The Situation Of China'S Garment And Textile Industry In The Coming Two Years Is Grim.

In the past two years,

Faced with problems such as overcapacity, declining brand competitiveness and more and more overseas brands accelerating the pace of business expansion in the Chinese market, all of them have made domestic

The situation is still grim.

For many reasons, Bosideng has been carrying out the adjustment of retail outlets and cleaning up its inventory.

In June 30th, the executive director and chief financial officer of Bosideng Mai Yun Quan, in an interview with reporters, said that the company will continue this year in terms of stocktaking.

In addition,

In business, it has decided to let the design style bias the traditional KangBo brand to withdraw from the market so as to concentrate its resources on other brands.

More than 1500 stores closed last year

Bosideng's main business is divided into three parts:

Business, OEM management business and non down garment business.

According to the latest performance report, brand

Business remains the largest source of revenue for Bosideng, accounting for 68.7% of group revenue, while the remaining 14.3% and 17% come from non down garment business and OEM processing business respectively.

In the past fiscal year, these three businesses have declined, but the situation has improved over the past year.

Brand

Business, for example, as for the fiscal year ending 3 in 2015, Bosideng's revenue dropped sharply by 32.6%, but the decline in the past fiscal year has narrowed to 2.5%.

On the other hand, the company has followed the previous business strategy and intensified its efforts to optimize the retail network and clean up inventory during the year.

"During the year, the Group actively cleaned up inventory through temporary marketing, large supermarket chains, factory stores and other targeted sales channels, so as to avoid overlapping with new products and affect the sale of quality stores."

The reporter noted that in order to carry out inventory control,

those under one's command

During the year, only a small amount of new products were developed, and KangBo concentrated on cleaning up the old products.

According to the report,

In this fiscal year, the total inventory and finished goods inventories decreased by double digits, which were 14.7% and 17.9% respectively.

Bosideng's stores are still shrinking.

It is understood that, in line with the group's brand pformation strategy, at the end of the fiscal year, the company began to adjust the sales network of snow flying, and gradually put some high-quality sales outlets directly into it.

Its continued operation and closure of some sales outlets.

By the end of 2016 3, the total number of retail outlets in its down garment business has decreased by 1328 to 5271.

Among them, the number of self operated retail outlets decreased by 833, and the retail outlets operated by third party distributors decreased by 495.

In the non feather down business part, the company's revenue dropped by 18.3% to 826 million yuan.

Besides Jesse's brand income increase, Bosideng men's clothing and Mogao's income all declined.

At the store,

Jesse and Mogao respectively reduced 175, 8 and 61 respectively.

With the down jacket part, Bosideng reduced 1572 stores last year, which is much lower than that of more than 5000 stores in the previous financial year.

Reporters noted that the company's net profit rise is mainly due to effective control of overall expenditure.

Specifically, administrative and distribution expenditure accounted for 38.8% of total revenue, down 3.2 percentage points from 42% in the same period last year.

Repositioning the deployment brand

Over the past few years,

Performance has been affected by many factors.

As of March 2015, fiscal year performance data showed that Bosideng revenue fell 23.6% to 6 billion 293 million yuan, net profit fell 81% to 132 million yuan.

However, as early as 2013, Bosideng launched the measures of pformation and upgrading and deepening reform.

At present, the effect is basically apparent.

On the morning of June 30th, Mai Yun Quan told reporters in the performance conference call that Bosideng will continue to go on inventory and brand adjustment.

"When the market environment is bad, our confidence is not to expand the market, but to adjust itself, and find the right position in this process."

Referring to the future direction of brand development, Bosideng said that the future is

In the new stage of brand remolding, enterprises will continue to study the consumption characteristics of the consumer market in order to enhance product differentiation and conform to the market consumption trend. Through in-depth analysis of the retail data, more precise arrangements will be made for the production of all kinds of products, including trial marketing of some main products and styles in the physical store before making the production plan, so as to test and understand the market reaction and formulate corresponding production and sales programs.

The reporter noted that Bosideng plans to launch a brand pformation strategy that is more in line with market demand to avoid brand overlap in Bosideng's main business.

It is reported that the original Bosideng brand will continue to be positioned in the high-end fashion design, and the icy business focus will gradually shift to online sales.

Considering the increasing demand of the market for the down garment design, the company decided to let the design style bias the traditional KangBo brand exit.

Market, so that the group can concentrate its resources on other brands.

In addition, taking into account the increasing number of consumers involved in outdoor activities in recent years, the focus on the sport sense design of the snow flying brand will become an all-around outdoor clothing brand.

In order to achieve multi brand synthesis

The goal is that the diversified development plan of Bosideng is still in progress.

In terms of brand development, Mai Yun said that the performance of women's clothing brands has been good in the past year. In the future, women's clothing will be the main consideration in the acquisition and merger.

However, details can not be disclosed.

Last April,

It has been announced that ITCSPC, jointly established by Itou Tada group Affiliated Companies and CITIC Securities's investment in Jinshi, will invest in NewSurplus (Bosideng chairman Gao Dekang indirectly wholly owned) and enter into a subscription agreement with Bosideng.

It is said that Bosideng plans to import new brands and strengthen the business beyond feather and down business.

according to

The latest information on the side tells us that it has cooperated with Itou Tada in the OEM process, and the specific brand cooperation has not yet come to the floor.