While seeing the danger in danger, still have to admit that the clothing industry has exposed too many problems in the epidemic.
Today, for every 100 million pieces of clothing sold in China, the actual production is 200-300 million pieces. “Even if the entire apparel industry has stopped, the inventory is enough for the whole country to wear for three years. What is this concept?” Jiang Rong was not without emotion.
“For example, a clothing company had sales of nearly 18 billion last year, so it is expected to be very good this year. Spring itself is also the peak season, and about 3 billion of goods are prepared. As a result, the stocks immediately become stocks because of the epidemic. If you do n’t go out, summer is coming again, autumn and winter will start stocking again, will the next batch still be made? Can the upstream and downstream suppliers cooperate? The main problem of traditional apparel companies is that inventory cannot be turned into cash flow, which affects the entire The operation of the supply chain. “
The depreciation rate of inventory is staggering, and the value of the goods in one year is less than half of the original value. The increase in the stock of spring clothes directly affects the operation of cash flow, and the development of traditional apparel companies is worrying.
At the same time, with the outbreak of outbreaks abroad, cross-border procurement has been affected, the situation of foreign trade companies is more difficult, and some practitioners even laughed at themselves: “Who dares to compare with me in 2020?”
Current orders for foreign trade factories have fallen by 50% -60% compared with the same period last year. Since mid-March, a large number of orders have been cancelled. An industry source told the media that “factories dominated by foreign orders are even more sad. They had already started to work overtime and were busy shipping. Suddenly they received news that orders were cancelled and suffered heavy losses. Some accepted the collective resignation of employees, and there may be Shut down at any time. “
Under such a severe situation, how can foreign trade enterprises save themselves? How to reflect on the clothing industry?
Li Yaping believes that there will not be much impact and changes in domestic demand. The domestic market should be gradually restored, and the impact of foreign trade is relatively large. Foreign trade-led enterprises can turn their eyes to the domestic market and appropriately strengthen their domestic demand market.
“However, there is still a big difference between the foreign trade market and the domestic market. Whether the foreign trade factory can adapt to this change, adjust the operation mode in time, and seize more business time and opportunities depends on its own adjustment ability. The possibility of survival Will develop better than before. “
From the perspective of the entire apparel industry, this epidemic highlights the advantages of a platform with no inventory and strong supply chain integration capabilities.
Compared with traditional apparel companies, the main advantages like volume goods and gold customization are that there is no inventory, but there is demand first and then production. Yu Lida, founder of Quanpin, has publicly stated that he hopes to change the apparel industry from a spot model to a futures model, buy clothes first, and then produce it, so that it is not wasteful and willing to open the system.
In this regard, relevant sources said that in the future the apparel industry should consider moving as needed, and should not continue the old road of early layout and mass production. “And now many supply chain companies are already making adjustments, opening live broadcasts, Taobao stores, etc. directly to C-end consumers. The proportion of companies that rely solely on the supply chain becomes smaller, and the proportion of diversified operations will be greatly increased.
Finally, when it comes to confidence in the apparel industry, we must be cautiously optimistic. “The whole year may recover to about 70% or 80% of last year. Those who hold on should recover slowly, the better as they go back. Now, the enterprise can insist on survival to win.”
Post time: Apr-04-2020