Anta Is Heading For High End -- Dilemma

Anta's brand surpasses Nike and ADI. It is a persistent desire of Anta and its brand director, but it is not an unwise wish. It is not because it is impossible.

The statement on finance and economics is wrong: Nike, Adidas are the first line brands, and Lining and Anta are second line brands.

Why is it wrong?

Because their brand target market positioning is different, Nike and other high-end positioning, Lining and so on are located in the mid-range.

We have no reason to say that positioning high-end brands is the first line.

Of course, the performance of Nike and ADI in the market is really good. However, they perform well in Lining, Anta's target segment market - the mid-range market.

The correct expression should be this: in Nike, ADI, Puma, Reebok, MIZUNO and other brands, Nike and Adi are first-line brands, Puma, Puma and brand are second line brands. All of these brands have positioned themselves in high-end.

What does this have to do with the unwise wishes of Anta's brand?

Nike and Adi moved from the city to the countryside and directly occupied the big cities such as Shanghai and Beijing as the base areas, and then moved to the second tier market. The level of consumption coincided with the high-end positioning of the brand. The development was swift and the performance was gratifying. We saw the power of strategy. In the past decade, Anta's strategy of "encircling the cities in the countryside" was right for the cities and two or three tier cities to surround big cities, avoiding the direct confrontation with the high-end brands, and seeking survival, development and growth in the middle market segments.

In the Chinese sporting goods market, Nike, ADI and so on, relying on the strength of multinational companies, huge R & D investment, super star endorsement, global marketing network, superb marketing skills and the most powerful brand appeal, have occupied the international and domestic high-end markets. They are well deserved world brands, the spiritual beliefs of sports brands, the "first-line brands" that the authors describe, while Anta has a relatively large gap compared to them in terms of product prices, target market positioning, R & D strength, brand appeal and so on, giving retailers, retailers and consumers a kind of "mid-range brand" impression, a strong mid-range brand.

In fact, there is nothing wrong with it, because Anta has been recognized in the middle market segment and has made great achievements.

Is it not necessary to take the opportunity to extend or pform to the high end to achieve long-term desire?

The problem is here!

In fact, today's consumer demand is diversified and complex, and market segmentation is an important marketing method for complex market.

Sports goods market can be roughly roughly divided into high-end, medium high, medium, low, low grade and other market segments, Nike, ADI occupy high-end market, second tier brands such as Puma, Reebok, CONVERSE occupy the middle and high market, Lining and Anta occupy the middle market segments.

Now, assuming that Anta is extending or changing to the middle and high end market segments, the Anta brand director will have to conceive of the brand's pcendence competition -- surpassing Nike and ADI's tactics and strategies, for example, the international top sports superstars endorsement, becoming the partner of the Olympic Games, constantly updating the product technology and improving the product design ability, and so on, so as to enhance the Anta brand's height.

Anta has no chance to become a partner of the 2008 Beijing Olympic Games, because in January 24, 2005, at the Beijing Olympic Center, Wang Wei, executive vice president of the Beijing Olympic Committee and Sandrine, President of Adidas Greater China, respectively signed the cooperation agreement - ADI became the seventh partner of the Beijing 2008 Olympic Games, sponsoring 1 billion 300 million yuan.

This means that all members of the Chinese Olympic team and staff members and technical officials who will participate in the Winter Olympic Games and the 08 Olympic Games in the 2008 Beijing Olympic Games and the Paralympic Games in Beijing will wear the sports clothes printed with the "ADIDAS" logo. This will surely establish the height of Adidas among many sports brands. When the banner of the ADI logo and the five-star red flag are displayed at the conference site, it will again and again maintain and enhance the high-end image of Adidas again.

Adidas has a long history of contact with the Olympic Games. Adidas sports shoes were first seen in the 1928 Olympic Games.

When Anta goes to the high end without considering its financial strength and operational skills, what will happen?

First, upgrading Anta brand is very difficult. The brand accumulation needs a relatively long period of time. The number of high-end brands is limited. Puma, Reebok, KAPPA, MIZUNO, CONVERSE and so on have a higher brand height, and "too many brands are first-rate brand, so there is no brand name".

Two, the high-end market is hard to get consumer recognition. Because Anta brand is difficult to go up to a higher level in the short term, if Anta extends or changes to high-end brand, its product price will be hard to be recognized by consumers, because "as" high-end brand, its price must be "shoulder to shoulder" with Nike and Adi, but the brand height is not enough. How can consumers accept it?

Three, may miss the middle market segments, with Anta "to enhance brand height", then the brand communication, marketing and so on, the cost will inevitably rise, product prices to high-end brands, the original consumption level concentrated in 100-200 yuan of mid-range consumers must turn their attention to mid-range XTEP, 361 degrees, Hongxing Erke, Jordan and other brands.

This is probably the consequence of Anta's brand strategy.

People with a little marketing knowledge know that a brand can not cover all the market segments.

Market needs to be subdivided, brand positioning also needs to be segmented, positioning high-end, mid-range, low end, etc.

Nike not long ago, in view of the exuberant demand and rapid growth in the mid-range market, it was "ready to move" and developed mid-range products, but it was rejected by the market.

Why?

A pair of 100-200 Nike sports shoes, do you want them?

Imitation cards, B products and fake goods are the reactions of consumers to brand products whose prices are far below the brand height.

And high-end consumers are bound to be unacceptable. Their beloved high-end brands have become low-end brands.

Nike quickly stopped.

So, the author's suggestion for Anta's brand management strategy is to consolidate and maintain it based on the favorable market segment (the consumer group is much larger than the high-end market).

Fine determination is located in the mid-range market, not considering the brand's high position beyond Nike, ADI and other high-end brands. Considering that it goes beyond Lining, this is only from brand positioning, rather than the company's business level.

The company is the first and has always adhered to the clear position of "intermediate car". No matter the manager or ordinary employee, it can almost clearly and accurately say this position, whether in the era of joint venture or in the era of independent brand.

In the first place, the hippocampal automobile and the prima horse entered the market with the intermediate car posture, one is the intermediate sedan chair market, the other is the intermediate commercial vehicle market.

Based on its accumulated "intermediate car" brand effect, it is also because of its "intermediate vehicle" market channel, clear and precise market strategy construction, so that its sales performance is staggering.

Rolls-Royce, Mercedes Benz, BMW and Audi, all of the world's top manufacturers, have no intention of focusing.

Based on the rigorous and even abnormal focus of the car making process, production process and market concept, they can become an indisputable king in their respective market segments.

When it comes to cars, there may be readers who question Toyota Corporation's brand operation. Toyota Corporation's automobile brands can name a few, such as Wei Chi, Lexus, Camry and crown. "Is Toyota Corporation not covering all market segments with a brand"?

Toyota Corporation is relying on its strong corporate strength to adopt multi brand strategy to deal with various market segments. Wei Chi is positioned in the middle and low market, Camry in the mid-range market, Lexus and crown (using their own logo) in the high-end market.

Can Anta also extend its product line with multi brand strategy or sub brand strategy?

The brand of sporting goods market has few precedents for the use of multi brand (or sub brand) strategy. The leader brand Nike and Adi are only focused on running good brand brands. Besides, the sporting goods market is different from that of the automotive industry. Even if this strategy is feasible, it needs to be further promoted by Anta's strength.

The mid-range Anta will go better and further.