Anta Lining XTEP After The London Olympic Games, The Stock Price Pullbacks.

　　 Anta "Olympic dragon suit" and Lining's sponsored "Chi Lin" competition suit. At the just concluded London Olympic Games, with China's Olympic athletes cutting gold and taking silver, the domestic sports brands that had smashed up heavy gold for Olympic marketing also took the lead. During the Olympic Games, share prices soared. However, it is difficult to help the domestic sports brands out of the predicament, because they are trapped in high inventory, declining sales volume and difficulties in capital chain.

After the Olympic Games, the stock price has been callback.

At the London Olympic Games, the domestic sports brand can be seen in front of the stage, and the "mix and match wind" of Yi Siling's Anta jacket and Lining's underwear has become a trend for a while.

As the most senior strategic partner of the Chinese Olympic Committee, Anta invested more than 600 million yuan in London Olympic Games. Lining is also not to be outdone. Apart from providing a full set of Olympic equipment for the Chinese table tennis team, gymnastics team, badminton team, diving team and shooting team, he also sponsored a group of famous world athletes such as Jamaica flying man Asafa Powell. Peak 361 degrees and other brands have also spared no expense to launch a group of delegations from dozens of countries in Asia and Africa.

According to the analysis of China Merchants Securities, the average investment of domestic sports brands in Olympic marketing this year exceeded 100 million yuan, and its advertising cost increased by 1 to 2 percentage points in proportion to sales volume.

Under heavy gold, the effect is immediate. The share price of domestic sports brands soared during the Olympic Games. In August 6th alone, Anta's stock price rose by 17.25%. The average overall sports gain of the domestic sports brand in the whole London Olympics was nearly 1.

However, the good times are not long. Sports brand stock price Collective callbacks. On the 13 day, all sports brands such as Anta, Lining and XTEP fell, of which Anta and Lining fell by nearly 3%.

"Although the Olympics are good for brand promotion, it has limited impact on increasing revenue." Ceng Yanling, a researcher at the Hong Kong stock exchange, said that compared with the Beijing Olympics, the attention of the media and the public to the London Olympics has obviously dropped to a level. Coupled with jet lag, Chinese consumers are much less concerned about the Olympic Games and have limited marketing effectiveness. Short term Olympic marketing, it is difficult to solve the long-standing problems of domestic sports brands.

It's hard to walk on the "three mountains".

The flash in the stock market reflects the difficult situation of the whole domestic sports brand. Since the two quarter of last year, high inventory, low sales volume and difficulty in capital chain have become the "three big mountains" on domestic sports brands.

Anta sports released the first half of the financial report shows that from 1 to June this year, its turnover was 3 billion 934 million yuan, down 11.6%, gross profit 1 billion 644 million yuan, down 13.7%. Lining, XTEP, PEAK and other brands have not released annual reports, but the latest order data and planned new stores in 2013 are at the worst level in recent years.

Inventory problems make brands most troublesome. Data show that Lining's inventory in 2011 has reached 1 billion 130 million yuan, two times the 2008 Beijing Olympic Games; Anta stock 618 million yuan, XTEP inventory 671 million yuan, 361 degrees inventory 451 million yuan, a huge amount.

High storage naturally occupies a large amount of working capital. Lining's annual report shows that last year's capital turnover period was 73 days, an increase of 21 days over 2010, resulting in tension in the capital chain of enterprises and repeated sale and discounts.

Expert weapon

The key to getting rid of difficulties lies in the development of differentiation.

The domestic sports brand is heavily valued, but the Olympic Games have little effect, so that the industry is beginning to think about the way out for the domestic sports brand.

"At present, the domestic sports brands can be described as internal worries and difficulties, and they can not rely on a marketing strategy for betting style if they want to change." Brand strategy expert Li Guangdou said.

The survival environment of domestic sports brand is different from that of Beijing Olympic Games. The European debt crisis has increased the pressure of domestic sales, while the homogenization of competition in the domestic market has depressed the profit margins. In the situation of high premium "foreign brands" Nike and Adidas two giants firmly control the high-end market of domestic sports brands, the domestic sports brands can only get rid of difficulties only by differentiating competition and refining market positioning.

Li Guangdou suggested that domestic sports brands should first reduce the "high" market expectations, save money and slow down the pace of expansion. Then we can find the right location and formulate our own brand strategy to improve the added value of the product. "Sports brand has spiritual and cultural connotation. If local brands want to break through, they need to combine with fashion, art and other elements to create their own cultural symbols."