Scale And Forecast Of China's Clothing Brand Market

The following is the scale and forecast data of the Chinese clothing market released by the third party data company CIC in JNBY Jiangnan cloth dress application. Men's wear , Women's wear and Children's wear 。

China's clothing market grew rapidly, from 796 billion 600 million yuan in 2011 to 14150 yuan in 2015, with a compound annual growth rate of 15.4%. China's per capita disposable income and net income continue to rise, which is the main driving force for market growth. During the forecast period from 2015 to 2020, China's clothing market is expected to grow steadily at a compound annual growth rate of 14.2%. The retail sales of China's clothing market will reach 27543 yuan in 2020. The four major sales channels of China's clothing market are shopping centers, department stores, independent stores and online platforms.

　　 China's per capita spending on clothing and footwear in 2014

In 2014, the expenditure on clothing and shoes per capita amounted to US $250.8. Despite rapid growth, China's per capita spending on clothing and footwear is still lagging behind that of developed countries and regions. In 2014, the per capita clothing and footwear expenses of the United States, Japan, the European Union, Singapore and South Korea were $1156.4, $1089.2, $1002.9, $671 and $593 respectively. It is expected that China's clothing and footwear market will have huge growth potential.

China's clothing market by city classification

Grade by city

The clothing expenditure of every city varies from city to city level in China. The per capita clothing expenditure of the first tier cities reached RMB 2061.9 yuan in 2015, which was far higher than that of the other three cities. In 2015, the per capita clothing expenses of the first tier cities were 1.5 times, 2.4 times and 4 times of that of second tier cities, three line cities and four line cities respectively. In 2015, the per capita clothing expenses of second tier cities, three line cities and four line cities were RMB 1395.8 yuan, RMB 849.4 yuan and RMB 516.9 yuan respectively. As shown in the following table, the growth of China's clothing market from 2011 to 2015 is mainly driven by the growth of first tier, second tier and three tier cities, and this trend is expected to continue in the period from 2016 to 2020.

　 Note appended:

First tier cities refer to Beijing, Shanghai, Guangzhou and Shenzhen.

Second tier cities refer to Tianjin, Chongqing and provincial capital cities (except Guangzhou) and some prefecture level cities such as Qingdao, Foshan, Dalian, Ningbo, Suzhou, Wuxi, Xiamen, Xiamen and Xiamen;

The three line cities refer to all other prefecture level cities outside the first tier and second tier cities.

The four line city is defined as all other cities in the mainland of China.

　 Overview of Chinese women, men's and children's clothing market

Women's wear

The Chinese women's clothing market increased from 411 billion 700 million yuan in 2011 to 732 billion 400 million yuan in 2015, with a compound annual growth rate of 15.5%. Rising disposable income and rapid urbanization are the main drivers of rapid growth. Looking ahead, it is expected that the retail sales of China's women's clothing market will reach RMB 13996 billion in 2020, and will grow at a compound annual growth rate of about 13.8% since 2015. From 2011 to 2015, the average consumption of women's clothing increased rapidly from RMB 730.1 yuan to RMB 1261.8 yuan, with a compound annual growth rate of 14.7%. It is expected that the average consumption of women's clothing will further increase, reaching 2368.7 yuan in 2020.

　 Men's wear

From 2011 to 2015, the Chinese men's wear market expanded rapidly from RMB 302 billion 100 million yuan to RMB 525 billion 500 million yuan, which increased by more than 200 billion yuan in just four years. During the forecast period from 2015 to 2020, the Chinese men's wear market is expected to maintain a steady growth of 13.3% CAGR. It is predicted that the retail sales of China's men's clothing market will reach RMB 979 billion 300 million in 2020. The average consumption of men's clothing increased from 521.5 yuan in 2011 to 882.4 yuan in 2015, with a compound annual growth rate of 14.1%. Driven by the rising disposable income and rising purchasing power of China's growing middle class, the average consumption of men's clothing is expected to increase further, reaching 1615.6 yuan in 2020.

