Foreign Shoe Companies Compete For New Chinese Footwear Market At Low Prices

Recently, Adidas announced the first three quarters of Greater China. Sales volume Up to 900 million euros, compared with 721 million euros in the same period last year, an increase of 25% over the same period last year, excluding the exchange rate factor, an increase of 28% over the previous year, ranking the six largest in Adidas. market First place. Compared with the rapid growth of Adidas's performance, the performance of domestic sports brands is not optimistic. In the third quarter, many domestic companies including Lining, Anta, PEAK, etc. motion Brand is affected by different degrees of inventory, and the growth of performance is slowing down.

The decline in sales performance of domestic sports brands is closely related to the sinking of the two or three line market in the international brand channel. The two or three line market competition is becoming more and more intense, and the pressure on domestic sports brands will also increase. As of the end of June 2011, Adidas has more than 6000 chain stores in China. In its channel system, the sales price of NEO products, which are significantly lower than Adidas brand, has reached about 900. This is mainly aimed at the products of consumers in China's small and medium-sized cities, and is conducive to Adidas's penetration into small and medium-sized cities.

In the plan for the next 5 years released by Nike and Adi last year, they all said they would increase the intensity of the two or three line market expansion, and will launch products that are closer to the two or three line market and echo the main market of domestic sports brands. So far, domestic sports brand sales outlets have 70% layout in the two or three line market, and the increase in the number of stores in the two or three line market is one of the driving forces for the growth of domestic sports brand performance. But at present, in the two or three line market, the number of sporting goods stores at home and abroad has reached more than 40 thousand, and the consumption potential of sports goods market has basically been excavated, making it harder to make money in new stores.

As Nike and Adidas continue to launch all kinds of low price competition for China's two or three line market, coupled with the fact that Chinese consumers' brand loyalty is not high, the impact of local sports brands will be more and more serious. In such a situation, what will the domestic sports brand compete with the international brand? What tactics will be used to win the battle? This is the moment when the domestic sports brand "shears" and changes.