Monthly Archives: December 2017

  • Ugly Christmas Sweaters and the U.S. Textile Industry

    Examining the growing ugly Christmas sweater market for SMEs and entrepreneurs on National Ugly Christmas Sweater Day, and the importance of the U.S. textile industry.

     

    CERRITOS, California- December 15, 2017- Since 2011 the U.S. has celebrated National Ugly Christmas Sweater Day on every third Friday of December to commemorate eccentric, gaudy, or vintage sweaters for Christmas and winter Holidays.  Two decades after these sweaters originally became popular in the 1980s, the once small ugly Christmas sweater market now generates millions of dollars year round.

    Toolots employees in their ugly Christmas sweaters.

    Ugly Christmas sweaters and related products can be categorized in the U.S. textile industry.  According to the National Council of Textile Organizations (NCTO), the U.S. textile industry collectively comprises “…yarn and fabric manufacturers, suppliers in the cotton, wool, and man-made fiber sectors, dyers, printers, and finishers, the machinery and textile chemical industries, [and] customers in the U.S. apparel industry.”  As the leader in textile R&D globally, the U.S. has increased productivity of its textile mills by roughly 52% since 2000 and had $74.4 billion in shipment value in 2016.  Aside from creating ugly holiday sweaters, the U.S. textile industry is also responsible for manufacturing and producing advanced fiber products such as antimicrobial fibers, recycled polyester fibers, fire-retardant fibers, and more.  Additionally, the U.S. textile industry provides U.S. Armed Forces with over 8,000 textile products including, but not limited to, uniforms, ship composites, ropes and cables, ammunition pouches, and parachutes.  Furthermore, the NCTO reports that the volume of items provided to the military can vary depending on activity and engagement, and most recently has ranged between $1.8 billion to more than $2.2 billion.

    Source: U.S. Bureau of Statistics Textile, Apparel, and Furnishings Workers (51-6099)

    Following severe imports during the 1990s, a significant number of the U.S. textile and apparel industry’s annual profit currently derives from holiday shopping at the end of the year.  Data collected by the U.S. Census Bureau for the 2016 Holiday Season found that 21.8% of Clothing Stores’ annual profit came from holiday sales completed in November and December alone.  Similarly, holiday sales were roughly 23.7% of Department Stores’ annual profit, and 22.5% respectively for Discount Department Stores in 2016.

    For SMEs in the ugly Christmas sweater business, a seasonal hobby that may have made them several hundred or several thousand dollars now has the potential to generate millions of dollars in profits.  Despite major retailers and fashion designers entering into the market, SMEs and entrepreneurs generate a significant amount of revenue by using e-commerce stores to sell their vintage, licensed, or customized sweaters.  For example, the Ugly Christmas Sweater Kit saw a sales increase of 1,000% just in 2013, the UglyChristmasSweater.com made $4.8 million in 2015, and the Tipsy Elves increased their revenue to $14 million last year from initial sales of roughly $900,000 in 2013.

     

    About Toolots

    Toolots, headquartered in Cerritos, California, offers an online marketplace and international distribution channel for factory-direct industrial tools, machinery, and manufacturing technology. Our user-friendly platform provides fast, easy access to high-quality, affordable equipment for manufacturers. More than a simple distribution channel, Toolots provides comprehensive services for companies around the world who produce the industrial machinery and equipment we sell, helping streamline the marketing, omni-channel sales, warehousing, fulfillment and after-sales service. On the customer end, Toolots simplifies the purchase, delivery, installation and warranty of industrial technology, machinery and components, and upholds product quality through a vetted network of vendors and service technicians. The company’s dedication to fostering international trade relations passes on cost savings to the consumer, contributes to reduced downtime, improves productivity and expands a manufacturer’s reach. Toolots has strategically located warehouses, showrooms, and offices across the United States, China and as of May 2017, has expanded into Taiwan. For more information visit us online at www.toolots.com.

    ###

     

  • Toolots Hosts Textile Executives to Discuss Global Manufacturing

    Toolots CEO Jason Fu (right) with Vice CEO XiaoLiong Li (left).

    Toolots recently hosted executives from the China Hi-Tech Group Corporation, a Chinese textile manufacturing company, for in depth talks regarding global manufacturing and trade.

