According to the “2019 Social E -commerce Women’s Industry Report” jointly released by Tencent Advertising recently, the GMV of the Chinese clothing market in 2018 increased by 7.8%year -on -year to 2.07 trillion yuan. It is expected that the increase in 2019 will slow to 3.5% Essence In terms of clothing categories, women’s clothing has always been the largest sub -block in the market.
The overall sales of this year are expected to exceed 100 billion, but the increase will slow down significantly from 7.6%in 2018 to 2.7%, which is mainly affected by the market’s saturation.
Markets are full of saturation: the increase in sales of women’s clothing slows down
In recent years, the women’s clothing industry has shown weak growth. In the three quarters of this year, women’s clothing companies with bright performance have declined in performance. Women’s clothing companies such as Lathame, Modern Avenue, and Vigner have all developed a tendency to grow in revenue during the same period.
Among them, La Xiabeel and Modern Avenue’s performance fell sharply.
In the first three quarters, Lathamber achieved operating income of 5.757 billion yuan, a year-on-year decrease of 7.2%; net profit attributable to shareholders of listed companies-825 million yuan, a year-on-year decrease of 444.69%.
Its announcement states that the main reason for losses is that operating income declines year -on -year, accelerates digestion of seasonal products, which leads to a decline in gross profit margin year -on -year, and the sales gross profit amount has decreased. At the same time, La Xiabeel continued to close the low -efficiency loss stores, which led to the long -term stall costs accelerated and amortized, and the financial expenses were affected by the new lease criteria. At the same time, during the reporting period, the preparation of inventory prices and the preparation of bad debts increased year -on -year, which would affect net profit. In addition, La Xiabeel’s execution of new lease criteria also has a certain negative impact on the current net profit.
In the first three quarters of Modern Avenue, the operating income was 961 million yuan, a year-on-year decrease of 8.25%, and the net profit attributable to shareholders of listed companies was -025 million yuan, a year-on-year decrease of 143.05%. Its announcement states that the company’s all -funded Sun company Modern Avenue Fashion E -commerce Co., Ltd. intends to use the asset impairment of the intangible assets (Modern Fashion Platform APP software). The company’s wholly -owned subsidiary Carindi Road Clothing Co., Ltd. (Hong Kong) Co., Ltd. intends to use the asset impairment of the intangible assets (some trademarks) it owns.
As VGRASS Fashion, as a high -end women’s first -line brand in China, its parent company Jinhong Group’s operating data in the first three quarters of this year showed that operating income was 1.887 billion yuan, a year -on -year decrease of 6.46%; net profit was 30.15 million yuan, a year -on -year decrease of 77.98 year -on -year decrease %. Jinhong Group currently has three brands: VGRASS (Vigna Si), Auspicious Cloud Jin, and Teenie Weenie,
In the first three quarters, Veigner’s sales fell 5.55%to 590 million yuan. The actual performance of the Teenie Weenie business was lower than expected, and the revenue fell 6.98%to 1.275 billion yuan.
In the first three quarters of daily broadcasting, operating income achieved 791 million yuan, a year-on-year decrease of 0.22%; net profit attributable to shareholders of listed companies was -7.753 million yuan, a year-on-year decrease of 103.71%; the net profit attributable to shareholders of listed companies’ shareholders -8.998 million yuan.
From the perspective of financial data, the performance of daily fashion revenue and profitability is not ideal
However, industry insiders analyze with continuing to promote the omnicular strategy, enhance the user experience, and continue to strengthen research and development investment to strengthen product competitiveness. Daily fashion may return to the profit track in the next period of time.
This year’s domestic consumption shows an increasingly obvious stratification trend, especially the women’s clothing market, occupying most of the consumer market, and high -end luxury and affordable consumption coexisting
From the perspective of overseas experience, in the economic deceleration stage, high -end consumption with brand advantages presents relatively high stability.
Insiders suggested that under the premise that the main business is enlarged, multi -brand and multi -category group strategies are expected to help women’s clothing companies in the industry’s downturn to further enhance market share.
Focusing on youth: Brand power becomes daily accumulation
According to the “2018 Clothing Consumption Powers Insight White Paper” by Tencent Data Laboratory through online and offline investigation and combination of big data analysis, China’s fast fashion crowd is the most keen on clothing and popular related information, trust KOL’s recommendation, variety shows and online self -made dramas The Chinese star life scene is dressed as a vane of the dress.
