2018 Children'S Wear Development Status And Prospects Analysis And Forecast 2019 High-End Market

How to develop children's clothing industry in China in 2019?

Since 2017, children's clothing is the most attracting concern in the clothing industry. The growth rate of children's wear industry has always been ahead of men's wear and women's wear, and the growth gap has gradually expanded.

The major clothing brands have increased the layout of children's clothing market, especially the middle and high end children's wear market.

After the battle of 2018, what changes have been made in the children's wear market? Where will the children's wear go in 2019?

Analysis of the development of children's wear industry in China

In recent years, children's wear industry has increased rapidly.

According to the statistical analysis of the market demand and investment forecast analysis of China's high-end children's clothing industry released by the foresight Industry Research Institute, from 2013 to 2017, the market growth of the children's wear industry in China reached a compound growth rate of 9.68%, and the compound growth rate of the industry in the next three years will remain at 14% left and right, which is higher than that of the men's wear industry and women's wear industry.

In 2011, the scale of children's wear market in China has reached 96 billion 400 million yuan. In 2013, the scale of children's wear market in China was about 116 billion 400 million yuan. In 2013, the consumption of children's clothing per capita in China was only 13.8 dollars, which was far lower than that in Japan (66.3 dollars), the United States (90.7 dollars) and the United Kingdom (137.2 US dollars).

As of 2017, the size of China's children's wear market increased to 155 billion 700 million yuan.

With the opening of the second child and the upgrading of consumption, the size of the children's clothing market in China will continue to expand and maintain a relatively high growth rate in the future.

It is estimated that the size of children's clothing market in China will reach 166 billion yuan in 2018.

It is predicted that the size of children's clothing market in China will reach 266 billion 500 million yuan in 2020.

Nevertheless, when the environment is better, children's clothing brands should strive to occupy a higher market share.

It is understood that there are about more than 40 thousand children's clothing enterprises in China, but only 5 children's clothing players exceed 1 billion.

This indirectly reflects the low brand concentration of children's clothing.

According to the report data, although balbala ranks first in the scale of children's clothing, its market share is only 5%, other brands are not more than 1%, and the top ten brands have a market share of only about 12%.

It can be seen that the current children's wear industry is still a blue ocean, and competition will further intensify.

With the continuous upgrading of consumption, 80 and 90 become the main force of the children's clothing market. It is undeniable that this group has a high degree of awareness of the consumer goods, a higher demand for the quality of products, and a preference for famous brands in the choice of brands. This also allows children's clothing brands to have a clearer position in the future direction of development -- the development of high-end market.

Targeting high-end market

In fact, before the outbreak of children's wear industry, the positioning of each brand is only in the middle and low end.

Influenced by the brand of foreign children's clothing, the domestic children's wear brands have increased the layout of children's clothing market, and the focus is on the high-end market.

As the boss of children's wear industry, Semir's clothing (002563) of balbala's parent company is becoming more and more widely distributed in children's clothing business.

In 2018, Semir costumes signed the agreement with THE CHILDREN 'S PLACE INTERNATIONAL and LLC with the capital advantage to get the right to operate the THE CHILDREN' S PLACE of North American children's wear brand.

Subsequently, Semir costumes bought 110 million of the total assets of the Kidiliz group of the French high-end children's clothing company, with a total purchase value of about 844 million euros. After the completion of the acquisition, Semir apparel has become the second largest children's wear company in the world, further enriching its own high-end children's wear brand structure.

And just entering the 2019, Semir apparel signed a strategic agreement with KIDILIZ GROUP, the largest European children's wear group, to further expand the middle and high-end children's clothing market through joint ventures.

In addition, Semir apparel promotes Barbara brand to carry out retail business in Hongkong market, and takes Hongkong as a strategic fulcrum to further promote the brand internationalization of the company.

It is reported that the first half of 2018, Barbara brand has opened 2 stores in Hongkong.

Semir clothing so much emphasis on children's clothing business is not unreasonable.

Since 2017, Semir clothing's children's clothing business has contributed more than the casual wear business, and has become the trend of Semir's main business. Data show that in the first half of 2018, its children's clothing business income was 2 billion 869 million yuan, an increase of 27.70% over the same period last year, accounting for 51.86% of the total revenue.

