Domestic "Hangzhou Department" Brand Clothing Has Recently Fallen Into Identity Crisis.
Less than P, hundreds of fashionable women's clothing enterprises started in the middle of 1990s in Hangzhou, China. They succeeded in poor quality, plagiarism, low price and high profits.
But in the current competitive Chinese market, the brand is more important than ever before. The Hangzhou brand "a target=" "_blank" href= "//www.sjfzxm.com/" > clothing < /a > is facing a serious identity crisis.
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< p > domestic "Hangzhou Department" < a target= "_blank" href= "//www.sjfzxm.com/" > brand clothing < /a > sink identity crisis < /p >
< p > have you ever heard of these brands such as Chiu Shui, JNBY or Van Doren? These names can easily remind you of Mexico puppy, New York law firm and Belgian chocolate maker.
But in fact, they were the three large-scale women's clothing brands set up in Hangzhou in the mid 1990s.
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< p > Hangzhou is an important hub of China's clothing industry.
Although 80% of China's garment factories are still located in the Pearl River Delta, Hangzhou has about 1000 manufacturing plants, and 600 of the ready-made clothing brands that focus on the upper middle class women's fashion market, half of them set up headquarters here.
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< p > the founder of Hangzhou brand often originates from garment manufacturers.
Van Doren, CEO of Vandoren, launched his own brand after years of experience in contract manufacturers.
Other brand managers such as Li Lin, after obtaining a bachelor's degree in chemistry from a university, launched the "Jiangnan cloth" (the most natural) brand in 1994, and he is also a representative of the "Hangzhou Department" clothing brand.
These new young entrepreneurs have established their position in the clothing industry through the well-known "rich princess" style costumes, which are well known to the local people, with rich ornamentation, such as folds, lace and sequins.
This is a leap for Chinese women who are tired of rigid and simple clothes.
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< p > 2000, the brand of Hangzhou women's clothing rose rapidly, and soon occupied a large market in China.
Chiu Shui opened its first store in 2005.
By 2011, there were 350 shops.
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< p > retail expansion follows the Chinese strategy game "go" which has the 2500 history: playing from periphery to surrounding center.
H&M, Zara and other international chain brands try their best to find the best location in the streets of big cities such as Shanghai and Beijing, while the pioneers of the Hangzhou clothing brand target the three or four and five tier cities in China.
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The promotion strategy such as "P" is quite effective.
The population of these towns ranges from 500 thousand to 5 million.
They account for 40% of the total population of the city and 43% of the total GDP value of the country.
More importantly, most of these cities are not located in the remote areas of China or remote mountainous areas in the west, but in the satellite towns of large cities in the eastern coastal areas. Logically speaking, these cities are relatively well placed.
In addition, commercial real estate in these cities is cheap but densely populated, which ensures revenue growth and avoids overheated market competition.
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< p > in China, fashion brands are first regarded as commercial media.
A brand embodies the concept of a certain value, satisfies the wishes of consumers, expresses an aesthetic character or reflects the extraordinary personality of a brand founder.
But most of the fashion brands in Hangzhou do not convey any special or cohesive significance.
They often come from < a target= "_blank" href= "//www.sjfzxm.com/" > designer < /a > when they are shopping abroad or visiting trade exhibitions and browsing Internet websites, they are pieced together by various fashion inspiration fragments.
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< p > this opportunistic method usually brings various kinds of bright and complicated clothing series (there are at least 600 styles in one quarter), and you can find all kinds of styles from it.
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< p > however, as long as profitable, the design is not important.
The retail price of a T-shirt varies from 30 euros to 250 euros for a coat, and the profit is very good. It is estimated to be 7 to 11 times the cost of production.
Most Western brands sell only 2 to 5 times their profits in the market.
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< p > but from 1995 to 2013, consumers who are keen on "Shanzhai" style are mature.
At the same time, more and more competitors and their own brands continue to expand.
Today, sales of many Hangzhou brands have dropped significantly. It is estimated that the turnover per unit area is less than 1500 euros per year.
Metersbonwe, the leading fashion retailer (Metersbonwe), recently announced that its profits have dropped significantly and the backlog of inventory is also rising. (Bosideng)
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< p > therefore, many Hangzhou brands feel that they have to create a unique brand label and a distinctive style to attract more target consumers in the future.
But the challenge is very complicated, and the marketing law of the brand itself is not mature.
They do not try to predict fashion trends to make clear style reports, but only integrate the best selling styles of global leading brands into a series, which is regarded as a safer method.
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Besides, P, it is difficult for these brands to change their habit of not paying attention to quality.
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< p > many brands like diversification and create new brands or develop new markets.
For example, JNBY has launched the menswear brand Croquis, and Akimizu Ito (Chiu Shui) has set up Cocoon for the wealthy.
Some brands are still exploring opportunities beyond the Chinese market for profit growth.
Like JNBY, we have opened over 20 boutiques in Japan, Canada, Russia, Singapore and the Middle East.
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< p > in today's fiercely competitive Chinese market, the development of a real brand logo is the key to success.
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Less than P, many of these brands have gone through 18 years.
It is time for them to abandon the "Princess wind" and grow up.
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