Sports Brands Drop Inventory And Change Sales Volume

The near future,

The listed companies have published semi annual reports, and the lid is unpredictable.

High inventory and big delay

Initially, Lining's inventory was increased by Li Ning Co. Last year, he entered a troubled period: slow progress in brand pformation strategy, frequent departure of executives and quarterly rise in stock, followed by a decline in revenues and a drop in performance. Li Ning Co's interim report showed that net profit in the first half of this year dropped by 80% compared with the same period last year.

This year, the major sports brands followed Lining.

Problem, the China Daily reported that Anta's stock was 628 million, XTEP was 701 million, PEAK was 529 million, and at least 361 was 366 million.

The inventory of all major brands is all over the alert, which will jeopardize the healthy development of the brand.

What's interesting is that the number of international first-line brands in China has also increased significantly. Nike's earnings show that its stock in the Greater China region has increased significantly to US $about three billion, and China's trend has also seen a decline in revenues and a sharp increase in inventories.

This shows that the inventory problem is a global problem, not a problem of individual brands. This shows that the market demand is declining, and everyone has a collective miscarriage of justice.

Every trick to digest inventory

Inventory is very important for garment enterprises. The inventory is too large to occupy the funds of enterprises, so it is difficult for enterprises to turn around.

The key is that the risk of clothing inventory is huge, and inventory may depreciate to zero for more than three years.

Therefore, in the face of high inventory, the brand is not afraid of anything.

Company airborne foreign TPG professional team is responsible for digestion inventory; PEAK and other announced the reduction of wholesale price concessions dealers, retail discounts, increase the profit of consumers and other measures to deal with inventory.

Some analysis shows that the market of sports brand is difficult to improve in the short term, and it is the best choice to deal with inventory quickly.