The loss of clothing retail is a net loss, because the depreciation rate of clothing inventory is high. Clothing retail is most afraid of high inventory and low turnover, especially fashion.
Q 1 online retailing is expected to have a great impact, and it is necessary to wait for the epidemic situation to improve consumption information.
(1) Online retailing in COVID-19 textile and garment industry is expected to have a great impact in the short term. On the other hand, the peak of epidemic fermentation is in the peak season of Spring Festival sales. During the Spring Festival in June and February, the sales of clothing and gold ornaments accounted for a relatively high proportion in the first quarter (the retail sales of clothing and gold ornaments accounted for 18% and 19% respectively in 20 19). On the other hand, the negative impact of the epidemic on the economy exceeds expectations and may bring demand to the industry. Due to the rapid development of domestic e-commerce industry, we believe that the influence of optional consumer industries in this COVID-19 epidemic will be alleviated to some extent. Judging from the optional consumer sub-sectors monopolized by us, the sub-sectors with relatively standardized electrical products such as cosmetics, sportswear and home textiles are less affected by the epidemic, while the sub-sectors with relatively low electrical products such as jewelry and clothing are more affected by the epidemic.
(2) 70% of clothing stores are closed, and the passenger flow drops sharply.
According to the survey, affected by the epidemic, the physical stores of fashion retail enterprises closed down about 70% on average, and the most serious number of closed stores reached 85% of the head office. Reasons for closure: First, most stores closed down at the unified request of local government departments. Second, some enterprises have not been required by the local government to close down, but due to the lack of protective materials, the safety of employees cannot be guaranteed. Third, there is a sharp drop in passenger flow, or there is no passenger flow, so enterprises can't reflect on the rent and labor costs of stores.
(3) Open the wake-up mechanism for regular customers and expand customers through multiple channels.
With the closure of physical stores, a large number of winter and spring clothing stocks need to be digested. Major clothing brands have set up online marketing teams to treat regular customers, use WeChat for online membership professional places and spikes, provide clothing recommendations and live announcements through WeChat platform, and some brands directly use applets.
With the closure of physical stores, a large number of winter and spring clothing stocks need to be digested. Major clothing brands have set up online marketing teams to treat regular customers, use WeChat for online membership professional places and spikes, and provide clothing recommendations and live announcements through WeChat platform. In addition, some brands use the live broadcast plan of applets to settle in Tik Tok and other live broadcast platforms.
Online cargo explosion
Online experience, online contact and omni-channel monopoly are irreversible business trends of retail industry. In order to adapt to the changes of consumers' consumption habits, new retail models are constantly emerging, and the proportion of online sales is increasing. When consumers come into contact with new things such as court models during the epidemic, their consumption psychology will also change after the epidemic. Enterprises must pay attention to change and seek diversified management.