Affected by online shop hit the lowest valley in Fuzhou clothing store

How to monitor and match the network price with the physical store price as much as possible, so that the online shop will not impact the physical store, it is also a new problem faced by the clothing company. ——Mr. Lin, the director of operations of a clothing company in Fuzhou, “is affected by the economic downturn, the oversaturation of the market, and the impact of online shops. This year’s apparel business is particularly difficult to do. We now have five or six million in stock for spring and summer clothing. It is estimated that it will not be sold for one year," said He Renjiang, chairman of Fuzhou He's Benmeng Clothing Co., Ltd., which has 275 clothing chain stores nationwide.

The investigation has learned that at present, many companies in Fuzhou, under normal operating conditions, consume a small amount of inventory for one year and as many as two to three years. Under the pressure of high inventory, many clothing companies started to cut prices early this year in July.

Many garment enterprises in Fuzhou have frankly stated that the entire industry is facing an unprecedented inventory digestion battle. How to digest inventory is a tricky problem for the clothing industry in Fuzhou.

[Current Situation] He Renjiang, chairman of the company for the past five or six years, said that sales of spring and summer equipment have fallen by nearly 50% this year. In order to absorb stocks as quickly as possible, they had to hold a sale meeting one month ahead of schedule, even if they lose money.

Mr. Lin is the operation director of a clothing company in Fuzhou. He told reporters that the five men’s brands run by the company had sales in many large-scale department stores in Fuzhou. They had done well before, but in the past two years, the performance has declined significantly. Stock pressure is great.

“The company’s performance on its branded apparel has risen by nearly 10% on the basis of an overall 20% price increase for its branded apparel this year.” Director Lin said that the company could not digest stocks until it was purchased a year. "Private and peer communication, this year a lot of clothing peer performance fell 20% to 30%, also faced with inventory pressure." Director Lin said that doing 10 years of clothing, this year, feeling unprecedented pressure.

Chen Zhanlong, executive director of Fuzhou Duopa Garments Co., Ltd., also holds a similar view: "This year's clothing is the softest year in the past five or six years."

“On the one hand, the threshold of clothing is low, the production of garments is increasing, and on the other hand, it is difficult to sell.” A number of clothing wholesalers in Zhongting Street in Fuzhou said that the inventory pressure of many local garment companies is now 20% higher than last year, which is quite The large number of companies, if the company is operating normally, may consume inventory for as little as one year, and some may even take two to three years.

[crack] Summer clearance one month ahead of schedule Lin Fuzhou Zhongting Street clothing wholesaler Ms. Lin said that in previous years are near the fall, summer dress will be a large area price reduction, but in early July of this year there are many companies to discount the summer dress, Clearance, a month earlier than in previous years.

Many wholesale stores are marked with the word “down” at the entrance; there are also clothing stores that store clothing at the front of the store for discounts. Ms. Lin said that many businesses are now clearing early to digest stocks.

As with the wholesale market busy clearance, this year's department store discounts are also significantly ahead of schedule. Tianhong Department Store and Ocean Department Store have also started summer sales promotion for various brands. Many brands have already played a signboard as low as 3 to 50% early in summer.

"This year, the mall's brand discount area is also expanding." A department store related person in Fuzhou said that the mall will regularly launch some areas, so that brand companies to carry out product promotion, on the one hand is to promote sales, on the other hand is also to deal with brand clothing in stock.

Adopt "Solid Sales + E-Commerce"

Apparel companies are looking for ways to solve the decline in apparel sales and digest inventory. Director Lin said that many clothing companies in Fuzhou are also adopting the method of “physical sales + e-commerce”. However, how to monitor and harmonize the network price with the physical store price as much as possible, so as not to let the online shop hit the physical store, is also a new problem faced by the clothing company.

Fuzhou City Garment Industry Association, said the person in charge, the apparel industry sales decline in physical stores is a fact. Discounting is a traditional approach to the promotion of apparel companies to inventory. At present, many apparel companies have come to the rescue through the development of e-commerce sales channels, and some enterprises are wholesale stores for online shop sellers, or directly open shop.

[Extended] Autumn and winter equipment orders are still not force In the first half of the year, the days of apparel companies are not so good, in order to restore the city pool in the second half, many companies have started to prepare for the fall production.

"Now we are stepping up to buy fabrics, clothes, and production of autumn and winter series of clothing." He Renjiang said that the brand autumn has gradually come into the market, the first half of the market is not good, I hope the situation can be reversed in the second half.

A number of clothing companies in Fuzhou revealed that this year's fall and winter loading order meeting is nearing completion, but so far half of the expected number has not yet been completed. He Renjiang said that from the orders for the fall and winter loading orders organized by the brand this year, the number of orders for autumn and winter clothes was reduced by half. This year's autumn and winter clothing orders greatly reduced the clothing company is not just his family, Chen Zhanlong also said that this year's fall and winter loading order of the company has already ended, but from the effect point of view, orders and expectations of a big difference.