NAICS Code 313310-36 - Velvets & Velveteens (Wholesale) (Manufacturing)

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NAICS Code 313310-36 Description (8-Digit)

Velvets and velveteens are luxurious fabrics that are known for their soft and plush texture. This industry involves the wholesale and manufacturing of these fabrics, which are often used in high-end fashion, upholstery, and home decor. The process of creating velvets and velveteens involves weaving a base fabric and then cutting the loops on the surface of the fabric to create a pile. The pile is then sheared to create an even surface and enhance the softness of the fabric. Velvets and velveteens can be made from a variety of fibers, including silk, cotton, and synthetic materials.

Hierarchy Navigation for NAICS Code 313310-36

Tools

Tools commonly used in the Velvets & Velveteens (Wholesale) (Manufacturing) industry for day-to-day tasks and operations.

  • Velvet looms
  • Pile cutters
  • Shearing machines
  • Warping machines
  • Beaming machines
  • Jacquard machines
  • Dyeing equipment
  • Inspection machines
  • Cutting tables
  • Sewing machines
  • Embroidery machines
  • Steamers
  • Pressing machines
  • Packing machines
  • Computer-aided design software

Industry Examples of Velvets & Velveteens (Wholesale) (Manufacturing)

Common products and services typical of NAICS Code 313310-36, illustrating the main business activities and contributions to the market.

  • Upholstery fabrics
  • Fashion fabrics
  • Home decor fabrics
  • Costume fabrics
  • Theater fabrics
  • Automotive fabrics
  • Velvet ribbons
  • Velvet trimmings
  • Velvet accessories
  • Velvet linings

Certifications, Compliance and Licenses for NAICS Code 313310-36 - Velvets & Velveteens (Wholesale) (Manufacturing)

The specific certifications, permits, licenses, and regulatory compliance requirements within the United States for this industry.

  • Oeko-Tex Standard 100: This certification ensures that the textiles produced do not contain harmful substances and are safe for human use. It is issued by the International Association for Research and Testing in the Field of Textile Ecology (Oeko-Tex).
  • Global Organic Textile Standard (GOTS): This certification ensures that the textiles produced are made from organic fibers and meet environmental and social criteria. It is issued by the Global Organic Textile Standard International Working Group.
  • Textile Exchange: This certification ensures that the textiles produced meet environmental and social criteria. It is issued by the Textile Exchange.
  • Better Cotton Initiative (BCI): This certification ensures that the cotton used in the textiles produced is grown in a sustainable manner and meets environmental and social criteria. It is issued by the Better Cotton Initiative.
  • Forest Stewardship Council (FSC): This certification ensures that the wood used in the production of textiles is sourced from responsibly managed forests. It is issued by the Forest Stewardship Council.

History

A concise historical narrative of NAICS Code 313310-36 covering global milestones and recent developments within the United States.

  • The history of the Velvets & Velveteens (Wholesale) (Manufacturing) industry dates back to the 14th century when velvet was first produced in Italy. The fabric was initially made from silk and was considered a luxury item. In the 18th century, velvet production expanded to France, where it became a symbol of nobility and wealth. The Industrial Revolution brought significant advancements in the manufacturing process, making velvet more affordable and accessible to the masses. In the United States, the industry began to flourish in the 19th century, with the establishment of textile mills in New England. Today, the industry continues to evolve, with new technologies and materials being developed to meet the changing demands of consumers. In recent history, the Velvets & Velveteens (Wholesale) (Manufacturing) industry in the United States has faced several challenges. The rise of fast fashion and the increasing popularity of synthetic fabrics have led to a decline in demand for traditional velvet. However, the industry has adapted to these changes by developing new products and expanding into new markets. The use of digital printing technology has allowed for more intricate designs and patterns to be created on velvet, making it more appealing to younger consumers. Additionally, the industry has expanded into the home decor market, with velvet being used for upholstery, curtains, and bedding. Overall, the industry has shown resilience in the face of changing trends and continues to be an important part of the textile industry in the United States.

Future Outlook for Velvets & Velveteens (Wholesale) (Manufacturing)

The anticipated future trajectory of the NAICS 313310-36 industry in the USA, offering insights into potential trends, innovations, and challenges expected to shape its landscape.

  • Growth Prediction: Stable

    The future outlook for the Velvets & Velveteens (Wholesale) (Manufacturing) industry in the USA is positive. The industry is expected to grow in the coming years due to the increasing demand for luxury and high-end fabrics. The industry is also expected to benefit from the growing trend of customization and personalization in the fashion industry. Additionally, the industry is expected to benefit from the increasing popularity of e-commerce, which has made it easier for wholesalers to reach a wider customer base. However, the industry may face challenges due to the increasing competition from low-cost imports and the rising cost of raw materials. Overall, the industry is expected to grow steadily in the coming years.

Industry Innovations for NAICS Code 313310-36

Recent groundbreaking advancements and milestones in the Velvets & Velveteens (Wholesale) (Manufacturing) industry, reflecting notable innovations that have reshaped its landscape.

