Report On The Development Of China'S Apparel E-Commerce In 2020-2021 (Excerpt)

(1) live e-commerce is upgraded in an all-round way, leading the new normal of clothing e-commerce.

The epidemic situation of Xinguan has promoted the rapid development of online economic service form. Live e-commerce has fully penetrated the clothing industry chain. New formats and new models such as live delivery with goods, B2B live broadcast and production live broadcast are not strong, which will lead to a new normal for the development of clothing e-commerce.

With the advent of the era of national live broadcasting, clothing and apparel, as the first category of live e-commerce, has fully penetrated into all the industrial chains of retail, wholesale and production. The retail end has formed an online and offline Omni channel live broadcasting system, and the wholesale end's vertical wholesale live broadcasting platform represented by the batch network and the 1688 platform clothing live broadcasting room are growing rapidly, Production end Zhejiang Hangzhou and other places live clothing room exploration forward.

(2) the growth of online retail transactions is strong, and the role of expanding domestic demand is significant

Private e-commerce ushered in a period of explosive growth. Xinguan epidemic has improved the understanding of the value of private domain community in all walks of life. Private domain traffic operators such as youzan and Youmeng + have risen rapidly. Retailers rely on public accounts, small programs, and live broadcasting rooms to import users from public domain flow pools such as online e-commerce platforms, social platforms and offline physical stores into private domain flow pools of brands, thus further narrowing the distance between brands and consumers, To improve the repurchase rate of existing customers, community has become an important force driving the growth of retail market. Clothing brand companies have set up private area traffic operation. Short video and live broadcast have greatly enriched the community marketing functions such as small programs and public accounts. Private e-commerce in the clothing market has ushered in a period of explosive growth.

The online second-hand market is emerging. The new epidemic situation has improved the concept of green development of the whole society. Second hand recycling has attracted much attention. Clothing and clothing commodities have a high rate of second-hand recycling, which belongs to the key category of second-hand market transactions. In 2020, the clothing online second-hand market will flourish.

The growth rate of online retail continued to pick up. Under the new situation of Xinguan epidemic situation, the online and offline markets declined in the first quarter. Since the second quarter, under the comprehensive effect of multiple factors such as effective prevention and control of domestic epidemic situation and consumption promotion policies, the domestic consumption of clothing market continued to improve, and the recovery intensity of online market was significantly better than that of offline market.

Figure 1 ? Growth of online retail sales of wearing goods in China from 2019 to 2020

Source: National Bureau of statistics

Online channel contribution has been rapidly improved. Under the new situation of Xinguan epidemic, a large number of consumer activities have been transferred to the online market. The consumption potential of new models such as online celebrity live broadcast and community marketing has been greatly released. The mixed business model of public and private traffic is highly praised. New marketing methods such as e-commerce platform, social media, public account and small program promote the rapid growth of online business income of brand clothing merchants, The proportion of online retail sales in total market sales increased rapidly.

Figure 2 ? Clothing trade scale of B2C market in China from 2015 to 2020

Data source: predicted by the Research Institute of China international e-commerce center based on authoritative data and network data from the National Bureau of statistics and the Ministry of Commerce.

(3) B2B e-commerce ushers in the blue ocean of development and accelerates the digital transformation of the industry

The scale of B2B e-commerce transactions has grown rapidly. All kinds of e-commerce trading platforms rely on digital service means to accurately match the market demand of both supply and demand sides, and with the help of new marketing methods such as network live broadcast and community marketing, it promotes the rapid development of B2B e-commerce of clothing. According to the data of the National Bureau of statistics, in 2019, China's enterprise level e-commerce transaction volume will reach 20.5 trillion yuan, with a year-on-year growth of 1.5%. According to another calculation, the volume of e-commerce transactions between textile and garment enterprises (B2B) will reach 4.9 trillion yuan in 2019, with a year-on-year increase of 10.6%.

