Clothing Enterprises' Discount Normalization - Production Crisis Under High Inventory

< p > < /p >.

< p > high inventory is being normalized "a target=" _blank "href=" http://www.91se91.com/ "> clothing < /a > discount.

In December 21, 2012, a brand discount shop, known as "the first Ji'nan city core business district," opened.

But in fact, this is not the first brand discount store located in downtown Ji'nan. In October 2012, a large brand discount shop was opened in Ji'nan Quancheng road.

< /p >

< p > two shops, all located in the center of the city, what is the sudden popularity of Ji'nan's "brand discount" as the main feature? How far can it go after "entering the city"?

< /p >

< p > discount becomes normal "/p >.

< p > auris advance into the center of the city < /p >

< p > ONLY, VEROMODA, Jiangnan Buyi, Mark Ed Faye, Pathfinder (16.200, -0.90, -5.26%), AGG, BELLE...

In December 25, 2012, in Ji'nan, Lishan Road, superior products, outlets, the reporter noted that, apart from the supporting catering and supermarkets, the real discount store was only more than 10 thousand square meters, but it gathered a number of brands.

SELECTED, Nike and other international big names are also being renovated.

< /p >

< p > "compared with the Ginza, which has already been built, we have a smaller volume, but we also have more than 70 brands."

Ding Wei, deputy general manager of quality products outlets, told reporters.

< /p >

< p > compared with the expensive department stores, the most attractive thing here is the intensity of discount.

In a women's clothing brand area reporter noted that the original price of 798 yuan cashmere coat, after 62% off hit, only 303 yuan; and a children's down jacket, the price after folding as long as 106 yuan.

< /p >

< p > besides price, location is also an important reason for attracting many people to patronize.

Reporters learned that this so-called "Ji'nan's first brand discount shop located in the core business district of the city" is located in the business district of the Yuan Yuan Street, because it is not far from the Ginza mall and Quancheng road. It has brought a lot of popularity. Many customers have stopped by "Taobao" after they have finished shopping in those big shopping malls.

< /p >

< p > "in the past, although there were also outlets in Ji'nan, the location was too remote, and there were two or three times in a year.

Now it's different. The two newly opened outlets are located in the center of the city. They are easy to pport and are free to visit.

A young mother said excitedly.

< /p >

The P reporter learned that in order to save the cost of rent, most of the site was located in remote areas. The first ootles of Ji'nan, Ginza ograph, was located in the seven Li mountain, a considerable distance from the true core business circle of the city.

< /p >

< p > "compared with the genuine shop, the discount shop's profit is very low, sometimes even losing money, the rental cost of the center is too high, and the opening shop is not cost-effective."

Ding Wei admitted that in order to attract merchants to enter, they gave many concessions in terms of rents and rebates.

The reason why we choose oatrice is mainly optimistic about this format: high inventory pressure has forced clothing companies to put down their positions. They have never welcomed Oteri J's arrival like this: the parent company of ONLY and VEROMODA, a target= "_blank" href= "http:/ /www.91se91.com/" > dress > /a > specially set up the "outlets business department". Mark Ed Faye, Jiangnan Buyi, and IgE also all put the goods in the same important position as the sale of genuine products.

< /p >

< p > sale will gather up < /p >.

< p > inventory cleaning company began to favour /p

< p > just as Oteri J is advancing towards the city centre, all kinds of clothing sales will also blossom everywhere, and the frequency is obviously higher than in previous years.

< /p >

< p > not only the frequency of special sale is obviously higher than that of previous years, but also the intensity is amazing: the men's coat whose original price is 1000 yuan is only 299 yuan after the discount price, and the brand leather fur whose original price is more than 3000 yuan is only 1000 yuan after the discount price.

Last weekend, Miss Xu even visited two special stores, and sold her winter clothes to herself and her boyfriend at one go.

< /p >

< p > "last year's clothing sale will be very much, and the time point is also one month ahead of the previous year, basically started in the middle of November."

A clothing brand agent in the provincial capital said frankly that although they are worried that similar sales will be held too much, they may impact the positive price system of the shopping mall and affect the brand image, but there is no other choice: sale will still be an important way for the garment enterprises to return the funds quickly at the end of the year.

< /p >

< p > in these sprouted clothing sales meetings, the organizers have both clothing manufacturers and agents, and there is no shortage of inventory clearing companies: the latter always stationed salesmen in Hangzhou and other garment enterprises to meet the right inventory, and the salesmen called back, and the boss came directly to negotiate with the manufacturers, tens of thousands of pieces and hundreds of thousands of pieces of goods to be collected, and sometimes even the goods of the entire warehouse were taken away.

< /p >

< p > "although their prices are often very low, the clothing companies do not reject these inventory clearing companies, but are very happy to accept them."

The above brand agents told reporters.