  • Digital Printing Technology: The use of digital printing technology has revolutionized the Velvets & Velveteens (Wholesale) (Manufacturing) industry in the USA. This technology allows for the production of high-quality, customized fabrics at a lower cost and in a shorter time frame.
  • Sustainable Fabrics: The industry has seen a growing demand for sustainable fabrics, which are made from eco-friendly materials and are produced using environmentally friendly processes. This trend is expected to continue in the coming years as consumers become more environmentally conscious.
  • Smart Fabrics: The use of smart fabrics, which can monitor and respond to changes in the environment, has opened up new opportunities for the Velvets & Velveteens (Wholesale) (Manufacturing) industry in the USA. These fabrics can be used in a variety of applications, including healthcare, sports, and fashion.
  • 3D Printing: The use of 3D printing technology has allowed for the production of complex and intricate designs that were previously impossible to create. This technology has opened up new opportunities for the Velvets & Velveteens (Wholesale) (Manufacturing) industry in the USA.
  • Online Marketplaces: The growth of online marketplaces has made it easier for wholesalers to reach a wider customer base. This trend is expected to continue in the coming years as more consumers turn to online shopping.

Required Materials or Services for Velvets & Velveteens (Wholesale) (Manufacturing)

This section provides an extensive list of essential materials, equipment and services that are integral to the daily operations and success of the Velvets & Velveteens (Wholesale) (Manufacturing) industry. It highlights the primary inputs that Velvets & Velveteens (Wholesale) (Manufacturing) professionals rely on to perform their core tasks effectively, offering a valuable resource for understanding the critical components that drive industry activities.

Material

Backing Fabrics: Backing fabrics are used in the production of velvets to provide stability and support, ensuring that the final product maintains its shape and quality during use.

Cotton Fibers: Cotton fibers are widely used in the production of velveteens, offering durability and comfort, making them suitable for various applications in home decor and clothing.

Dyes and Pigments: Dyes and pigments are vital for coloring velvets and velveteens, enabling manufacturers to offer a wide range of colors and patterns that meet market demands.

Silk Fibers: High-quality silk fibers are essential for producing luxurious velvets, providing a soft texture and a rich appearance that appeals to high-end fashion and upholstery markets.

Synthetic Fibers: Synthetic fibers, such as polyester, are important for creating cost-effective velvets that mimic the appearance of natural fibers while providing enhanced durability and ease of care.

Equipment

Cutting Machines: Cutting machines are used to shear the loops of fabric to create the plush pile characteristic of velvets, ensuring consistency and quality in the final product.

Finishing Equipment: Finishing equipment is used to apply treatments to the fabric that enhance its appearance and performance, such as softeners or water repellents, which are important for end-use applications.

Weaving Looms: Weaving looms are critical machines used to create the base fabric for velvets, allowing for precise control over the weaving process to achieve desired textures and patterns.

Service

Logistics and Distribution Services: Logistics and distribution services are crucial for managing the supply chain, ensuring that raw materials are delivered on time and finished products reach retailers efficiently.

Textile Testing Services: Textile testing services are essential for ensuring that the fabrics meet industry standards for durability, colorfastness, and safety, which is crucial for maintaining quality assurance.

Products and Services Supplied by NAICS Code 313310-36

Explore a detailed compilation of the unique products and services offered by the Velvets & Velveteens (Wholesale) (Manufacturing) industry. This section provides precise examples of how each item is utilized, showcasing the diverse capabilities and contributions of the Velvets & Velveteens (Wholesale) (Manufacturing) to its clients and markets. This section provides an extensive list of essential materials, equipment and services that are integral to the daily operations and success of the Velvets & Velveteens (Wholesale) (Manufacturing) industry. It highlights the primary inputs that Velvets & Velveteens (Wholesale) (Manufacturing) professionals rely on to perform their core tasks effectively, offering a valuable resource for understanding the critical components that drive industry activities.

Material

Burnout Velvet: This fabric is created by selectively removing fibers from the velvet, resulting in a sheer, patterned effect. It is frequently used in evening wear and special occasion dresses, providing a dramatic and ethereal look.

Cotton Velvet: Made from cotton fibers, this fabric offers a softer and more breathable alternative to silk velvet. It is often used in casual clothing, home decor items like cushions and curtains, and children's apparel due to its comfort and versatility.

Crushed Velvet: This unique fabric features a textured surface created by crushing the velvet pile, resulting in a rich, dynamic appearance. It is often used in theatrical costumes, fashion accessories, and statement furniture pieces, adding depth and visual interest.

Embroidered Velvet: Embroidered velvet showcases decorative stitching on the fabric, enhancing its visual appeal. This luxurious material is often used in high-end fashion, upholstery, and decorative pillows, adding a touch of sophistication to any setting.

Printed Velvet: This fabric features intricate designs printed onto the velvet surface, allowing for unique and customizable patterns. It is popular in fashion and interior design, enabling designers to create standout pieces that reflect personal style.

Silk Velvet: This luxurious fabric is woven from silk fibers, resulting in a soft and lustrous texture. It is commonly used in high-end fashion garments, evening wear, and upscale upholstery, providing an elegant touch to any design.

Stretch Velvet: Incorporating elastic fibers, stretch velvet provides flexibility and comfort, making it ideal for form-fitting garments such as dresses and leggings. Its luxurious feel and ability to retain shape make it a favorite among fashion designers.

Synthetic Velvet: Crafted from synthetic fibers, this type of velvet is durable and cost-effective, making it a popular choice for mass-produced clothing and upholstery. Its wide range of colors and patterns allows for creative applications in various design projects.

Velvet Upholstery Fabric: Designed specifically for furniture, this durable velvet fabric withstands wear and tear while maintaining its luxurious appearance. It is commonly used in sofas, chairs, and drapery, enhancing the aesthetic of both residential and commercial spaces.

Velveteen: A cotton fabric with a short pile, velveteen offers a similar look to velvet but at a lower cost. It is commonly used in children's clothing, home textiles, and craft projects, providing a soft touch and vibrant colors.

