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    Nike, A Shoe Maker, Says It Will Not Enter China'S Two Or Three Tier Cities With A Low Price Strategy.

    2011/3/5 9:15:00 83

    Nike Logistics Operation

      

    Nike

    The group announced recently that it is located in Taicang, Jiangsu, China's logistics center, which is Nike group's largest in Asia.

    logistics

    The center is officially operated.

    Does this mean that Nike will speed up its march in China's two or three tier cities? Nike group's head of public relations has revealed that Nike will not adopt low-cost strategy expansion.


     

    reach

    Two thousand and fifteen

    Fiscal year


    Double business in China


    Nike China logistics center has a floor area of 200 thousand square meters. It aims to become the first Chinese green building evaluation index system (LEED) established by the American green building association and the new building certification storage facility.

    At present, apart from Nike China logistics center, Nike has 6 logistics centers in other countries in the world, which are located in Belgium, the United States, Canada, Japan and Korea.


    According to the relevant person in charge of Nike, the advanced sorting equipment of Nike China logistics center can easily meet the needs of customers' orders, especially for large orders containing multiple products and efficient and accurate delivery.


    Nike China logistics center will be responsible for logistics operations in the mainland including clothing, footwear, sports equipment and Nike golf products.

    Through the application of innovative technology, the logistics center will shorten the delivery time and optimize the overall logistics operation process.


    Qi Kaige, vice president of Nike group and general manager of Greater China, said: "the completion of Nike global logistics center represents Nike's commitment to adhering to the concept of environmental protection in the operation of Greater China business.

    China is already the second largest market of Nike group in the world.

    We are striving to achieve the goal of doubling China's business in the 2015 fiscal year. "


    Do not enter with low price strategy


    China's two or three tier cities


    If Jiangsu is set up as a logistics center, does it mean that Nike will speed up its march in China's two or three tier cities? How can Nike group get a wider market in the two or three tier cities? Nike's head of public relations department revealed: "Nike will not enter the second tier and three tier cities in China with low price strategy.

    Providing high performance retail products is a top priority for Nike. "


    In China, Nike has made the retail experience more in-depth, that is, providing customized services and more product information.

    Nike has opened high-end experience stores for consumers in Beijing and Shanghai, so that they can experience Nike's most innovative products.

    Nike will work with retail partners to expand this brand experience to smaller cities in China other than Beijing and Shanghai.

    This is not just achieved by increasing sales outlets, but by providing a comprehensive and multi brand approach to provide consumers with the best experience.

    These include offering products of various categories and corresponding prices for consumers at all levels.


    250-300 new stores will be opened in the world in the next 5 years.


    The deployment of the largest logistics center in the Asia Pacific region has led people to speculate on Nike's China expansion plan.

    As early as 2010, Nike's expansion plan has started.

    Nike opened its Citadel discount store in Losangeles, the fifteenth factory outlet in California, Nike.

    It is reported that in the next 5 years, Nike will open 250-300 new stores in the world, so as to echo the plan of expanding the global retail market.

    It is reported that the expansion plan includes 155 factory outlets owned by the company in the United States.


    According to a statement issued by Nike, Nike's expansion plan includes factory outlets and Nike city chains in discount stores, and sells new and exclusive items that are usually seen in high-end shopping centers.


    Jeff Nichols, general manager of Nike North American factory outlets, said the Citadel discount store is one of Nike's 5 Nike factory outlets in the United States this year, and is also the first factory with two floors of Nike.

    The other 4 factories are located in Alabama, Washington, North California and Utah.


    Nicholls said: "Nike's global plan is to open hundreds of new stores in the next 5 years, but we plan to open 5 factory outlets every year in the United States.

    The biggest difference between factory outlets in Losangeles and other shops is that a whole layer of space is left for women's wear and sportswear.

    Our factory outlets are located on the two floor H&M next door, which gives us a unique opportunity to own a two storey shop that has never really owned it.


    200 thousand square meters


    The construction area of Nike China logistics center is 200 thousand square meters.


    1800 jobs


    During the construction period, 1800 jobs were provided to the local government.


    1500 long-term jobs


    By 2015, it will provide 1500 long-term jobs for the local government.


    7 logistics centers


    Nike has 7 logistics centers worldwide, which are located in Belgium, the United States, Canada, Japan, Korea and China.

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