How Can we Start a Rubber Shoe Business In Russia ?

 Rubber Shoe Business


Starting capital - from 2.5 million rubles.

In this article, we will be talking about how can we start a rubber shoe business in Russia A few years ago, classic rubber boots and galoshes from work equipment (used mainly by summer residents, outdoor enthusiasts, fishermen, and game rangers) sharply grew into a fashion trend. The price tag for branded boots can exceed tens of thousands of rubles. But even despite the fact that designer shoes are gradually losing their uniqueness on foreign catwalks, in our country, where rainy weather does not surprise anyone (especially in the summer and in the off-season), such shoes have been and will be in demand.

How Can we Start Rubber Shoe Business In Russia
How Can We Start Rubber Shoe Business In Russia?


Quite naturally, this niche, which has great prospects, generates competition. In addition to foreign brands, whose shoes are in relatively low demand due to their high cost, Russian manufacturing companies have to work in competition with Asian factories (the main importer of rubber products in China), which fill market counters with cheap products.


At the moment, there is only one major manufacturer on the domestic rubber footwear market - Pskov-Polymer. In addition, in this segment, you can find about 20 "smaller" manufacturers that are engaged in the production of similar products.


When asked whether it is profitable to organize your own production for the production of rubber boots and galoshes in conditions of high competitiveness and decreasing demand for such products, you will not get a clear answer - there are several indirect theories of further behavior.


As with any direction, the key is an original idea that can draw attention to your product. You have to offer something interesting while educating people about the benefits of this solution. A famous example is the “Rain Level” rubber shoes from the Italian manufacturer Regina Regis. The boots are available in 9 colors and cost $ 86 per pair. It would seem that ordinary rubber boots of various colors, what is so special about them? It's simple - there is a scale on the side of the product (up to 35 centimeters), which allows you to literally measure the depth of a puddle or mud with your boot. The simplest idea, which was not difficult to implement, while this idea brought the creator large incomes and world fame.


Content

  • Technological process
  • Necessary equipment
  • Premises and staff
  • Profitability calculation. Sales channels

Technological process

Before sending rubber boots to production, they must be designed. This procedure can include the following stages: development of the product shape, shoe dimensions, or (depending on the production method) the development of appropriate molds, as well as the design of models.


Basic requirements for rubber boots and galoshes:


  • Convenience;
  • Strength;
  • Wear resistance;
  • Aesthetics.

If you are unable to hire an in-house designer, you can seek outside help. For example, the largest manufacturing company Pskov-Polymer used the consulting services of designers from Italy when creating one of the model lines of rubber footwear.


Today, rubber boots are made using 3 methods:


Assembly (by gluing individual parts),

Stamping;

Molding.

Rubber shoes are made up of individual components that are connected together. The number, shape, dimensional characteristics, and materials used are determined by the purpose, model, and production method.


The largest number of elements is in shoes made by gluing (most often, these are galoshes, assembled from about 15 components, and boots from 18-20 components). In rubber footwear made by stamping and molding (these methods are the most common), the number of components is several times less than in shoes made by gluing. All elements are subdivided into subgroups according to their location: external and internal (sometimes intermediate ones are distinguished).


The most common materials for the manufacture of rubber footwear are rubber and textiles, organic solvents, knitted, and other fabrics.


Rubber mixtures, filler, vulcanization agent (as well as an accelerator of this process), various pigments, and rubber reclaim - all this is processed on a special calendar, upon completion of the procedure, the mixture becomes rubber sheets. The outer elements of the upper part of the boots are cut out of it, and the sole elements are cut out from the profiles of the leaf mixture. The rubber mixture is coated and overlaid with the textile mixture in the same calenders.


The fabric base (which is prepared from a rubber compound and uncured rubberized knitwear) is used for covering fabrics that are used for both the inner and intermediate components of the product, sometimes for patterning textile elements.


In addition, in the manufacturing process of rubber boots, cotton knitted linings and fabric inserts are used for some components.


Most of the manufacturing companies are switching or have already switched to polyvinyl chloride compounds (abbreviated PVC). The prime cost of this raw material is much lower than the cost of the base made of rubber - by about 35%. At the same time, it is in no way inferior in its characteristics.


The most advanced production method is molding. Its main idea is that the rubber carcass is formed and the product is vulcanized at the same time. For the manufacture of rubber footwear using this method, rigid cores made of metal alloy or cores with a “plastic” chamber are used. The technological process is extremely simple. At the first stage, the elements are prepared from textiles and a rubber compound. Textile components are cut out of fabric, which is lined with a thin layer of rubber. After that, the shoe frame is sewn in the form of a stocking. In the same way, rubber elements are cut from the blanks.


The made stocking is put on a special shoe and then covered with rubber components. This core with the future shoe blank is placed in a mold of a vulcanizing press. During the next pressing and heating procedure, the finished boot is formed, as well as its vulcanization.


Then the made shoes are sent for cutting off the upper part in the lower leg area - all irregularities and roughness are removed. After the product goes to the control shop, then sorted and packed. The packaging is usually a regular polyethylene bag, not a box - this allows you to significantly save on production by reducing the cost of 1 pair.


Manufacturing rubber footwear by molding has many advantages. The main one is that this method is less time- and labor-intensive compared to the others. Shoes produced by the molding method are highly durable. Among the shortcomings, it can be noted:


The slightly large weight of the product;

The slightly greater rigidity of products;

Increased consumption of rubber raw materials due to the compaction of some places;

There is a likelihood of the lining coming off the cladding;

Difficulty in creating molds.

For this reason, manufacturing companies regularly modernize their technological process in order to minimize the above disadvantages. For example, the use of combined cores made of a steel body and a “plastic” chamber contributes to less laboriousness in the manufacture of boots, an increase in wear resistance and a more reliable attachment of the “toe” to the rubber base.


Necessary equipment

The cost of a used ear ruler for the production of rubber shoes is in the region of 35 thousand dollars (which is equivalent to 2 million rubles). But at the same time, you should carefully inspect such equipment before purchasing (at least for performance and visual defects). Remember that the quality of the output depends on the equipment you purchase. Therefore, if you have sufficient resources, we recommend that you make a choice in favor of foreign manufacturers (for example, plants from Italy are famous for their quality and high production capacity).


Premises and staff

You will need to rent a production facility with running water and electricity. The presence of a three-phase current network (voltage 380 V) is mandatory since almost all equipment operates on a 3-phase voltage. The minimum area is 100 square meters excluding additional premises (warehouses for raw materials and finished products, office premises).


The minimum team of employees should include the following specialists:


  • Designer;
  • Design Engineer;
  • Chemical production technologist;
  • Locksmith-repairman of production facilities;
  • Seamstresses;
  • Managers;
  • Human Resources Department;
  • Service staff.

Profitability calculation. Sales channels

The annual production capacity of large manufacturers of rubber boots and galoshes is 3 and more million pairs of shoes. The profit of such an enterprise (with regular work) can reach 10 million dollars (which is equivalent to 565 million rubles). Most of this amount is spent on the following items of expenditure:

  • Development and creation of new model lines;
  • Expansion of the assortment;
  • Modernization and replacement of equipment;
  • Search for alternative production methods;
  • Advertising campaign;
  • Search for new distribution channels and much more.

Both small and larger enterprises sell their products to wholesalers. At the same time, the smallest price tag is 125 rubles (for comparison, the cost price is almost 2 times less). In retail stores, such shoes cost more than 550 rubles. About a third of the total production volumes in our country are successfully exported to foreign trade networks.

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