Comprehensive PESTLE Analysis for Velvets & Velveteens (Wholesale) (Manufacturing)

A thorough examination of the Velvets & Velveteens (Wholesale) (Manufacturing) industry’s external dynamics, focusing on the political, economic, social, technological, legal, and environmental factors that shape its operations and strategic direction.

Political Factors

  • Trade Regulations

    Description: Trade regulations significantly impact the velvets and velveteens wholesale industry, particularly concerning tariffs on imported textiles and fabrics. Recent changes in trade agreements and tariffs, especially with countries that are major textile producers, have influenced the cost structure and availability of raw materials in the U.S. market.

    Impact: Changes in trade regulations can lead to increased costs for imported fabrics, affecting pricing strategies and profit margins for wholesalers. Additionally, domestic producers may face heightened competition from imports, which can pressure local prices and market share, impacting overall industry dynamics.

    Trend Analysis: Historically, trade regulations have fluctuated based on political administrations and international relations. Currently, there is a trend towards more protectionist policies, which may continue to shape the industry landscape. Future predictions suggest ongoing negotiations and geopolitical tensions will keep trade regulations in flux, with a medium level of certainty regarding their impact on the industry.

    Trend: Increasing
    Relevance: High
  • Regulatory Compliance

    Description: The velvets and velveteens wholesale industry is subject to various regulations, including those related to textile labeling and safety standards. Recent updates to these regulations have increased compliance requirements for wholesalers, impacting operational practices and costs.

    Impact: Compliance with stringent regulations can lead to increased operational costs and necessitate investments in technology and training. Non-compliance can result in severe penalties and damage to brand reputation, affecting long-term sustainability and market position.

    Trend Analysis: Regulatory scrutiny has increased over the past few years, with a focus on consumer safety and environmental sustainability. The trend is expected to continue as consumer awareness grows, leading to more rigorous enforcement of existing regulations and the introduction of new ones. The certainty of this trend is high, driven by public health concerns and environmental advocacy.

    Trend: Increasing
    Relevance: High

Economic Factors

  • Demand for Luxury Fabrics

    Description: There is a growing consumer preference for luxury fabrics, including velvets and velveteens, driven by trends in high-end fashion and home decor. This trend is particularly evident in affluent markets where consumers are willing to invest in quality textiles for upholstery and fashion.

    Impact: The rising demand for luxury fabrics presents opportunities for growth in the wholesale sector. Companies that can effectively market and distribute these products stand to gain market share. However, failure to adapt to changing consumer preferences may result in lost sales and reduced competitiveness.

    Trend Analysis: Over the past few years, the demand for luxury fabrics has steadily increased, with projections indicating continued growth as consumers prioritize quality and aesthetics in their purchases. This trend is supported by a high level of certainty, driven by demographic shifts and lifestyle changes.

    Trend: Increasing
    Relevance: High
  • Economic Fluctuations

    Description: Economic conditions, including inflation rates and consumer spending power, directly impact the velvets and velveteens wholesale industry. Economic downturns can lead to reduced discretionary spending, affecting sales of premium fabrics.

    Impact: Economic fluctuations can create volatility in demand, impacting revenue and profitability. Companies may need to adjust pricing strategies and product offerings to maintain sales during downturns, which can lead to operational challenges and increased competition.

    Trend Analysis: Economic conditions have shown variability, with recent inflationary pressures affecting consumer behavior. The trend is currently unstable, with predictions of potential recessionary impacts in the near future, leading to cautious consumer spending. The level of certainty regarding these predictions is medium, influenced by broader economic indicators.

    Trend: Decreasing
    Relevance: Medium

Social Factors

  • Fashion Trends

    Description: The velvets and velveteens wholesale industry is heavily influenced by fashion trends, which dictate the popularity and demand for specific fabrics. Recent trends in sustainable fashion and vintage aesthetics have revived interest in luxurious textiles like velvets.

    Impact: This factor positively influences the industry, as wholesalers who align their offerings with current fashion trends can capture a larger market share. However, those that fail to adapt may struggle to maintain relevance in a competitive market, impacting sales and profitability.

    Trend Analysis: Fashion trends have been evolving rapidly, with a strong trajectory expected to continue. The certainty of this trend is high, driven by social media influence and changing consumer preferences towards unique and high-quality fabrics.

    Trend: Increasing
    Relevance: High
  • Sustainability Awareness

    Description: Consumers are increasingly concerned about sustainability and the environmental impact of textiles, influencing their purchasing decisions. This trend is prompting wholesalers in the velvets and velveteens industry to adopt more sustainable practices in sourcing and production.

    Impact: Adopting sustainable practices can enhance brand loyalty and attract environmentally conscious consumers. However, transitioning to sustainable methods may involve significant upfront costs and operational changes, which can be challenging for some wholesalers.

    Trend Analysis: Sustainability has become a key focus for consumers, with a strong upward trend in demand for eco-friendly products. The level of certainty regarding this trend is high, as it is supported by legislative changes and consumer advocacy for sustainable practices.

    Trend: Increasing
    Relevance: High

Technological Factors

  • Advancements in Textile Technology

    Description: Technological advancements in textile manufacturing processes, such as digital printing and automated weaving, are enhancing the quality and efficiency of fabric production. These innovations are crucial for wholesalers to meet consumer demands for customization and rapid turnaround times.

    Impact: Investing in advanced textile technologies can lead to improved product quality and operational efficiency, allowing wholesalers to differentiate themselves in a competitive market. However, the initial investment can be substantial, posing a barrier for smaller operators.

