Cross Border And Live Broadcast Of Clothing Enterprises' Rescue

The clothing industry will fall into the "anxiety" dilemma in 2020.

Affected by the "black swan" epidemic in the beginning of the year, the clothing industry has begun a new round of reshuffle. The shock wave of industry bankruptcy has hit, and quickly swept all countries, many former giants have collapsed.

In the first half of the year, foreign brands such as esprit, superdry, Earth Music & ecology, samansa MoS2 and e-hyphen word Gallery announced their withdrawal from the Chinese market, Vimy announced the closure of its stores in Hong Kong and the fast fashion brand SPAO of eland group of South Korea closed its stores in Guangzhou

In terms of local brands in China, La chapel announced that NaF NaF SAS had officially entered the judicial liquidation process. Under pressure, SEMAR announced the sale of French children's clothing brand kidiliz; Daphne was exposed to withdraw from the Taiwan market

Ye Tan, a financial expert, observed: "before the epidemic in China, there were many similar clothing brands, including those that had done a lot in the past, which were going bankrupt in a series. Now in the process of reshuffle, on the one hand is the collapse of enterprises, on the other hand, some new brands will come out. "

How much influence does the epidemic situation have on clothing enterprises? What is the current survival state of the enterprise? The retail research center of lianshang.com has investigated the first quarter data of 33 domestic clothing enterprises listed companies in 2020, and has a comparative analysis from 2018 to 2020.

A cliff like descent

According to the data, in the first quarter of this year, 33 clothing listed companies achieved revenue of 25.337 billion yuan, compared with 36.585 billion yuan in 2019 and 34.967 billion yuan in 2018.

33 clothing listed companies achieved a net profit of 1.259 billion yuan in the first quarter, compared with 4.106 billion yuan in 2019 and 3.99 billion yuan in 2018.

It can be said that from the perspective of revenue and net profit, affected by the epidemic, clothing enterprises showed a cliff like decline in the first quarter of this year.

In terms of data, only 2 of the 33 clothing listed companies in the first quarter increased their revenue, namely Youngor and anzheng fashion, of which Youngor's revenue increased by 51.07% to 3.895 billion yuan, and anzheng fashion's revenue increased by 2.91% to 570 million yuan. The most serious drop in revenue was shinur, down 67.05% year-on-year.

Among them, Youngor's first quarter revenue was the highest of 3.895 billion yuan, Hailan home was 3.848 billion yuan, and Senma clothing was 2.738 billion yuan. However, according to Youngor's announcement, its revenue and net profit increased because the real estate sector completed the confirmation and delivery of Daya garden, ziyutai Garden Phase II and other projects.

In the first quarter of the 33 clothing listed companies, there were 4 companies with net profit growth, of which Goliath grew the fastest, with a year-on-year increase of 173.26%, achieving a net profit of 244 million yuan. The most serious decline in net profit was La chapel, with a year-on-year decrease of 3609.01%.

There are 17 profitable clothing companies, compared with 32 in 2019 and 30 in 2018.

From the same period of last year, the retail sales of li'an'ning brand (including the retail sales of 20% - 20% in the same period of last year) decreased by 20% compared with the first quarter of last year; however, the sales volume of li'an'ning brand decreased by 30% - 20% compared with the first quarter of last year Online and offline channels) recorded a decrease of 20% - 25% over the same period of last year

Although the "red light" of sports brand sales is also on, but throughout the whole clothing market, sports clothing is undoubtedly the performance of leisure clothing and men's wear.

Cross border and live broadcast open the road of self rescue

During the epidemic period, clothing enterprises actively launched self-help operations, some cross-border production of masks, more on-line, through live sales to expand sales.

In the face of the epidemic situation, some textile and garment enterprises began to "cross-border" and extend the front line to the production of masks, protective clothing and other protective articles.

According to the statistical survey of E company and Tianyan survey, from January 1 to February 7, 2020, more than 3000 enterprises in 64 industries in China have changed their business scope and added business such as "mask, protective clothing, disinfectant, thermometer, medical equipment" from January 1 to February 7, 2020.

Youngor, borgelong, Hongdou, mercury home textile, Huafang and baoxiniao have changed their production lines to produce masks, medical protective clothing, medical equipment and other businesses. In this regard, some people in the industry believe that cross-border has improved the innovation ability and R & D ability of enterprises to a certain extent.

In addition to cross-border medical supplies, live broadcasting business is in full swing.

According to the previous observation of lianshang.com, the well-known women's clothing brand Evely has launched 60 broadcasting sites during the whole epidemic period, with a total duration of nearly 360 hours and a sales volume of 20 million yuan in two months.

Hemingway group, which owns several women's wear brands such as flying bird, new wine and gumuxiyang, has also actively shifted its sales focus to e-commerce live broadcasting, increasing the periodic live broadcasting of tmall flagship stores from 3-5 shows a week to 5-7 shows a week. On February 24, bird and new wine were broadcast live via e-commerce, and after the outbreak of the epidemic, they met with offline customers. The live broadcast attracted 16130 regular customers in 47 store communities, and nearly 1 million sales were achieved in 3 hours. After that, the company cooperated with Guyang for more than 2.5 million hours.

As of May 20, the two major brands of bird, new wine and gumuxiyang had been broadcast for nearly 100 times, making up for 30% of the sales gap of offline stores.