The reason is very simple: < a target= "_blank" href= "http://www.91se91.com/" > clothing < /a > good or bad. Inventory cleaning companies receive all the bills, and they can also be matched with good ones. This solves the big problem for clothing brand enterprises.

"Some second-hand goods, if continue to sell, the cost is also very high.

Usually, the company will prepare the goods for one year, and the new ones will go up three times in the shop. If it can not be sold, it will be disposed of immediately.

It costs a lot of last time. "

He said.

If the inventory is too large, the garment enterprises have no special channels to digest, so they can only clean up the inventory. "After all, goods are stored in the warehouse, so you need to sort out the goods."

However, for Econo Hotel, breaking up and down may not be as easy as they think.

< /p >

< p > Where does the stock come from? < /p >

< p > requires 100 actual production 250 pieces < /p >.

< p > whether it is in the city center Ortles or the clothing sale that gets together, it reflects nothing but the frustration of the clothing enterprises: the high inventory pressure is forcing them to do everything they can to "stock up".

< /p >

< p > however, where does the high storage come from? In the eyes of the insiders, the high library stub originates from the speed of the expansion of the clothing brand, which has exceeded the market growth rate.

"Taking sports brand as an example, the high growth in previous years has attracted a large number of enterprises to enter this industry. In order to seize the market quickly, enterprises often adopt the way of quickly opening stores and expanding their capacity, ignoring the endurance of enterprises themselves and the market."

Mr. Wang, director of marketing of a sports brand in China, told reporters.

< /p >

< p > the original market has increased by only 20% a year, but the enterprise has produced more than 60% of the products.

On the other hand, the extensive operation of domestic clothing enterprises, especially sports brands in production and sales, has also made production volume deviate from the actual demand of the market to a certain extent, thus forming a high inventory.

< /p >

< p > > the quantity of planned production of most garment enterprises is determined by the order meeting. The enterprise determines the output according to the order quantity of the customer on the order meeting, then arranges the production.

This mode relies on channel providers rather than consumers to provide information, often resulting in lower sales volume than expected, resulting in backlog.

Mr. Wang told reporters that this mode often makes enterprises exaggerate market demand when making inventory turnover plans.

"For example, consumers need 100 items of clothing, and retailers think they need 150, and agents think they need 200 pieces, and 250 more to the manufacturer.

That is to say, for every 1 items sold, the manufacturer should prepare at least 2.5 items for inventory turnover, sometimes exceeding this proportion, resulting in a large number of stocks.

< /p >

< p > inventory pressure will also have a conductive effect in the industry.

In Mr. Wang's view, when the domestic first tier brand inventory is seriously overstocked, and beginning to digest the inventory stage, on the one hand, it will affect the orders of downstream OEM enterprises. On the other hand, while the front-line brands expand sales through promotion, consumers' demand for the two or three line brands will be reduced, resulting in a reduction in the sales of two or three line brand products and an increase in inventory.

< /p >

< p > consumers do not buy "/p".

< p > otter is afraid to become a mainstream /p.

< p > "in fact, we shop here without making money or even losing money."

A merchant of quality products told reporters.

As a provincial-level agent of a well-known women's clothing in China, the agent purchases goods from the factory according to 40 percent off standards every year, and once these old goods enter the outlets, they can only be sold at a price of 1-5 or even lower.

< /p >

< p > although Ortles is becoming a "life-saving straw" for the major clothing brands to clean up inventory, consumers may not be able to buy these clothes that are being cheaply sold.

< /p >

Many people, especially young women, are delighted to go on the first day of the opening of P, but especially after the visit, many people's first reaction is disappointment: many clothes do not say so, and the price is not as affordable as expected.

< /p >

"P >" is a discount, but many clothes are not cheap. The key is to look ugly and out of date. It feels like the goods are sold out, even after the discount price is not worth it.

Xiao Wang, who works at Yuan Yuan Street, told reporters that she was very excited when she first opened her business. She went to see it in a hurry, and wanted to take advantage of several cheap items, but it turned out to be empty handed.

"It's a 1-5 discount. How can it be so expensive if you enjoy the discount on the opening day?" < /p >

< p > "when you look at the new clothes that are gorgeous and look very pleasing, once you put them in a warehouse for two or three years and then sell them, you will find that it has become ugly and pickled."

A clothing manufacturer described the clothes that were in season.

Therefore, he has a cautious attitude towards the fate of these newly opened "a href=" http://www.91se91.com/news/index_f.asp "Ji'nan" /a.

< /p >

< p > "clothes are not released. Men's wear and sports brand are relatively good. After all, the styles do not change much. Women's clothing is different. Last season's clothing is barely acceptable. If it's for two or three years, it will be difficult for people to feel more cheap.

Coupled with the low impact of online stores, how much inventory can be digested by orter, and can not be overestimated.

He said.

< /p >

"P", "orlet is just a complementary format, and will not become a mainstream business format."

A person in charge of the Commerce Bureau of Ji'nan thinks.

< /p >