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    Major Brands Have Stepped Up To Online Retailing.

    2010/8/20 11:15:00 73

    Brand Lining Adidas

      

    Adidas

    Want to use the Internet to fight the Jedi.


    According to the report, Adidas's revenue in China declined 16% in the first half of this year, becoming the six largest in the world.

    market

    The only negative growth area.

    At the same time, its revenue last year was also overtaken by Lining's strategy of "encircling the city by the countryside" with two or three lines of attack.

    Under the pressure of continuous high cost operation, the entry into the online retail market seems to be a new source of development for many international brand channels.

    Whether you can successfully snipe Nike, who has not yet touched the net, will keep the market share no longer down, and Adidas will fight for it.


    For Adidas's active help

    Internet

    To carry out B2C business, in fact, in the Chinese market, Adidas has been surpassed by Lining last year.

    Data show that in 2009, Adidas's mainland business declined sharply, and its sales volume was about 7 billion yuan, while Lining earned 8 billion 387 million yuan in China's sports brand sales position of second of its income.


    Analysts believe that

    Lining

    ,

    Anta

    The rise of domestic brands shows that the strategy of "encircling the cities by the countryside" which first captured the two or three line cities worked.

    In 2010, Lining's offensive didn't go down. Instead, he changed LOGO to take the international route and played the slogan of "post-90s Lining". In the first tier cities, he avoided the 70 and post-80s groups who had special emotional recognition for Nike and Adidas, and fought for the new generation market.


    Su Huiyan, an analyst with AI consulting, said that with the growth of online shopping population, the trend of e-commerce of traditional brands will be more obvious.


    Nike's aggressive price war is a double-edged sword.


    Like Adidas, Lining's fury makes Nike unable to sleep.


    According to the 2009 sales data, Nike, Lining and Adidas are not very different from the three.

    But unlike Adidas's strategy, Nike rarely resorted to price cuts.

    According to reports, in Nike's 2010 fiscal year conference call, Nike brand President Charlie Denson said Nike will launch NIKE series of different low price products, so as to enter China's two or three tier cities.


    In fact, at the same time when Nike talked about the price reduction, Lining had already acted against it and launched the action of raising the price.

    Reported that in the fourth quarter of this year's order meeting, Lining products footwear average unit price rose 7%, clothing rose more than 10%.

    Analysts said that this is a conscious change in the proportion of Li Ning Co's high-end product structure.


    In terms of sales channels, some dealers from domestic brands told reporters: "at present, the profit margins of brands such as Anta and Lining are generally about 5 percentage points higher than that of agent Nike.

    For the majority of small and medium-sized distributors, they will prefer to profit from the same brand. "

    However, Nike's first tier distributors such as BELLE do not necessarily have the experience and strength to penetrate into the two or three tier market, which is rather embarrassing.


    Major brands accelerate online retail


    According to the survey, many famous brands both at home and abroad have increased the emphasis on e-commerce channels.

    Lining worked with eBay to enter the British and Australian markets, and accelerated the pace of internationalization through e-commerce.


    In the eyes of many people in the industry, Lining's e-commerce model is being emulated by more enterprises.

    As early as April 2008, when the financial turmoil swept the global economy, Lining took the opportunity to set up the Ministry of electronic commerce and set up a huge online marketing system.

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