is taken; a sleeveless shirt with "Tencel" plus mulberry silk, the original price is 1050 yuan, and it sells for 150 yuan.

    There is a medium length fox fur collar and down jacket. The original price is 3200 yuan, and the online shop sells 500 yuan. Miss Liu is still considering it.


    However, this company may not take the online shop too seriously, the clothes style is less than 100, and it is only one or two months before it comes to the new model.

    Let Miss Liu most "spit blood" is the annual sale under the line, often just a season just bought price goods, low-key in the sale meeting, the price is less than seventy percent off.

    How to do it? Learn stock investors to make up the stock, take advantage of manufacturers to clear inventory, grab more special items, and lower the average cost.


    Clothing enterprises are also helpless: the cost is high.


    What are the reasons for boosting the prices of clothes and shoes in the market? Is it raw material procurement, labor cost, finished product pricing, or the link to enter the shopping mall?


    A clothing company registered in Jiading District, Shanghai, mainly produces and operates its own girl brand, and undertakes part of the overseas brand's OEM business.

    Business owner Xu said that the overall price of clothing this year rose by 10% to 15%.

    "Rising costs are irreversible trends, and we can't afford to hurt them, because both the fabric price, labor costs and logistics costs have increased significantly."


    Xu boss reluctantly said that in the past two or three years, the labor cost and raw material cost of garment enterprises increased by over 40%.

    First, since the implementation of the new labor law, insurance and wages have been rising in the workshop, including the lathe workers, the shopping guide salesmen.

    In addition, steam supply, ironing, delivery and pportation costs have been rising in recent two years.

    In addition, in recent years, with the demand for consumption upgrading, some high-grade fabrics have also risen, such as wool and cashmere prices, which have risen by about 20% over the past two years.


    After the products are made, they are priced by the clothing enterprises themselves.

    Xu said that the prices of enterprises like them are generally 3 to 4 times the cost, while the big brands are 4 to 5 times.


    Why should it be so high? He explained that every season's style has both best-selling and unsalable funds, and pricing strategies must be able to cope with "before making profits."

    Late sales of unsalable goods only have a 1 to 70 percent off sale, which requires a high price at the early stage to lay a good foundation.

    {page_break}


    Do not think that the price is 3-4 times the cost, clothing enterprises can earn a lot of profits.

    Xu boss calculated another account for the reporters: first, the average store has to deduct 25 percentage points from the clothing category, that is, the supplier sells 100 yuan for each store, and the shopping center can get 25 yuan rent.

    Secondly, the mall will deduct 2 percentage points of advertising fees.

    In addition, the mall and the supplier have to sign a guaranteed sales contract. The part that has not been completed will be paid by the supplier himself, and the store will be rented at 25 percentage points.

    In addition, every big holiday, the mall will launch a larger promotional activities, will eventually be passed on to suppliers.

    After deducting rent, assessment fees, taxes, etc., every 100 yuan sold in the mall can be 65 yuan.


    The wages of workers are also rising with the market. This is a reason for the increase in clothing prices this year. The repeated pmission in the circulation links also pushes up the retail price of clothing. The price of the garment is different from the final retail price, and the price increases continuously in all aspects of its circulation, resulting in a great difference between the terminal retail price and the factory price.


    "In the process of clothing sales, labor, logistics, warehousing, advertising investment, channel construction, shop rents, water and electricity costs are rising, and clothing sales prices are rising."

    Xu boss, for example, said that a T-shirt with a cost of more than 20 yuan would go out of the factory for about 30 yuan, but it might have changed to 50 yuan in the hands of the provincial agent. When the agent was sent to the municipal level, the price would have risen to 80 yuan, and the final pricing of the retail terminal was decided by the brand popularity. The general brand could raise its price by about 5 times, that is, 6 times the price, the famous brand could even reach 10 times, and the international top brand is more than tens of times.


