How To Get Rid Of The Dilemma Of The Brand Of Sports Shoes And Clothing?
domestic brand The downturn is accompanied by the "close shop tide". In the whole year of 2012, apart from the growth of 217 stores last year, the total number of other five brands was close to 5000. among Lining Closed 1821 stores, the top six brands. PEAK followed 1323 closely. China has 1101 trends, Anta 590 and XTEP 86.
Ma Gang, an expert in sports apparel brand observation, believes that there are three main reasons for the overall decline in the performance of the sports footwear industry in China: first, the rapid rise in business costs and the weak overall consumption intention of the residents; the two is that the sports brand retail channels are becoming saturated and the product homogenization is serious; and three, the trend of mass consumption is shifting from the trend of movement to the wider trend of leisure fashion.
Promotion is not advisable.
Closing shop tide On the one hand, it is caused by higher operating costs and less investment returns; on the other hand, it is due to a large backlog of inventory. In order to digest the high inventory brought by rapid expansion, the major domestic sports brands have taken measures such as discount sales promotion and so on.
According to Xu Tongqian, an assistant professor of advertising at the school of Journalism and communication, Wuhan University, according to the practice of discount and low price digestion of major sports brands, merchants will take a low price to digest inventory, which will lead to a decline in unit prices. The bigger potential risk is the continued decline in prices, which may lead to a decline in brand positioning. Xu Tongqian said: before and after the 2008 Olympic Games in Beijing, the domestic sports brands were in the stage of rapid development, and the major brands did not fully open their stores in the market research. On the one hand, brand dealers only sell wholesale goods to distributors instead of sales of goods. On the other hand, big brands continuously expand their capacity without fully investigating market demand, resulting in oversupply. The result of long-term extensive expansion is the problem of excess supply, high inventory and lagging management level. With the gradual saturation of the market and the rise of upstream costs, China's sporting goods industry finally fell into a trough in 2012.
Brand building is the key
How should the domestic sports brands deeply trapped in the "shop tide" get rid of the predicament and find a way out? Xu Tongqian believes that the emergence of "closing shop tides" is the embodiment of market regulation. In the face of difficulties, these brands' future tasks are to adjust to the changes in aggregate demand and demand structure.
Anta Zhang Tao, vice president of the company, said that the predicament of sports apparel brands is a precursor for the industry to mature. "From everyone rushing to the frenzy to make money to most enterprises to earn money, then to most enterprises do not make money, and then opt out, is the inevitable development path of many industries in China, household appliances, mobile phones and automobile manufacturing industry came that way."
However, Zhang Tao admitted that the situation in 2013 is still grim, and when it will usher in the industry recovery is not easy to say. In the process, some brands that are not suited to the situation will be eliminated, and enough excellent enterprises will survive and reoccupy the market. At the same time, Anta also believes that the existing "brand + wholesale" mode is difficult to meet the market demand. In the future, it will transform to a retail oriented business mode, from the pursuit of order growth to the single store revenue.
Anta Ding Shizhong, chairman of the board of directors, said that the past development mode was to first advertise, to make the brand and sell the goods to wholesalers. In the retail mode, we must take into account the situation of distributors under the jurisdiction of the shops, and the demand of stores is more important than wholesalers. In order to accurately grasp market dynamics and consumer demand, Ding Shizhong has traveled almost all the prefecture level cities in China in the past two years. He found that with the acceleration of urbanization and the continuous growth of residents' income, the public's demand for leisure and entertainment is also growing. Therefore, for the future, he is very optimistic: "after this adjustment, the industry will usher in a new golden ten years."
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