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RMB Appreciation And Raw Material Price Rise &Nbsp; Shoe Enterprises Face Pformation Again.

2010/11/3 11:28:00 142

Transformation Of Raw Materials From Shoe Manufacturers

Europe and America shoe Market

Order

The slow recovery, and appreciation of the renminbi and rising prices of raw materials and other multiple factors, domestic shoe enterprises are facing a new pformation.


Dongguan Cheng Feng Machinery Co., Ltd., Chen Zheyang, director of business, told reporters that the company more than 10 years ago with Taiwan.

Shoe enterprises

When pferred to Dongguan, customers were basically foreign shoe factories exported by OEM, and now there have been obvious changes, labor costs have risen rapidly, and workers can not be recruited, and many export shoe factories have accelerated to migrate to mainland and Southeast Asia, and the number of private shoe industry customers who are domestic sales is increasing. Now these two customer groups basically account for half.


Zhu Yulun, chairman of the Exhibition Service Co., Ltd., also said that according to his understanding, although the first half of Dongguan's shoes products

Exit

There is an explosive growth, but it is mainly because European and American customers have sold almost the same amount of stock in the previous period. The order to replenish orders is likely to be a rebound rather than a reversal. The export prices of Dongguan shoes are still falling.


"The shoe market is changing. Europe and America are changing.

market

Relatively saturated, while domestic and emerging markets are growing rapidly, and the ASEAN market has doubled in the last one or two years.

And China's domestic market space is very large, Europe and the United States per capita consumption of 7~8 shoes per year, and China only 2.8~2.9 double, if one year per capita increase, will increase 1 billion 300 million pairs.

Although it is difficult for small and medium-sized enterprises to expand domestic sales channels, it is still important to take this step.

Zhu Yulun said.


In Dongguan, there is a widely known sigh: more than 60% of the world's high-end shoes or shoes are from Dongguan, and light sports shoes account for 1/4 of the world's sports shoes.

However, these enterprises encountered many difficulties when they turned to seize the domestic market.

Dongguan shoe enterprises have been engaged in export sales for a long time. They lack experience in branding operation of domestic brands, and they do not know much about domestic sales channels. Moreover, export brands are not well-known in China, nor are they familiar with mainstream domestic sales channels.

In many enterprises that export to domestic market, weak brand operation ability and weak channel construction are the important obstacles that restrict the pformation of enterprises.


At present, the domestic market has basically been carved up by BELLE, Lining and other domestic brand shoe enterprises. China's export shoe enterprises are turning to domestic sales, not only to face these "strong enemies", but also to encounter fierce offensive launched by foreign brands.

Portuguese shoe brand TATUAGGI enterprise official told reporters that due to the impact of the financial crisis, the European market in recent two years is not booming, so the company began to test the water market in China. Raw materials were imported from Italy and leather shoes made in Portugal. The wholesale price is 30~60 dollars, the price is not expensive, and the appreciation of the renminbi reduces the purchasing cost, which is relatively smooth in the Chinese market.


Qi Yaochang, chairman of Dongguan Yisheng shoe industry Co., Ltd., reflects that when exporting is going out of the container, it is very difficult for a store to sell several pairs and dozens of pairs a day, and the department stores are also very realistic. They do not give the brand cultivation period at all.


Chu Xiuqi, President of the Chinese Department Store Association, said in an interview with reporters that during the process of fieldwork in Dongguan, these export shoes factories had competitive advantages in manufacturing, independent design, research and development, but they were relatively weak in brands and channels.

There is a difference between domestic and international styles, marketing methods and price. These export-oriented shoe companies need to identify the brand positioning and make corresponding adjustments to the production mode. The association is also advocating department store innovation, considering the export of some export oriented enterprises to avoid homogenization competition in the department stores.

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