The Cost Is Up &Nbsp; The Shoe And Clothing Market Is Booming.

August 25th, "now raw materials have gone up badly, raw materials at home and abroad are rising, clothing costs are also rising, which is a thorny problem."

Recently, Shenzhen

Reporters learned yesterday that in order to ease the cost pressure, this year many domestic

Footwear brand collective "raise price"

Rising prices have become the mainstream of this year's clothing industry.

Yesterday, a reporter looked at the latest earnings and quarterly reports of several listed companies, and found that a number of clothing brands were making up the price this year.

In the field of sportswear, XTEP (01368.HK) announced semi annual report yesterday that the average selling price of footwear products increased by 6.6%, and the average selling price of clothing products increased by 13.9%.

After the price increase, the average selling price of XTEP footwear products was 85.7 yuan, and the average selling price of clothing products was 52.5 yuan.

The other two brands, Lining and Anta (02020.HK), also raised their prices in the first half of this year: among them, Anta reported that in the first half of this year, the average selling price (wholesale price) of Anta footwear increased by 2% to 96.9 yuan, and the price of clothing products increased by 7.1% to RMB 49.6 yuan.

Li Ning Co also announced in June this year that the average retail price of footwear products increased by 7.8% in the fourth quarter of this year, and the retail price of clothing products increased by 17.9%.

In the field of casual wear, Haitong Securities (9.91, -0.03, -0.30%) research data also show that YOUNGOR (12.79, -0.17, -1.31%) launched new products in 1-5 months this year, the average price increased 15-16%, resulting in its clothing sales increased 4-5%, sales volume increased by 20%, gross profit 50%.

"Price increase" provides protection for the major garment enterprises to maintain their performance.

XTEP said its overall revenue rose 22% to 2 billion yuan in the first half of the year, 2.1 percentage point to 40.7% in gross profit margin and 2.4 percentage point to 22.2% in sales in the first half of the year.

Anta semi annual report also showed that the company's turnover increased by 22.6% to 3 billion 453 million yuan in the first half of the year, net profit rose 25% to RMB 760 million, gross margin increased 2.2% to 43.7%.

Soaring costs push enterprises to raise prices and reduce pressure

Behind this year's collective price increases in the garment industry is a substantial increase in raw material and labor costs.

A few days ago, Chen Lingmei, chairman of Shenzhen winner Clothing Co., Ltd., in an interview with our reporter, pointed out that the labor cost and fabric cost of the company have increased sharply this year, and the pressure has suddenly increased.

"Just got a raise again, on average, every worker adds 200 yuan a month, now the workers' monthly salary is basically more than 2000 yuan, and still needs to eat and lodge."

Chen Lingmei said that if such a level is not reached, it is difficult to retain skilled workers in Shenzhen.

On the other hand, the price of raw materials has gone up very badly. "The price of imported fabrics has increased by more than 30% this year".

Other garment enterprises are also troubled.

According to XTEP semi annual report, staff costs increased from 81 million 318 thousand yuan in the same period last year to 95 million 345 thousand yuan, an increase of 17.2% over the same period last year. The cost of raw material sales was 537 million yuan, an increase of 18.7% over the same period last year.

Anta spent 287 million 200 thousand yuan on raw materials in the first half of this year, an increase of 51.6% over the same period last year, and a direct wage expenditure of 144 million 900 thousand yuan, an increase of 20.6% over the same period last year.

Insiders pointed out that in addition to the above cost pressures increased, some fashion, fashion brand advertising marketing, publicity costs are also growing.

In addition to the means of raising prices, some enterprises have expressed the pressure to digest high-end brands.

Chen Lingmei, chairman of Shenzhen winner Clothing Co., Ltd., said that the brand clothing of the company was sold for about 5000 yuan, and some dresses even sold to 10000 yuan.

It is reported that the sales target set up by the company increased by 42% this year, which has been completed according to the original plan in the first half of the year.

Some people in the industry suggest that the best way to reduce the pressure of garment enterprises is to adjust the product structure.