    Liu Cheng, a researcher at the China commercial circulation Productivity Promotion Center, has been concerned about the trend of clothing prices for a long time. When he analyzed the reasons for the high price of clothing, he said that the rigid rise in manufacturing costs is bound to pass down to the next link, which is the most important reason for the rise in clothing prices.

    For example, the rise in oil prices in the domestic market has led to an increase in freight costs, and the price of clothing has naturally increased.

    And clothes

    cloth

    The polyester contained in it belongs to synthetic fiber, which is a byproduct of the petrochemical industry and coking industry. The rise in international and domestic oil prices will also lead to the rise in clothing prices.


    In fact, the cost of cotton is most closely related to the cost of clothing, but the cotton market is another scene.

    In November 26th, the reporter learned from the China cotton trading network that the price of domestic cotton spot market continued to close to the reserve price.

    Spin

    The demand for downstream products is not good, and domestic cotton prices do not have an advantage over imported cotton. The spot market is very light. Many large textile enterprises use cotton to buy Chen cotton when they throw away their stores, and because the current price of goods is lower than the purchasing and storage price, the purchase and sale of cotton processing enterprises mainly focus on the storage and storage of their products.


    Why is Cotton falling and clothing going up? Jiang Hengjie, consultant of China Fashion Association, said that clothing usually takes three or four months from design to order production.

    Most of the clothes made now are cotton this spring, so the price of clothing in autumn and winter is still high.

    In addition, the increase in production costs is an important reason for the rise in clothing prices.

    In the traditional garment manufacturing cost structure, raw material costs accounted for 60% to 75%, and processing and manufacturing cost accounted for only about 25%.

    Now the situation is not only the cost of raw materials and processing costs are rising, clothing production process, raw materials, energy, labor and other cost increases, clothing products factory prices also rose accordingly.


    "Over the head" over frequency: a promoter of price increase


    At the 112nd Canton Fair held recently, clothing exhibitors revealed that the same quality clothing sold at home was more expensive than Europe and the United States. One important reason is that the clothing consumption concept of the two markets is quite different.


    A surnamed manager of Guangdong textile import and export Limited by Share Ltd said that the characteristics of clothing sales in the international market are small quantities, and the amount of clothing purchased can reach tens of thousands of pieces. In China, however, it is reversed, with many styles, but not much of each quantity, but only a few hundred pieces.

    Because the amount of purchase is different, the cost of production is different, and the cost of domestic sales is higher.

    The price of a thick skirt for autumn wear is $9 at the Canton Fair. The retail price in the US will rise to $36, or more than 200 yuan, but in the domestic market, the retail price will be more than 4 times, but it can be sold to four hundred or five hundred yuan.


    Americans seem to be less interested in dressing up, though there are fashion styles and colors every year, but in general, Americans are more comfortable and casual.

    Even the richest Americans are more of a better quality than style.

    The United States Cotton Corp has done a "life style survey". The results show that the quality, durability and fashion and style of the clothing are important for the luxury consumers in the United States, including 94% of the quality, 90% of the wear resistance, and 86% of fashion and style.

    Erika SerowErika Serow, partner of Bain management consulting company (Bain&Company) and luxury clothing expert, said: luxury consumers prefer to buy a garment that can be worn all the time, rather than several fashionable but outdated clothes.

    BrettAnderson, editor in chief and senior vice president of the rob report, said: "for the wealthiest Americans, quality is the most important factor in deciding whether to buy or not.

    They rarely consider fashion trends. Classic styles and durability are the main factors that they consider when buying clothes.

    This is why some brands such as Kiton, Hermes, LouisVuitton or Ermenegildo Zegna have a lot of commonalities. They all pay attention to the tailoring of garments and the beauty of lasting beauty. "


    Compared with the United States, Chinese consumers are more concerned about the style of clothing, more fashionable in pursuit of fashion, and even hate the "bump shirt".

    Because of this, manufacturers must take small batch and multi variety routes, and the cost will naturally rise.

    Wearing fashionable clothes is the result of the great release of the love of beauty, which has been raised by the living standards and suppressed for many years. At the same time, the popularity of this consumption habit is also out of a helplessness: too few classic clothes that stand the test of time.


