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The Next 3 To 5 Years Will Meet The Survival Test Period Of China'S Leather Goods Brand

2012/10/24 12:08:00 16

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This year, China's leather, fur and products,

Shoemaking

Industry, import and export bid farewell to the "double-digit growth" era, all fell below 10%.

Previously, the leather industry grew at an annual rate of over 20%.

In the economic downturn, many factors, such as rising costs, declining export orders, trade frictions and business mode constraints, have been "pressing the top of the mountain".

"In such a big environment, there is hope for the national brand that can survive in 3-5 years."

Polar brand director Guo Weisong said.


It is reported that the "2012 China Leather Fashion Festival" will be held in Haixinsha, Guangzhou in November 30th, with the theme of "creating China and creating the future", focusing on "pushing China from leather power to leather power".

"If we want to continue to occupy a place in the international market, China will inevitably enter the stage of innovation and development.

The leather industry should not only realize the pformation from Chinese manufacturing to China, but also strive to build an incubator for international leather fashion brands.

Li Yuzhong, vice president of China Leather Goods Association, said.


Farewell to the "double digit" export Era


Manufacturing is the backbone of the national economy, but with the decline of the European and American economies and the lack of global economic growth, the problem of "export difficulties" has become more prominent this year.

As a traditional labor-intensive manufacturing industry, leather goods industry inevitably encountered the same predicament in the "cold winter" of the economy.


The total import and export value list of leather industry in 2012, released by China Leather Association, shows that the total output value of leather, fur and products and footwear industry in China is 493 billion 800 million yuan, an increase of 14.6% over the same period last year, and the growth rate has dropped 11.7% over the same period last year. The export growth of 33 billion 461 million US dollars has slowed down 18.74 percentage points, and the growth rate of import and export industry has dropped to below 10% in 1-6.

According to Su Chaoying, director of the China Leather Association, the average export price of the export rose in the first half of this year due to the increase of various costs. Besides the growth of non leather shoes, the export volume of other products decreased to varying degrees.

Exports are expected to maintain about 10% growth in the second half of the year.


From the market perspective, export enterprises are more upset than domestic enterprises.

Li Yuzhong said that domestic brands still account for the majority of the domestic market, with a market share of 90%, which is, on the whole, different in different places.

But as far as export is concerned, it is still dominated by processing, accounting for 70% of the export of leather goods.

According to the data of China Association for leather products, the export profits have generally declined. Brand shoes enterprises, with annual production capacity of more than 10 million pairs, have higher risk resisting ability and higher profitability.

From the brand point of view, orders for foreign brands are shrinking and the bargaining power is weak.


Build an international platform to hatch local brands


The leather industry in the pitional period has great pressure and challenges.

Polar brand director Guo Weisong believes that the national brand that can survive in the next 3-5 years will have hope.

"China's tanning and shoemaking industry is an export-oriented industry highly dependent on the international market, and 80% of China's shoes are exported."

Guo Weisong said, however, in China's domestic market, the market share of domestic sports brands is larger than that of foreign brands, such as Adidas and Nike, with a total of 134 billion yuan, while Anta and Lining [4.46 -0.89%] are also close to this figure.


However, in the second tier market, foreign brands' market share is the absolute advantage, while domestic brands fall into the 234 tier cities' melee, including brands like Lining and Anta.

"Outdoor sports brands, local level has not yet reached the level of medium or above, which is related to Chinese consumers' consumption concept and consciousness."

Guo Weisong said that on the front-line market, foreign brands such as Columbia and Lott Fis are the leading brands, while brands such as Pathfinder [17.12 -4.62% share research paper are not inferior to foreign brands in terms of technology and design. However, domestic consumers' awareness of foreign culture and brand incubating force may take a long time to reverse this situation.

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In fact, China

Leather goods

The dominant areas of the industry have formed a number of industries with high concentration, prominent industry characteristics, clear specialized division of labor, leather goods market and leather goods production base.

For example: Hebei Baigou bag production base, Huadu Shiling leather production base, Shenzhen leather industry cluster, Shanghai Hongkou District bag and suitcase center, Guangzhou City, Yunnan Yungang Leather City, Haining leather city and other specialized markets.

The formation and development of these specialized markets and production bases have become the important foundation for the leather industry to carry out the two undertaking.

But in addition, "the main problems facing China's leather industry are the problems of brand and style design, which still requires greater efforts."

Li Yuzhong said.


In view of this problem,

Leather Fashion Festival

The national leather industry elite will join hands with the world's largest fashion media FashionT V, Asia TV, fashion media group and other internationally renowned media.

"FashionT V, headquartered in France, was founded in 1997. It is one of the three largest fashion TV media in the world with fashion, beauty and personality. It is the first and only fashion channel in the world that covers 24 hours of the world."

The Organizing Committee of the event revealed that F ashionT V participated in the ceremony, including the M Ichel A dam Lisow ski, the chief fashion consultant and the media judge of the "era personage" selection campaign, and invited 4 representatives of high-end luxury brand executives and international supermodels.

"The participation of the international media platform not only brings China's leather goods industry directly to the latest international fashion information, but also creates a broader international arena for local leather goods brands."

The above organizers revealed that this undoubtedly installed a growth engine for the leather industry from "made in China" to "created in China".


 

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China'S Leather Industry Bid Farewell To The "Double Digit" Export Era

This year, influenced by multiple factors such as economic downturn, rising costs, export orders, trade frictions and business models, the import and export of leather, fur and products and footwear industry all fell below 10%.