It Is Imminent To Realize "Removing Inventory And Reducing Costs" In Garment Industry.

The central economic work conference was held in Beijing in from December 18th to 21st. The reporter noted that the central economic work conference pointed out that in 2016, China's economic and social development, especially the task of structural reform, is very arduous. Strategically, we must adhere to the strategy of steady progress and grasp the rhythm and strength. We must grasp the key points in tactics, and mainly focus on five major tasks: capacity production, inventory elimination, deleveraging, cost reduction and compensation.

Reporter observation found that combined

It is particularly important to see capacity, inventory and cost reduction.

Min Guangya, a clothing industry marketing expert, told reporters today that for the clothing industry, the key lies in inventory, cost reduction and compensation.

Min Guangya pointed out to reporters that

Not only is the enterprise itself, but it affects the ecology of the entire garment industry. From the analysis point of view, it is mainly embodied in four points:

First, if we want to deal with inventory on a large scale, we will have an impact on the market and change the rules of the market.

Two, the clothing enterprises with serious inventory will also change in their resource allocation, manpower and material resources allocation, which will result in the failure of enterprises to achieve optimal allocation of resources in normal development, and the utilization rate of resources will not be further improved.

Three, it will inevitably lead to a large number of resources invested by the whole industry in dealing with inventory, and thus a third party professional clearance inventory is derived. That is to say, if the apparel industry does not have so much inventory, a lot of resources will be used more appropriately, and will also play a positive role in promoting the development of the industry.

Four, with the increase of inventory, it will inevitably bring about the rise of costs, because a lot of manpower and material resources have been invested in inventory cleaning, which has increased the normal operating cost of enterprises.

To sum up, Min Guangya believes that from "

The problem of "high cost" derives from the pressure of the garment industry.

When it comes to how to reduce the cost of clothing enterprises, Min Guangya also stressed to reporters that this is mainly embodied in human resources, channels and promotion costs.

However, Min Guangya pointed out to reporters that at present, the biggest cost of the clothing industry is first reflected in the cost of the channel, especially the excessively high store rents.

It is more open to cut expenditure. With the increasingly severe economic situation in China, the garment industry is still in a dismal business situation caused by unfavorable demand.

Under such circumstances, domestic garment enterprises should keep a clear head, speed up their management and operation capabilities, and make up for their deficiencies in marketing and operation. Only in this way can they be eliminated from the market too early in the economic downturn.

Min Guangya also said that the industry must notice that reducing the cost of promotion will also become a realistic problem that the industry needs to face in 2016 and in the future for a period of time, such as the recruitment and service of VIP customers, the promotion of brand channels and so on.

Therefore, it is particularly important for the garment industry to adjust the promotion strategy, put more precision into operation and maximize the benefit.