Sports Brand Differentiation And Multi Brand Strategy Lead The Industry Out Of The Trough

　　 The six major sports brands in China usher in "second spring" three companies' net profit and double profit growth.

China in recent years Textile and clothing The industry can be said to be twists and turns, and successive decline in performance reports, so that all costumes are curious, looking for their own development path. Especially after the large-scale closing of stores in 2014, the six major sports brands in China have been transformed and weighed down. From the annual report of the six major sports brands in 2014, it can be seen that Sports brand The transformation has begun to bear fruit.

From the 2014 annual report of the six largest Brand Company in China, Anta sports, 31st degree and PEAK sports performance in 2014 was the most outstanding. After the transformation of companies, the 3 companies achieved double growth in operating income and net profit in 2014. In this regard, insiders believe that the two growth of domestic sports brands is coming.

According to the 2014 annual report, Anta sports revenue in 2014 was 8 billion 923 million yuan, an increase of 22.5% over 2013, and net profit of about 1 billion 700 million yuan in the whole year, an increase of 29.3% over the same period last year.

Compared with the double growth of Anta sports business income and net profit, 331 degrees and PEAK sports business income and net profit also achieved a win-win situation.

Unlike Anta sports, 31st and PEAK sports, which achieved a double growth in revenue and net profit, China's operating income in 2014 decreased by 10.7% compared with the same period last year. Although the company's net profit in 2014 increased by 335.7% to 915 million yuan, its profit mainly came from foreign investment, and the company sold its Alibaba's 30% equity income.

In addition, although Li Ning Co and XTEP international are also actively transforming, the performance of the two companies is still not satisfactory.

According to Li Ning Co's 2014 results, although the company's operating income increased by 16% to 6 billion 730 million yuan per year, the rights and interests holders suffered a huge loss of 780 million yuan, compared with a loss of about 390 million yuan in the same period last year. In this regard, Li Ning Co explained that the main source of earnings pressure from the early stage of investment.

According to XTEP international annual report, the net profit in 2014 fell by 21.12% to 478 million yuan.

Judging from the performance of the annual reports, the domestic sports brand has gradually stepped out of the trough and began to achieve performance growth. From the point of view of the performance growth of each company, the performance growth methods adopted by each company are different.

For the achievement of performance, Anta sports related responsible person openly told the media. Brand differentiation And multi brand strategy is one of the reasons for good performance in 2014. Among them, in terms of multi brands, Anta sports currently owns many brands such as Anta, FILA, Anta and other children, and has launched Anta -NBA joint brand products and NBA independent brand products with NBA China.

"As a professional and internationalized sports brand, joining the international track and field challenge and the Dalian International (000881) marathon will help to enhance the international reputation and product expertise of PEAK brand". PEAK CEO Xu Zhihua said so.

Compared with the different transformation paths of the above companies, the transformation of China's trend is the most thorough. In 2014, the other revenue in China was 910 million yuan, an increase of 716 million yuan over the previous year, mainly due to the sale of 30% of its Alibaba holdings.

From the perspective of income ratio, China's trend is more like a financial company. Some research institutions say that even if China's sportswear business is removed, its Alibaba shares will affect its valuation up 39%.

No matter what way it is adopted, Chinese sports brands have begun their transformation and development. With the improvement of people's living standards in recent years, people pay much attention to sports fitness, especially the state's policy of strongly supporting sports. With the continuous efforts and improvements of the domestic sports brand itself on brand characteristics and strategies, the coming of the second growth points of Chinese sports brands will not be far away.