    CERRITOS, California- December 5, 2017- Toolots, an online platform and marketplace for factory-direct industrial tools, machinery, and supply, hosted esteemed guests from the China Hi-Tech Group Corporation (CHTC) on November 29th.  The purpose of their visit was to discuss international trade, the textile industry, and how Toolots’ innovative business model can streamline global e-commerce.

    According to the National Council of Textile Organizations (NCTO) the U.S. textile industry employed over half a million workers, and had an overall value of $74.4 billion in shipments in 2016.  The same year, the U.S. exported roughly $26.3 billion and globally was the forth largest exporter of textile products.   Of these countries, China was the third largest export market for the U.S. totaling $1.8 billion, including Macau and Hong Kong.  China Energy Group, the Energy Analysis and Environmental Impacts Division of the U.S. Department of Energy, found China supplies the world with 40% of its textile and clothing products, therefore ranking it as the #1 exporter of textiles in the world.  Furthermore, with over 24,000 enterprises in China operating in textile and apparel manufacturing and supply, the textile industry is the largest manufacturing industry in the country.

    Toolots and CHTC Executives examine products from Toolots' showroom in Cerritos, CA.

    One of the largest textile enterprises in China is the CHTC which employs over 60,000 workers, has 23 direct subsidiaries, operates in 20 provinces in China, and has additional offices in over 20 countries and regions.  Founded in 1998 under supervision of the State-Owned Assets Supervision and Administration Commission of the State Council (SASAC), the CHTC focuses on the production of textile machinery, commercial vehicles, and textile materials and trade.  As one of the company’s six business units, CHTC’s fiber material subdivision is currently focusing on the development of high-tech, environmentally friendly fibers to be used in a variety of industries.

    Toolots Executives give CHTC executives a tour of their headquarters and warehouse.

    CHTC’s meeting with Toolots first began with a tour of their Cerritos headquarters, including the company’s 128,000 square foot warehouse, showroom, and office.  With over 17 years of experience in industry supply through sister company Bolton Tools, Toolots CEO and Founder Jason Fu discussed the company’s desire strives to promote cross-border e-commerce between the U.S. and China.  As one component of the business model, Fu explained, Toolots helps U.S. manufacturing companies establish a brand in China while also helping Chinese manufacturers create a brand in the U.S. as well.  An example of this can be found in Himalia, the legally registered U.S. entity of Haida, which created a brand of plastic injection molding machines tailored to fit U.S. manufacturers’ technical specifications and needs.

    Toolots and CHTC during their open discussions regarding global commerce and the textile industry.

    CHTC and Toolots executives then began open discussions regarding the state of global manufacturing, and the possibility for future partnerships to improve global commerce. Fu discussed how digital marketing, social media, and email marketing strategies can be used in the global manufacturing community to increase brand awareness and drive sales for manufacturing companies.  He explained that smaller manufacturing companies often are used to traditional sales through word of mouth or brick and mortar establishments.  Conversely, SMEs familiar with digital marketing often don’t have the budget for it after paying overheard costs.  Fu then highlighted several components of Toolots’ comprehensive services like adwords, advertising, and YuuTool, that make the company unique and offer partnered SMEs access to affordable solutions.

     

    About Toolots

    Toolots, headquartered in Cerritos, California, offers an online marketplace and international distribution channel for factory-direct industrial tools, machinery, and manufacturing technology. Our user-friendly platform provides fast, easy access to high-quality, affordable equipment for manufacturers. More than a simple distribution channel, Toolots provides comprehensive services for companies around the world who produce the industrial machinery and equipment we sell, helping streamline the marketing, omni-channel sales, warehousing, fulfillment and after-sales service. On the customer end, Toolots simplifies the purchase, delivery, installation and warranty of industrial technology, machinery and components, and upholds product quality through a vetted network of vendors and service technicians. The company’s dedication to fostering international trade relations passes on cost savings to the consumer, contributes to reduced downtime, improves productivity and expands a manufacturer’s reach. Toolots has strategically located warehouses, showrooms, and offices across the United States, China and as of May 2017, has expanded into Taiwan. For more information visit us online at www.toolots.com.

    ###

2 Item(s)