2016 Garment Market Analysis, Merger Integration Or Acceleration

Clothing, generally refers to clothing, shoes, toys, accessories, etc.

In the four quarter of 2015, domestic demand, the number of major retail enterprises in the country dropped by 4.2% over the same period last year, compared with the same period in December.

The decline in category and cosmetics category was 7.7% and 2.6% respectively.

Fourth quarter retail terminal showed an accelerating downward trend. It is estimated that the year-end retail terminal growth will be flat or slightly lower than that of last year.

The following is the 2016 clothing market prospect analysis:

Industry mergers and acquisitions will accelerate

The growth of consumption side is weak, and the future opportunity comes from the merger and acquisition integration at the supply side.

In the four quarter of 2015, domestic demand, the number of major retail enterprises in the country dropped by 4.2% over the same period in December, and the decline in clothing and cosmetics was 7.7% and 2.6% respectively.

Fourth quarter retail terminal showed an accelerating downward trend. It is estimated that the year-end retail terminal growth will be flat or slightly lower than that of last year.

On the other hand, according to the General Administration of customs statistics, clothing exports in November were 13 billion 310 million US dollars, down 10.1%, and 1 to November, the total export volume was 157 billion 260 million US dollars, down 7.7%.

From this, we judge that the consumption side growth is weak, and the future opportunity comes from the merger and acquisition integration of the supply side.

At present,

The investment logic of consumer goods has changed in the economy.

The driving force of consumer product growth shifts from demand to specialization and specialization. The driving force of industrial development shifts from demand to consumption upgrading, efficiency and the scale effect under extreme differentiation.

The commercial logic of consumer goods has also shifted from the extension to the B end of merger and acquisition, because the increase in C consumption and the improvement of retail management capabilities have been faced with bottlenecks.

Against this background, the B side is forced to improve the overall efficiency through mergers and acquisitions to achieve scale effect.

The changes in the Growth Logic of consumer goods also lead to three trends in the garment industry.

First, the trend of specialization, from goods to services, from heavy assets to light assets, and asset service enterprises will occupy a place.

The two is the trend of integration. The industry has entered the inventory stage of excess capacity, vertical integration and horizontal mergers and acquisitions are one of the main ways to strengthen and expand in the future.

Three is fine division of labor, division of labor brings opportunities for industrial integrators, reconstructs the value system of industrial chain, and improves market share.

Strong and strong, the industry concentration will be significantly improved in the future.

At present, some representative companies have appeared in the industry.

For example, build a new distribution system or precise marketing channel of the generation of operation companies, micro business, for example, the whole industry chain integrators, all links to do efficient industry leader, UNIQLO, ZARA, Hai Lan home, Semir clothing and so on.