The "Jinjiang Department" Clothing Industry Starts Again At A New Starting Point.

China's sporting goods capital has a new base in Jinjiang, Xiamen Guanyin Mountain and Wuyuan Bay.

Anta, 361 degree, Jordan sports,

And gold lake...

If we count Jinjiang and PEAK, XTEP and so on, we can almost say that in the sporting goods industry, apart from the international giants Nike and Adidas, China's famous sporting goods brand only Lining [6.60 -0.15%] is not from here.

Today, they invariably move their operations headquarters to Xiamen, not only because of the preferential policies offered by Xiamen, but also more importantly, they need to expand their brand, marketing, R & D capabilities.

After a burst of growth and almost synchronous entry into a bottleneck period, these grassroots sporting goods companies have begun to try to wash away the smell of grass, correct their own pattern and vision, and learn the management capabilities that match them.

The Jinjiang department is basically an early childhood workshop. Whether it's product design or brand LOGO, it basically relies on imitating foreign brands and even Lining in China.

In the hands of Jinjiang businessmen who are good at cost control and market promotion, Jinjiang sports brand has sprung up rapidly and expanded rapidly.

This is the so-called "Jinjiang model".

But the shortcoming of this model is that it carries on with the original sin. When the enterprise becomes bigger, the problem of initial stage is exposed and enlarged.

For example, the controversy over the brand of "two Jordan" still remains unsolved.

This has led Jinjiang enterprises to realize that they are already in a higher level market system, which has completely different rules of the game.

"The brand awareness of Jinjiang enterprises is becoming more and more intense."

Jordan sports vice president Huang Tao said.

In the past, Jinjiang enterprises also attached great importance to brands, but most of them were for the need of market promotion, and "branded goods could sell higher prices".

But now, they gradually realize the deeper meaning of brand to an enterprise.

"In the context of rising raw material and labor costs, the profit margins of manufacturing industry are even narrower, and self brand is particularly important."

To some extent, it is Jinjiang's identity card that has entered the threshold of modern enterprises.

For example, for a company like Jordan sports, which sells for about three billion yuan a year, it must be mechanized, automated and pipelined, requiring extremely detailed division of labor, collaboration, more modern enterprise management, and a more humane approach to its own workers.

Just like many Jinjiang brand's running shoes advertisements will appear, the Jinjiang Department has been running forward in rain or shine, but this time, they must start on a new platform.

Jinjiang's leaders do not like to use the "Jinjiang model" to describe themselves as well as the outside world. They prefer to call it "Jinjiang experience", which is derived from Xi Jinping, vice president of the Fujian provincial governor.

Wang Maoquan, vice mayor of Jinjiang, believes that "Jinjiang experience" and Dongguan and Wenzhou belong to the manufacturing industry, but the three difference is that we have our own brand and Dongguan is a foundry.

We have a group of enterprisers who dare to create, and they are not speculative, they are very fond of home. This is the biggest resource. "

According to the China Sports Federation, the size of China's sporting goods market in 2011 was about 100 billion yuan.

According to their respective financial reports, Nike China has a sales volume of about 12 billion yuan.

China is about 10 billion yuan, Lining 8 billion 900 million yuan, the three giants occupy about 30% market share, and the remaining six are represented by the "Jinjiang system" occupied by Anta (8 billion 900 million yuan), 361 degrees, XTEP (5 billion 500 million yuan), Jordan sports (4 billion yuan) and so on.

Many areas benefit from it, such as taxation.

The sporting goods industry is a large household in Fujian.

In the 100 ranking of profits and taxes in Fujian, Anta ranked twelfth, 361st degrees ranked twenty-first, Jordan sports thirtieth, XTEP thirty-ninth.

Jinjiang is also a large labour importing market, providing jobs for 1 million migrant workers. This is not yet counted as a nationwide marketing network. Half of the pedestrian streets in most cities are "Jinjiang Street". CCTV sports channel, from column names to program advertisements, and host clothes, is almost all the figure of Jinjiang sports brand. It is nicknamed "Jinjiang sports channel". Anta also sponsored the Chinese Olympic Committee and CBA Professional Basketball League, 361 degree sponsorship CCTV5 and China Volleyball League, Jordan sports sponsorship college sports meet and winter games.

