The Pain And Opportunity Of The Pformation Of The Traditional Clothing Industry -- The Three Big Changes In The Market

Taking China's local brand as the representative, Lining, seven wolves, YOUNGOR, GXG and so on. The core business mode is to cut the market by category tonal, focus on a certain market segment or subdivide the category, adopt the brand bombing mode of promotion, and shape the brand influence; the supply chain mode mostly adopts the futures system mode, the production link OEM or the own factory; the channel strategy, adopts the brand self operation + the dealer to join the pattern, generally has several thousand shops, but the shop area is not big, takes the small and medium-sized area primarily.

Under the impact of the electricity supplier and the Internet tide, foreign trade and investment no longer become the core pulling force of China's economy. The traditional clothing industry has experienced the situation from heaven to human in the past ten years.

Key words such as inventory, customs clearance, clearance and pformation become the mainstream phenomenon labels of traditional clothing industry.

In the past five years, Lining, who is the guest of the Internet and the traditional clothing brand, has not yet been able to get out of the predicament of the fashion model.

On the contrary, the retail mode of fast fashion brands represented by ZARA and H&M has maintained a rapid growth, and the new Internet brand represented by the Korean clothing house presents a new trend of the "revolutionary reformists".

This article deeply explores the pain points and opportunities in the pformation of traditional dress industry, declassified the more than 20 major characteristics of the three modes of "network, end and cloud" and the cross border war in the past decade, which essentially reveals the "grudges and resentment" between the Internet and tradition in traditional Chinese apparel industry.

The pain and opportunity of pition in traditional costume industry -- the three big changes in the market

1, market demand for consumption

From homogenization brand market to precision fragmentation market.

All sectors of the market growth rate decline, category and crowd rapid fission, 70, 80 people into the main rhythm of family life, clothing consumption towards refinement and upgrading, 90 people become the main force of future consumption, but the characteristics of new markets and crowd needs have not yet been met.

2, the evolution of Channel Formats

Under the influence of the decline of the traditional commercial real estate market, the impact of the new shopping methods such as electricity providers, micro businesses, and Hai Tao purchasing has continued to decline, and the performance of online B2C has stabilized.

The rapid growth of micro businesses, however, is limited by the fragmentation of the mobile shopping mode and the differentiation of the commodity display modes.

The way of traditional brand business growth depends on the growth of the number of retailers joining the store, turning to the demand for store and product retail capabilities, and the growth of store efficiency is restricted by product purchasing and O2O marketing capabilities.

3, brand contradiction between supply and demand

The overall garment industry has more capacity than the demand, factories and brands have withdrawn from the market, overstock, the new proportion of new goods has declined, the cash flow and profitability of enterprises have been declining continuously. The brand has shifted from the OEM light asset model pursuing brand size to the lean and integrated mode of concern for retail and crowd.

The characteristics and differences of representative brand clothing -- the three business mode is different.

In Chinese tradition

In the more than 20 years of rapid development, we can classify and classify all kinds of clothing brands into three categories: "net, end, cloud".

1. Net mode

Key words: inventory, discount and loss.

Taking China's local brand as the representative, Lining, seven wolves, YOUNGOR, GXG and so on. The core business mode is to cut the market by category tonal, focus on a certain market segment or subdivide the category, adopt the brand bombing mode of promotion, and shape the brand influence; the supply chain mode mostly adopts the futures system mode, the production link OEM or the own factory; the channel strategy, adopts the brand self operation + the dealer to join the pattern, generally has several thousand shops, but the shop area is not big, takes the small and medium-sized area primarily.

2, terminal mode

Keywords: fast fashion, big shop, IT system data.

Represented by the fast fashion mode of ZARA, UNIQLO and JACK&JONES, the core business mode is global market product planning. According to regional purchase, the quantity of goods SKU is large, not focused on category and subdivision crowd; the retail store with terminal self operated focuses on data drive, and timely feedback products are out of stock and products are quickly up to date, and the fast selling mode is fast.

