China's fast fashion industry and consumers have quite different perceptions in recent years. The industry thinks that there are many problems in China's fast fashion, and they are facing a historic mode switch. However, consumers are more and more fond of buying fast fashion brands and feel that the fast fashion experience is getting better and better.
This is indeed the "double track" development of China's fast fashion industry. On the one hand, a large number of fast fashion brands have been developing rapidly with the help of e-commerce platforms represented by Taobao, and even the double resistance (industrial cycle + social cycle) risk capability demonstrated during this year's epidemic is also superior. On the other hand, we also see that UNIQLO, Zara, H & M, gap and other brands that Chinese people are familiar with are facing different problems, either the parent company is losing money or the physical stores are closing.
The epidemic situation is making these fast fashion brands, which have been active in the world for more than 20 years, to bid farewell to their historical stage.
Saying goodbye to the stage of history sounds a little heavy. But it's not surprising to know that the decline of these brands has been going on for a long time. In the first quarter of 2020, the sales of INDITEX group, the parent company of Zara, decreased by 44% year-on-year, and planned to close 1200 stores this year and next; UNIQLO lost 9.818 billion yen in Q3 of fiscal year 2020; H & M closed 3778 global stores in March, with a sharp drop of 46%; lashabel has closed 4400 physical stores in 2019 In short, the actual situation is worse than people think.
There was also a long-term industry wide sensation. In early September 2017, H & M Beijing Xidan Joy City store officially closed. Located at the entrance of the northern end of Xidan Joy City, Xidan landmark shop once occupied three floors of gold shops from the first floor to the second floor, and will never belong to H & M. You can no longer drain for me (commercial real estate), and I will no longer let you rent. Now in H & M stores in China, you can even find the feeling of Beijing dynamic batch, Shanghai Qipu road and Hangzhou Sijiqing. The number of shop assistants is almost like a no man's shop, and there are eye-catching signs of discount and clearance.
In the foreseeable years, it is unlikely that the scene that fast fashion brands once occupied the eye-catching shops in shopping centers all over the country is unlikely to reappear. Even other brands of physical stores, the performance development is quite embarrassing.
Clothing and home appliances are the first department stores (representing soft 100 and hard 100 respectively), and physical clothing and home appliance stores are also facing the most serious impact. In recent years, there are more shop assistants than customers, especially clothing and household appliances. Coincidentally, these two categories are also the best category operation positions of e-commerce.
We also see a very contrast picture: the fast fashion industry in China has developed to the peak in history. Among them, the total retail sales volume of e-commerce exceeds 2.5 trillion yuan in 2019. The scale of brand sales and e-commerce fast fashion brand sales, showing an obvious inverse growth. The penetration rate of fast fashion clothing in urban consumers is probably the highest in history. The whole clothing industry also presents a high degree of differentiation, a large number of popular average personalized demand. There is a perfect value match between supply and demand: brands do not need to be put into production in large scale to reduce costs, and consumers can also get more "hot money" without duplicate samples.
Where are these fast fashions? They're on Taobao.
Fast soul of fashion
The strong position of Taobao fast fashion in the structural change of China's clothing industry is not caused by simple consumption trend changes. It is the value acquisition of the fast fashion clothing industry facing the essence: efficient production relationship and extreme supply-demand relationship, which brings about the industrial chain reform.
If divided from the industrial attribute of brands, all clothing stores on Taobao platform can be understood as fast fashion brands (big brands in tmall). Fast fashion brand and Taobao have mutual incentive effect. Fast fashion brands are naturally suitable for sale in Taobao, and the platform mechanism of Taobao is naturally suitable for the entrepreneurial development of fast fashion brands.
The reason why Taobao has the ability to change the industrial chain also comes from the fact that Taobao has grasped the soul of fast fashion and the meta condition of industrial chain: everything should be fast, especially at the level of supply chain.
This fast, even the same traditional fast fashion brand, subverted the fundamental conditions of the traditional clothing industry before.
Fast fashion, fast fashion The value of fast fashion is fast. The whole industry structure can be subverted. Through the rapid design and rapid production of these new brands, we can learn from the rapid supply of new brands. It makes the traditional clothing industry's Cross season ordering cycle, the slow pace of separation of zero and supply, and the industry chain relationship of virtual high price, which is useless.
Zara (Standard Spanish pronunciation: Sala), a famous Spanish brand, is able to rise in the word "fast" and achieve global acme. At one time, Zara was also a globally recognized synonym for fast fashion.
Zara and UNIQLO, the two most famous fast fashion brands in the past, are also the two richest brands in their countries. Visible fast fashion in the past, how strong the commercial effect.
The retail boss's internal reference once wrote that the standard of food, clothing, clothing and transportation enjoyed by the general income group in beishangguang has far exceeded the upper class social standard of 100 years ago. We sincerely praise the greatest charm of modern commerce: through the dual transformation of technology and collaborative mechanism of the industrial chain, the once high-end upper class life will gradually be transferred to the mass market. The rise of fast fashion is also the product of the times when the top fashion trend is gradually popularized under the industrial chain reform.
