What Did Fujian Sports Brand Listing Campaign Bring?

From small workshops to self created brands to financing and listing, many Fujian sports shoes enterprises are walking the same road, and the speed of their brand development is amazing. With the continuous strengthening of the brand's business foundation, more and more sports shoe enterprises begin to seek listing and integration, and the whole sporting goods industry is also beginning to mature.

Why go ahead?

At present, judging from the category of listed footwear enterprises, sports brands should precede shoes such as leather shoes and leather shoes. From the perspective of listed footwear enterprises, Fujian enterprises should be ahead of shoe manufacturers in Wenzhou and Guangzhou. The reasons are not only related to the unique geographical characteristics of Fujian, but also from the tradition of "walking together" by Fujian shoe enterprises and the strong support of the government.

In the early stage of enterprise development, Fujian shoe enterprises, like many shoe enterprises in Guangdong and other places, have gone through the peak period of OEM. However, compared with the Guangdong footwear enterprises, which have been dominated by the outward oriented economy for many years and have a deeper industrial foundation, Fujian shoe enterprises are not dominant in this respect. If OEM alone, there is only one way to go. If we want to grasp the initiative and break through the growth, we must adjust our business mentality.

As a result, after entering the 90s of last century, when Guangdong and other shoe companies were still intoxicated by the "pleasure" brought about by OEM operation, many Fujian sports shoes enterprises have begun to change their business strategy and seize the growth opportunities and successfully spanform OEM business into their own brand enterprises.

It is precisely because of this collective awakening of brand awareness that the Fujian sports brand ushered in the "explosive" growth of the market after 2000, and all brands fought fiercely in the expansion of terminal channels, advertising investment and sponsorship. In this case, if there is no strong capital strength to support, brand development will inevitably be weak. Therefore, listing has become the choice of many sports shoes enterprises in Fujian, and a large amount of funds raised by listing has also become an important guarantee for its "two leaps".

Since 2000, Fujian sports shoe enterprises have maintained an amazing "step by step" in sports star endorsement, idol endorsement, diversified product development, sponsorship of sports events, operation of franchised stores and construction of industrial parks.

As early as in 1999, Anta promoted its sales and rapid development by means of "CCTV + sports stars". In the following years, according to statistics, more than 40 Quanzhou sports brands imitated the "licensing" mode, and invited celebrities and CCTV in succession.

The evaluation of the sports shoes in Jinjiang is mixed. Whether unified action to attack capital market is a clever move or a dangerous move has also become a hot topic in the industry.

Some experts said: "for a relatively small number of sub sectors, it is difficult to arouse the attention of analysts and market recognition. Collective listing will produce some synergy effect, but the future trend also depends on the brand itself."

In addition, Fujian sports shoe enterprises' vigorous "listing campaign" has also attracted the support and attention of the sports administrative departments and the government. It is reported that Jinjiang has set up special funds to support enterprises' restructuring and listing, and the company can get at least 4 million of its financial subsidies on the market. At the same time, it provides comprehensive guidance and support to enterprises in terms of listing qualification, steps, risk assessment and economic research.

With the powerful push of the invisible hand of the government, more and more Fujian shoe enterprises began to hope to break through and grow by listing.

What did the listing bring?

Being bigger and stronger is the eternal theme of enterprises. It is also the dream of every shoe listed company in Fujian. After the listing, Fujian sports shoes enterprises have invested most of their funds in brand promotion and channel construction. At the same time, they have greatly expanded production capacity, increased R & D, strengthened brand influence and expanded channels through input, improved and consolidated market share, and provided a solid backing for their further development. {page_break}

However, the market brings Fujian sports shoes enterprises not only these.

"Listing is also conducive to enhancing company awareness and attracting and retaining talented people," said a listed consultant, but more importantly, it provided impetus to enhance the company's internal control and management mechanism. "Most of Fujian shoes enterprises are family enterprises. After these enterprises are listed, they can not only obtain huge sums of money, enhance their competitive strength, and realize the continuous development of the enterprises. The restructuring and optimization of the subordinate enterprises can make the company's assets more reasonable and the organization structure clearer." It can also get efficient supervision from the capital market and create a good external environment for its operation.

