The Pformation And Upgrading Of Traditional Garment Industry Is Facing Challenges And Lack Of Strategy.

Humen's clothing industry has developed from spontaneous market to homeopathy, and the government has taken advantage of the situation to form a large scale garment industry cluster today.

Since the reform and opening up, China has made great efforts to develop labor-intensive industries with cheap labor resources and become one of the major manufacturing nations in the world.

Low cost and high quality were the main competitive weapons of "made in China" and the main reason for Dongguan to win the title of "world factory".

Humen town is the birthplace of South style clothing and China.

The famous town has always been a typical representative of the town economy in Dongguan. In 2014, it achieved 41 billion 600 million yuan in gross domestic product and became the first town in Dongguan that GDP exceeded 40 billion yuan.

Although the data are gorgeous, the fact that Humen, once the first town of China's economy, has been overtaken and the distance from the first is slowly widening is also an indisputable fact. The development of traditional garment industry is facing great challenges.

Status quo: lack of independent innovation, traditional industry problems

Because the number of independent brands is relatively low, the added value of the brand is low, and the raw materials and labor costs continue to rise, and the wholesale price of clothing is basically unchanged, the profits of Humen garment enterprises can be less and less.

With the global economic downturn, the upgrading of raw materials and labor costs and the changing management environment, Dongguan's advantage as a "world factory" is gradually losing, and many factories are faced with the fate of bankruptcy.

In early June this year, Humen was famous.

The brand of small rhino was traced to nearly ten million yuan in arrears, which was blocked by many suppliers.

According to one industry insider, many garment enterprises in Humen encountered difficulties this year.

All along, Humen garment factories provide processing services for large garment enterprises, and their own innovation efforts are lagging behind.

According to the relevant person in charge of Humen Town, as of the end of 2014, there were more than 50000 registered trademarks of clothing and apparel in Humen, but the clothing and apparel enterprises accumulated only 2 Chinese well-known trademarks, 3 famous brand products, 12 national inspection free products, 13 famous brand products in Guangdong, 10 famous trademarks in Guangdong.

Thus, at this stage, Humen is still dominated by OEM and OEM "low and medium end" garments.

Because the number of independent brands is relatively low, the added value of the brand is low, and the raw materials and labor costs continue to rise, and the wholesale price of clothing is basically unchanged, the profits of Humen garment enterprises can be less and less.

In addition, the Humen excipient market, which was once brilliant, is also gradually declining.

Mr. Chen, a boss of a cotton stall, told reporters, "business is much more difficult than before. A lot of old customers have been lost. If it is the same way, I will go back to my hometown in Henan."

At this time of 2011 and 2012, Mr. Chen was already very busy, but this year he has been suffering from the "off-season".

According to the director of Zeng Xing, a garment factory in Humen, most of the garment enterprises in Humen are now buying fabrics from Guangzhou.

"For a simple example, the wholesale price of a piece of glass embedded on clothes is 1.2 yuan in Guangzhou and 1.8 yuan in Humen. If I buy in Guangzhou, then I can save more than 1000 yuan in a single sheet."

Sun Pingli, who has worked in Humen for ten years, also told reporters that the fabric varieties in Humen accessories market are slow and single, and clothing is the most popular element industry. If fabric can not keep up with the popular rhythm, it will lose at the starting line from the beginning, so they often go to Guangzhou middle and large accessories market to buy Fabrics.

"Of course, I would prefer to buy affordable fabrics in Humen, which will save time and reduce the cost of raw materials, but the reality is that I can choose a more cost-effective medium and large accessories market."

The factory director reluctantly told reporters.

Reason: lack of strategy in pformation and upgrading

Some business owners are eager to make progress. In order to improve market share and compete for customers as soon as possible, they often use the way of losing money to win customers' favor, which leads to vicious competition and is not conducive to long-term development.

In such a big environment, Humen garment enterprises are also actively pforming and upgrading, looking for new development mode.

Joining the electricity supplier team is one of the upgrading paths for Humen garment enterprises to compete.

It is understood that from the beginning of 2014, the development of e-commerce in Humen appeared "blowout" phenomenon. The volume of e-commerce pactions in Humen is expected to exceed 60 billion by 2019.

In order to help local apparel businesses expand online pactions, Humen held the first electricity supplier festival in 2014, and also built eight major electricity supplier industrial parks.

During last year's trade fair, Humen also worked with Alibaba.

The powerful enterprises recommended by the industrial park are dressed up in the "electricity supplier area" of the the Yellow River fashion city main hall during the service trade fair, providing entity display pactions for the electric business enterprises, and the business representatives display the source of goods centrally, attracting buyers and increasing the effectiveness of the paction.

Trying to promote offline pactions through online promotions, and achieve two-way linkage in an all-round way.

"Although many of the operators of the old rich people are aware of the impact of the electricity supplier on the traditional wholesale industry, they are ignorant of how to integrate the entity with the electricity supplier and how to correctly intervene in e-commerce."

Ren Lierong, general manager of Rong Yue Clothing Co., Ltd., told reporters that some business households are eager to make progress. In order to improve market share and compete for customers as soon as possible, they often use the way of losing money to win customers' favor. Even the contract signed also contains 100% items that can not sell clothes, which can easily lead to vicious competition, and this way of operation is not sustainable.

"My goal now is to preserve the existing results and then grow.

In the current environment, the blind expansion to the electricity supplier will only accelerate the collapse of enterprises.

Ren Lierong stressed to reporters that blind expansion of the company's business is better than hard work, improve product quality and add more innovative elements, so buyers will take the initiative to come.

In addition, brand building is another way for Humen garment enterprises to find a way out.

As early as the mid 90s of last century, the Humen town government put forward the development strategy of "clothing to promote the town", and began to guide and encourage the clothing enterprises to register trademarks and take the road of brand development.

In 1999, Humen launched the "brand project" in an all-round way, so that the clothing industry in Humen has been fully improved from brand image, quality, enterprise quality to marketing and talent absorption.

In 2002, the Humen town government promulgated the "Humen town famous brand award method", and gradually integrated the relevant incentive measures, and formed a series of policy systems such as the Humen town famous brand driving strategy plan, and fully supported the clothing enterprises to build brands and create famous brands.

With the support and promotion of the government, Humen has also emerged.

A number of famous garments, such as irim, Yi Xun, iro, Wen Chun, pine hawk, Sach Bell, fox fairy, forest, squirrel, foreign country, etc.

However, compared with the number of garment enterprises in Humen, there are not many independent brands in Humen. The effect of brand building is not very obvious. The government and enterprises still need to continue to exert their strength.

"For Humen's clothing industry, the forging of its own brand is a threshold that can never be bypassed."

Liu Shuang, who is engaged in garment manufacturing, said.