The New Challenge Of The Textile And Garment Industry Is The Pformation Of Independent Brands As A Way Out?

Behind the scale of 10 billion yuan, it faces a new challenge: to foreign countries.

The way of processing will be narrower and narrower.

According to the statistics of the Tonglu county government, an export sweater can only earn 3%-5% profits on behalf of the processing enterprises.

In addition to the cost of production, more than 30% of the profits have been taken away by upstream buyers and fashion designers.

Cost rise, order outflow...

How do garment manufacturers in Tonglu increase their added value?

Zhejiang's foreign trade enterprises, which have accumulated a lot of technology and management experience, can pform themselves into two degrees and create their own brands?

Recently, a reporter walked into Tonglu and went to some knitting enterprises with the staff of the Hangzhou branch of Zhejiang inspection and Quarantine Bureau.

Knitting export quality demonstration area: high output value and low profit.

The textile and knitting industry in Tonglu County of Hangzhou was formed in the early 90s of last century. It benefited from the great pfer of international industry after the reform and opening up.

At that time, a number of private entrepreneurs, through the Canton Fair and other fixed files, introduced knitting production equipment to carry out "three to one fill" processing and production, and gradually formed the rudiment of Tonglu county's light textile industry.

In November 2012, the Tonglu county government signed a memorandum of understanding with the Hangzhou inspection and Quarantine Bureau, and officially launched the construction of a demonstration zone for the quality and safety of exported knitted products.

Tonglu

The industry is concentrated in Heng Cun, Chengnan street and development zone. It mainly produces knitted garments, woven garments, silk sweaters, hats, scarves, scarves, etc., and is an international large scale foundry for Martha, Armani and MaxMara.

After more than 20 years, the textile and garment industry of Tonglu county has formed a scale of more than ten billion yuan. In 2014, there were more than 2300 local textile enterprises, with a sales value of 17 billion 680 million yuan, accounting for 22% of the total output value of the whole county.

But behind the scale of billions of dollars, it is facing a new challenge: the way of processing foreign brands will be narrower and narrower.

According to the statistics of the Tonglu county government, an export sweater can only earn 3%-5% profits on behalf of the processing enterprises.

In addition to the cost of production, more than 30% of the profits have been taken away by upstream buyers and fashion designers.

Seeking the pformation of independent brands is the only way to continue the vitality of enterprises.

Sample the Fuchun River weaving group: the first step: Transformation of high-end garment brand.

3 years ago, Hu Xiaoming, the head of Tonglu the Fuchun River weaving Group Co., felt the crisis of processing foreign brands. A large number of foreign low-end brand orders were lost and pferred to Southeast Asia.

"Customers care most about the price.

China's domestic production costs remain high, and the labor force in Southeast Asia is cheap. If there is no pformation, the situation will become more and more serious.

He went to Southeast Asia to investigate and found that although the labor force there is cheap, many advantages of the domestic factory are not yet replaced.

"We have a complete industrial chain and materials are provided by our own factories, but materials such as needles, threads and buttons in Southeast Asia need to be imported.

We have advanced production equipment. Since 2007, machine substitutions have been launched. So far, it has cost about 10000000 yuan to renew equipment every year.

In addition, the production quality management system is much better than southeast Asia.

Although their labor force is cheap, their per capita output is only 1/3 of our quality.

After returning to his country, he decided to change.

In 2013, the Fuchun River weaving made adjustments to its product mix and gave up its low-end brand, and only received the list of international high-end garment brand OEM.

For example, GIVENCHY, NINE WEST, CK, VINCE and so on.

"Although the high-end brands are small batch production, the export volume and benefits are rising."

Hu Xiaoming said.

In 2014, "the Fuchun River weaving" business income of about 600 million yuan, exports $80 million.

Recently, Hu Xiaoming is planning to open a factory in Burma.

The second step is to create our own clothing brand and take the domestic market plus the export road.

35 years later, Southeast Asia's production capacity may catch up with China.

Therefore, after the 2012 investigation, Hu Xiaoming began to build his own brand.

"Before, we sold 100%, but no matter how well done, they were making brands for others.

In fact, China is the largest market in the world.

In 2012, Hu Xiaoming founded the independent men's clothing brand "innI" and obtained the trademark registration authentication.

He set up a design department in Hangzhou to hire foreign designers as design directors, leading the domestic design team to tailor fashion brands for young people.

The production and delivery base is still in Tonglu's factory.

What is the biggest problem that Hu Xiaoming has to face is how to popularize his own clothing brand, which has only the advantage of production and no sales and channel advantages.

He decided to graft the Internet.

In 2012, "inmini" was in.

Open flagship store.

"Before, there are people who worry that when we look at foundry production, we will affect the quality of our brand."

Hu Xiaoming said.

However, the inspection and supervision department of the Zhejiang inspection and Quarantine Bureau has tested "Ying Ni Ni" garments at Xu Hai, and said, "after testing, the raw materials used by the independent brands of enterprises are much better than the raw materials of their OEM."

Soon, Hu Xiaoming will also launch her own brand of women's clothing.

He has been ready to build his own brand and lose money for 5 years.

He will produce 10 million yuan, including 6 million yuan for product development and 4 million yuan for design.

He estimated that 5 years later, the proportion of foreign trade and domestic sales of its own enterprises will reach 65%:35%.

Hu Xiaoming said he also plans to push "infield" abroad, plan or do it himself, or cooperate with American friends.

Many American friends are asking me about cross-border electricity providers. They worry that young people in the United States will be buying online like China.

In this way, the business of local department stores will drop.

Now, 30% of the business in the United States has been pferred online.