    Another mindset on clothing consumption is also the driving force for rising clothing prices, which is the comparison.

    Luxury goods are defined as a kind of consumer goods that exceed the needs of people's survival and development. They are unique, scarce, rare and so on. They are always related to the tip of Pyramid. However, nowadays, the "luxury of the whole people" is very strong, and ordinary consumers are also in close contact with them. Quite a few of them are beyond their own consumption ability. The purpose of their consumption is to let others know their status, or to make others envious of their tastes.

    Here, clothing has broken away from the pure aesthetic taste, and has been dissimilated as "consumption oriented" consumption symbol. People can use the brand that can be classified to reflect their status and status in order to avoid being isolated.

    In children's clothing consumption, this kind of competition is also very obvious, has become one of the reasons why children's clothing prices rise.

    Because both are the only child, the two families are spoiled with one child, so whether they are clothes, toys or electronic products, parents are satisfied as long as the children like it.

    Even the young parents hesitated, and grandpa, grandma, Grandpa and grandma paid the bill.

    A netizen said that his friends were "post-80s". They opened their social networking sites. They were "drying" photos of their children. Their mothers tried to get their approval by dressing up their children "cute".


    Because of its popularity, those front-line brands are happy to raise their prices to gain more benefits, and the brands that use these luxury models will also pursue this price trend in order to show that they are also first-rate goods.

    Therefore, the concept of consumption will also affect the trend of clothing prices. Advocating a more rational dressing concept may be a way to curb the runaway rise of clothing prices.


    Street shop is hard to survive: profit is not good.


    There are always small shops in the streets of Shanghai, with unique costumes and fashionable clothes, forming an alternative Shanghai business card in the eyes of outsiders.

    It is quite different from the strong selling of big brands and famous brand clothes by major department stores.

    They are like the alleyways of Shanghai. Although they hide the market, they are inconspicuous, but they are alive and fragrant.


    If the brand clothing of the mall is famous for its brand name, two of the shopping malls will be able to raise profits by raising prices.

    In the past, many of the street stores that were very popular with fashion people were squeezed by online shops. Many white-collar workers, students and housewives chose to shop online, so that the business of clothing stores was getting worse and worse.


    Miss Lu has opened a small shop in Nanchang Road, and has been doing business for women's clothing for 5 years. It is already common for clothing prices to rise year after year, but this winter has not seen any increase in the spectrum.

    According to Miss Lu, she usually goes to Guangzhou and Shenzhen every month. The latest time is to go to Guangzhou Baima clothing city in mid September, when the price of clothing has gone up.

    "Starting a two shops, I think these shops are much more expensive than last year, and they want to see them again, but after walking for seven or eight years, they realized that the winter clothing is generally rising this year."

    As a result, Miss Lu did not go for long, and the 60 thousand yuan in her hand was spent.

    "In the past, 60 thousand yuan could go into many stores, enough to sell for a while.

    But now that money is gone, the goods haven't entered much.

    Miss Lu could only face it reluctantly.

    Miss Lu, for example, last year an ordinary cotton dress marked 400 yuan, and 320 yuan could still be traded, but this year's sale price is equivalent to not making money.

    The monthly rent of 10000 yuan is not too low.

    However, the store rents for the same period last year were 8000 yuan.

    She gave the reporter an account: the cost of air tickets, lodging and lodging for a trip to Guangzhou was nearly 3000 yuan, and it was more than ten yuan on a piece of clothing, and the freight cost was further increased by 5 yuan, and the cotton clothes with 280 yuan in the price went directly to 300 yuan.

    "Excluding the cost of employment, it is only the store rent, electricity and other expenses. Selling 400 yuan will not make money at all."

    But customers do not appreciate it. They think that products in such a small shop will be able to find sellers with the same price and lower price on the Internet.

    Miss Lu admitted that the turnover in the same period this year was at least 25% lower than that of last year.

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