After The Prosperity Of China'S Sports Brand, It Falls Four Major Causes.
< p > China's real sports industry originated in the late 80s of last century.
In this short span of 20 years, a large number of sports brands have sprung up like mushrooms, and a number of enterprises have left behind slowly in the process of catching up with each other.
The intensity and brilliance of fighting on the mall is comparable to that of the Olympic Games.
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When it comes to the Olympic Games, we must say that the 2008 Beijing Olympic Games is a good opportunity for the brand to break out. Of course, our local sports brand also seized this opportunity.
It is reported that in 2008, the domestic sports brand made rapid progress, and the whole industry showed a compound growth of twenty or thirty.
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< p > however, the peak state did not last long and quickly turned into a predicament.
The reason for this is that the Olympic Games left the Chinese sports brand collectively "sick."
After entering the second half of 2011, the hidden contradictions erupted.
From time to time, there will be news of high inventory, close shop outbreak and big profits. At that time, the whole local sports industry has entered a "high-risk" state.
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< p > recently, the five major domestic sports brands Anta, Lining, PEAK, XTEP, and 31st 2012 annual report showed that the overall net profit of the whole industry increased negatively.
At the same time, the market fronts of the major sports brands are also shrinking, and the number of Li Ning Co stores is the most. The number of closed stores is 1821.
PEAK followed its retail outlets by 1323.
The total number of stores in Anta also decreased by 590.
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What's the "P" disease after the peak? What is the "/p"?
< p > < strong > "disease" one: the wholesale mode of high storage and evil has already been planted < /strong > < /p >.
< p > according to the Beijing news report, the big wholesale mode of crazy shop and continuous pressing of goods to the channel makes the prosperity of the domestic sports brand stay on the statement.
Blind expansion led to a sharp increase in shipments, a sharp increase in shipments and intensified store expansion.
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< p > Zhang Chunyu, the industry insider, seems that compared with foreign brands, the extensive agency mode and huge distribution network of domestic brands indirectly lead to an increasing proportion of their inventories, and the brand reputation has also declined greatly.
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< p > > a target= "_blank" href= "http://www.91se91.com/" > clothing < /a > industry observer Ma Gang believes that the root causes of the existing problems of domestic sports brands are two: first, the great leap forward of the channel mode, whether they can open or not, they will start.
The two is the wholesale mode of sales, regardless of whether the goods can be sold to consumers in the end.
This foreshadowed a large number of stores and inventory.
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< p > wholesale mode is the distribution mode of "brand wholesalers (agents) retailers" commonly adopted by domestic garment enterprises in the sales channels.
In this mode, as long as the brand dealers wholesale goods to dealers, even if the sale is finished, the dealer can not sell, will not affect the sales performance of the brand.
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After the early withdrawal of terminal retail, China's local sports brand turned to focus on brand operation and distributor management. With the resources and strength of agents, P has achieved the goal of rapid development.
The advantage of this model is that we can do business on a large scale with very little money. The disadvantage is that the channel control capability is poor and terminal information can not be mastered.
Channel hierarchies lead to low efficiency of information communication, and it is difficult for brands to get effective feedback from terminal consumers, and can not catch market trends quickly.
In addition, brand operators do not know much about the operation of downstream agent dealers.
Agents become the "black hole" of sports brand.
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< p > it is understood that in order to eliminate inventory, Li Ning Co has adopted various sales methods, such as discount stores, factory shops and export to Africa and other countries, so that the situation of high inventory has eased.
In fact, whether inventory provision or accounts receivable provision comes from the wholesale business model of Li Ning Co in the past years.
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In 2011, Chen Yihong, chairman of the P trend, also said that the whole industry was faced with the difficulties of "brand + wholesale" mode.
Under the wholesale mode, branding does not control retail channels, but does not focus on changes in the retail side.
Companies such as Lining and China are slow to respond to market changes.
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< p > "the stock is more, the brand dealer presses goods to the dealer, even if the market environment has the problem, is still looking at the data, the next target, you want the channel merchant to press goods, they seek you to have the condition, the brand business must give the support, the account period, through various means to push the goods to the market.
If the channel business is not available to you, it will eventually lead to too much inventory of the channels, and the goods are yours. He can't give you any money.
"Chen Yihong said.
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< p > < strong > disease two: miscalculation of brand positioning "young generation" does not agree with < /strong > < /p >
< p > in the eyes of many people, Chinese sports brands have been actively avoiding foreign brands on the road of development.
When the "80's" increase in economic income and more and more foreign brands are being chosen, many domestic brands begin to choose their target customers as "post-90s" and call them "the younger generation".
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Liu Rujiang, a senior planner, brand communication and corporate strategy analyst, told reporters in the China enterprise daily that on the surface, the frustrating performance of Li Ning Co in the past two years was directly affected by brand remolding and "post-90s Lining".
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< p > "Lining after 90" seems to be closer to the "90s" consumers and to achieve a younger brand image.
As a result, two heads are not welcome.
After 60, 70 and 80, we feel that you are betraying us and abandoning us. We are not comfortable with our new products.
