Thanks to Our Corporate and Strong Company Structure, Our Market Share Has Increased
Murat Eren, Vice President of Sales and Marketing at Tetaş AŞ, said, “The sector reached record export figures in 2022, but unfortunately experienced significant declines in 2023 and 2024. However, despite this negative outlook, our market share has increased due to our corporate and strong company structure, even as the market shrinks.”
INTERVIEW: TUĞBA KARADEMİR
Tetaş AŞ, which has been serving the Turkish ready-to-wear sector for 42 years, represents some of the world’s leading companies, including Shima Seiki, Tajima, Santoni, Unitex, Lonati, Pegasus, Kansai, Zoje, and Joyee. Tetaş continues to lead the sector with its experience and quality in human resources while maintaining relationships based on quality and trust under all economic conditions. We interviewed with Murat Eren, Vice President of Sales and Marketing at Tetaş AŞ for our Textile Technology magazine, where he evaluated the 2024 garment sector and shared insights about Tetaş AŞ’s strategies.
As we approach the end of the first nine months of 2024, how is the year going for Tetaş AŞ.? Can you elaborate on your machine sales figures? What are your expectations and goals for the remainder of 2024 and 2025?
As you know, Tetaş AŞ has been supplying and providing service for key products in the Turkish ready-to-wear sector, including apparel, knitwear, embroidery, circular knitting, and sock machines, as well as consumables and spare parts since 1982. Thus, we are directly affected by all positive and negative working conditions in the external (export) and internal markets of the ready-to-wear sector. The sector reached record export figures in 2022 but unfortunately experienced significant declines in 2023 and 2024. These negative capacity utilization rates naturally affect us as well. We have entered the last quarter of the year, and compared to the last two years, we have experienced significant declines in our revenues and sales volumes. However, despite this negative situation, our market share has increased due to our corporate and strong company structure.
Can you share your thoughts on the current state of the garment sector and the Turkish market?
Our labor-intensive sector has been suffering for a long time due to high inflation, rising costs, and a low currency strategy. Our ready-to-wear companies are facing significant issues due to the slowdown in the global economy and the economic squeeze we are in. We find ourselves needing to price our products over 40% higher than our competitors, which causes us to miss out on orders. Recently, over 200,000 workers have been laid off in the sector. Many manufacturing companies are also experiencing financial difficulties due to the challenges in accessing credit and high interest rates. The number of companies going into concordat or bankruptcy is increasing day by day. This situation has become unsustainable, and it seems impossible to make a positive projection for the sector in the medium term.
“The Brands We Represent Are Among the Top 3 in the Market”
Can you provide information about the sectoral strength and product range of the brands you represent in the Turkish market? Which products are particularly in demand and performing well in sales?
One of our company’s key features is our extensive range of machine brands that cater to various areas of textile and garment production. We have represented some of the largest machine manufacturers globally for many years, including Japan, China, Italy, Taiwan, and Germany. Thanks to our rich human resources and corporate management approach, we can provide services in many areas. It is difficult to find another company like Tetaş AŞ that supplies machinery and service across multiple fields. Almost all of the brands we represent rank in the top three in the market, with many holding the number one position. For instance, Shima Seiki (Japan) for Knitting Machines; Tajima (Japan) for Embroidery Machines; Santoni (Italy) and Unitex (Singapore) for Circular Knitting Machines; and Lonati (Italy) for Sock Machines, alongside Pegasus (Japan), Kansai (Japan), Zoje, Joyee (China), and the SGG Group (China) for Apparel Machines, which we have been selling since our establishment, continue to help us grow through our quality and trust-based relationships with our valued customers.
“We Focus on High-Technology, Operation-Simplifying Machines”
How are the companies you represent applying technological innovations? How are they approaching current trends such as sustainability, digitalization, and eco-friendly product policies in the garment sector? How does Tetaş adapt to these trends?
Worldwide, manufacturing companies are striving to produce efficient and economical products while also developing sustainable products that protect our living environments, which we have long worn down. Specifically, at Tetaş, in response to rising costs and human resource challenges in the ready-to-wear sector, we are focusing on high-technology machines that simplify operations and reduce the human factor. In addition to establishing our R&D departments, we are intensifying collaborations with companies that invest in R&D in these areas. Everything stems from necessity. With our experienced and competent teams, we identify the needs of the sector, effectively communicate them to the brands we supply, and ensure the appropriate products come to Turkey. I believe we are very good at using the empathy method for ready-to-wear companies. Our engineering team continuously researches artificial intelligence, green factories, dark and smart factories, and digitalization. We adhere to the principle of lifelong learning, continuously strive to learn, and share our findings with the sector for implementation. We are proud to take steps in this area through fairs, special events, seminars, and the training we provide.
“We Provide Regular Training to Our Customers with Tetaş Academy”
What activities do you conduct to increase your brand awareness and customer satisfaction?
In recent years, social media has opened up significant opportunities for brand awareness. We are also active in this area. However, in addition to all social media efforts, participating in industry fairs is where we can best express ourselves since we sell industrial products. Having worked with top-tier Japanese firms for many years has allowed us to transfer their service and customer satisfaction methodologies to us. We did not just import products; we identified the best practices, knowledge, and commercial culture, which I believe is a critical factor in our success. Under the structure of Tetaş Academy, we organize regular training activities for our customers throughout the year in service and product application areas. We also share all these activities in digital environments.
“Our Greatest Advantage Is Our Experience and Human Quality”
What can you say about the advantages and disadvantages of the Turkish textile and garment sector in international competition? Can you evaluate Turkey’s strengths in the sector?
I mentioned the negatives we are currently experiencing. Our greatest advantage at Tetaş AŞ is our experience and human quality. The sector will naturally transform the adverse situations it faces into positives through natural selection. Design, producing high-value-added products, and innovation play essential roles in this. I believe we will evolve in this direction over the years.
Have you observed any changes in local and international customer demands in Turkey? How do these changes affect Tetaş’s strategies?
There has been a significant decline in order quantities coming to Turkey due to our disadvantages in price competition. There is over a 20% drop when comparing the first six months of last year to the first six months of this year. Naturally, this negatively affects us as well.
How do global economic fluctuations and geopolitical risks impact the sector?
I can answer this question from two perspectives: due to being one of the most fragile economies in the world, fluctuations affect us all significantly. On the other hand, having learned to live with this fragility and negativity for many years gives us an advantage.
“I Believe the GarmentTech Istanbul Exhibition will Add Significant Value to Our Sector.”
Can you provide information about the products and technologies you will showcase at the GarmentTech Istanbul Exhibition? How is your preparation process for the fair progressing? What can you say about the contributions of the fair to the garment machinery sector?
Garment Machinery Exhibition in Istanbul was last held in August 2022. The GarmentTech Istanbul Exhibition, which will be held in June 2025 after approximately 2.5 years, excites the entire sector. I believe we will be able to showcase all the technological developments needed by the ready-to-wear sector most effectively at this exhibition. Additionally, I think this exhibition will be one of the two largest exhibitions in the world. Our team for the fair is being specifically prepared in sales, marketing, and service. We have already agreed with all our suppliers regarding the content of the exhibition. The exhibition will be structured entirely based on current needs. I believe all stakeholders recognize the importance of the GarmentTech Istanbul Exhibition and that it will add significant value to our sector.