Three Clothing Store Owners To Resolve Rent Pressure

The pressure brought by the rising rent of the pavement. Be engaged in People in the clothing industry feel more deeply. Because of the weak international clothing market over the past two years, many foreign trade brand exports have been transformed into domestic sales, which has impacted on the domestic market. In addition, some clothing brands are fighting for a larger market, enriching the products at all price levels, competing for the low-end consumer market, and also doing discount sales activities at the discount level, which has caused tremendous pressure on the survival of some small brand clothing stores. In addition, the impact of online shopping on physical stores is growing. The market share of traditional clothing stores is squeezed. The speed of passenger loss is accelerating and profit margins are getting smaller and smaller. In the context of the overall setback of the industry, the rise in the rental price is undoubtedly a fatal blow. So how can the garment industry better cope with the common pressure of rising rental rents? Boss Ask them to share their experience.

Clothing stores are a large part of the cost of rent and labor. Therefore, a slight increase in store rents, businesses can clearly feel that their cake size has changed. When the rent increases and profits occupy, the business must respond to ensure that the revenue of single store business remains unchanged.

Last year, when the whole garment industry was frustrated, the reporter interviewed Ms. Xie, who succeeded in "counterattack" to achieve a breakthrough in sales in the off-season, when she faced the market mutation, she always changed her mind. This year, in the face of a new round of pressure on store rents, Ms Xie said that the era of traditional industry operators waiting to make money has long passed. Ms. Xie said that 6, 7, 8 and September are the low season of clothing sales. At this time, the whole industry has entered the "cold winter", and the operating performance has declined significantly. Out-off-balance With the pressure of rents rising, many people are not confident. But instead of making a big fuss in the off-season, she keeps her energy and strength. Because she has been running the clothing store for many years, she has found out the rules of the industry. Once the off-season is over, she will usher in a frenzy of clothing sales, which is a critical period to ensure the annual income. Therefore, in a few months' sales slack season, she not only analyzes customer purchase preferences, but also ranks the popular clothing styles and prices in the store, so as to provide reference for the next season. At the same time, some low price discount clothing will be introduced from time to time, so as to attract old customers into the store, increase customer stickiness, and also attract some potential customers to enter the store. Ms. Xie said that people have the habit of buying. People who visit the store will come in to see it every time. Therefore, discount clothing can play a very good role in attracting customers and increasing frequency of communication with customers. As soon as the peak season comes, another large-scale discount sale promotion activity is launched, and the popularity is booming. At this time, the new autumn winter suit is launched, and the transaction rate is very high.

Ms. Xie said that the rental of the shops was too high, and the sales income in the off-season was sometimes not enough to pay the rent, so many bosses lost confidence and had no intention to study the countermeasures. They even couldn't afford to invest their money in upgrading the storefront. If you can make good use of the off-season to make some adjustments and improvements, you can win in the coming season.

It is an indisputable fact that the competition pressure of the garment industry is increasing. The intensification of homogenization competition has made it impossible for the individual operators who are not strong enough to resist. In the past one or two years, the rent of the pavement has been raised, and the rental of many lots has increased. At this point, the pursuit of differentiated management may be able to find a new way out.

Differentiated management has always been the entrepreneurial concept of entrepreneur Huang Zhihui. Beginning with her home textile business, Huang Zhihui worked hard on differentiation, instead of ordinary home textiles, but chose to make special home textiles for pressing cotton. Later on she went to the garment industry, she also avoided fashion clothes management, but chose to make children's clothing. When she chose the brand and price of children's clothing, she also avoided homogeneity competition. Most children's clothing stores were selling comfortable brand when they were selling, and Huang Zhihui chose to join the fashionable children's clothing brand. Differentiated management allows her to avoid many unfavorable competitive factors.

Under the pressure of rent rise in stores, Huang Zhihui believes that in addition to avoiding the adverse factors of homogenization competition, we should also consider getting more differentiated consumer groups. Nowadays, many young people are accustomed to online shopping, which has hit the business of physical stores. Many young fashion brand clothing stores have even become the fitting rooms of many online shopping families. Therefore, to lock in effective consumption groups, we must go astray. At present, the middle-aged and old people are still relying on physical stores when buying clothes. First, they have been accustomed to such purchases for a long time. Two, they are limited by the ability to use computers. Therefore, in order to increase the turnover and fill the profit margins which are reduced due to the rising rent, the operators in the homogenization competition can turn to the middle and old age clothing brands, and then carry out various activities to attract customers into the shops according to the consumption psychology of middle-aged and old consumers, so as to enhance sales performance.

Huang Zhihui believes that the clothing industry is in a difficult environment for survival. Under the double attack of increasing competition and rising rents and pressures, businesses must learn to operate differently so as to make breakthroughs.

In response to the question of how the apparel industry should cope with the rise in rents, Li Shaohua, general manager of Nanning Xuan Qi trading company, said that the profit of the garment industry has been relatively transparent. Within a limited profit margin, whoever has a high market share can create more value. Therefore, with the increase of the rental rents and the profit margins, we should constantly expand the market extension, strive for greater market share, and improve sales performance by giving profits to customers and agents.

Li Shaohua said that they currently sell two brands of sportswear and a brand of their own fashion clothes, so they turn their attention to the student market in order to broaden their marketing channels. They spent more than two months looking for potential university market, training college students as sales agents on campus, and actively contributing to provide campus outlet sales agents with help from the whole store, while helping students open shop and bringing sales promotion to the company at the same time. The extension to the university market is a direction. They also face the recruitment agents in the whole region. Li Shaohua said that they have expanded the sales market to Baise, Guilin, and other cities in the region and Guizhou, Chongqing and other places.

Labor and rentals are rising, cost rising and profit margins decreasing. Revenue can only be increased by increasing sales. Li Shaohua said that the pressure of rent increase is a common problem faced by the whole industry. No matter how difficult it is, every industry has a very successful person, so first of all, we must have confidence and make effective measures to strive for opportunities so as to develop in a difficult environment.