At 9:15 p.m. on May 14, leting, a women's clothing brand owned by taipingbird, made its debut in Li Jiaqi's live studio with qichititi pajamas gift box. All 10000 sets of stock were sold out in 30 seconds. Two hours later, on the debut of Ali's actor Liu Tao's "Liu Yidao" with a subsidy of 10 billion yuan, the taipingniao men's clothing IP cooperation series, which broke into the list of "510 new national products" list, appeared again as the preferred hot item.

Liu Tao and his two anchors joined in the cooperation fund of Steve, which accumulated 21 million fans to watch and sold 18597 pieces that night. This is also the second time that the series of taipingniao products appeared in Weiya live studio for the second time.

Explore social e-commerce and layout digitization

In addition to stimulating sales to a certain extent to solve the urgent problems, more important is to accelerate the process of brand digitization, and more brands are aiming at social e-commerce.

Fang Jianhua, founder of yinman, said that during the epidemic period, yinman newly established a social e-commerce department to take the lead in organizing customer community marketing projects, promoting and coordinating the specific implementation of community deployment, and recruiting 10000 "yinman promoters" to support the whole people to start businesses and become yinman small shop owners. We should formulate the policy and mechanism of the whole staff shopping guide internally, mobilize all the staff to do the shopping guide, set goals, divide the bonus, and promote the whole people to the outside.

The main brand of Taiping bird women's wear also organically combines the original "niaota" app with wechat applet as an important tool for community operation and sales transformation. The social customer relationship management system SCRM of men's clothing, leting, children's wear and other business departments is applied to social retail operation, rapidly forming private traffic.

Taking the opportunity of live broadcasting, more and more companies take digital as the long-term layout of their brands. Yu Yong, founder of GXG, said that the brand should be "de-e-commerce" at the beginning of the brand listing last year. The so-called "de-e-commerce" is not to stop online, but to conduct integrated digital management of online and offline products and inventory with the concept of brand through digital ability, "removing the barriers of organizational structure".

Yu Yong said that in the future, all GXG businesses will be digitized, and all digitization will be gradually transformed into intelligence.

Rout and advance

Ding Shijie, an analyst in the textile and garment industry of Guoxin Securities Economic Research Institute, said that from the situation of domestic listed companies, the entire textile and clothing industry, including manufacturing and brand sales, currently 28 A-share companies have disclosed medium-term performance forecasts, and their net profits have basically fallen sharply compared with that of other companies. Among them, 9 companies are in advance of loss, and the proportion is about 32%.

Global data, an international research and consulting company, points out that the global garment market will lose 297 billion US dollars in 2020 due to the new coronavirus epidemic. The most serious losses will be in the most mature markets, and it is expected that more fashion companies will file for bankruptcy in the coming months. Nowadays, the global apparel enterprises are plagued by "store closing tide" and "bankruptcy", and the industry giants can not be alone.

In terms of the official announcement of the settlement of the French children's clothing store, such as the news of the settlement of the French children's clothing store, such as the French fashion brand of nadif, it has been announced that it has entered the domestic market

However, this is the case in the market. When there is a sale, there is a purchase. The head companies still enhance their ability to resist risks by expanding their business.

For example, landsie announced that it would increase its stake in medical and American, and planned to hold 100% of 6 medical and American institutions with 179 million;

In April this year, Pacific bird took over coppolella's China business and announced its entry into the trend sports market.

In April, the parent company of GXG, Muchang group, announced its cooperation with yiyoumi Brand Management Co., Ltd. to participate in the agency business of international brands such as Paul & shark, and the brand territory expanded again.

Muchang group said that it will continue to expand the cooperation business with international famous brands, carry out new cooperation modes such as cross-border brand industry and designer intercommunication, and seek international excellent franchisees to layout the international market and enhance the international reputation of the brand.

***Li Ling, a retail personage and consultant of lianshang.com, pointed out that the recession of the clothing industry began 10 years ago. There were no new brands, no new technology investment, no own design and innovation. Many clothing enterprises have transformed into real estate, finance and investment banking across the border. New entrants only focus on copying and speculation to make quick money. Clothing is the main commodity of department stores, an important symbol of consumption upgrading, and a flowing landscape of the city. Its downward trend means a lot.

Sun Yulong, a special columnist of Lianshang, pointed out that as one of the most severely affected industries in the first half of 2020, the clothing industry as a whole is facing a situation of low sell-out rate, high inventory and extremely tight cash flow. At the same time, under the sudden attack of the epidemic situation, the closure trend of the clothing industry is increasing, and the whole upstream and downstream industry chain of the clothing industry is in a downturn. At present, the change brought by the epidemic situation to the clothing industry is the change of sales mode. Most clothing enterprises begin to change the live delivery with goods into standard configuration.

He pointed out that under the epidemic situation, China's clothing industry has entered a period of reshuffle, and the remaining clothing brands will gradually form two levels of differentiation, the first level will enter the international and integrated development of multi brands; the first level is the small and beautiful development of regionalization, and the large wholesale mode will become more and more difficult to maintain. "Under the influence of the epidemic situation, the future clothing industry brand layout will form a trend of brand centralization in some subdivided areas, especially sports brands. For men's and women's wear brands, the market and channel development mode will be repositioned, and it is difficult for National Women's and men's wear brands to reappear."

So how to boost China's clothing industry in the future?

"It is still necessary to improve the overall capacity of the industrial chain, especially the research and development of ready-made clothing design and face accessories. Without enough R & D and design capacity precipitation, it is difficult for China's clothing industry to make a breakthrough." Sun Yulong said.