There are many foreign sports delegations and events, such as NBA, not only a lot of venues are full of "Jinjiang Department" advertisements, but also many players speak for Jinjiang sports brand, such as Anta signed garnet, Scola, PEAK sponsorship Battier, Jordan has Hayes, and Lu you choose Nash......

According to incomplete statistics, there are as many as 70 sports and movie stars engaging in brand endorsement in Jinjiang's shoes industry.

In May, the sporting goods Fair held in Beijing International Exhibition Center (New Museum), which covers an area of 150 thousand square meters, is the thirtieth session. "Jinjiang Department" has been the largest exhibitor, and has occupied more than 10% share in more than 1200 exhibitors.

So, Wang Maoquan thought, "the success of Jordan's sport is not just a name.

Before 361 degrees ago, they were called Buick, but they grew stronger after renaming.

There are so many sporting goods brands in Jinjiang that have their historical and industrial reasons. "

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The time goes back to the early 80s of last century.

The first pair of sneakers in Jinjiang was made in a family workshop in early 1980 in Jinjiang, Chen Dai Town, Yang Dai village.

Because it is located in Quanzhou, one of the oldest and largest ports in China, and separated from Taiwan, it is also the largest overseas Chinese town in China.

The local foreign trade company handed over the foreign trade order to the local shoe factory and developed the industry.

Nike, Adidas and other international brands have chosen this as a substitute factory.

This not only trains them skilled industrial workers and technology, but also gradually forms an industrial chain.

The predecessors of Anta, Jordan and other manufacturers were OEM foundries.

And as the popular Taiwanese song "love to win" is sung, "three points are doomed, seven points depend on hard work". This is the beginning of Jinjiang's commercial culture.

So OEM is not their ultimate goal.

Locals who are interested in gambling may also have a gambling nature.

These enterprises can eventually get rid of the low value-added foundry factory status, have their own brand, form "Jinjiang mode", Ding Shizhong can not fail.

In the late 1990s, under the leadership of Ding Shizhong, Anta began to explore the road of independent brand.

This is an adventure.

In 1999, when Anta's annual sales revenue was only 50 million yuan, and its profit was only 4 million yuan, the Chinese table tennis player Kong Linghui was hired as the spokesperson of Anta brand for 800 thousand yuan.

Luckily, Kong Linghui won the gold medal at the 2000 Sydney Olympic Games, and Anta became famous. The slogan "I choose, I like" was once popular, and every big business followed suit.

The final result is that according to the data provided by the Jinjiang Municipal Economic Development Bureau, Jinjiang now has about 1 billion pairs of tourist sports shoes annually, about half of the country's sports shoes and nearly 1/3 of the world's sports shoes.

Jinjiang also owns 123 "Guo Zi" brand, including 96 famous trademarks in China, 24 famous brand products in China and 2 famous international brands.

These figures indicate that Jinjiang has formed a number of mature industrial clusters and brand clusters.

"Industrial cluster effect certainly means mature industrial chain, low procurement and logistics costs, abundant R & D, design and other supporting capabilities."

Wang Maoquan said.

This is the cumulative historical advantage of Jinjiang.

But in the new situation of rising costs and slowing growth, the industrial cluster effect is being challenged.

Reshuffle

Sports marketing expert, serving Anta for many years.

Li Yize, the head of the Jinjiang media, has witnessed the development of the "Jinjiang Department" in recent years. He believes that although many enterprises like to invite celebrities to speak for themselves, many enterprises have fallen down in recent years. The development of the brand is not only based on advertising endorsements.

"Taking Anta as an example, opening sports marketing is the biggest secret of their success.

In addition to hiring Kong Linghui in 1999, in 2004, they signed the "CBA only designated sports equipment" for 7 years at the price of 25 million yuan per year under the condition of annual sales of only 310 million yuan.

Now they have established a pyramid sponsorship system from the NBA superstar to the CBA League and the University League, and the signing of the Chinese Olympic Committee has enhanced the brand reputation.

Li Yize said.

A figure recorded in the Autobiography of Basketball Management Center of the former State Sports General Administration, "basketball world Fengyun road", has also verified the above view: "after signing with CBA, Anta's sales in 2005 amounted to 670 million, 1 billion 250 million in 2006, 2 billion 980 million in 2007, 4 billion 630 million in 2008, 5 billion 870 million in 2009, and the growth rate was nearly 100% per year" in 2005.