    Trend Analysis: The trend towards adopting new textile technologies has been growing, with many companies investing in modernization to stay competitive. The certainty of this trend is high, driven by consumer demand for higher quality and more innovative fabric options.

    Trend: Increasing
    Relevance: High
  • E-commerce Growth

    Description: The rise of e-commerce has transformed how consumers and businesses purchase fabrics, with online sales channels becoming increasingly important. This shift has been accelerated by the COVID-19 pandemic, which changed shopping behaviors significantly.

    Impact: E-commerce presents both opportunities and challenges for the industry. Wholesalers that effectively leverage online platforms can reach a broader audience and increase sales. However, they must also navigate logistics and supply chain complexities associated with online sales, impacting operational efficiency.

    Trend Analysis: The growth of e-commerce has shown a consistent upward trajectory, with predictions indicating continued expansion as more consumers and businesses prefer online shopping. The level of certainty regarding this trend is high, influenced by technological advancements and changing consumer habits.

    Trend: Increasing
    Relevance: High

Legal Factors

  • Textile Labeling Regulations

    Description: Textile labeling regulations govern the information that must be provided on fabric products, including fiber content and care instructions. Recent updates to these regulations have increased compliance requirements for wholesalers, impacting operational practices.

    Impact: Compliance with textile labeling regulations is critical for maintaining consumer trust and avoiding legal repercussions. Non-compliance can lead to product recalls, financial losses, and damage to brand reputation, making it essential for wholesalers to prioritize accurate labeling practices.

    Trend Analysis: The trend towards stricter labeling regulations has been increasing, with a high level of certainty regarding their impact on the industry. This trend is driven by consumer advocacy for transparency and accountability in textile sourcing and production.

    Trend: Increasing
    Relevance: High
  • Labor Laws

    Description: Labor laws, including minimum wage regulations and worker safety requirements, significantly impact operational costs in the velvets and velveteens wholesale industry. Recent changes in labor laws in various states have raised compliance costs for wholesalers.

    Impact: Changes in labor laws can lead to increased operational costs, affecting profitability and pricing strategies. Wholesalers may need to invest in workforce training and compliance measures to avoid legal issues, impacting overall operational efficiency.

    Trend Analysis: Labor laws have seen gradual changes, with a trend towards more stringent regulations expected to continue. The level of certainty regarding this trend is medium, influenced by political and social movements advocating for worker rights.

    Trend: Increasing
    Relevance: Medium

Economical Factors

  • Sustainable Sourcing Practices

    Description: There is a growing emphasis on sustainable sourcing practices within the velvets and velveteens wholesale industry, driven by consumer demand for environmentally friendly products. This includes sourcing materials from sustainable farms and manufacturers that adhere to eco-friendly practices.

    Impact: Adopting sustainable sourcing practices can enhance product appeal and align with consumer values, potentially leading to increased sales. However, transitioning to these practices may require significant investment and changes in operational procedures, which can be challenging for some wholesalers.

    Trend Analysis: The trend towards sustainable sourcing has been steadily increasing, with a high level of certainty regarding its future trajectory. This shift is supported by consumer preferences and regulatory pressures for more sustainable textile production methods.

    Trend: Increasing
    Relevance: High
  • Climate Change Impacts

    Description: Climate change poses significant risks to the velvets and velveteens industry, affecting the availability and quality of raw materials. Changes in weather patterns can lead to supply chain disruptions and increased costs for sourcing materials.

    Impact: The effects of climate change can lead to reduced supply and increased costs for velvets and velveteens, affecting pricing and availability. Wholesalers may need to invest in adaptive strategies and technologies to mitigate these risks, impacting long-term sustainability and operational planning.

    Trend Analysis: The trend of climate change impacts is increasing, with a high level of certainty regarding its effects on the textile industry. This trend is driven by scientific consensus and observable changes in weather patterns, necessitating proactive measures from industry stakeholders.

    Trend: Increasing
    Relevance: High

Value Chain Analysis for NAICS 313310-36

An in-depth look at the Velvets & Velveteens (Wholesale) (Manufacturing) industry's value chain, highlighting its role, key activities, and efficiency strategies, along with its unique value drivers and competitive strengths.

Value Chain Position

Category: Distributor
Value Stage: Final
Description: The industry operates as a distributor, focusing on the wholesale distribution of velvets and velveteens to various markets, including fashion, upholstery, and home decor. This role involves sourcing finished fabrics from manufacturers and supplying them in bulk to retailers and other businesses.

Upstream Industries

  • Broadwoven Fabric Mills- NAICS 313210
    Importance: Critical
    Description: This industry relies on textile mills for the supply of base fabrics, which are essential for producing velvets and velveteens. The quality of these base fabrics directly impacts the final product's texture and durability, making this relationship crucial for maintaining high standards.
  • Plastics Material and Resin Manufacturing - NAICS 325211
    Importance: Important
    Description: Synthetic fibers are often used in the production of velvets and velveteens, providing desirable characteristics such as durability and affordability. The relationship with synthetic fiber manufacturers is important as it ensures a steady supply of materials that meet specific quality and performance standards.
  • Synthetic Dye and Pigment Manufacturing- NAICS 325130
    Importance: Important
    Description: Dyes and pigments are critical for achieving the desired colors and finishes in velvets and velveteens. This relationship is important as it influences the aesthetic appeal of the fabrics, and suppliers must meet strict quality requirements to ensure color consistency and fastness.

