Special Edition Of The Net: Lining 09 Brand Global Strategy Exploration
There is no doubt that Lining was successful in 2008. Both Lining and the whole group company made the world sit up and take notice.
After his failure to compete with Adidas, Lining created a brilliant Lining delegation of Beijing Olympic Games, including the Chinese shooting team, diving team, table tennis team, gymnastics team, Sweden Olympic team, Argentina basketball team, West basketball team and Sultan track and field team.
They all wore Lining sportswear at the 2008 Olympic Games, and all the athletes and volunteers wore Lining sportswear.
2008 the torch lit at the opening ceremony of the Beijing Olympic Games has added an endless promotional value to Li Ning Co.
All this, let the world's consumers remember Lining.
What kind of strategy will Lining use to face the fiercely competitive global market in 2009?
Li Ning Co has formulated three strategic stages, the first strategic stage to end in 2008, the second phase is 2009--2013, and 2013--2018 is the third stage.
In the first two stages, the market of Li Ning Co is mainly in the mainland, and only in the third stage can we really consider going out.
Lining seems to have achieved the strategic goals of the first two stages ahead of schedule.
By the beginning of 2008, according to the market ranking table released by the US market research institute sports goods information (SGI) for the global sporting goods industry company, Li Ning Co surpassed Asics in the ranking, becoming the fourth largest in the world, and the top three were Nike, Adidas and Puma.
In the Hurun 2007 rich list, Lining ranked sixty-fifth in the personal status of 11 billion yuan.
In fact, as early as 1999, Li Ning Co put forward internationalization as a strategic goal. In August of that year, the group participated in the ISPO Sporting Goods Fair held in Munich, Germany. In addition to setting up an international brand image, one of the main purposes was to contact overseas distributors so as to fight for the European market.
Then, Li Ning Co hired first-class designers, print masters and professional development management personnel from Italy, France and Korea to enhance market research and design and development capabilities.
Since then, the "Lining" series of products, from T-shirts to sports backpacks, has injected a more lively style.
In 2001, the company began to sponsor foreign sports teams.
In addition to the Chinese delegation, the Li Ning Co also sponsored France, Spain and other delegations in the World Gymnastics Championships held in November.
In addition, Li Ning Co sponsored countries in various competitions include Italy, Czech and so on, covering football, basketball, gymnastics and other sports.
These are clearly the ultimate goal of market internationalization.
But this series of actions did not bring much effect to internationalisation and did not hit 1 billion yuan in sales. This blow made Lining quietly enter the domestic market and concentrate on the local market.
In 2003, sales reached 1 billion yuan and went public in 04 years.
In 2005, Li Ning Co decided to "build an international brand first, and then expand the international market".
Zhang Zhiyong, a company CEO, said: "this approach is different from other Chinese enterprises' low price dumping methods. We hope to increase the added value of the brand first."
In early 2007, Zhang Zhiyong clearly pointed out the company's deep thinking on Internationalization: "if the domestic market can't win the opponent, what will happen to the foreign countries?"
Zhang Zhiyong said that if Li Ning Co wants to really go out, the core competitiveness in product innovation and brand marketing must be strengthened, and the financial situation must be better.
"China is a highly internationalized market, to a certain extent, China is the world, and the local market is always our most important market."
In order to complete the new brand internationalization road, Li Ning Co has made a lot of cooperation from marketing, product development and innovation, brand promotion and so on, and its market effect is very obvious.
During this period, Lining has never been in the footsteps of international efforts. In February 2004, the first Lining professional football shoe "Tie" asked. The basketball association signed a contract with the Spanish men's basketball team and the women's basketball team until 2008.
In August 2004, the Li Ning Co sponsored the Chinese Olympic delegation for the fourth time. The "Splendid China" award dress and Aurora award shoes were added to each other in Athens.
In January 2005, Li Ning Co signed a contract with NBA to become an official market partner of NBA.
In April 2005, Li Ning Co entered into strategic cooperation with SWAROVSKI, the world's largest producer of cut crystal.
In January 2006, Li Ning Co signed a contract with NBA Cleveland Cavaliers Damon Jones, Damon Jones will wear Lining's boots for NBA.
Lining brand became the first Chinese sports brand to appear on the NBA arena.
In April 2006, Li Ning Co signed a contract with VFF in Hanoi. Li Ning Co will provide equipment for Vietnam's national men's soccer team and Vietnam's U23 men's football team in the next three years.
In April 2006, Li Ning Co and ATP Association Tennis Professional formally announced the establishment of China's official market partnership in Beijing.
In June 2006, NBA Cleveland Cavaliers Damon Jones was invited to China by the Li Ning Co.
During his 7 day trip, Damon visited three places in Beijing, Hangzhou and Shanghai, and had close contacts with Chinese consumers.
In August 14, 2006, Lining brand joined hands with Mr. O'neal, one of the fifty big NBA stars. The two sides jointly launched the "Lining" SHAQ professional basketball product line to jointly develop the Chinese basketball market.
In September 2006, Lining won an unexpected victory: the Spanish men's basketball team, wearing the "Lining" robe, first entered the final of the men's Basketball World Championships, and unexpectedly defeated the European champion Greece.
The dark horse of the Spanish national basketball team has become the world champion. In a rational way, the sponsor "Lining" has also become the biggest commercial winner in the men's Basketball World Championships.
Li Ning Co has also become the first Chinese enterprise to sponsor basketball world champion.
As early as 2004, the Li Ning Co signed a 4 year contract with Spain's men's basketball team, which is not well-known enough.
The industry estimates that Li Ning Co's sponsorship contract costs will not be too high.
Li Ning Co said: "this is a very eyed and very cost-effective business."
At the 2008 Olympic Games, the Spanish blue man gave Li Ning Co a huge chance of brand exposure. This team was stubborn in the final of the men's Basketball Championship of the eight team of the American dream team, and won second Olympic Games.
In addition, in the Olympic Games, the third Argentina men's basketball team and the American table tennis team were all dressed in Lining's robes.
These international sports resources enable Li Ning Co to get a good brand exposure effect.
The internationalization of its brand has been greatly promoted.
The Li Ning Co went through the initial stage of the loss of market internationalization to the second internationalized stages of uncertainty, until it became clear that as a Brand Company, the internationalization of the brand first and then the internationalization of the market.
At this point, we can boldly predict that the first thing Lining should do in 09 years is to continue to expand the effect of brand internationalization, to turn Lining into a world-famous Brand Company, and gradually realize the internationalization of the market. This will be a long process.
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