Consumer e-commerce extends to supply chain services. With the proximity of consumption Internet traffic ceiling, mainstream e-commerce platforms such as Alibaba, Jingdong group and Suning e-buy have gradually penetrated the C-end transaction services into the b-end logistics, warehousing, finance, insurance and other supply chain services, and even extended to the whole industry chain services such as raw material procurement, product design, procurement and transportation, and financial guarantee, Relying on the online trading platform, the value transformation channel from consumer Internet to industrial Internet is established.

The e-commerce of the production end is expanding to the middle Taiwan service. With the continuous extension of e-commerce platform trading services to the upstream and downstream of the industrial chain, new progress has been made in the whole process service mode of clothing industry, such as order management, industrial design, product R & D, production model, intelligent manufacturing, etc. the e-commerce at the production end has developed rapidly Zhibu Internet and other B2B e-commerce platforms take digital service as the core, deeply plough into the market main demand of each link of the clothing industry chain, and preliminarily explore the middle platform service mode of digital industry around the whole clothing industry chain, which greatly promotes the pace of digital transformation of the clothing industry.

(4) cross border e-commerce is blooming in an all-round way to help smooth the international circulation

The new epidemic situation in 2020 will have a profound impact on the economy and society. The clothing industry is the key area of China's traditional trade, and the export volume of textile and clothing goods accounts for about 10% of the national goods trade export volume. Cross border e-commerce ushers in a huge development opportunity. With the expansion of cross-border e-commerce comprehensive test areas to 105, the cross-border e-commerce retail supervision is widely spread, and the B2B regulatory measures such as 9710 and 9810 are gradually implemented. The clothing cross-border e-commerce evolves from C-end retail business to b-end trade business with the help of brand independent stations. New international trade marketing methods such as digital exhibition and cross-border live broadcast are booming. Clothing trade enterprises rely on platforms, independent stations, and Micro station and other multi-channel and all-round construction of "Internet + cross-border trade" service system. McKinsey report shows that the global cross-border e-commerce transaction volume is expected to reach 1.25 trillion US dollars in 2021. During the epidemic period, the clothing industry of Ali international station grew more than 60%.

(5) the rural e-commerce of clothing is booming, and the two-way internal circulation between urban and rural areas is smooth

The growth of rural network consumption is strong. With the continuous promotion of the National Rural Revitalization Strategy and the policy of expanding domestic demand, the growth rate of rural residents' income is faster than that of urban residents for five consecutive years, and the consumption ability of rural residents continues to increase, which has become the key area of rural e-commerce sinking. As the main category of rural online retail market, clothing online retail sales continue to maintain a rapid growth trend under the vigorous promotion of e-commerce platforms such as pinduoduo and Lecun Taobao. Business big data monitoring shows that in the first three quarters, China's rural online retail sales reached 1.2 trillion yuan, a year-on-year increase of 7.8%.

Figure 3 ? Online retail sales and growth rate of rural e-commerce in recent years

Data source: business big data

County clothing industry live business cluster development. With the deepening of the integration of e-commerce into the real economy, some garment industrial belts rooted in districts, counties and townships have achieved rapid development relying on e-commerce. For example, e-commerce industrial parks in Humen, Jiangsu Changshu, Zhuzhou, Yuexi, Yuexi, Liaoning and other e-commerce industrial parks take the clothing industry belt as the main body, deeply plough into the clothing industry chain service system, rely on network live broadcast, community marketing, etc New marketing methods such as digital exhibition will comprehensively develop online channels such as cross-border e-commerce, live e-commerce, small-scale e-commerce and social e-commerce, build an ecological platform of "Internet + industry + public service" for apparel e-commerce services, and form a convergence of domestic and foreign e-commerce service institutions, brand clothing e-commerce, cross-border apparel e-commerce, and e-commerce The characteristics of ecological industry, such as business incubation platform, have become an important engine to promote regional economic development, promote industrial transformation and upgrading, and smooth the dual cycle.

This article is excerpted from the report on the development of China's garment industry 2020-2021, compiled by China Garment Association. For a full subscription to the report, please contact:

China clothing association ? ? Ministry of industry

Tel: 010-85229226 ?? thirteen billion nine hundred and eleven million five hundred and eighteen thousand three hundred and thirty-nine