Textile And Garment Industry Has Launched A "De Stocking" Campaign.

In the past one or two years, China Spin clothing The industry has launched a "de Stocking" campaign. But still rising inventories still make the textile and garment industry go out of stock and face big exams. What will be the total inventory of about 57 billion yuan?

Data show that as of April 17th, the textile and garment industry has announced the 2012 annual report of 50 listed companies, inventories total about 57 billion yuan. Compared with 2011, the total inventory of the 50 companies increased by 3 billion 609 million yuan, representing an increase of 6.76% over the same period of 53 billion 373 million.

Sales activities such as shopping malls, franchised stores and other discount shops are also endless, and the promotion and profit making activities of the major stores are also reflected by the fact that the major brands of clothing have to "end their lives" under the pressure of high inventory.

50 textile and garment enterprises stock up to 57 billion yuan, so that China's apparel industry is in a difficult position.

Xiong Xiaokun, a light industry researcher at CIC consultant who interviewed by China national classics news, said that at present, inventory is a major bottleneck restricting the development of garment enterprises. Most of the clothing inventory is sold at a lower discount, and the price range is larger.

In fact, the problem of high inventory in textile and apparel industry is also a long-standing problem. The most prominent is the high storage of sports apparel. According to media reports, the six major sportswear brands, such as Lining, and so on, amounted to 3 billion 327 million yuan in 2012.

According to the data from the National Bureau of statistics, the products in the first three quarters of 2012 in China's apparel industry above designated size were 256 billion 966 million yuan, and according to the China Apparel Association, in 2011, the clothing in China amounted to 1 trillion and 400 billion yuan, and it was expected to reach 1 trillion and 700 billion yuan in 2012.

"High inventory has not only led to the crisis of the capital chain of clothing enterprises, but also hindered the renewal rate of clothing products, and at the same time, the profitability of enterprises has been seriously declining." Xiong Xiaokun told reporters.

Then, how did the high inventory of clothing come into being? Xiong Xiaokun said that the reasons for these stock formation are, on the one hand, the earlier expansion of the garment enterprises is more blind, and the market has overcapacity. On the other hand, in recent years, China's economic trend is low and the demand for clothing market has been greatly reduced.

How to go stock is a common issue of sportswear brands and other clothing brands, but ultimately it still needs to be implemented to solve the problems of high inventory and what will be faced with in the "high" storage of "digesting" clothes. Zhang Chengyu, senior researcher of Chuang Guo Fa consulting (Beijing) Co., Ltd., in an interview with reporters, pointed out that the inventory of garment enterprises should face a problem of consumption cycle, because clothing is a popular product, and the changing fashion will change the aesthetic orientation of consumers. In particular, some fashion brands, which are the main fashion players, will not be able to sell clothing for the season, and their consumption value will drop off. Faced with this phenomenon, it can only rely on a large number of discount promotions, or even sell at a loss, and these behaviors are harmful to the brand image of an enterprise.

"Discount sales promotion will still be the mainstream means for apparel enterprises to inventory, and there is no way to do so. But for brand enterprises, if we can guarantee the supply of new products in a second tier city, and the task of "discounting the old products" to the three or four line new stores and business channels, we may be able to reduce the degree of damage to the brand value. Zhang Chengyu said.

Xiong Xiaokun also said that digestion inventory can start from three aspects. First of all, enterprises should grasp the market demand, appropriately reduce production, and make the supply and demand of the market gradually achieve a balance. Secondly, we need to reshape the brand image and digest the inventory stage, and the major clothing enterprises have adopted price tactics. This is the most direct and effective way to inventory, but at the same time, it also frustrate the brand value of enterprises. Finally, expanding sales channels, online shopping has become an increasingly popular shopping method for consumers, and online marketing is also a good move.

Finally, Zhang Chengyu also said that the high inventory crisis of garment enterprises is just a microcosm of the high inventory in many industries in China over the past few years.