Here we need to redraw the first key point: the overall trend of the clothing industry is the gradual popularization of high-end value.
Clothing is a kind of commodity, sometimes it is quite split. It has absolute brand attribute and de brand characteristic. Brand is not only the biggest value concentration point of some clothing enterprises, but also the commodity condition that some clothing sellers can easily obtain.
Any commodity is in the five fixed value elements of price, quality, design, function superiority and scene adaptability. According to the characteristics of the category and the value stratification of the current industrial environment, different elements are focused and combined to form their own commodity value.
In recent years, people have been rushing to buy Maotai liquor, which is a typical brand with super first-class quality and function, which makes the scene more and more adaptable, and many people want to buy it. On the other hand, Maotai's passive or active sacrifice is the price factor, as well as its ugly shouting mother, ugly chic bottle design. Liquor quality can not be sacrificed, otherwise this kind of drink into the stomach of things will be finished.
The design, quality and adaptability of iPhone are also super first-class, which leads to its low price and huge living space for domestic mobile phone manufacturers. As Huawei's mobile phones step by step in terms of functions, the brand value of iPhone is naturally diluted. Mobile phone can not sacrifice function, especially basic function, otherwise it will not be called mobile phone.
The second is Starbucks' products. This determines that the scene adaptability brought about by the store experience of Starbucks must be the biggest product or product element of Starbucks brand. The design elements are all embodied in the store level of the first product. The coffee drinks that consumers pay for directly are essentially qualified products with moderate quality, function and price. Starbucks can not sacrifice the scene. If it is not for the coffee scene of home or office, there will not be such a strong market demand for takeaway coffee.
Here we need to redraw the second key point: the category characteristics determined by the commodity elements contained in clothing lies in that it can have the five major elements of commodities in a clothing and a brand; and the five elements can be independently divided into a subdivision category, a brand and meet a group of people.
To be exact, it is Taobao that makes clothing the five major elements of this commodity, which can separate the value of a subdivision or a single market.
Let's take T-shirts, the most common clothing in the current summer. On Taobao, there are T-shirts from more than 1000 yuan to less than 20 yuan. Various styles, tailoring, fabrics, scene theme, quality, printing Everything. To exaggerate, how many stars there are in the sky, Taobao has many T-shirts that are not heavy.
In extreme cases, you can find a large number of T-shirts with single piece less than 20 yuan in Taobao. The quality is good, and it won't fade after washing. There are many kinds of printing styles and styles. You spend 400 yuan for yourself to make 20 T-shirts that are not heavy like this summer. If you wear them, they are all fashionable men's styles! This method, girls use to buy Skirts is the same.
You taste, you taste.
Come on, let's have a careful look. Below 20 yuan / piece, indicating that price is the biggest commodity element of this kind of T-shirt. But it's a coincidence that the quality is good, the function of the man changes from second to second, the scene throughout the summer, and the printing design without duplication, all of which have five elements.
Why? Because this is Taobao from the design to the sale of integration of fast fashion platform, it is easy to do the conventional ability.
Here we need to redraw the third key point: Taobao's difference lies in Taobao's fast fashion: faster (turnover), more zero (segmentation).
At present, the number of clothing merchants on Taobao platform is one million, including 30000 IFashion businesses (i.e. fashion stores with good word-of-mouth sales).
Naturally, there is a certain threshold to be selected for Taobao IFashion. For example, original picture introduction, clear commodity style, unique store positioning. And there are also rare styles (usually original ones). According to the average speed of Taobao, these businesses put on at least 1.2 million new styles each month. Any European and American fast fashion giant pull out, one can play none.
30000 IFashion businesses have determined the core competitiveness of Taobao fast fashion.
Taobao is more subdivided and faster
The essential innovation of clothing is not at the technical level. Today's top suit is not necessarily different from the craftsmanship of 100 years ago. The innovation of clothing is mainly the innovation of industrial chain. Taobao's absolute leadership in fast fashion is also the advancement of the industry chain. The innovation of clothing products is naturally suitable for mass SKU innovation. With absolute diversification, it brings more intelligent personalization. A small improvement, a new color, a superposition function, is a new hit. Taobao's fast fashion value is to transform the platform's ability into the business's innovation in commodity and operation.
One is faster, the other is more subdivided and solves all problems. Behind Taobao's fast fashion stores, it is a comprehensive docking of China's largest clothing manufacturing industry. A new popular element appears, Taobao's fast fashion sellers can design, proofing, mass manufacturing and express delivery, achieving the ultimate in 3-7 days. I believe that many people have long been familiar with a phenomenon: whenever there is a hot online hot event on social media, Taobao sellers can put the same clothes on the shelves within half an hour. I'm shocked. I'm stunned.
Under normal circumstances, IFashion merchants keep updating 2-3 times a month, about 20 items at a time. That is to say, the high-frequency online shopping of nearly 60 items a month has made Taobao a high-frequency re purchase experience.
To exaggerate a little, it is Taobao fast fashion that makes clothing such as quasi durable goods become a quasi FMCG. And pull out a kind of high turnover, high exchange, super affordable industry business.
All elements are in line with the development needs of the clothing industry, especially the fast fashion industry.
