Sporting Goods Closed More Than 3800 Stores A Year Ago.

< p > no suspense, the local sports brand represented by < a href= "http://sjfzxm.com/news/index_f.asp" > Lining < /a > has gained the most tragic achievement in the last 10 years.

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< p > March 26th, the performance of Lining, the industry leader, was reduced by 1821 in 2012, with a loss of nearly 1 billion 980 million yuan, and the group's revenue dropped by 2 to 6 billion 700 million yuan.

This is the last report card of the five local sports brands listed in Hong Kong.

In 2012, in addition to the slight rise in XTEP's revenue, Anta, 31st, and PEAK fell by 14%, 11% and 37% respectively. Correspondingly, net profit fell by 1 to 6 per cent, while the number of closed stores exceeded 3800.

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< p > the era of "making money with eyes closed" is over. The era of deep ploughing is coming.

On February 25, 2013, at the 16 point, on the eve of the performance briefing in Hongkong, Ding Shizhong, chairman of the board of directors of Anta and CEO, wrote such a paragraph.

Ding Shizhong emphasized to Tencent finance that the upgrading store and store upgrade plan of < a href= "http://sjfzxm.com/news/index_x.asp" > Anta < /a >, but he also had to admit that Anta store itself was decreasing.

Most of the local sporting goods brands are enveloped in the haze of Anta.

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< p > < strong > more than 3800 stores in one year, < /strong > /p >

After P New Year's day, Lining store, located in the mayor's building of Yantai South Street, closed its doors.

This store has been operating here for over ten years, and now its location is replaced by a jewelry store.

Not only is the Lining brand, but in 2012, over 3800 stores (shopkeepers) ended their sporting goods business.

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< p > the continuous closing shop tide is like an infectious disease, which is permeated by the sports industry that once grew up brutally.

Since the last year, the Lining shop, Anta, PEAK and so on have been closed in large quantities. XTEP, the only XTEP not publicly speaking, announced the latest store closing plan.

He Ruibo, chief financial officer of XTEP, said that XTEP closed 80-100 stores last year and intends to close another 100-200 stores in 2013.

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< p > yesterday (March 26th), Lining, founder of Lining group, attended the performance briefing in Hongkong.

He tried to convince investors that the most difficult environment for the company has passed, but admitted that the next 2-3 years will remain a period of adjustment.

XTEP 86, Anta 590, PEAK 1323, Lining 1821.

CEO in the annual report, try to use the use of euphemistic words to explain the fact of closing stores. Many companies also distribute high interest to divert their attention, but this can not hide the impact of closing shop tides and high inventory.

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< p > 2012, PEAK net profit fell to the lowest in five years, Anta net profit 1 billion 360 million yuan, is listed for the first time in five years.

Most sporting goods brands are experiencing varying degrees of business downturn. The gloomy performance in 2012 is not surprising to many people.

When announces the first half year's performance, the situation has been clearer: the inventory pressure is not solved and the order quantity is reduced, so the sales revenue will continue to decline.

Lining also announced at the end of last year that the company was expected to record a substantial loss in the 2012 fiscal year.

This was the first loss in Lining's performance in 2001.

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When it comes to cutting stores in 2012, Lining's remarks are somewhat tragic. In order to stop the deterioration of sales channels, the board of directors and management of the group made decisive and necessary decisions. P

Although the relevant decisions will have a negative impact on our profits and losses in the short term, we believe that this is crucial to the realization of Li Ning Co's profitability and sustainable growth.

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< p > < a href= "http://sjfzxm.com/news/index_c.asp" > local sports brand < /a >, the spring of 2013 is still far from coming.

The result of this "burst dam" is the "ant hole" that has not been valued in the past years.

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< p > < strong > "closing eyes to earn money" ends. < /strong > < /p >

"P >" is another annual performance announcement. When everyone is making progress, slow progress is a setback. When everyone is backward, losing direction is a real setback.

The era of making money with closed eyes is over. The era of deep ploughing is coming. Laughter is the ultimate strength of competition, teamwork, ideas and management.

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On the eve of the 16 performance briefing in Hongkong on February 25, 2013, Ding Shizhong, chairman of the board of directors of Anta and CEO CEO, wrote this speech on the eve of the performance briefing.

At the age of 17, the 43 year old businessman in Jinjiang took the 10 thousand yuan and 600 pairs of "a target=" _blank "href=" http://www.91se91.com/ "shoes" /a to sell in Beijing, and finally pushed the family business Anta to the public market in 2007.

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In 2012, Ding Shizhong's Anta didn't even go through the road in P.

Since 2012, the company has decided to combine Anta fashion shop with Anta store. After the integration, the number of shops has decreased by 590 to 8075.

Business impact is more serious mainly in the main brand and fashion sporting goods series.

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In P, Anta described this as an integrated store.

At the Hongkong performance briefing, Ding Shizhong also explained to Tencent finance that this is upgrading the store and upgrading the store, but he also had to admit that Anta store itself is decreasing, and has not yet been out of the shop. It is estimated that its professional sporting goods shops and sporting goods stores will be reduced from 8075 in 2012 to 7500 to 7600 in 2013.

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Less than a year ago, when a performance conference was held, Ding Shizhong wrote that "2011's performance is good. I believe most of the shareholders are satisfied! Thanks to the efforts of our colleagues." in that year, Anta's business revenue increased by 20%, and the number of stores increased by 229.

Although growth is slightly below the industry's expectations, Ding Shizhong's joy is beyond words.

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Like P, Ding Shizhong is not willing to talk about shop and PEAK chairman Xu Jingnan.