Downstream Industries

  • Cut and Sew Apparel Contractors - NAICS 315210
    Importance: Critical
    Description: Apparel manufacturers utilize velvets and velveteens in high-end clothing lines, where the fabric's luxurious feel and appearance are essential for product appeal. The quality of the fabric significantly affects the final garment's marketability and consumer satisfaction.
  • Upholstered Household Furniture Manufacturing - NAICS 337121
    Importance: Important
    Description: Furniture manufacturers incorporate velvets and velveteens into upholstery for sofas, chairs, and other furnishings. The durability and aesthetic qualities of the fabric are vital for enhancing the overall design and comfort of the furniture, making this relationship important for both parties.
  • Institutional Market
    Importance: Important
    Description: Institutions such as hotels and theaters often require velvets and velveteens for drapery and decor. The relationship with institutional buyers focuses on bulk orders and customization, ensuring that the fabrics meet specific design and durability standards.

Primary Activities

Inbound Logistics: Inbound logistics involve receiving bulk shipments of velvets and velveteens from manufacturers, where careful handling and inspection are crucial. Storage practices include maintaining optimal conditions to prevent damage and ensure fabric integrity. Quality control measures involve checking for defects and ensuring compliance with specifications before distribution.

Operations: Core operations include processing orders, managing inventory, and coordinating with suppliers and customers. Quality management practices involve regular assessments of fabric quality and supplier performance to maintain high standards. Industry-standard procedures include efficient order fulfillment and timely delivery to meet customer demands.

Outbound Logistics: Outbound logistics encompass the distribution of velvets and velveteens to various customers, utilizing logistics partners for transportation. Quality preservation during delivery is achieved through careful packaging and handling to prevent damage. Common practices include tracking shipments and ensuring timely arrivals to maintain customer satisfaction.

Marketing & Sales: Marketing approaches often involve showcasing products at trade shows and through online platforms, emphasizing the luxurious qualities of velvets and velveteens. Customer relationship practices focus on building long-term partnerships through personalized service and responsiveness to customer needs. Sales processes typically include consultations to understand client requirements and provide tailored solutions.

Support Activities

Infrastructure: Management systems in this industry include inventory management software that tracks stock levels and order statuses. Organizational structures often consist of sales teams and logistics coordinators to streamline operations. Planning systems are essential for forecasting demand and managing supply chain activities effectively.

Human Resource Management: Workforce requirements include skilled personnel for sales, logistics, and customer service. Training and development approaches focus on product knowledge and customer engagement techniques to enhance service quality. Industry-specific skills include understanding fabric properties and market trends to better serve clients.

Technology Development: Key technologies used include inventory management systems and e-commerce platforms for order processing. Innovation practices involve adopting new fabric treatments and finishes to enhance product offerings. Industry-standard systems often incorporate data analytics for market trend analysis and customer insights.

Procurement: Sourcing strategies involve establishing strong relationships with reliable fabric manufacturers and suppliers. Supplier relationship management is crucial for ensuring consistent quality and timely deliveries. Purchasing practices often emphasize bulk buying to reduce costs and improve supply chain efficiency.

Value Chain Efficiency

Process Efficiency: Operational effectiveness is measured through order fulfillment rates and inventory turnover. Common efficiency measures include tracking lead times and minimizing stockouts to optimize customer service. Industry benchmarks are established based on average delivery times and customer satisfaction ratings.

Integration Efficiency: Coordination methods involve regular communication between sales, logistics, and suppliers to ensure alignment on inventory levels and order statuses. Communication systems often include digital platforms for real-time updates and collaborative planning.

Resource Utilization: Resource management practices focus on optimizing storage space and minimizing waste during handling. Optimization approaches may involve implementing just-in-time inventory systems to reduce holding costs while ensuring product availability, adhering to industry standards for efficiency.

Value Chain Summary

Key Value Drivers: Primary sources of value creation include high-quality velvets and velveteens, strong supplier relationships, and effective distribution networks. Critical success factors involve maintaining product quality and responsiveness to market trends, ensuring competitive positioning.

Competitive Position: Sources of competitive advantage include the ability to offer a diverse range of luxurious fabrics and establish strong relationships with key customers. Industry positioning is influenced by market demand for high-quality textiles and the ability to adapt to changing consumer preferences.

Challenges & Opportunities: Current industry challenges include fluctuations in raw material costs and competition from synthetic alternatives. Future trends may involve increased demand for sustainable fabrics, presenting opportunities for wholesalers to innovate and expand their product lines to meet evolving consumer expectations.

SWOT Analysis for NAICS 313310-36 - Velvets & Velveteens (Wholesale) (Manufacturing)

A focused SWOT analysis that examines the strengths, weaknesses, opportunities, and threats facing the Velvets & Velveteens (Wholesale) (Manufacturing) industry within the US market. This section provides insights into current conditions, strategic interactions, and future growth potential.

Strengths

Industry Infrastructure and Resources: The industry benefits from a well-established infrastructure that includes specialized manufacturing facilities and distribution networks tailored for high-quality fabric products. This strong infrastructure supports efficient operations and enhances the ability to meet the demands of retailers and businesses, with many companies investing in modern technologies to improve productivity and reduce waste.

Technological Capabilities: Technological advancements in weaving and finishing processes provide significant advantages. The industry is characterized by a moderate level of innovation, with companies utilizing proprietary techniques to enhance fabric quality and durability, ensuring competitiveness in the market.

Market Position: The industry holds a strong position in the textile sector, with a notable market share in luxury fabrics. Brand recognition and established relationships with retailers contribute to its competitive strength, although there is ongoing pressure from alternative fabric options.