The shop area is larger than thousands of square meters.

3, cloud mode

Key word:

Many brands and reformists.

Represented by the Internet panning brand of South Korea's clothing house, the core business mode is high-end embedded Internet traffic, search rules, insight into the consumption characteristics of different groups, through data dissemination and operation, learning ZARA's buying system, quickly hatching out different brands; in the supply chain mode, according to the Internet promotion rules, thoroughly pform the traditional clothing futures large-scale production mode.

The "three heavens" in the traditional clothing industry -- the war between the Internet, the terminal and the cloud cross the border.

1. Net mode: traditional enterprises stepping down the altar.

Once upon a time,

Operation + franchising channel chain mode is a collection of sunflower treasure that many enterprises are financing.

The reason why it is called sunflower treasure is that the side effects of this mode are so great that the SFC cut off a lot of clothing chain listed companies IPO in a year, because the actual performance of the commitment is due to the lack of product power and channel retail capabilities, and many enterprises can not meet the requirements of the capital market.

After experiencing rapid growth in channel performance, most of the net mode brands in 2008 were trapped in the backlog of inventory backlog and retail discount.

Coupled with the rapid development of e-commerce after 2008, the enterprises of the network mode are faced with the need to do the trouble of the electricity supplier, make the online conflict on the line of business, and fight each other.

Therefore, the traditional network mode enterprises have come up with two measures: first, online special products to independent products planning; second, to launch independent e-commerce brand on line.

These two strokes seem to have failed today.

Independent special goods and planning can temporarily avoid the conflict of products, but bring about the development cost and inventory cost of the two sets of goods.

The independent electricity supplier brand has not reached the expectation in the form of the mother's flagging. Apart from its beloved brand, it is independent of its own profits and losses. Other brands of e-commerce sub brands have mostly withdrawn from the market.

After the end of the electricity supplier wave, in order to seek new performance growth, the traditional network enterprises have made two major moves: first, the whole category is expanding cross-border.

Men's clothing entered the women's clothing market, women's clothing entered the men's wear market, men's and women's clothing brands went all the way into the children's wear market.

This has also led to just entering the fast-growing children's clothing market, running into the mature market, the end of the price and channel layout.

Second, pform the O2O plan of traditional stores.

In view of the slow down of passenger flow and the slow growth of business performance, the traditional network mode enterprises think of using new store experience technology + WeChat marketing and other means, so as to enhance the strategic objective of acquiring customers, gathering information of consumers and optimizing the membership marketing system.

The market also developed a store based SCRM system to help traditional enterprises better manage their membership and marketing.

The effect of this O2O wave pformation is not obvious, and it belongs to the means of fine retail operation. However, there is no way to fundamentally change the market of traditional network mode enterprises.

2, end mode: foreign investment hits China market.

ZARA, H&M, UNIQLO and other foreign fast fashion brands enter the Chinese market in a very short time. Foreign fast fashion market entry stage coincides with the growth of traditional Chinese local brand performance bottlenecks.

Therefore, the negotiation between foreign fast fashion brands and China's shopping malls is extremely harsh. Under the consideration of attracting tourists, many Chinese shopping malls were forced to accept very unequal treaties.

And the fast fashion brand of foreign capital is very obvious for attracting the customers of the business circle. The price of the product is relatively high performance price ratio, and the new speed is fast enough. This has lifted a fashion trend of the populace.

Its continuous changes and updates in product and design have also broken through the marketing means that original Chinese brands rely on advertising and television to promote brand awareness. Retail fast fashion brands are extremely miserly in marketing market fees.

The promotion of stores, advertising, also highlights the core of the big end mode.

In the retail and data management of stores, fast fashion store managers and store data collection systems also support stores to make quick replenishment, pfer and activities to ensure high sales and store growth.

Of course, the important trump card of fast fashion is the fast fashion of its products. Behind this is the support of a strong global product design and supply chain system. It is rumored that ZARA's Spanish base factories have underground passageways for direct pportation and distribution, which is also a symbol of fast fashion.

