China Children's Wear Industry Report, 2014

NEW YORK, Sept. 30, 2014 — (PRNewswire) — Since 2013, China children's wear industry has developed with the following characteristics:

First, the children's wear market segments have continued to grow rapidly;

Despite the sluggish apparel industry, China children's wear industry has bucked the trend and maintained growth. In 2013, the Chinese children's wear market size grew by 9.92% year on year to RMB116.4 billion, and recorded a CAGR of 11.14% in 2009-2013. The ascending population of children (China has more than 260 million children aged 0-16, coupled with a baby boom that the people aged 23-33 give birth) and the release of the two-child fertility policy for couples where either the husband or the wife is from a single child family in November 2013 have promoted the continuous development of China children's wear industry.

Second, China children's wear industry is still in its infancy, with a low industry concentration degree;

Although the market size keeps expanding, China children's wear industry is still in its infancy with a low industry concentration degree. In 2013, the CR4 of Chinese children's wear brands was only 5% and CR10 8%, much lower than the U.S.'s CR4 25% and CR10 35%, Japan's CR4 18% and CR10 26%, as well as the UK's CR4 23% and CR10 30%.

Third, the domestic and international clothing brands accelerate the layout in children's wear field.

In recent years, major brands have entered the children's wear market. Metersbonwe launched "MooMoo" in 2012; Toread and Paclantic unveiled the cooperative "Toread Kids" in 2013; Semir released "mongdodo" in 2014. In addition, combing with the two-child fertility policy, numerous brands such as Semir and Uniqlo have launched MINI series for infants and young children.

The local enterprise Semir has a relatively perfect layout in the field of children's apparel. The company focuses on casual wear and children's clothing, especially the latter which contributes an ascending proportion to the total revenue -- from 16.70% in 2008 to 35.12% in 2013, as a main driving force. In 2014, Semir proposes a goal that it intends to transform from a provider of children's products to an integrated service provider of the children's industry. In this case, it not only explores brands "Mini Balabala" and "Mongdodo", but also acquires the operation rights of education brands FasTracKids and FasTracEnglish under Everlearn International Group (Shanghai). In the future, the company will extend the industrial chain to animation, children's games and other fields.
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