Gratifying results will certainly push Semir clothing to pay more attention to children's clothing business, and it is expected that the future layout will be biased towards children's clothing.

Semir apparel official said that the company aims to become an international brand and is opening up overseas markets, and children's clothing is also a fast growing sector in the international apparel market.

The profits brought by children's clothing business also attracted the attention of the men's wear family, Hai Lan's home.

In 2017, Hai Lan's family, with its own capital of 660 million yuan, was granted a 44% stake in Ying Shi Baby Products Co., Ltd. at the same time, Hai Lan's family signed a bet agreement with the Yun Yue fund behind Ying Ying's baby. If Ying's net profit in 2018 failed to reach 120 million yuan, Hai Lan's family could wholly buy Ying Shi baby.

Although the result of gambling is still waiting for a few months later, the determination of Hai Lan's home to enter the high-end children's clothing market is obvious.

In addition, the sports brand Anta also acquired the high-end brand Xiaoxiao cattle in 2017, plus the FILA, its own brand Anta Kids, and the three children's wear lines which were taken early.

Similarly, fashion brands such as Taiping bird and Jiangnan Buyi have all taken the lead in the market of children's wear.

Rapid expansion of channels

Just entering the 2019, the domestic famous children's clothing brand ABC KIDS parent company started to share the new year's channel expansion, with a guarantee of $120 million for dealers, promoting the company's channel business development.

The initial board of Directors believes that under the premise of effective control of risks, providing guarantee for dealers can expand sales scale, increase liquidity of company assets and achieve a win-win situation between companies and distributors.

In December 2018, in order to strengthen the development of channel business, the shares were planned to acquire 200 million shares of Zhui technology 11.43%.

Insiders said that although the two sides have yet to determine the specific content of the agreement, the initial share purchase by Zhui technology shares, intended to further strengthen its network marketing and expand the strategic objectives of foreign sales channels is very obvious, which can also see the initial shares of the channel's intentions.

Starting in 2018, the semi annual report found that there were 2412 stores in the first half of this year, an increase of 1.73% over the same period last year, an increase of 0.67% over the end of last year, and the overall expansion of the stores was more robust.

Among them, a large proportion of the company's dealers accounted for the same period. There were 2395 distributors in the same period, accounting for about 99.3% of the total number of stores.

Huajin securities analyst Wang Feng believes that ABC KIDS channel expansion is stable, the second quarter of 2018, the company's main brand and main channel revenue growth picked up, the future is expected to rely on the current leading position to achieve growth.

In 2018, he also focused on the adjustment of the company's channel.

First, we closed down some inefficient stores, mostly 40 to 50 square meters of stores. Moreover, in the first three quarters of the three quarter, the company focused on the development of large shopping center stores. There were 221 stores in the shopping center and more than 50 new stores.

The CITIC Securities Research Report shows that through the adjustment of stores, its performance will be injected into growth momentum, and the annual net profit growth rate is expected to reach 20% to 30%.

With the upgrading of consumption, the consumption level of the three or four tier cities is also rising.

Many children's clothing enterprises have begun to layout in the three or four tier cities. Semir clothing also said in the earnings report that children's clothing will be overweight and the three or four line cities will be expanded in the future.

The above clothing industry experts said that the layout of sales channels is crucial to the competition of children's clothing industry, and the future three or four line cities will become an incremental market.

Of course, apart from the above enterprises, there are many children's wear brands competing in the market.

Reporters at a shopping mall interviewed several consumers who were buying new year clothes for their children. They said that nowadays there are many brands of children's clothing. Besides these companies, there are many brands such as Babu bean, pig pig, pencil club and cherry household.

The consumer's choice of children's clothing is not only famous, but also safety, comfort and style.

According to the National Bureau of statistics, the birth rate in 2018 was 10.94 per thousand, which was 1.49 1000 points lower than in 2017.

The power of children's clothing industry in the future is mainly driven by the upgrading of consumption.

However, according to the information reflected by the consumers, the children's wear industry is now crowded with many competitors.

In addition, the future does not exclude the fact that international children's wear brands get together to get a share in China. The development pressure of local children's wear brands is still greater in the future. How to win the favor of consumers in the new year is still worth thinking deeply about the children's clothing brand in China.