Sports Brand Is Confused With "Closing Shop Puzzle"

Sports brands fall into a "closed shop puzzle" in Changsha. Lining They are all too hard to pay for the previous radical expansion.

February 26th, Changsha Huang Xing South Road Pedestrian Street Anta factory shop, all goods 2 fold up

In February 26th, there was light rain in Changsha. Similar to the weather, there are star city sports. Brand store Business.

Huang Xing South Road Pedestrian Street wins sports sales venue. Kappa The counter is washing the goods. The shop assistant said, "the shop will be closed after the existing commodity is sold out."

Inadvertently, there are fewer sports brand stores in the streets and lanes. Data statistics show that in 2012, there were 10 domestic sports brand stores closed every day on average. There are fewer sports brand advertisements on TV, and more and more sports brand stores start to name themselves as "factory stores", "special stores" and "discount stores". It seems that they should attract consumers with low prices and discounts.

Does this trick really work? Where is the future of Lining?

[investigation]

Sports brand business is hard to do

Huang Xing South Road Pedestrian Street, there are 3 floors of Lining brand stores, fewer than 10 customers. Perhaps because of the slack business, many shop assistants are chatting while waiting for business to come.

Coincidentally, the Anta flagship store not far from it seems to be having a bad time. When asked about the business situation, the salesmen called "business is bad and the company is losing a lot", and some shop assistants said, "last year, a lot of new models had been put on shelves, and there are still lots of goods to be sold this year, so we have to sell them in order to earn a return." In the Anta factory shop along the pedestrian street, 2 folded up to wash the goods.

On the entire pedestrian street, sports brands seem to be struggling to sell during the opening season. The price of spring and summer wear in many XTEP stores is even lower than 60 percent off. "Now we need to clean up the goods and plan to decorate them. After that, we will put the new products on shelves in 2013."

Located on the 3 floor of the pedestrian street, Sheng Dao sports special field sells special products of all sports brands, and Kappa counters are offering discount promotions. "After selling all the goods, the store will be closed. This is the decision of the top company. " Kappa sales staff said.

Whether the discount line that 50 percent off frequently take off has brought gratifying sales to the sports brand? By the journalist's investigation, the salesperson of the sports brand all indicated that the sales situation was not very ideal, the average daily sales volume was between 5 and 6 thousand yuan, and even a little "no more".

[phenomenon]

Domestic and foreign brands are closing shop tides.

Sports brand business downturn is not a special phenomenon in Hunan market. According to the survey, the whole domestic sports brand market is like a "heavy cold".

In February 18th, He Ruibo, chief financial officer of XTEP, said publicly that XTEP intends to close 100 to 200 stores, mainly in areas such as Hunan and Anhui.

For Hunan market, this is obviously not a good news.

In fact, the sports brand that keeps closing stores is far more than XTEP's. Publicly available data show that since 2012, the number of six major sports brands including Lining, China trend (kappa), Anta, PEAK, PEAK and XTEP has been over 3000. This means that domestic sports brands are decreasing at a rate of 10 per day.

Foreign brands, which have always regarded themselves as highly regarded, have not been spared. German brand Puma A closed shop plan was also announced recently: the 2013 year will continue to implement spending cuts and rectification programmes, including closing more than 90 unprofitable shops in China. According to public figures, Puma's losses in the fourth quarter of last year were as high as $56 million 800 thousand.

[probe]

Pay for radical expansion

As for the persistent downturn of sports Brand Company, the industry analysts generally believe that the close shop tide is related to the radical expansion before. In 2008, the Beijing Olympic Games injected unprecedented enthusiasm to China. The blind expansion of the sports brands resulted in a sharp increase in shipments. Many companies had to increase the number of stores in a short time in order to win the listing.

Peng Bingzhong, Professor of economics and Trade School of Hunan University of Commerce, believes that the sales of sports brand products are too narrow, most of which are limited to professional athletes' competitions and sports related products of young people. From the analysis of clothing sales market, casual clothing occupies a larger market share, resulting in a relatively small space for sports brands to survive.

For the predicament faced by sports brands today, Peng Bingzhong believes that attention to product development and the development of daily life sportswear and the path of alienation are the directions that sports brands can consider. At the same time, in the era of rapid development of electricity providers, expanding sales channels and paying attention to the development of this brand of e-commerce can help sports brands expand their marketing channels.

Reporter's notes

Ballooning balloons

One day it will explode.

The Chinese seem to have a bit of "love for fun," and businessmen are no exception. Before the 2008 Olympic Games, sports brands sprang up like mushrooms. Factors such as high product overlap, limited market capacity, new brand promotion difficulties and so on, which had negative effects on their future development, were selectively ignored.

If there is a market, we must fight for it. Even if we cannot eat meat, we should drink at least one soup. In addition to the expansion of larger brand stores, all kinds of Shanzhai and "big money" brands are common. The scale of the overexpanded industry finally met its development in 5 years, and the sports brand industry had to "break arm in order to protect itself". And when the closing tide is at an end, it will not be seen for the time being.

The capacity of a balloon is always limited. If it grows aimlessly and wilfully, it will be a devastating blow to the whole industry. Do not seek change, expand blindly, until the balloons burst, only hurt themselves.

I can't help thinking of the milk tea shop that has been seen everywhere. After a long period of popularity, they shut down. After the silence, some brand image, quality assurance, product marketing brand of milk tea began to "re emerge". This time, some people are selling dessert, some are mainly coffee, others are making milk tea. The differentiation is coming out, and the "money" scene is clear.