While Keqiao's fabric market still wrestles with price wars on conventional goods, one set of contrasting figures deserves attention: in the same Dongsheng Road specialty zone, one merchant prices fabrics between RMB 100 and 600 per meter and still sees order growth; another achieves one-hour dispatch after order placement using stock inventory. Behind this lies not luck, but a dual-brand strategy that precisely segments the market.
Transformation Logic: Jumping from Red Sea to Blue Ocean
Qiting Textile started operations in 2013 and registered officially in 2014, initially running a storefront at the East Market focused on school uniform base fabrics, building a stable clientele through strict quality control. But in 2018, as industry competition intensified and margins on conventional fabrics compressed, the company made a pivotal decision: pivot to functional outdoor fabrics on one track, and establish Haoli Textile on the other, targeting high-end business menswear. This shift meant the company no longer relied on a single track, but covered different demand tiers through dual brands, reducing operational risk.
For buyers, this staggered layout offers clearer procurement entry points: outdoor functional fabrics and high-end menswear fabrics are handled by separate storefronts, each serving precise customers. For factories, the dual brands share supply chain resources, lowering development and inventory costs.
Product Differentiation: Premium from Natural Materials and Plant Dyeing
Haoli Textile's product strategy is highly targeted: it uses only natural fibers such as wool, silk, and Lyocell, and replaces chemical dyeing with plant-extracted colorants. This process not only aligns with environmental trends but also creates a technical barrier—plant dyeing is demanding in terms of temperature, time, and mordants, and not every factory can achieve stable mass production. Premium materials and special processes support the RMB 100–600 per meter price range, effectively avoiding low-end fabric commoditization.
The industry significance lies in proving that high prices plus high added value are feasible in Keqiao. For small and medium merchants long trapped in cost competition, Haoli's path offers a reference: rather than compressing margins in a red ocean, one can lock in designers and brand clients sensitive to quality through material and process upgrades.
Digital Empowerment: How AI Changes Fabric Matching Efficiency
In traditional fabric trading, customers bringing swatches to find similar fabrics is a frequent scenario, and manual swatch flipping and color card comparison are time-consuming and error-prone. Haoli Textile participated in the AI-Bu mini-program, digitizing core fabrics such as waffle knit, health knit, double-faced jersey, mesh, air layer, and pique, enabling one-click matching of identical or similar fabrics. This tool is especially valuable for high-end business: menswear designers and brand buyers have strict requirements on pattern and hand feel, and fast, accurate matching significantly enhances service experience.
Deeper impact is that digitalization reduces the cost of remote collaboration. Overseas clients can search fabrics without visiting in person, opening new possibilities for small and medium merchants to expand abroad. The AI-Bu experience center under construction at Dongsheng Road, equipped with intelligent body scanning, 3D virtual fitting, fabric visualization, and garment simulation, will further integrate online and offline displays, shifting fabric procurement from sample viewing to immersive experience.
Supply Chain Synergy: Balancing Quick Response and Customization
Haoli Textile leverages its integrated factory and shared 15,000-square-meter warehouse, adopting both stock and custom order models. Stock supports small-batch urgent orders; custom orders are delivered in 3–10 days, with the fastest dispatch in one hour. This quick response stems from mature supply chain management and capacity expansion from Italian imported napping machines.
For buyers, this means both emergency replenishment and customization are possible; for factories, the combination of stock and custom optimizes inventory turnover and reduces capital occupation. Notably, exported fabrics meet EU-standard fluorine-free environmental requirements, clearing compliance barriers for European and American markets.
Channel Synergy: Two-Way Traffic between Domestic and Export
The dual brands do not operate in isolation; they share customer resources. Qiting has long cooperated with brands like Jodoll, Xiaobeibei, Yingqi, Macedonia, and Xiaozhubanna, and these resources can be channeled to Haoli to help open high-end menswear accounts. Meanwhile, export channels in Europe and the US further expand market reach. This synergy has shown results two years after the transformation—last year's overall performance improved notably, and this year's order growth remains optimistic.