E-Commerce Development Report: Fluctuation And Decline Of Growth Rate Of Online Retailing Of Clothing

In 2022, the online retail market of clothing will recover slowly. In the first 11 months, the online retail sales of physical goods nationwide will reach 10809.8 billion yuan, up 6.4% year on year, accounting for 27.1% of the total retail sales of consumer goods, 2.6 percentage points higher than the previous year. Among them, the growth rate of clothing goods is significantly lower than that of food and consumer goods, and the overall development trend remains "low, medium high, and low"; Since the Spring Festival, the domestic epidemic has broken out in many places, with a decline of 1.7% in the first four months. With the temperature rising in May and June, the market has improved, with an increase of 2.4% in the first half of the year, 13.3 and 2.7 percentage points slower than food and consumer goods respectively; In the second half of the year, the recovery was gradually expanded. The growth rate in the first three quarters was 5.8%, 3.4 percentage points higher than that in the first half of the year. However, since October, domestic outbreaks have occurred frequently, and the market growth rate has fallen back again. The growth rate in the first 11 months was 3.4%. In general, it is expected that the B2C transaction volume of China's clothing market will slightly increase to 2.2 trillion yuan in 2022 compared with 2021.

Figure 1 Monthly Change of National Online Retail Sales Growth in 2022

Data source: National Bureau of Statistics

Figure 2 Monthly Growth Change of National Online Retail Wearing Goods in 2022

Data source: National Bureau of Statistics

Figure 3 Forecast Value of Clothing Trade Scale in China's B2C Market in 2022

Data source: Comprehensive National Bureau of Statistics, CIECC Research Institute

Predicted by authoritative data such as the Ministry of Commerce and online data

The online channel of brand clothing is significantly weaker than the physical channel under the impact of the epidemic. The growth of traditional channels such as Tmall, JD, Vipshop is relatively weak, while the growth of new e-commerce platforms such as Tiaoyin, Fasthand, and small programs is rapid, promoting the proportion of online channels of brand clothing to continue to increase. In the first three quarters, Qingdao Kute Intelligent realized an operating revenue of 452 million yuan, up 5.22% year on year; Non net profit was 47.6321 million yuan, up 59.31% year on year. Rongmei realized an operating revenue of 614 million yuan, up 12.08% year on year; Non net profit deducted was 102 million yuan, down 4.81% year on year. In the first half of the year, the online channel revenue of brands such as Li Ning, Anta, Red Bean, and Biyin Lefen increased by 19.2%, 26.6%, 18.6%, and 47.8% year on year, respectively, accounting for 28.5%, 34.2%, 24.9%, and 6.3% of the total revenue. In the first three quarters, the proportion of online channels of traditional brands such as Golis and Hailan Home in total revenue increased to 14.5% and 16.4% respectively, 4.4 and 3.2 percentage points higher than that in the first half of 2021. In general, the penetration rate of apparel online retail market remains at about 45%.

Figure 4 Online revenue growth of traditional domestic clothing brands in the first half of 2022

Data source: CIECC Research Institute draws comprehensive financial reports of listed companies and other network data

Among them, Golis and Hailan Home are the data of the first three quarters

3. Live broadcast with goods is the core growth force

New marketing methods such as streaming media live broadcast and short video have become the main incremental market of apparel e-commerce. During the Spring Festival in 2022, the trading volume of Tiaoyin E-commerce will increase by 166% year on year, while Tmall and JD GMV will only increase by 10% year on year, significantly slowing down compared with the same period in 2021; The proportion of Tmall JD is 23%, and the proportion of clothing trade volume has exceeded that of Tmall JD. During the "Double 11" period in 2022 (from October 31 to November 11), the number of businesses on the dithering platform will increase by 86% year on year. The total duration of live broadcast with goods will reach 38.21 million hours, and the sales of 7667 live broadcast rooms will exceed one million yuan. In the first half of 2022, the trade volume of women's clothing industry in fast e-commerce will increase by more than 30% year on year, with annual sales exceeding 100 million merchants reaching more than 150 and 10 million merchants reaching more than 1500. Seven Wolves, Biyin Lefen, Li Ning and other brands have attracted high-quality offline VIP customers online by means of Xiaohongshu grass planting, Tiaoyin, WeChat and other small programs, giving full play to the brand advantages of high viscosity customer groups and high repurchase rate, and achieving rapid growth of online channels. In the first half of the year, the overall performance of the seven wolves dithering channel grew by more than 100% year on year, and the number of viewers in 361 degree, special walk, bird of honor, Warrior, Anta and other brand broadcast rooms exceeded 6 figures.

Newly emerging brands such as Bosie, SMFK, Particle Fantasy, Xingmian and Maiya have become the growth highlights of the clothing market by creating brand culture that conforms to the temperament of young consumers of Generation Z, establishing an advanced supply chain system and a highly digital and intelligent production and operation model. These cutting-edge brands adopt the dual channel integration mode of "offline+online", "grass planting" in major social networking sites, and build the "community+e-commerce" operation mode to cater to the transformation of users' consumption habits from "search" to "shopping", and complete the rapid shaping of brands in a short time. According to JD data, from July 22 to 23, the overall sales of Guochao sports brand increased by more than 280% year on year. Many fashion brands such as Bosie, a gender free fashion brand, vigorously deploy offline physical stores such as experience stores, brand collection stores, flash stores, and first stores. The offline physical stores of Guochao brand have gradually become a one-stop fashion clocking place for consumers. The data shows that Bosie's income growth rate has exceeded 200% for three consecutive years; At present, nearly 30 offline physical stores have been opened, with a profit margin of more than 20%. Particle Enthusiasm cooperates with 3M, the International Wool Bureau and other world-class functional material manufacturers to carry out process innovation. Its product design is avant-garde and meets the needs of consumers with multiple functions and scenes. At present, Particle Enthusiasm has five offline stores, with an estimated value of more than 1 billion yuan.