For the Chinese market and the electricity supplier environment, the fast fashion brands of foreign countries are also more tangled and experienced a trial and fast opening stage. Taking ZARA as an example, more than 151 stores in China have broken through, and many brands of INDITEX have entered the Chinese market. For the fast fashion of JACK&JONES, it has long been working with Tmall's strategic cooperation, and the core brand has always been Tmall's Top for men and women. However, because of the rapid growth of ZARA and the conflict between the fast fashion supply chain mode and the online marketing rules, ZARA's e-commerce has been very mild.

Of course, there are also Forever21 like this, with the help of e-commerce and Tmall to enter and occupy a fast fashion women's clothing brand in the Chinese market. Later ASOS and more and more international brands choose the electricity supplier as an important means to enter China.

Foreign fast fashion brands occupy an important market share and position in the Chinese market. In the future, the upgrading of Chinese consumer spending will have a strong impact on these fast fashion brands.

3, cloud mode: the Internet attacks traditional innovation.

For China's Internet scamping brands, they really grew less time, less than five years.

In the past five years, with the help of the electricity supplier's Internet dividend, many Amoy brands have gone from Cock wire to heaven.

With the help of the Amoy brand's familiarity with the traffic ecology and the rules of the game and the super promotion and execution ability, the brand competition on the online platform has always been the advantage of the first generation.

There were nearly 30% Amoy brands in Tmall's double eleven fashion conference.

However, after all, the brand growth time is limited, and its understanding of clothing design and edition and quality is too weak to be compared with traditional clothing enterprises.

Tmall's platform is also aware of this problem. On the one hand, it relies heavily on the seamless cooperation of the Amoy brand to cut the existing market; on the other hand, it has to introduce various platforms that are not conducive to sellers and Amoy brands.

Every time the new platform rules, Tmall is a group of Amoy brands and buyers in the revolution.

With the improvement of the traditional enterprises' attention to the electricity providers, Tmall has further increased its support for traditional brands, supporting Tmall TP and traditional brands.

In this industry and traffic dispute, most of the brands have died on the road, and the brand name enterprises have been founded for a short time. Many of them have encountered various problems in the management and financing, products and other composite capabilities. Once, Taobao had to set up a consulting department specializing in sellers and Amoy brands.

Among the surviving Amoy brands, the success of multi brand expansion is only one of the houses of Han Du Yi, most of them remain in place.

There are also attempts to enter the ground store, but failed because of genetic failure.

Recently, Zhao General of Han Du Yi House released the voice of "reformists" and declared war on tradition.

However, the difficulty of Amoy brand's cloud core is to integrate the links such as design, supply chain management and the Internet better. Most of the Amoy brands only do a part, so the Internet clothing brand is also a minority in the garment industry.

Because it is too difficult, the tactical requirements are too high, the control request is too high.

The future of traditional costume industry -- face to face reshaping and return to essence

Clothing, once a brilliant traditional industry in China, has now entered a very difficult period of reshaping industrial mode.

The essence of business is like this. It is impossible for any business to grow rapidly without restriction. This is only the overdraft behavior of the capital greedy nature for business.

So, to return to the essence of the clothing industry, what we need to do is to serve every product well.

1, niche innovation, focus on market segmentation and products, only products can touch people.

The trend of future clothing will tend to be customized, and the first is the customization of brand.

2, big data pformation channel, CRM, member marketing.

Membership management is an opportunity for Chinese traditional enterprises, because the former member management is almost zero.

3, continuous improvement of retail capacity, lean retail, and enhance the efficiency of channel management.

The efficiency of data and retail is the core of meticulous management after the brutal growth of clothing enterprises.

4, fragmented channels and KOL marketing methods of trial and application.

The channels of garment enterprises are fragmented, and the effective use of fragmented channel resources and KOL promotion is also an opportunity for garment enterprises.