Expose Lining'S Brand Name And Ask For The Story Behind Wade'S Endorsement.
< p > Lining (exclusive store) held a new product conference in Texas in February 2013. The famous basketball star Devon Wade, wearing a suit of suits and wearing a gold bow tie, presented the new Lining campaign "a target=" _blank "href=" http://www.91se91.com/ "shoes < /a" at the press conference, but Wade's fans can not buy these shoes at present.
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< p > the Lining brand was founded by Chinese Olympic gymnast Lining. At present, the brand has no store in the United States, and recently, the company has closed its electronic commerce section of its US website.
At present, Lining does not have a clear retail strategy in the United States. The heavy cooperation with Wade has puzzled analysts.
However, industry analysts said that Lining's signing with Wade was more about marketing activities for Chinese consumers, whose main purpose was not to enhance the brand awareness in the US market. Currently, Nike shoes and Jordan control 90% of the market share in the US basketball shoe market.
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< p > SportsOneSource analyst Matt Powell (MattPowell) said: "the purpose of Lining is more targeted at Chinese consumers. Ten years ago, it was reported that Nike and Wade teammate Lebron James (LeBronJames) signed a 7 year contract with over 90 million dollars, but now the more famous rookie players ask for a shoe contract for only $100-200.
ElyseWang, an analyst at Haitong International Data Research Co., Ltd., said: "Lining's cooperation with Wade has a positive impact on improving its brand image, but this does not necessarily improve Lining's sales.
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< p > Li Ning Co currently has a market capitalization of about $600 million, and the company will announce its earnings next Monday.
Analysts expect the company's net loss in 2012 to be 1 billion 100 million yuan (177 million US), and its revenue is expected to drop by 16% to 7 billion 500 million yuan, according to Thomson Reuters SmartEstimate survey.
Like other companies, Lining opened hundreds of stores through the 2008 Olympic Games in Beijing, but the company had to take a retreat strategy because of declining sales.
Thomson Reuters data show that at present, the stock price of Lining is down 86% from its peak in April 2010, while the Hang Seng Index (22115.3, -110.58, -0.50%) increased by 2.3% during the same period.
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P DiGennaroCommunications, executive director of public relations companies WillDeGirolamo, said there will be more news about Lining and Wade cooperation soon, including Lining launching a new brand sports shoes in the US, which will be sold in the US in early April this year.
Although Lining does not sell shoes in the US market, it does not mean that Lining has missed a golden opportunity. After all, Wade is a big hot star.
Lai Shixian, chief operating officer of Anta, said in February this year, "NBA stars have a great impact on China Sports" a target= "_blank" href= "http://www.91se91.com/" > clothing "/a" market.
"But analysts Matt Powell said that even Nike is not easy to turn big endorsements into profits.
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