That is to say, when Taobao aggregates the manufacturing capacity of the upstream industrial belt and gathers a large number of users to fast fashion, the fast fashion industry in line with the evolution trend of the clothing industry, in turn, changes the fundamental changes on the demand side.
The user side needs to have the five major elements of goods, but also take into account the ultra-high personalized purchase needs, in Taobao's Cross fashion platform mechanism, to be thoroughly met and released.
In addition, the upstream enterprises will be able to fully satisfy the demand of various industries in terms of design and manufacturing.
A significant sign is that after the above-mentioned commercial elements have been fully aggregated, even the design elements that are difficult to break through in the traditional clothing industry have been fully strengthened. More and more designers with excellent design ability begin to enrich the original design elements of the whole platform in Taobao, as well as the accompanying characteristic brands and shops. With the prosperity of the industry, design, which has a high threshold for talents, naturally brings together top talents. In other words, Taobao has made the most difficult design ability of clothing popular.
Ms. Wan and Mr. Wan, the founder of Ruishi, the top class IFashion brand of Taobao, both graduated from Shanghai Donghua University (formerly known as China Textile University), one of China's top Textile Universities. Naturally, the couple used to work in well-known clothing enterprises, but now, they have been working in Taobao for six years, and have Ruishi brand store with annual sales of 170 million. Distinctive style, high-frequency on the new, high-quality quality, belong to Ruishi. In 2014, when the general people were not optimistic, Taobao rose from zero. At that time, Taobao was the only place where she could start from scratch.
Zeng Siyu, the red man shopkeeper of Mao Damao, a woman's clothing brand on Taobao, and a post-90s generation under 30 years old, started his own business in Taobao wholesale and retail with his 3000 yuan tuition (purchased from Alibaba 1688 platform). She is on the new twice a month, with an average of more than 20 styles each time. With high turnover and circulation, she continuously controls the trend and changes the style quickly to create a typical IFashion shop with annual sales of 50 million. They are all beneficiaries of the comprehensive elements of Taobao platform, and the prosperity of merchants and commodities generated by these commercial elements further strengthens the comprehensive experience value of fast fashion on the user side in Taobao, and brings about continuous transaction prosperity. Whether it's shopping or not, or I still want to buy it.
Especially those who want to shop around. Taobao thousands of people, thousands of faces, guess you like, good goods recommendation, not to let you can't find, but to let you see. Taobao buyers show and micro Taobao, the flow of amazing product modules, how to see how to be grass. And this year's super commercial phenomenon, live broadcast with goods, short video Taobao's content ecology, fast fashion category especially reflects the prosperity and diversity.
This set of industrial upstream and downstream relations driven by the platform; the faster and more subdivided supply-demand relationship aggregated by the platform brings a conclusion that China's fast fashion is all in Taobao.
What is the lack of individuation, what is the virtual high price, what China has no design, what store cost pressure, these are perplexing the traditional clothing industry, and even the industrial problems of most of today's traditional fast fashion brands. Taobao is the only option to solve the problem from the perspective of industrial chain upgrading.
Traditional fast fashion is not only in China, but also in the whole world. Not fast enough is the fundamental reason that leads them to say goodbye to an era or deviate from the "fast fashion" of their shoulders.
Traditional clothing brands are most afraid of two things: the first is the increase in operating costs of physical stores, and the second is that the inventory is overstocked.
In fact, the store mode of traditional clothing category is also borrowed from big brand clothing by fast fashion, which brings out the industry trend. This kind of business that centers all commercial elements around store design determines that fast fashion can not stand firm for too long on the five major elements of clothing.
The store has cost, the store should guide the purchase of strong service, the sales mode is outdated, and the price is still unreasonably high. Those who have sold clothes all know how much profit margin of clothing is. Otherwise, when stores change seasons, there are so many discounts and clearance. The front end of sales is in the store, which means the supply chain efficiency and inventory turnover. It is not only restricted by the large amount of profit, but also easy to cause inventory which is not easy to reduce.
Clothing is not fresh, there is no sensitive shelf life of commodity quality. However, the clothing industry is too afraid of inventory. Inventory deviates from the new value and financial cycle law, so serious that it can pull an enterprise to the life and death line in a short time. Take a look at Li Ning after the 2008 Olympic Games, and the Hailan home, which only plans to "let you visit twice" a year (the inventory backlog and loss rate in the last three years are astonishing), and the lessons are profound.
Strictly speaking, today's transformation of UNIQLO comes from the influence of Taobao's largest fast fashion trend in China. We can't say that UNIQLO has been directly affected by Taobao, but today UNIQLO has begun to focus on the clothing function (no ironing, quick drying, light and thin heat, etc.), joint brand design and store display, which can indeed find many corresponding places with Taobao fast fashion.
Today's super industry + platform advantage of Taobao fast fashion belongs to the spillover of Taobao's capability as an industry and entrepreneurial infrastructure platform.
However, looking at the fast fashion categories and a large number of young people born in 1995 in this platform, they can still continue to play the vitality of innovation and entrepreneurship, and this kind of ability spillover is especially good.