Financial Health: Financial performance across the industry is generally strong, with many companies reporting healthy profit margins and stable revenue growth. The financial health is supported by consistent demand for velvets and velveteens, although fluctuations in raw material prices can impact profitability.

Supply Chain Advantages: The industry enjoys robust supply chain networks that facilitate efficient procurement of raw materials from suppliers. Strong relationships with distributors enhance operational efficiency, allowing for timely delivery of products to market and reducing costs associated with inventory management.

Workforce Expertise: The labor force in this industry is skilled and knowledgeable, with many workers having specialized training in textile production and quality control. This expertise contributes to high product standards and operational efficiency, although there is a need for ongoing training to keep pace with technological advancements.

Weaknesses

Structural Inefficiencies: Some companies face structural inefficiencies due to outdated production equipment or inadequate facility layouts, leading to increased operational costs. These inefficiencies can hinder competitiveness, particularly when compared to more modernized operations.

Cost Structures: The industry grapples with rising costs associated with raw materials, labor, and compliance with industry standards. These cost pressures can squeeze profit margins, necessitating careful management of pricing strategies and operational efficiencies.

Technology Gaps: While some companies are technologically advanced, others lag in adopting new weaving and finishing technologies. This gap can result in lower productivity and higher operational costs, impacting overall competitiveness in the market.

Resource Limitations: The industry is vulnerable to fluctuations in the availability of raw materials, particularly due to supply chain disruptions and sourcing challenges. These resource limitations can disrupt production schedules and impact product availability.

Regulatory Compliance Issues: Navigating the complex landscape of textile regulations poses challenges for many companies. Compliance costs can be significant, and failure to meet regulatory standards can lead to penalties and reputational damage.

Market Access Barriers: Entering new markets can be challenging due to established competition and regulatory hurdles. Companies may face difficulties in gaining distribution agreements or meeting local regulatory requirements, limiting growth opportunities.

Opportunities

Market Growth Potential: There is significant potential for market growth driven by increasing consumer demand for luxury fabrics in fashion and home decor. The trend towards sustainable and ethically sourced materials presents opportunities for companies to expand their offerings and capture new market segments.

Emerging Technologies: Advancements in textile processing technologies, such as digital printing and eco-friendly finishing methods, offer opportunities for enhancing product quality and reducing environmental impact. These technologies can lead to increased efficiency and market differentiation.

Economic Trends: Favorable economic conditions, including rising disposable incomes and a growing interest in home improvement, support growth in the velvets and velveteens market. As consumers prioritize quality and luxury, demand for these fabrics is expected to rise.

Regulatory Changes: Potential regulatory changes aimed at promoting sustainable practices in the textile industry could benefit companies that adapt to these changes by offering eco-friendly products. Firms that embrace sustainability may gain a competitive edge.

Consumer Behavior Shifts: Shifts in consumer preferences towards high-quality, luxurious fabrics create opportunities for growth. Companies that align their product offerings with these trends can attract a broader customer base and enhance brand loyalty.

Threats

Competitive Pressures: Intense competition from both domestic and international players poses a significant threat to market share. Companies must continuously innovate and differentiate their products to maintain a competitive edge in a crowded marketplace.

Economic Uncertainties: Economic fluctuations, including inflation and changes in consumer spending habits, can impact demand for luxury fabrics. Companies must remain agile to adapt to these uncertainties and mitigate potential impacts on sales.

Regulatory Challenges: The potential for stricter regulations regarding textile production and environmental impact can pose challenges for the industry. Companies must invest in compliance measures to avoid penalties and ensure product safety.

Technological Disruption: Emerging technologies in alternative fabric production could disrupt the market for traditional velvets and velveteens. Companies need to monitor these trends closely and innovate to stay relevant.

Environmental Concerns: Increasing scrutiny on environmental sustainability practices poses challenges for the industry. Companies must adopt sustainable practices to meet consumer expectations and regulatory requirements.

SWOT Summary

Strategic Position: The industry currently enjoys a strong market position, bolstered by robust consumer demand for luxury fabrics. However, challenges such as rising costs and competitive pressures necessitate strategic innovation and adaptation to maintain growth. The future trajectory appears promising, with opportunities for expansion into new markets and product lines, provided that companies can navigate the complexities of regulatory compliance and supply chain management.

Key Interactions

  • The strong market position interacts with emerging technologies, as companies that leverage new processing techniques can enhance product quality and competitiveness. This interaction is critical for maintaining market share and driving growth.
  • Financial health and cost structures are interconnected, as improved financial performance can enable investments in technology that reduce operational costs. This relationship is vital for long-term sustainability.
  • Consumer behavior shifts towards luxury and sustainable products create opportunities for market growth, influencing companies to innovate and diversify their product offerings. This interaction is high in strategic importance as it drives industry evolution.
  • Regulatory compliance issues can impact financial health, as non-compliance can lead to penalties that affect profitability. Companies must prioritize compliance to safeguard their financial stability.
  • Competitive pressures and market access barriers are interconnected, as strong competition can make it more challenging for new entrants to gain market share. This interaction highlights the need for strategic positioning and differentiation.
  • Supply chain advantages can mitigate resource limitations, as strong relationships with suppliers can ensure a steady flow of raw materials. This relationship is critical for maintaining operational efficiency.
  • Technological gaps can hinder market position, as companies that fail to innovate may lose competitive ground. Addressing these gaps is essential for sustaining industry relevance.

