How To Adjust Inventory Channels And Optimize Supply Chain

The reason for the revival of sports brand in the first half of the year is that China's economy is beginning to pick up. The market environment for sports brands has improved and consumer demand has rebounded.

At the same time, it has to be said that in the low period of the industry, the adjustment of the internal management adopted by the major sports brands seems to have achieved initial success.

Among them, channel adjustment becomes the key.

CEO, Zhang Qing, a sports Consultancy Co., Ltd., said: "almost all companies that have improved in performance have optimized their supply chain, while focusing on the retail experience and the technological content of their products.

With the efforts of these enterprises, the industry has shown signs of recovery. "

Anta, which has excellent financial results, said: vertically integrated supply chain mode is an important factor to make profits.

Anta responsible person explained to reporters that from upstream procurement, R & D, design, production, downstream brand marketing, distribution of channels, and then to the relevant after-sales service, Anta participated in every aspect of the industrial chain.

Zhang Qing analysis: Based on this strong control, making Anta in pition, can be more resolute and effective, dealers will cooperate very well.

Similarly, in the semi annual report, XTEP group revealed that in the first half of 2014, the group focused on optimizing the management of distribution channels.

It covers 7310 XTEP retailers operated by exclusive distributors and their respective franchisees, and admits that deep management helps to improve the level of retail inventories.

From the data of average inventory, average turnover days of trade receivables and cash flow, which represent the stock and financial health of enterprises, many enterprises are still in sub-health state.

By the end of June 30th, Anta and 361 degrees were the best days in terms of average inventory turnover days, both of which were 59 days.

XTEP and PEAK are 94 and 87 days respectively.

The best performance of average trade receivables revolving days is Anta, which is 78 days.

The worst is 361 degrees, up to 165 days.

In addition, PEAK 123 days, XTEP 96 days.

In terms of cash stock, Anta ranked 4 billion 400 million at the top of the list. XTEP, PEAK and 361 degrees were 3 billion yuan, 2 billion yuan and 1 billion 760 million yuan respectively.

But many companies are optimistic about the future.

XTEP chief executive officer told reporters that "with the effective clearance of inventory, we believe that the industry will gradually get better."

It is particularly important to learn from sports brands that have undergone tremendous crises.

Zhang Qing said that the demand for sports brands will be higher in the future, especially in terms of professionalism.

At the same time, it is necessary to carry out long-term strategic planning for enterprises.