　 Children's wear

The size of the Chinese children's clothing market increased from 2011 to 82 billion 700 million yuan in 2015 from 157 billion 100 million yuan in 2015, with a compound annual growth rate of 17.4%. This shows that the market is developing vigorously and has potential in the future. From 2011 to 2015, the average per capita expenditure of children's clothing increased from 367.4 yuan in 2011 to 678.6 yuan in 2015, with a compound annual growth rate of 16.6%. In view of the strong development momentum of high-end and medium end children's clothing brands, the average per capita clothing expenditure of Chinese children is expected to increase more rapidly in the short term. The implementation of the two child policy is expected to be a driving force for the sustainable development of China's children's wear market. Therefore, the average clothing expenditure of newborn babies is expected to increase, especially in the richer families in the more developed cities.

　　 Market size and forecast of Chinese designer fashion market

Designer brand fashion products generally have strong designer characteristics and symbolic style, easy to be recognized. These characteristics make the designer brand fashion division different from the luxury brand, fast fashion and commercial brand of the Chinese clothing market.

In terms of designer brand, consumers usually focus on design, style and unique shopping experience, so they are less sensitive to price. The Chinese designer fashion market has expanded rapidly from RMB 11 billion 100 million yuan in 2011 to 28 billion 200 million yuan in 2015, with a compound annual growth rate of 26.2%. In the future, as brand awareness improves and clothing design is more important, it is expected that the market will maintain rapid growth at a compound annual growth rate of 26.6% from 2015 to 2020.

　　 Main trends, driving factors and success factors of Chinese designer fashion market

Designer fashion companies adopt multi brand strategy.

Nowadays, consumers' preferences for fashion and design are quite diversified. Therefore, more and more companies adopt multi brand strategy to fully grasp business opportunities and provide products that attract different consumer preferences. Designer brand can extend the design capability and integration resources in the value chain to the related fields of fashion life, such as home furnishings, home textiles, clothing and accessories, which can help build a virtuous cycle and customer ecosystem.

Online sales channels continue to expand and strengthen brand strategies through social media and the Internet. Compared with traditional physical retail stores, online stores generally provide wider product selection, convenient product delivery and more favorable prices. In view of the popularity of mobile devices, more and more consumers spend more time browsing online clothing information and reading fashion reviews. E-commerce is expected to form a larger proportion of total retail sales of clothing in China. Therefore, more clothing brands are increasing their investment to strengthen brand strategy through social media and the Internet. In addition, smart phones are becoming more and more popular, which may push apparel companies to further strengthen their online platforms.

Pursue highly differentiated products to demonstrate individuality. As consumers participate in more social and business activities, high-quality and fashionable clothing is becoming more and more popular. Chinese consumers are increasingly mature, hoping to express their status and status through fashion. With strong innovation ability, designer brand can provide very unique differentiated products, so the popularity in the past few years has been greatly increased.

Strong design capability. Strong design capability is the core spirit of designer fashion companies and is essential to make their products stand out from competitors' products. With this capability, designer fashion companies can continuously provide innovative products, earn higher price premiums, earn higher gross margins in the long run, and extend beyond the clothing sector to reach a wider customer base.

Strategies to actively interact, maintain and enhance customer loyalty through multiple customer platforms and VIP customers. In view of the fact that the designer's brand is mainly aimed at the younger generation of customers who express their individuality and culture through clothing, most customers have high loyalty to the brand, low sensitivity to the price and strong purchasing power. Providing VIP membership programs to these customers generally includes timely new product promotion, customer behavior research and incentives to provide more discount. Maintaining and expanding core customers will sustain the company's long-term natural growth.

Entry threshold of Chinese designer fashion market

Experienced designer team

Designer fashion companies rely heavily on top designers to manage and supervise the overall operation of the company. Designers and their teams are deeply involved in almost all aspects of business operations to ensure consistency of business processes. This unique business operation mode needs years of experience, talent recruitment and internal cooperation to achieve. Established high-end sales channels. In view of the fact that most designer brands are targeted at consumers with high purchasing power, it is necessary to establish high-end sales channels to attract and retain customers.

The new market entrants need to invest a lot of money and negotiate through a lengthy process to win the channel.

