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2014 Clothing Retail Industry Continued Negative Growth Cheng Yinji

2014/11/19 12:41:00 29

Negative GrowthClothingRetailing

Following the continuous "closing shop boom" in the first half of 2014, negative growth began to become a problem.

Retail

A hidden disease.

According to wind statistics, 88 trade retail businesses announced the three quarterly report in 2014, of which 31 business retail enterprises net profit fell year-on-year, accounting for 35%.

The journalist launched a survey to the heads of dozens of retail enterprises. More than half of the executives said that the sales of golden week decreased compared with the same period in 2013. About 30% of the enterprises maintained stable or slight growth (the main growth came from new stores), while less than 10% of the enterprises indicated that the rally was obvious.

Most retail businesses in China have been defeated in the face of market challenges. In the first half of 2014, supermarkets and department stores closed more than 160 stores.

Corresponding to the "closing shop tide", not long ago, some large shopping malls and shopping centers had different degrees of "rent out tide". Merchants who could not afford the rent had chosen to escape.

There are signs that the era of physical retailer running around is gone: rent and labor costs are rising, and under the pressure of competition, passenger flow has been diverted and profits have been diluted. Although the absolute value of the total retail sales of social consumer goods is growing, the amount of consumption scattered to every retailer is very small. Physical expansion of physical retailers has reached the border, and the former is the abyss of loss.

The underlying reason behind rising costs and shrinking income is the existence of both.

profit model

It is hard to continue.

After more than 10 years of rapid development, it can be said that the traditional retail industry has eaten up the "old version", and the "successful experience" that has been profitable before seems to be eliminated by the times.

For example, relying on scale procurement to lower procurement prices and get higher supplier rebates, the scale effect of the chain's repeated profit models has begun to weaken, that is, when the procurement scale reaches a certain number, even if the price is increased by ten times, the purchase price is also very difficult to reduce.

Then take the large part of the profit source entry fee in the traditional chain enterprises as an example. When the entry fee is increased a little bit or even exceeds the scope that the supplier can bear in the past few years, the effect is beginning to backfire.

Taking a large retailer as an example, with the monopolistic position in the regional market, in 2013, "creativity" put forward the practice of supplier's "bidding" admission, trying to crush the last drop of oil and water on the supplier, resulting in the collective abandonment of suppliers.

"The main reason for the dilemma facing the entity store is that the shopping habits of consumers have changed, and the retailer's own business model has not changed." after that, it is getting farther and farther away from consumers. "

Wang Tian said.

However, on the other hand, the industry crisis has also brought opportunities to some enterprises. Entrepreneurs who are well versed in the survival of the retail industry have already identified the expansion margin of future entity retailers.

As a result, the powerful predators take the opportunity to "copy the bottom" so as to gain the leading position in the next round of horse race, while some small and medium sized retailers who are hopeless will be able to cash in and sell a good price.

In fact, before and after 2008, the "leftover king" that the industry once shouted, did not finally show up, because at that time, although it had suffered from financial crisis, it was still far away from the other side of the ocean, and its impact was far from spreading to China.

consumer market

Nowadays, under the influence of multiple factors such as the impact of the electricity supplier channel, the slowdown of the economy and the uneven development of the industry, the era of "leftover is king" has really come.


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