China's Outdoor Market Development Slows Down, Brand Melee Accelerates Expansion

At the beginning of this month, when China's first retail store opened, its sales and marketing director Lin Zheng Sheng said that there will be dozens of retail stores open in other cities in China this year, and the brand of mammoth will be set up in China in the future. In mammoth's view, China is a fast developing, outdoor resource rich emerging market. It has made full preparations for entering China and has formulated a continuous investment plan in the Chinese market.

More than one mammoth family is favored in China. Columbia movement clothing The company achieved net sales of US $1 billion 670 million in 2012, down 1% from the same period last year, and its performance has shrunk, but its performance in Asia has continued to grow. Columbia said it will continue to increase investment in the Chinese market in 2013. At the same time, THE NORTH FACE, Jack Wolfskin and other brands also appeared in the "east to west" situation, the strong growth of the Asian market has become a must for its products and marketing expansion.

By the end of last year, the number of international outdoor brands has reached 418 in China. In the industry view, although the development of China's outdoor market has seen a slowdown trend, the potential of the market is still very large.

　　 Still in training stage

"In 2011, our sales in the Chinese market almost doubled, and the growth rate in 2012 was between 50%-60%." Canada's top outdoor brand, Shanghai's flying frog business and marketing director, said Su Jie, according to the 2013 order meeting, this year's growth rate remained at last year's level, and gradually stabilized. But in the view of Su Jie, there are not many high-end outdoor brands in China. From the overall development, it is still in the stage of market development.

Correspondingly, outdoor outdoor consumption has become increasingly popular, and the number of outdoor brands and sales volume has increased dramatically. Su Jie believes that the prevalence of "Outdoors" in China reflects the consumer's perception of outdoor products consumption. "It is hard to say that the demand of the consumer market has spawned the development of the brand or the development of the brand has brought the market demand". According to Sanfo outdoor President Zhang Heng, there are two main outdoor consumption items, one is mass outdoor consumption, the other is high-end outdoor consumption. Middle and high-end outdoor brands, such as Columbia and the north, have expanded many product lines, covering different lines ranging from professional to leisure. While high-end outdoor brands are constantly expanding into other sports areas, product lines are more focused on professional sports.

But consumer perceptions are changing. COCA released report shows that consumer groups and sports are increasingly subdivided, consumers in the purchase process is more rational, from "brand led" to "sports led" change. The idea of "Outdoors" will foster a wider outdoor population and reduce the threshold of outdoor consumption. The high-end outdoor can better meet the needs of the entry-level crowd's future consumption upgrade. Liang Qiang, associate professor of outdoor sports and leisure economy research center, Tianjin University of Finance Economics, said.

　　 Product determines vitality

Pathfinder 2012 annual report shows that its revenue and net profit growth has declined significantly, and this year's growth rate is expected to drop to around 35%. Liang Qiang believes that with the growth of the first-line market growth, the expected growth rate of the outdoor industry has slowed down and entered the "post growth period".

In the view of Su Jie, although the growth rate of individual brands has dropped, the overall growth rate of 30%-40% is reasonable. Su Jie analysis, consumers gradually mature, the demand for brands will be divided, without professional degree and quality outdoor brand will gradually lose market share and brand vitality. Professional and quality information conveyed by high-end outdoor products will show vitality. "The first element of choosing mainstream outdoor consumer groups is function."

In the industry's view, outdoor sports products are still incremental market in the next few years. In the next few years, the expansion is mainly horizontal, and market segments and brand communities will gradually become clear. Although low-end products will quickly seize market share, there will inevitably be a trend of penetration of high-end brands in the vertical growth period.