Apparel industry began to enter the product is king era

Consumer demands change from the pursuit of the brand to the pursuit of cost-effective, cost-effective products increased demand, at the same time as the types of designer brands unique products, strong sense of design, distinctive style began to emerge. This period, the lack of cost-effective products are left out in the cold, while a single product style, brand awareness, weak competitiveness of small brands market share is shrinking, and gradually eliminated by the market. Near the end of 2016, the pace of new shares issued to accelerate.

Recently, the regulatory layer on the IPO audit significantly speed, and from the clothing sector, the industry believes that, as of now, a total of 9 companies lined up, the 9 companies fund-raising size is expected to reach 7 billion 314 million yuan. Among them, 2 companies will be passed (waxwing dress, Be Meleven), pre disclosure update 1 (bestseller fashion group), has 1 feedback (mobigarden outdoor) and has accepted 6 (about fashion, fashion, Ann Taylor, Liebo prime to electronic commerce, the U.S. Department of fashion group and October mummy).

Where IPO shares from the industry point of view, queuing enterprises are mainly women and children (3) (2) and Amoy brand (2), the sub industry has the characteristics of relatively more decentralized, while in the sub industry under the background of consumer upgrades, children's clothing brand differentiation benefit these dealers are also more obvious. Currently A shares related less (in high-end women's 3, children's supplies 1), these new shares will be listed on the number and category of clothing enterprises.

According to reports, China's garment industry as the traditional consumer "four categories of basic necessities of life", and people's lives. China as the world's most populous country, clothing demand and consumption of large scale, and maintain a stable and sustained growth, the market is still broad space for development of the clothing market. Over the past few years, the industry adjustment period, although some channels decline significantly, but due to the diversification of the channels leading to the overall demand has not declined, and is still growing.

Li Jie believes that the overall supply and demand situation of garment industry, on the demand side, the industry has maintained steady growth; but from the supply side, in recent years, great changes have taken place, some of the larger companies choose cross-border restructuring as well as some small and medium enterprises are eliminated, will bring the reconstruction of industry competition pattern, stick to the main industry and rely on the main business extends the layout of the leading enterprises will benefit from market participants to reduce market share and enhance. At the same time the diversification of channels to bring consumer demand for fragmentation, the test of the garment enterprise overall management capabilities.

In Li Jie's view. Needs fragmentation leading garment enterprises to deal with the corresponding channel diversification has more advantages: 1) in the end product has more brand influence and more R & D investment to expand their own differential advantage; 2) in the end of the channel downstream retailers with price ability, channel integration and operation ability on stronger, so you can achieve a balanced development of various channels. From Tmall's "double eleven" of the sales data, with a variety of styles, the market for dispersion of the women's category for example, sales ranking is rooted in the electricity supplier Amoy brand has lost a traditional leader brand, show the garment enterprises brand influence and business competence. Other segments of the industry is so, once the line on the line, and soon in the "double eleven" ranking in the forefront.

But at this stage, active management brand, improve customer loyalty has become an important factor in the development of garment enterprises, same store volume of the whole industry growth driving force expansion, prices began to change into the endogenous epitaxial growth from this requirement, clothing enterprises from product design and development, order picking, shop management, customer service and other directions "practicing internal strength", highlight product differentiation advantage and brand image and positioning.

Famous garment industry veteran observers, Fosun capital fashion team leader Cao Yitang has also pointed out that from the industry life cycle, the designer brand, outdoor and children's clothing and other segments there are still opportunities for growth. The size of China designer brand clothing market is constantly expanding, from 28 billion 200 million yuan in 2011 to 11 billion 100 million yuan in 2015 to increase (accounting for 2.2%), the annual compound growth rate of 26.2%, 2020 is expected to reach 91 billion 600 million yuan (accounted for the entire garment industry 3.9%), clothing market beyond other industry segments. Cao Yitang believes that the next ten years is the golden opportunity for Chinese designer brand development.