Today, the two sides have expired, and it is reported that the new contract price will reach 100 million yuan per year.

"Choosing the right main product is also the key to success.

Lining has pushed the football game but failed. Now, the main goal of badminton is also questionable. How big is the consumption power of badminton? Hongxing Erke plays tennis and does not match the brand image. Now it has been delisted in Singapore. Delhi and other main fashion lines are now facing a development crisis. Including XTEP, although sales are second only to Anta, their main sales areas are concentrated in Hunan, because they have dropped the naming right of the Hunan satellite TV trump column "up to day" with a huge sum of 130 million yuan, but the sale is too concentrated in one area, which is obviously risky.

Li Yize said, "Anta, PEAK, Jordan sports and so on are concentrating on basketball, which is deeply studied.

Although soccer is the most expensive sport in the world, its market is huge, but its image is low in China. Although track and field is the mother of sports, it has no market appeal and consumption power. Only basketball has a broad mass base and is suitable for consumption, and Yao Ming's appearance has greatly promoted the development of Chinese basketball.

The role of dealers is also crucial, especially for those companies that have similar products.

"Why are Jinjiang companies keen to hire celebrity endorsements? Apart from attracting consumers, there is another important reason to attract distributors. Dealers often decide how much to buy based on the level of endorsement stars and the intensity of advertising, because this is directly related to their sales."

Li Yize introduced the annual dealer conference.

Jordan sports has always maintained a positive interaction with distributors. Their general manager, Ni Zhennian, is a dealer. When Jordan was hit by a financial crisis in 2009, Jordan sports also provided 30 million yuan from her profits to subsidize distributors nationwide.

Huang Tao believes that the market is reshuffling, and the market in the next 60% will be concentrated in 3~5 enterprises.

If we want to win the future competition, we must take the road of brand cluster and technology cluster.

Huang Tao did not think that inventory was the main pressure.

"Clothing industry is ahead of six months of production and delivery, if the market is expected to grow at a rate of 50%, and the actual market is only 20%, then the stock will be backlog after two quarters.

With the explosive growth of the 2008 Beijing Olympic Games as the backdrop, no one will think that the market will grow at the speed of 30%-50%, and only need to lower expectations, and the backlog will naturally decrease.

As Adidas did before 2009, Lining is also reducing inventories.

Nor does he think he can continue to rely on big stores.

Lining's declining orders and closing some of the poorly sold stores have been widely reported by Li Ning Co as negative news, leading to a 10% drop in Lining's share price in Hong Kong for several consecutive days.

However, it has proved that Lining, the first sports brand in China, is a pioneer of the industry. He has experienced the "cold and warm" market before other domestic brands, and also shows their foresight and judgement on the development of the industry.

Anta, PEAK and so on also reduced the scale of stores, and also saw a sharp decline in the speed of development.

"With the rise of rent, it is inevitable that those inefficient shops will eventually be eliminated, and the way to open stores is certainly not sustainable."

Huang Tao said, "what really needs to be done is how to attract consumers in similar products."

These brands are all originated from foundry, and the products are homogenized.

"Our train of thought is that sports brands should emphasize professionalization and technology.

At present, some of the brands that have taken different routes and fashion oriented brands have encountered crises. They also reflect the importance of professionalization and technology of sports brands.

Indeed, Kappa, kappa, del Hui, Hongxing Erke and other fashion sports brands have experienced a sharp decline in sales in the past year.

Therefore, more and more enterprises move their operation headquarters to Xiamen, because here is more internationalized than Jinjiang, and has more resources to attract more talents.

Anta set up a national laboratory here; Jordan sports introduced the RTT (real time technology, instant Technology) system.

On the one hand, it helps designers to see the 3D modeling products in real time, see what they can get, just like the car design laboratory. On the other hand, we study the shop display revolution and add touch screen technology outside the shop to attract more customers into the store.

But objectively speaking, promoting brand is not so easy.

Especially in Jinjiang, here are the dragon and the wolf, the Meck, the flying, the Anta, the Kang Tai and the sharp step.

In response, the Jinjiang government believes that "this is not a question of intellectual property rights, and everyone has the right to name it."

Wang Maoquan, vice mayor of Jinjiang, said he did not think that the "Jinjiang Department" product was homogenized, but rather a competition and a friend.