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    Closing Shop Tide Continues To Pform The Road Unstoppable.

    2015/8/19 10:34:00 34

    Closing Shop TidePformationGarment Industry

    Clothing enterprises have been seeking new growth points in recent years, and constantly trying and making mistakes.

    The development of sideline, children's wear and Deputy cards has become a popular choice.

    Menswear brand Li Lang released the first half of 2015 earnings report, the main brand LILANZ retail sales decreased by 15.

    Customs shops also took place on other clothing brands, Giordano closed 37 self run stores in the mainland, Anta closed 282 Anta stores, and 361 230 stores were closed.

    The number of these 4 brands has reached 564 in six months.

    In the view of Yang Dayun, President of excellent international fashion brand investment company, the store will continue in the future and may become a norm.

    "A number of enterprises in this market really can not go on, there is no way to pform and meet the needs of new consumer groups and markets.

    They will continue to close, and some enterprises will withdraw from the market. "

      

    Service enterprises

    The tide of shop closing has already begun.

    Relevant information shows that since 2013 to 2014, Anta, PEAK, China trends, 361 degrees, XTEP and other sports brands closed more than 6000 stores.

    In 2014, the United States in the largest flagship store in Wangfujing (600859, stock bar) shop in the four years after the opening of the shop, marking the trend of domestic clothing began to narrow the layout of the first tier cities.

    In the same year, the number of retail outlets of the LILANZ brand decreased by 158, Giordano closed 190 stores all year, and IgG closed 88 stores in the first half of the year, and 73 of the nine Mu Wang (601566, stock bar) closed in the first half of the year.

    Domestic clothing brand stores continue to intensify this year.

    Garment enterprises

    Online retailers

    Shocks, coupled with the increase in rents, have made the closure of poor performance shops a timely stop loss option.

    Clothing has become the hottest category in the electronic business platform, and it also squeezed the space of physical stores.

    According to the data released by AI consulting, the size of China's online shopping market in 2014 amounted to 2 trillion and 800 billion yuan, of which clothing became the largest category, more than 610 billion yuan, an increase of 41.5% over the same period last year.

    At the same time, the rise of rents has also become a pain for garment enterprises.

    In a report released in the three quarter of 2014, CB pointed out that the average rental price of the first floor shops in Shanghai rose by 0.3% to 70.3 yuan per square metre per day.

    That is to say, a 500 square meter store will increase the rent cost of 35150 yuan a day, and the rent of one month will rise by one million yuan.

    This is not a small burden for poor shops.

    Turning off unprofitable stores will significantly reduce inventories, labor costs and return on investment. Some enterprises focus on shops that can run well and efficiently.

    "The market environment is not optimistic" is also the most commonly mentioned keyword in the financial reports of garment enterprises.

    In the first half of 2015, the company reported that the retail sales volume of the 50 key large retail enterprises increased by 1.1% in the first half of the year, and only 20 of the total retail sales grew, which was unchanged from last year.

    Retail sales of clothing products increased by 3% over the same period last year, and the growth rate was slower.

    The direct response of the downturn is that the market must scale down and reduce production capacity.

    Yang Dayun believes that in addition to the pformation of China's economy and the impact of the Internet on traditional industries, the change in consumption structure is also the main reason for closing the store.

    The period from 2000 to 2012 is the climax of the development of Chinese garment enterprises.

    Since then, the mainstream consumer groups have been aging, and the new consumer groups represented by the "post-80s" and "post-90s" are rapidly rising.

    This confusion to traditional brands is the way to meet the needs of consumers in the market - simple design or general quality is far from enough.

    In the future, from developing brands to developing lifestyles, covering the phenomenon of pop culture symbols such as Han Han and you from the stars.

    Clothing enterprises are looking for new profit points.

    In addition to developing the inevitable choice of online channels, enterprises also choose to develop sideline and Deputy cards.

    The choice is development.

    Sub card

    The relative brand is located in the mature consumer group, and the sub card is positioned for young people.

    After the first decline in 2013, Li Lang began to adjust the product strategy of the sub card L2, reduce the unit price of the 20% products, expand the number of L2 stores, and close the main brand LILANZ store with poor returns.

    However, the proportion of L2 sales has increased by only 2.5% since 2012.

    Yang Dayun believes that the traditional clothing brand is better than its new brand in 60s and 70s, expanding the group of post-80s and post-90s.

    This group is the product of the third birth peak in China. It accounts for a large proportion and has a wide market space. They prefer to go to department stores to experience and try clothes, and treat shopping as a kind of leisure.

    As they grow older, they will pursue quality, quality and self-worth.

    The traditional clothing brands represented by Shan Shan and YOUNGOR have abandoned their struggles in the clothing industry, and have chosen to develop sideline businesses, or even to earn more than the main garment industry.

    The first half of 2015 reported that the lithium battery material has become the most profitable business, and the group will also use lithium battery materials to enter the new energy automotive industry. Anta chose to close Anta brand store and set up a series of children's sporting goods stores.

    In the first half of this year, 282 Anta stores were closed, and 106 children's sporting goods stores were added.

    Mei bang and Semir are also pushing children's clothing market.

    However, children's clothing may become the most obvious category of Internet impact.

    Data show that the number of children in China is the largest in the world, about 2-3 billion, and there is a large market space.


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