Growth Potential: The growth prospects for the industry are robust, driven by increasing consumer demand for luxury fabrics and sustainable options. Key growth drivers include the rising popularity of eco-friendly materials, advancements in textile technologies, and favorable economic conditions. Market expansion opportunities exist in both domestic and international markets, particularly as consumers seek high-quality, luxurious fabrics. However, challenges such as resource limitations and regulatory compliance must be addressed to fully realize this potential. The timeline for growth realization is projected over the next five to ten years, contingent on successful adaptation to market trends and consumer preferences.

Risk Assessment: The overall risk level for the industry is moderate, with key risk factors including economic uncertainties, competitive pressures, and supply chain vulnerabilities. Industry players must be vigilant in monitoring external threats, such as changes in consumer behavior and regulatory landscapes. Effective risk management strategies, including diversification of suppliers and investment in technology, can mitigate potential impacts. Long-term risk management approaches should focus on sustainability and adaptability to changing market conditions. The timeline for risk evolution is ongoing, necessitating proactive measures to safeguard against emerging threats.

Strategic Recommendations

  • Prioritize investment in advanced textile technologies to enhance efficiency and product quality. This recommendation is critical due to the potential for significant cost savings and improved market competitiveness. Implementation complexity is moderate, requiring capital investment and training. A timeline of 1-2 years is suggested for initial investments, with ongoing evaluations for further advancements.
  • Develop a comprehensive sustainability strategy to address environmental concerns and meet consumer expectations. This initiative is of high priority as it can enhance brand reputation and compliance with regulations. Implementation complexity is high, necessitating collaboration across the supply chain. A timeline of 2-3 years is recommended for full integration.
  • Expand product lines to include sustainable and innovative fabric options in response to shifting consumer preferences. This recommendation is important for capturing new market segments and driving growth. Implementation complexity is moderate, involving market research and product development. A timeline of 1-2 years is suggested for initial product launches.
  • Enhance regulatory compliance measures to mitigate risks associated with non-compliance. This recommendation is crucial for maintaining financial health and avoiding penalties. Implementation complexity is manageable, requiring staff training and process adjustments. A timeline of 6-12 months is recommended for initial compliance audits.
  • Strengthen supply chain relationships to ensure stability in raw material availability. This recommendation is vital for mitigating risks related to resource limitations. Implementation complexity is low, focusing on communication and collaboration with suppliers. A timeline of 1 year is suggested for establishing stronger partnerships.

Geographic and Site Features Analysis for NAICS 313310-36

An exploration of how geographic and site-specific factors impact the operations of the Velvets & Velveteens (Wholesale) (Manufacturing) industry in the US, focusing on location, topography, climate, vegetation, zoning, infrastructure, and cultural context.

Location: Operations are concentrated in regions with a strong textile manufacturing heritage, such as the Southeastern US, particularly North Carolina and South Carolina, where proximity to suppliers and skilled labor enhances operational efficiency. These areas benefit from established distribution networks that facilitate the movement of velvets and velveteens to retailers and designers across the country. The presence of major transportation routes and ports in these regions also supports international trade, allowing for the import of raw materials and export of finished products.

Topography: The industry thrives in areas with flat terrain that accommodates large warehouses and distribution centers necessary for storing and handling bulk fabric shipments. The Southeastern US offers favorable topographical conditions, allowing for efficient logistics and transportation. Additionally, regions with easy access to major highways and railroads enhance the ability to distribute products quickly and effectively, minimizing transportation costs and delays.

Climate: The temperate climate in the Southeastern US is conducive to textile operations, as it allows for stable humidity levels that are essential for maintaining fabric quality during storage and distribution. Seasonal variations can influence production schedules, with higher demand during certain fashion seasons requiring adaptive inventory management. Facilities must also consider climate control systems to protect sensitive fabrics from moisture and temperature fluctuations that could affect their quality.

Vegetation: Local vegetation can impact operations by influencing site selection and environmental compliance. Facilities often need to manage buffer zones to protect against pests and maintain air quality. In regions where natural vegetation is prevalent, companies may implement landscaping strategies that align with local ecological practices while ensuring that operational areas remain clear of overgrowth that could pose contamination risks to fabric products.

Zoning and Land Use: Zoning regulations in textile manufacturing hubs typically require industrial designations that allow for wholesale operations, including fabric storage and distribution. Specific permits may be necessary for facilities that handle large quantities of textiles, particularly concerning environmental impact assessments. Local land use regulations may also dictate the proximity of operations to residential areas, influencing site selection and expansion plans.

Infrastructure: Robust infrastructure is critical for the wholesale distribution of velvets and velveteens, including access to high-capacity transportation networks for efficient shipping. Facilities require reliable utilities, such as electricity and water, to support operations. Communication infrastructure is also essential for managing logistics and inventory systems, ensuring that orders are processed and fulfilled promptly. Additionally, proximity to textile mills can enhance supply chain efficiency by reducing lead times for raw materials.

Cultural and Historical: The historical significance of textile manufacturing in the Southeastern US fosters a community that is generally supportive of the industry. Local populations often have a strong connection to textile production, which can enhance workforce availability and expertise. However, as urban areas expand, there may be increased scrutiny regarding environmental practices and operational impacts on local communities. Engaging with community stakeholders and demonstrating commitment to sustainable practices can help maintain positive relations.

In-Depth Marketing Analysis

A detailed overview of the Velvets & Velveteens (Wholesale) (Manufacturing) industry’s market dynamics, competitive landscape, and operational conditions, highlighting the unique factors influencing its day-to-day activities.

