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Lining, Anta, XTEP And Other Sports Brand Stores Are Selling At A Discount To Cope With Huge Inventory.

2013/1/4 8:44:00 66

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from Jinjiang's Quan an road to < a target= "_blank" href= "http://www.91se91.com/" > shoes < /a > all roads, everywhere Anta, XTEP, 31st degree, PEAK these familiar brand of domestic sports brand stores.

In the birthplace of these sports brands, Chen Dai Town, Jinjiang, is surrounded by thousands of shoe factories and supporting manufacturers.

data show that there are more than 3000 footwear manufacturers in Jinjiang, with 1 billion pairs of shoes per year.

Among them, sports, < a href= "http://sjfzxm.com/news/index_x.asp" > travel shoes < /a > accounted for 40% of the total output of the country and 20% of the world's total output.

"P" > brand clustering and crazy expansion once brought rocket growth to these sporting goods enterprises. However, facing the direct competition of foreign sports brands and the double-sided attack of domestic market consumption, these enterprises are facing unprecedented difficulties.

strong > expansion and deceleration

in the major sports brand stores in the country, we can see that whether Anta, XTEP, PEAK or 331 degrees, the new products in 2012 can be hit to 20 percent off or even more, and some old ones are sold at 50 percent off or even 70 percent off.

Lining, CEO of "P" > a href= "http://sjfzxm.com/news/index_f.asp" > < < /a > >, has said publicly that in 2012, the discount rate of factory shops and discount stores was 50%~53%. "Http://sjfzxm.com/news/index_f.asp"

Less than P, such a crazy discount, the main culprit is a pile of stock.

take Li Ning Co as an example. In 2011, its inventory value increased by 40% over the same period last year, exceeding 1 billion 100 million yuan.

In the first half of 2012, the net profit of the company was only 44 million yuan, a decrease of 84.9% compared with the same period last year, but the turnover period of its inventory rose to 95 days.

Another leading company, Anta, had a stock of 618 million yuan at the end of 2011. In the first half of 2012, the net profit of shareholders of the company fell 17% to 769 million 600 thousand yuan over the same period.

many enterprises have realized that the simple and extensive expansion methods such as large volume, large circulation and low price are no longer applicable now.

shrinkage becomes the primary task of these enterprises.

.

in the first half of 2012, Lining closed 1200 inefficient stores, which accounted for 15% of the shops.

By June 30th, the number of shops in Lining's regular stores, flagship stores, factory shops and discount stores was 7303, a net decrease of 952 compared with the end of last year, and 52 of the dealers after 5 families were cut off.

Similarly, in 2012, PEAK also reduced 1067 stores, and the total number of Anta outlets was 110.

"P" data show that the number of main brand stores such as Lining, Anta, 331, XTEP, PEAK and other main brand stores have come back to the level of 7000.

an industry believes that under the environment of insufficient consumption power and oversupply of products, the inventory and expanding stores brought by blind expansion in the past few years have become the burden of the major brands. "In normal terms, the number of stores between 6000 and 7000 has already covered 80% of the country's market."

Said the man.

< a href= "http://sjfzxm.com/news/index_s.asp" > inventory < /a > /strong > /p >

in the face of huge inventory, < a target= "_blank" href= "http://www.91se91.com/" > clothing < /a > enterprises continue to try to discount, electricity providers, direct camp, and buy back and other ways to inventory.

however, excessive discount will also hurt the enthusiasm of agents.

A second tier city leisure clothing agent Du told reporters that, apart from manual, shop rental, the profit space has been very limited, as long as the brand's direct shop discount, they barely earn money.

no bottom line price war makes enterprises sometimes have to push goods at close to zero profits, thus becoming an inevitable move to "end the tail to survive".

Take Anta's new leisure men's shoes in 2012 as an example, selling 239 yuan in a physical store, while in Tmall mall, the group buying price is 155 yuan, which is equivalent to forty percent off.

there are also enterprises in order to control the emergence of new inventories, continue to establish direct stores and discount stores, and gradually increase control over sales terminals.

However, the larger the proportion of Direct stores, the higher the cost of operation, which requires enterprises to have a more secure cash flow level to pay for all kinds of operating expenses.

strong > where to go? /p >

a Shenyin Wanguo report says that the most severe test in the clothing sector is sports a target= "_blank" href= "http://www.91se91.com/" > dress < /a >, because of its biggest target market, the youth market is shrinking as the birth rate drops.

When p can return to its peak, no one can give an accurate prediction.

however, the danger will be organic. When the revenue of many sports brands is shrinking, a new field -- the children's wear series is bringing a bright color to these brands.

The only group growth data released in the first half of 2012 was 31st degree. The number of children's wear stores increased by 282 to 1439 during the period, and children's wear exceeded the group's 11% income for the first time.

According to the report, in the four main lines of business, footwear, clothing, accessories and children's wear, only children's clothing products performed better, the average selling price increased by 40%, sales increased by 107%, and the proportion of the group's sales increased from 3.6% to 11.6%.

Anta's 2012 semi annual report also shows the growth of children's clothing, and its children's shop has increased from 623 to 691.

Similarly, XTEP announced the expansion of children's wear series at the end of 2011, and announced the completion of the order of 100 million orders in the March 2012 XTEP children's clothing 2012 autumn and winter new product ordering meeting.