I. Overview of the luggage industry

Luggage is a generic term for bags, luggage and bags, etc., according to the style, function, material and box body of the different kinds, is a necessity in the daily life of residents, with the continued development of the industry, product value, the current domestic mainly in the low-end, high-end product enterprises is the current main trend.

Second, the development of luggage background

In order to reduce foreign exchange loss, increase domestic employment as well as increase GDP and tax revenue, the government introduced relevant policies to guide the return of overseas consumption. In terms of the existing market pattern of luxury goods, Chinese people are the main force of global luxury goods consumption. since 2000, global personal luxury goods sales have continued to grow, China has been growing faster in recent years, accounting for a continuous increase in global share, the proportion of domestic consumption of luxury goods rebounded in 2020, the penetration rate of luxury goods in the mainland has been increasing. Luggage as one of the main categories of luxury goods, with the overall penetration rate of luxury goods, the trend of high-end luggage continues to promote.

Third, the current situation of luggage industry

1、Sales revenue

In terms of China's luggage sales revenue changes, people's living standards continue to turn better superimposed on the prevalence of consumer staples, luxury goods demand substantial growth, Southeast Asia luggage products to enhance competitiveness, resulting in domestic luggage export demand continues to decline while imports continue to grow, coupled with the background of the epidemic, domestic consumption momentum decline, Chinese luggage enterprises sales revenue continued to decline, 2021 rebound is less than expected, only 133.03 billion yuan, in 2022, the first half of the overall sales revenue is slightly lower, compared with the same period in 2021, a small increase of 57.85 billion yuan.

2、Total profit

In terms of changes in China's luggage above-scale total profit, with the obvious trend of declining revenue, total profit in recent years the overall performance of the gradual decline in the posture of 2018 fell significantly, after a small increase in 2019, the impact of the epidemic in 2020 export profits fell significantly, 2021 exports turned out to be good, but the overall domestic demand rebound is limited, total profit growth is less than expected, the data show that 2021 China's enterprises above the size of the total profit of 5.91 billion yuan of bags.

3, Turnover and the number of booths

In terms of China's luggage turnover and the number of stalls changes, the Bureau of Statistics data show that in 2018-2019 China's luggage turnover and the number of stalls appeared to rise significantly, the epidemic in 2020 against the background of the decline in demand, turnover amounted to 23.997 billion yuan, the number of stalls fell to 10,081.

4、Import and export amount

With regard to the changes in the import and export amount of Chinese bags, China is one of the world's largest exporters of bags, the export amount is much larger than the import amount, with the overall domestic per capita consumption ability to improve, luxury bags and other consumption continues to grow, the import amount continues to grow, on the contrary, before 2020 China's bags exports overall performance for a sustained downward trend, mainly because with the rise in domestic manufacturing labor costs, the overall price of bags By the low-end gradually towards the middle and high-end, Southeast Asia and other countries low-end products continue to strengthen the competitiveness, combined with the impact of the epidemic in 2020, China's luggage exports fell significantly, with the global epidemic repeated in 2021, China's exports rebounded significantly and obviously, for 27.856 billion U.S. dollars, reaching a new high in 2016.

5, export destinations

In terms of China's luggage export destinations, the United States, Japan, Korea, Britain and Germany and other developed countries are the main sources of demand, according to the General Administration of Customs data show that in 2021, China's exports of luggage 27.856 billion U.S. dollars, the United States, Japan and South Korea ranked in the top three, a comprehensive share of 32.2%, respectively, imported from China 5.475 billion U.S. dollars, 2.251 billion U.S. dollars and 12.41 U.S. dollars, accounting for the amount of China's exports 19.7%, 8.1% and 4.5%.

V. Competitive pattern of luggage enterprises

1、Market concentration

In terms of China's luggage industry pattern, China's luggage industry is seriously divided into two levels, domestic brands occupy the low-end market, high-end products mainly international enterprises occupy, demand continues to decline slightly in the background of the domestic low-end luggage enterprise market competition intensified, the concentration continues to rise, the data show that as of 2021 China's luggage above-scale enterprises only 1417, down 181 compared to 2018. 2020 luggage retail market concentration, CR3/CR5/ CR10 respectively year-on-year increase of 4.8pct/5.5pct/6pct to 15.3%/19.6%/26.7% on the main brands, China's luggage industry belongs to the ant market, the competitive pattern is highly fragmented, the head brand all high-end brands, and mainly for the global luxury brands occupy the main market In the middle and low-end market, there is no well-known brand with the ability to harvest share, with the continued integration of domestic luggage enterprises, the future is expected to appear high-end head brand.

2、LV and Gucci

lv, is one of the brands of LVMH Group, Gucci parent company is Kering Group, as the demand for luxury goods continues to rise, the two companies continue to improve global revenue, especially the LVMH Group, revenue continued to improve the background, the domestic share of the proportion of faster, the data show that the domestic market accounted for 39% in 2021.

V. Analysis of the overall impact of the luggage industry chain

1、Bag industry chain sketch

In terms of China's luggage industry chain, as the world's largest industry-complete industrial chain countries, upstream raw and auxiliary material manufacturers, luggage manufacturers and midstream retail luggage brands have occupied the world's major markets, is the world's largest luggage exports and production countries, but the low end still occupies the main market, high-end brand development is limited by late, the brand effect to be enhanced, the market concentration continues to improve superimposed on the future with the combination of their own manufacturing advantages Create high-end brand is the key to the sustainable development of China's luggage industry.

2, The main upstream raw materials

At present, the main domestic bags are still mainly leather, data show that China leather production supply stable, the overall performance of slow decline trend, since 2016 China leather demand market gradually saturated, the overall sales revenue grew year by year, 2020 public health events under the sales revenue dropped significantly, 2021 reached 5.97 billion square meters, compared with 2020 growth of 4%.

VI, bags development trend

1, Online trends

Online wave push, live e-commerce to thicken the performance. Affected by the epidemic in 2020, luggage online to enhance the retail sales of online luggage 38.532 billion yuan in 2020, an increase of 50% year-on-year, online penetration to 17.5%, an increase of 4.9 pct.

2, Per capita is still low

China's per capita consumption of bags is far below that of developed countries, and there is huge room for improvement. Although the total size of China's luggage market has exceeded the United States, but China's per capita consumption of luggage still has a big gap with developed countries, China's per capita consumption of luggage is about 161.9 yuan, while the United States and Japan's per capita consumption of luggage were 699.6 and 570.7 yuan, respectively, 4.3 and 3.5 times for China. Therefore, from the perspective of per capita consumption of bags, China still has a lot of room for improvement.