This means that the brand’s propaganda demand has shifted from a single advertising in the early market to more trivial and strong permeability information spread.
In a high -digitated retail environment,
Live, community, and koc are seen as one of the breakthroughs of women’s clothing brands
Essence The report shows that from the perspective of Youzan platform, the steady growth of Chinese women’s clothing began in the second half of 2016, and in the second half of last year, it ushered in an explosion period. The grass -old -planted planting transaction provides the foundation.
Youzan emphasized in the report,
With the maturity of the digital social environment, more and more female consumers will be affected by word of mouth effects to make purchase behaviors, especially in the scene of the live broadcast environment “try on+explanation”, the live broadcast conversion rate of women’s live broadcasts is as high as 21.2%.
Far higher than other categories.
From the perspective of user consumption data, the categories of women’s clothing consumers are increasingly richer.
New clothes in the season have become just needed. Traditionally up and down still occupy the main consumer market, and the sales share accounts for 62%.
Especially for T -shirts, dresses and leggings, accessories and basic underwear have also increased year by year in the social e -commerce environment. From the perspective of user distribution, consumers along the coast and central cities are more enthusiastic about buying clothing shoes and bags. The strongest purchasing power is Guangdong Province, with sales of 11%.
“Harvard Business Review” earlier wrote in an article that all industries around the world are “pleased” young people. Essence Compared with the development of the global entertainment industry, the Chinese entertainment industry is “being pleased” and the innovation of young people is more leading, and it is shifting from competing for users to retain users, that is, from attention to loyalty. To “stick” consumers through values is the most effective means to build loyalty.
In the highly saturated women’s clothing market, as long as the brand’s interest label and values are unique enough, the brand still has opportunities. Once consumers agree with the brand, as long as the brand continues to provide high -quality products that can reflect values, even if they do not frequently create topics, they can persist to attract consumers. more importantly,
Different from consumers who prejudinated with domestic goods, young consumers who are about to master consumers are reaching historical highs.
This also means that domestic clothing brands ushered in the best time in the short term.
Digital transformation: Is the flexible supply chain really effective?
Beginning in 2014, represented by the Internet brand, they began to focus on the short and fast supply chain model, which is called “flexible supply chain” in the industry.
Flexible supply chain referred to as the supply chain management flexibility, which refers to the agility of the supply chain for changes in demand, or the ability to adapt to changes in demand. The changes in demand can also be called uncertainty or risk. This is a phenomenon that exists objectively in all aspects of the supply chain. Between enterprises or enterprises or between the final consumers.
The increase in uncertainty of demand will increase the difficulty and cost of supply chain management.
For example, brand vendors can get a small amount to quickly test the market. If the sales volume gradually increases, and then enter the large goods production, if the sales are not good, they will enter the clearance link immediately. With the pressure of year -on -year performance, the external processing factories have a significant off -peak season. Brand owners still have to predict explosive models, mass production, and reduce product costs.
Some people in the industry said that the rise of flexible supply chain still stems from the problem of delay in inventory, which can cause brand owners to fall into a dilemma. To solve the problem of stagnation of inventory, it may become the straw that crushes the company.
Facing the pressure of inventory, revenue, etc., how to speed up the inventory circulation and improve efficiency, become a pain point of all enterprises. If you are not careful, you may push the enterprise to the abyss; Fund can re -adjust the brand strategy, which is more in line with the current consumer market.
The promotion of flexible supply chain, the true significance and value are to help enterprises manage the supply chain, improve the efficiency of goods turnover, and efficiency of funds.
With the development of digitalization, the future supply chain management and construction must be based on a big data platform. The accumulation and collection of data through the “supply chain management” method is the same as the current sales platform on the market, but it is not just purely based on sales data ,,
Instead, various raw materials, design, research and development, production and procurement, supplier management, cost management, quality management, and even supply chain data such as dressing and follow -up management are recorded, summarized and analyzed.
In this era of big data, clothing companies with innovative capabilities not only rely on traditional market data, intelligent big data provides more accurate help for the development and design of clothing, semi -finished products procurement and retail. Meeting the changes in consumer needs to creative needs, thereby consolidating the continuous competitiveness of the brand with the help of big data.