Market Overview

Market Size: Medium

Description: This industry specializes in the wholesale distribution of velvets and velveteens, which are luxurious fabrics characterized by their soft and plush texture. Operations include sourcing, warehousing, and distributing these fabrics to retailers and businesses in bulk quantities, ensuring quality control and timely delivery.

Market Stage: Growth. The industry is experiencing growth as demand for high-quality fabrics in fashion and home decor increases. Operators are expanding their distribution networks and enhancing inventory management systems to meet rising consumer preferences for luxury textiles.

Geographic Distribution: Regional. Wholesale operations are concentrated in regions with a high density of textile manufacturers and fashion hubs, such as New York City, Los Angeles, and the Southeastern U.S., facilitating efficient logistics and supply chain management.

Characteristics

  • Bulk Sourcing and Distribution: Daily operations involve purchasing large quantities of raw fabrics from manufacturers, managing inventory levels, and coordinating logistics for efficient distribution to various retail and commercial clients.
  • Quality Assurance Processes: Operators implement stringent quality control measures to ensure that all fabrics meet industry standards, including testing for colorfastness, durability, and texture before distribution.
  • Inventory Management Systems: Advanced inventory management systems are utilized to track stock levels, manage orders, and optimize warehouse space, allowing for quick response to market demands.
  • Specialized Warehousing Facilities: Facilities are designed to accommodate the specific storage needs of velvets and velveteens, including climate control to prevent damage and maintain fabric quality.

Market Structure

Market Concentration: Moderately Concentrated. The market is characterized by a mix of large wholesalers with extensive networks and smaller niche players focusing on specialized fabrics, leading to a moderately concentrated competitive landscape.

Segments

  • Fashion Retailers: This segment includes wholesalers supplying velvets and velveteens to clothing manufacturers and fashion retailers, requiring quick turnaround times and flexible order quantities.
  • Upholstery and Home Decor: Wholesalers cater to businesses in the upholstery sector, providing bulk fabrics for furniture and home decor, necessitating a wide variety of colors and textures.
  • Event and Costume Design: This segment serves theatrical and event planners who require unique fabric options for costumes and decorations, often demanding custom orders and rapid fulfillment.

Distribution Channels

  • Direct Sales to Retailers: Wholesalers often engage in direct sales to retailers, providing personalized service and tailored inventory solutions to meet specific customer needs.
  • Online Wholesale Platforms: Increasingly, wholesalers are utilizing online platforms to reach a broader customer base, allowing for streamlined ordering processes and enhanced visibility of product offerings.

Success Factors

  • Strong Supplier Relationships: Building and maintaining strong relationships with fabric manufacturers is crucial for securing high-quality materials and favorable pricing.
  • Responsive Customer Service: Providing exceptional customer service, including quick response times and flexible order management, is essential for retaining clients in a competitive market.
  • Market Trend Awareness: Staying informed about fashion trends and consumer preferences enables wholesalers to adjust their product offerings and marketing strategies effectively.

Demand Analysis

  • Buyer Behavior

    Types: Primary buyers include fashion designers, upholstery manufacturers, and event planners who require bulk quantities of fabric for their projects. Each buyer type has distinct ordering patterns and volume requirements.

    Preferences: Buyers prioritize quality, color variety, and texture in their fabric selections, often seeking sustainable sourcing options and certifications to meet consumer demand.
  • Seasonality

    Level: Moderate
    Demand for velvets and velveteens can fluctuate with seasonal fashion trends and major events, leading to increased orders during peak fashion seasons and holiday periods.

Demand Drivers

  • Fashion Industry Trends: The demand for velvets and velveteens is heavily influenced by trends in the fashion industry, where luxury fabrics are sought after for seasonal collections and high-end garments.
  • Home Decor Trends: Growing interest in home decor, particularly in upscale markets, drives demand for velvets and velveteens used in upholstery and decorative items.
  • Event Planning and Theatrical Productions: Increased activity in event planning and theatrical productions creates demand for unique fabric options, particularly for costumes and stage settings.

Competitive Landscape

  • Competition

    Level: High
    The industry faces high competition, with numerous wholesalers vying for market share by offering diverse product lines and competitive pricing strategies.

Entry Barriers

  • Established Supplier Networks: New entrants must establish relationships with fabric manufacturers, which can take time and resources, creating a barrier to entry in the wholesale market.
  • Capital Investment for Inventory: Significant capital is required to maintain adequate inventory levels, which can be a challenge for new businesses looking to compete with established wholesalers.
  • Brand Recognition and Trust: Building a reputable brand and gaining trust among buyers takes time, making it difficult for new entrants to penetrate the market.

Business Models

  • Traditional Wholesale Model: This model focuses on purchasing fabrics in bulk from manufacturers and selling them directly to retailers and businesses, emphasizing strong supplier relationships and customer service.
  • E-commerce Wholesale Model: Utilizing online platforms to facilitate sales, this model allows wholesalers to reach a wider audience and streamline order processing through digital channels.

Operating Environment

  • Regulatory

    Level: Low
    The industry operates under relatively low regulatory oversight, primarily focusing on compliance with general business regulations and quality standards for textiles.
  • Technology

    Level: Moderate
    Wholesalers are increasingly adopting technology for inventory management, order processing, and customer relationship management to enhance operational efficiency.
  • Capital

    Level: Moderate
    Capital requirements are moderate, primarily focused on maintaining inventory and investing in warehousing facilities to support wholesale operations.

NAICS Code 313310-36 - Velvets & Velveteens (Wholesale) (Manufacturing)

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