Brand establishment. Once the market position is established, designer brand will have obvious advantages in brand recognition, customer loyalty, higher gross margin and channel control of department stores or shopping centers. The designer of the brand fashion market's new entrants may be more difficult to attract customers from famous brands, which is more difficult for the men's clothing division, because the loyalty of the male customers to the brand is higher.

Consumer survey on brand recognition

The Chinese designer fashion market is relatively fragmented. In 2015, the ten largest market participants accounted for 43.2% of the market share in terms of retail sales. Among them, Jiangnan Buyi group won the highest retail sales and 9.6% market share in 2015 when designer brand fashion company (children's clothing was regarded as an independent branch, so it was not included in the designer's brand fashion industry).

Note 1: retail sales refer to the sale of retail goods to end customers at the actual selling price.

Our retail sales amount is (I) self shop revenue plus VAT.

(II) deducting the estimated price discount from the dealer's income plus VAT at wholesale price (any wholesale discount provided to the distributor);

And (III) the total income from the online platform plus VAT.

Note 2: brands are ranked according to the number of WeChat users. However, if the number of WeChat users in different companies is the same, the average number of headlines is ranked.

Case: the competitive advantage of JNBY in terms of CIC report, CIC conducted a survey of 734 consumers. The results showed that consumers linked the brand image of JNBY to the following characteristics: the designer's characteristics were obvious, the design was simple and fashionable, the fabric was comfortable and the brand recognition was high.

In the market survey of the brand recognition of the designer, 32.8% of the customers first mentioned JNBY as the representative brand of women's wear designer. JNBY surveyed 71.8% of the survey participants were recognized as women's wear designer brands, the number of times was still ranked number one. Of the surveyed consumers, 33.5% considered JNBY to be the most distinctive and identifiable brand with the identification of clothing products. Of the surveyed consumers, 34.3% had purchased JNBY for at least two times in the past two years. JNBY was listed as the most frequently purchased designer brand, accounting for 25.7% of respondents' choice.

　 Overview of China's clothing accessories market

The total retail sales of China's clothing accessories industry increased from 434 billion 100 million yuan in 2011 to 701 billion 200 million yuan in 2015, with a compound annual growth rate of 12.7%. Driven by the increasing awareness of brand awareness, the consumption demand for clothing accessories is becoming increasingly mature, which can promote the development of China's apparel accessories industry. Therefore, it is expected that the total retail sales of China's clothing accessories market will reach 12878 billion yuan in 2020, and the compound annual growth rate from 2015 to 2020 will be 13%.

　　 Overview of home textiles market in China

The total retail sales of China's home textiles market increased from 791 billion 500 million yuan in 2011 to 11550 yuan in 2015, and the compound annual growth rate from 2011 to 2015 was 9.9%. The largest household textiles division in 2015 was decorative textiles, followed by bedding and bathroom textiles, accounting for 64%, 15.5% and 20.5% of the market respectively. Compared with developed countries, China's per capita household textile expenditure is low. Driven by the improvement of living standards, the home textiles market is expected to grow further in the future. It is expected that China's per capita household textile expenditure will reach RMB 1337.3 yuan in 2020, and the compound annual growth rate from 2015 to 2020 will be 10.2%. The retail sales value of China's home textiles market will be further increased to RMB 19162 yuan in 2020, and the compound annual growth rate from 2015 to 2020 will be 10.7%.

　　 Raw materials and labor costs in China's clothing market

The main raw materials for manufacturing clothing products include cotton and polyester full stretch yarn, and any cost fluctuation can directly affect the cost structure and product pricing of clothing companies. According to CIC, the price of cotton decreased from 23716 yuan per ton in 2011 to 13895 yuan per ton in 2015, mainly because the cost of cotton fell from 2011 to 2015. Similarly, the price of full stretch yarn decreased from 13400 yuan per ton in 2011 to 6551.1 yuan per ton in 2015, mainly due to the fall in crude oil prices during the period. According to CIC, the average wage of urban workers employed by China's wholesale and retail trade grew steadily, from 40654 yuan per year in 2011 to 55838 yuan per year in 2014. It is predicted that this growth will continue, and the average wage in 2015 is expected to reach RMB 61980.2 per annum.