Sports Brand Repeats "Expensive Clothes"?
Since the first quarter of the price increase, many domestic sports brands including Lining began brewing a new round of price increases. Today, when cotton prices fall from high, the theory of "rising costs" is no longer tenable, but why do many brands continue to raise prices?
Sports brand rises
Reporters learned from some domestic sports brand enterprises that a new round of price increases is brewing in the industry. Xu Ruikun, Lining's public relations manager, confirmed to reporters that Lining's fourth quarter orders will end at the end of June, of which the average retail price of clothing and footwear products has increased by more than 10%, compared with the 8% increase in the first half of this year, and the cost factor has led to a much higher price.
In addition, an insider of Anta revealed that the retail price of the market had been adjusted before. However, since Anta will announce its first half performance in August, the company will probably adjust its price in the fourth quarter according to the actual situation.
In fact, this is not the first price increase in a sports brand year. As early as the end of March this year, Nike "led" triggered a number of domestic brands "follow suit" to raise product prices, some of the product price increase reached two digits, after two consecutive price increases, the price of sports brand has been "one mountain is higher than one mountain".
In the face of the rising price of domestic sports brands, consumers have said that they can't afford to hurt. Many netizens have made fun of it: "Lining, it is possible to raise prices". "Anta, the price rises will never stop", "361 degrees, more than one yuan"...
Price rise "coincidentally" as what?
Reporters found that the price of "crazy cotton", which was once the main driver of price adjustment in the last round of sports brands, has actually dropped from high and is hard to become a reason for the price rise of sports brands. The Zhengzhou futures exchange's near delivery month settlement price has dropped from 30 thousand yuan after the Spring Festival to 24 thousand yuan level. The main reason for supporting the price of several sports brands in the first quarter has been untenable, and the domestic sports brand has chosen to adjust the price again at this time, which is surprising.
Similarly, as one of the raw materials of clothing, the price of chemical fiber has dropped markedly after entering the second quarter. According to the data of China textile net, the price of PTA in the East China market has dropped by more than 16% in the past three months. "Compared to the high price in 3 and April, the price of PTA is falling further. It seems that the price of sports brand is not up to date now." Liu Xintian, editor in chief of commodity data business, said.
Repeated increases in price are contusions to some extent. Market sales volume 。 Taking Lining as an example, the increase in prices has led to the decline in orders for clothing and footwear products in the second quarter of this year by more than 7% and 8% respectively.
Bid farewell to "be" to raise prices should be multi pronged.
Reporters found that although the "cost push" factor can not be ignored, but careful accounting, part of the enterprises to maintain high profit margins and price increases, is only the "can not stand" people from shareholders to consumers.
"The growth of domestic sports brand sales largely depends on its low price advantage compared with the international sports brand, but through several rounds of price increases, this price advantage has gradually weakened, and the price of some domestic sports shoes is almost the same as that of the international brand Adidas and Nike, which will have a certain impact on its sales volume." Zhang Yanlin, research director of CIC, said.
Industry experts pointed out that in the competition with international brands, domestic brands must recognize their target groups, and can not easily follow suit and raise prices. They must "preserve quality and protect prices". Local brands should be cautious in adjusting prices, and they should not "rise in line". When we really need to adjust prices, we must have a clear price gradient for price adjustment time, price adjustment and price adjustment areas, so as to reduce the loss of consumers.
"Speeding up the introduction of new products can also increase profit margins and pressure on enterprises to increase costs, which is very important for garment enterprises. This is not only easier to satisfy consumers' shopping psychology and desire to buy, speed up the inventory turnover of enterprises, but also increase consumer acceptance of price increases gradually. Zhang Qing, President of brand promotion research institute "key sports", said.
Qi Xiaozhai, director of the Shanghai business and Economic Research Center, and other experts suggest that enterprises should face up to consumers' feelings and digest the cost through more reasonable deployment of advertising investment and management of sales promotion personnel. In addition to traditional hypermarkets and other channels, businesses can also try shop sales such as Internet marketing.
In addition, the entry fees, shelves fees and promotion fees charged by retail terminals such as hypermarkets are more complicated and the relevant departments should regulate them.
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