The significance of listing is: first, listing means high spanparency, which can enhance enterprise's institutionalized management and reasonable process, and finally form a gathering force and backbone. Secondly, listed companies can raise public funds, which can be used to expand production, brand promotion and other aspects of financial support. Besides, listing is conducive to the integration and optimization of resources among enterprises. Zhu Guohe, general manager of Tianyuan planning and advertising, said.

Before listing, many shoe companies in Fujian have problems of flexibility and lack of standardization. Especially after the peak of 2008, the development of sports goods industry began to slow down in recent years. Relying solely on the natural growth of consumers, it has been unable to support the whole market. In order to find new growth points, the operation and development of enterprises need to be more standardized, and the role of listing in the standardization construction of enterprises is obvious.

Some experts said that for the footwear industry, capital operation is a qualitative improvement. With the capital platform, the capital of enterprises will be enriched, attracting more talents to join, controlling more resources, standardizing enterprise management, and continuously enhancing the strength of enterprises. But at the same time, listing is a systematic project, which requires enterprises to be fully prepared, and capital needs to be quickly rewarded. If there is no good foundation and can not achieve rapid growth, capital will become a "bitter water".

Opening up a new era of capital operation

Nowadays, as more and more Fujian shoe companies rush to the capital market, the sports brands such as Anta and 361 degrees which have successfully listed in Hongkong have already played a leading role in the early stage. But they are just the epitome of many Fujian shoe companies listing Longmen through the listing, or the first party of sports shoes enterprises entering the capital market. With the increasingly prominent brand role of capital raising, the second phalanx of sports shoe enterprises will also appear in the future.

In this regard, some experts said that although there are few sports shoes companies listed in Fujian, the reserve force of its listed companies is sufficient. These shoe companies are not only highly qualified, but also after years of preparation, they have also greatly strengthened their understanding of the capital market, and their capital operation power has also greatly improved.

But on the other hand, for the second tier or even three line "camp" sports shoes enterprises that have not yet been listed in Fujian, with the completion of the listing of enterprises in the first tier camp, the limited market will gradually be partitioned and grabbed, and its future survival pressure will also increase.

At the same time, under the influence of powerful capital strength, the listed advantageous brands may have some competitive advantages in the field of segmentation, but the enterprises with smaller scale and less capital will be annexed and reorganized. Is it to become the unfortunate integrator? Or to get rid of the enormous competition pressure and seek breakthroughs with the help of listing? Many small and medium sized sports brands in Fujian are facing severe tests.

Although listing is the only way for an enterprise to become bigger and stronger, it will bring great trouble to the future development of enterprises if the "foundation" is not packaged properly. If the enterprises listed on the "false appearance" package are not able to operate according to the promised return, the negative news will soon spread. Originally wanted to borrow the strength of listing the brand, but will bear huge market pressure.

"Every industry is full of" packaged "listed enterprises. Such enterprises do not have the level required by the listed companies, which results in poor results due to the failure to find core bursts, which is related to factors such as maturity of the industry and lack of professionalism. Zhu Guohe said.

For Fujian sports shoe enterprises, we should break through the bottleneck of development and move towards the top end of the industrial chain. We should also take a correct view of the power of capital and do not think that with the power of capital, we can solve all problems. Capital can only be icing on the cake, let enterprises maximize their allocation and maximize profits and capital appreciation. If the enterprise itself does not have clear strategic planning and profit growth channels for its future, even with capital support, it will only lead to a bigger development crisis. Capital management is not isolated. It must be integrated with brand and industry integration.

Editor's note: Overall, in the future, capital competition will be an irresistible trend. The successful operation of capital operation will further enlarge the advantage of brand management, and at the same time, capital operation will make the whole shoe market more clear. For the sporting goods market that is in the period of adjustment, the listing boom will continue to take place, and the new era of capital operation and competition will also start.