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    It Is Expected That The Price Of Sportswear Will Increase In The First Quarter Of Next Year.

    2010/7/26 17:11:00 40

    Nike Shoes

    Recently, Nike, the international sports brand, announced that it would launch a low price product in the mainland to enter the two or three line market.

    Market rumors that some of Nike shoes will be priced as low as 200 to 300 yuan, which makes the outside world worry about XTEP and other local brands.


    He Ruibo, executive director and chief financial officer of XTEP, said that Nike has been developing in the mainland for more than 10 years, and is well aware of the demand for high-end products by mainland consumers. It is also clear that low-end products are not the source of Nike's profits. Therefore, we do not think that entering the two or three line city is the future direction of Nike. At the same time, it is estimated that Nike will not launch too many products mentioned above.

    If Nike makes the relevant deployment, XTEP will be regarded as a competition of more local brands.


    He also pointed out that local brands have more advantages in the two or three tier cities. On the one hand, the market is more familiar with local brands, and on the other hand, the relevant brands have already had a sound distribution network in related markets.

    The XTEP group has more than 6000 outlets in the mainland, covering two or three cities across the country. About 80% of them are exclusive sales group products, and the group gives dealers a larger discount price, so they have considerable competitive advantages.


    He Ruibo also said that with local brands such as Lining, XTEP and Anta, the total number of dealers in the mainland could reach 20 thousand ~3 10000, plus the discount offered by international brands to dealers would not be very high. I believe that many dealers would not like to sell Nike's low price products, while Nike must find excellent dealers on its own. It is also not easy to do so. In addition, consumers of two or three tier cities are more accepting local brands, and Nike Nike entering the two or three line market will not have much impact on local brands.


    It is reported that XTEP's dealers will open 800~1000 new stores this year, and now it has opened about 400 stores, with an estimated total of nearly 7000 by the end of this year.

    In the first quarter of this year, the same store sales grew at a low speed, and the second quarter had a high growth rate. The annual target was a moderate increase.

    At the same time, we believe that in the next 3~5 years, the mainland's sports product market will grow by about 20%, while the group growth rate will outperform the big market.

    It is estimated that the average selling price of clothing will increase by 5~10% in the first quarter of next year, while the price of shoes will also increase.

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