The "90" people, the biggest just 20 years old just emerged, spending power is limited, at the same time, they do not have much impression on Lining, even if some impressions, it is only the old state shows, a little bald Lining, it is difficult to form identity from personal charm.
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"P" and the capacity surge and store expansion promoted by capital also made the brand operators ignore the difference between the "post-90s" and the "post-80s" crowd in positioning.
According to the data of the National Bureau of statistics, China's "post-1980s" has 124 million, which is close to 10% of the current national population.
But after entering 90s, the number of new born population began to drop sharply, from the peak of 26 million 200 thousand in 1990 to the current annual 16 million.
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< p > a brokerage analyst said that the sharp decline in the number of potential consumer groups has been reflected in the backlog and weakness of sales of various domestic brands.
"Macro data is very clear. It is necessary for domestic brands to adjust their strategies.
< < /p >.
< p > more importantly, "after 90" is not necessarily a domestic brand.
"They are more skepticism than the Post-80's" more dynamic, cool, really big city that has continued purchasing power "who will be chosen after 90 years?
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Besides P, the confusion of positioning is also a major drawback of local brands.
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< p > PEAK is a position that has some "contradictions". On the one hand, PEAK is playing the international brand. On the other hand, in the domestic market, PEAK's sales are based on two or three or even three or four line cities, and the product quality is always low.
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< p > Lining is "the sportswear national team for a while. It is internationalized for a while. It is fashionable for a while. After 90 years, it doesn't seem to understand what Lining wants to do. All this does not seem to get more people's approval!" one industry insider pointed out sharply.
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< p > strong > disease three: low cost advantage no longer profit thinning < /strong > < /p >
< p > according to the survey conducted by the Shenzhen special zone reporter in some stores in Shenzhen, the difference between the similar products and international brands of domestic sports < a target= "_blank" href= "http://www.91se91.com/" > "dress /a >" is generally between 90 yuan and 150 yuan.
This means that if the cost is not large, the profits of domestic clothing will be about 100 yuan lower than that of the international counterparts. If the two sides compete at the same market level, the domestic brand will be forced into the "dead end" of the price.
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What kind of pressure does P brand international brand bring to local peers? Wang Gao, a professor of marketing at CEIBS, believes that pressure comes first from the loss of low cost advantage.
Before, some Chinese enterprises do have cost advantages, but at present, some foreign brands and domestic brands have no difference in the OEM factories. The cost is not very different. At the same time, some foreign brands gradually shift their factories to Southeast Asia with lower cost. Therefore, "low cost" may become a "past tense".
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< p > reporters learned from the Pearl River Delta and some garment foundries in Fujian that although the clothing industry is in the "de Stocking" stage, many factories have been semi shut down.
But as soon as the production is resumed, the owners immediately find that the wages of the workers have risen.
The industry believes that this will be a nightmare for domestic brands, because their prices are low, and the bargaining space of terminal prices is not large. When costs rise, profits will be thinner.
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< p > < strong > disease four: lack of strategic support and international road is not smooth. < /strong > < /p >
Less than P, declining profits and shutting down stores are regarded as a symbol of the failure of Lining's brand internationalization.
The 2008 Olympic Games in Beijing gave Lining a golden opportunity for China's sports brand, and Lining, who has always been the leader of the Chinese sports brand, also seized the opportunity. Besides the long-term sponsor status of Chinese gymnastics, diving, table tennis and shooting teams, Lining also quickly signed the Spanish and Argentina men's basketball teams.
Before and after the Beijing Olympic Games, there was a popular saying in the market: "China wears Nike, Spain wears Lining".
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With the chance of success, Lining has always dreamed of creating a global brand from China. In 2009, he formally put forward the internationalization strategy in 2009 and opened Lining badminton product store in Singapore and Hongkong.
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Lining, CEO Zhang Zhiyong, once revealed at a forum in Peking University Guanghua School of management: "Lining has stepped out of the first step of internationalization, and the ultimate goal is to become a global brand."
Lining strategy plan also clearly stated: 2013~2018 years, Li Ning Co's goal is to become the world's top 5 Sports Brand Company.
Subsequently, Li Ning Co began to replace the new logo and brand slogan.
It also proposes that 2009 to 2013 will be the preparatory stage for internationalization, and 2014 ~2018 will be a comprehensive internationalization stage.
However, with the collapse of the stock crisis Domino, plus the "90" card failure, Lining began to slide to the "abyss" step by step.
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< p > on the road of internationalization, Lining and many Chinese sports brands still have a huge gap. The most important thing is the lack of strategic support and brand appeal.
Lining's experience and lessons in the process of internationalization of Chinese sports brand enterprises are also worth learning from all the local brands who gamble in overseas markets.
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< p > sports brand has always been the dominant market in Europe and the United States. First of all, the sports economy system and culture of these countries are relatively advanced and advanced, so many sports brands that influence the world have been created.
China is relatively weak, and it is difficult to surpass the European and American countries in sports culture. Therefore, it is a painful process for Chinese sports brands to export their brands and gain the international brand premium capability.
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