In March 11th, Xu Jingnan said in Hongkong that the annual trend of the sharp closing of stores will continue. In 2013, PEAK will adjust the number of stores from 6483 outlets to 6000.

In 2012, PEAK has shut down 1323 sales outlets.

When PEAK was in the limelight in 2009, the company announced its plans for the store.

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< p > < strong > the cost of barbaric growth is less than /strong > /p >

< p > 2006 -2008, China's sports brand development is in the golden age.

Especially after the 2008 Olympic Games in Beijing, Lining's torch started to reach its peak.

Throughout the country's crazy shop plan, the highest period of the brand has 8000 stores, the demand and the market is infinitely enlarged.

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After 3 years of P > strong, the expansion of the horse race enclosure is gone forever.

< /strong > < /p >.

Ding Shuibo, chairman of XTEP's board of directors, micro-blog (P) admitted that over the past ten years, China's sporting goods industry has grown rapidly, and hundreds of new brands have been rising in the Chinese market, resulting in intense price competition and oversupply of the market.

In a challenging environment, the industry faces all kinds of problems caused by slowing sales growth, including excessive inventory in retail channels, high retail discount and a large number of shops closing.

China's sporting goods industry is facing more severe market integration.

He stressed that sporting goods companies must have a forward-looking vision for future brand positioning, product planning and market strategies, and companies that fail to respond quickly to market changes are forced to withdraw from the market.

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There is another reason that can not be ignored behind the rapid expansion of < p > strong > listing.

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< p > except Lining's listing for nearly 9 years, most of the other brands went public in Hongkong in 2007-2009 years.

The Hong Kong stock issue will eventually issue price earnings ratio with reference to the number of enterprise stores, and the higher the number of stores, the higher the price earnings ratio.

Enterprises expand their stores at the expense of their capital, and exacerbate today's predicament under the changing economic situation.

After listing, it is even more difficult for them to escape the curse of the capital market, which ensures the growth of performance in the reports. Extensive shops can make them get good financial indicators easily.

Only the operators did not think that the same products and limited domestic market had brought the bad luck so fast - the rapid expansion from 2008 to 2009, and the pressure of -2012 days in 2011.

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< p > < strong > ADI Nike attack < /strong > /p >

< p > extensive expansion has caused local sports brands to be very weak. Under the fierce competition of international brands, the situation of enterprises is worsening.

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< p > March 8th, in an interview, Gao Jiali, managing director of Adidas Greater China, said that one of the business priorities of 2013 is to expand the opening of low-level cities, and plan to open 800 stores, including 2/3 in low-level cities, and a large part of China's future consumer demand growth will be generated in low-level cities.

Adidas's goal is to go deep into China's 1400 low level cities by 2015, and only 350 now, less than half.

In 2012, sales in Adidas Greater China increased by 15%.

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< p > Nike has similar plans with Adidas.

In 2013, Nike plans to open 40-50 new factory stores this year, and the price will be 3-4.

The scale of its opening is far more than that of the past. The new store will also extend from the first line to the two or three line market.

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"P > channel sink and price change. Adidas and Nike are trying to grab the market that originally belonged to local brands.

In the two or three tier cities, if Adidas and Nike are at the same level as the prices of Lining and XTEP after the discount, will consumers not change their minds? < /p >

< p > perhaps it is the hope that the fashionable young people will not change their minds. Lining has recently dug up a new spokesperson and basketball star Wade from Nike.

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In February this year, Lining launched the latest brand of Wade endorsement in the United States. P

According to foreign reports, the NBA superstar's endorsement fee is about 10 years, about 100 million dollars, and the price is really good.

Without mentioning the loss of nearly 2 billion yuan last year, Lining's entire group's income is 6 billion 700 million yuan, which means that 1/10 is Wade's.

Lining management defines the meaning of this decision as "consolidating the leading position of sponsorship of major sports events (basketball)", with the aim of "enhancing its sports marketing ability and making it an important part of the company's core competitiveness."

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"P" makes it impossible for the outside world to understand this endorsement. Lining has no stores in the United States, and the US website e-commerce branch has been shut down. Can huge investment be brought to China's sales growth?

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< p > strong > how long will the recovery take place? < /strong > /p >

< p > there is no sign that the best moment has passed.

On the contrary, executives may be even worse in the next year.

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Lining, executive vice chairman of the P group, Jin Zhenjun: "we expect that in the short term, optimizing the number of shops and the reduction of wholesale sales will still have an impact on the company's revenue.

However, with the recent implementation of measures to improve channel effectiveness and quick replenishment, the company's cash flow will gradually become stable.

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Wang Wei, analyst at Huatai financial holding company, pointed out that the challenges continued in 2013 at least in 2013.

Despite two years of adjustment, inventory in the industry has been alleviated to a certain extent, but the pressure is still there. Even if PEAK's inventory has been alleviated to some extent, other companies in the industry will also have a clear impact on the company's future sales.

Wang Wei expects sales of companies will continue to decline throughout the year, and gross margins will continue to slide.

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< p > now, many enterprises invariably take children's clothing as a "safe haven" for the next step.

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< p > 2012, the number of children's clothing stores increased from 433 to 1590, and the turnover increased almost to 370 million, accounting for 7.5% of the group's turnover.

XTEP is also eager to analyze its interest in the development of children's clothing business. It expects to add 100 to 200 children's clothing stores in the two or three tier cities in 2013.

Adidas also defines children's clothing as an opportunity point. Now it has 500 children's clothing stores in China, and will continue to invest in this category in the future.

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