"Running Tide" Brings Opportunities For Recovery Of Sports Brand

Take the lead in feeling warm.

In 2012 and 2013, almost all sports brands in China suffered from the decline of net profit. Regardless of domestic brands or international brands, they were struggling to find new growth points.

The rapid rise of the running market is their bright future.

Two years ago, the sports brand, which was worried about high inventory and declining performance, was suddenly hit by the "pie" of running tide.

NPD research firm has released a report that sales of jeans in the US market have dropped by 6 percentage points over the past year.

Sales increased by 7%, the last time the sales of jeans fell, or in 1980s.

In China, the same trend is also being established.

The increasing running tide at least first saved the sports brand which was slightly exhausted in the previous two years in China.

Sports brand collective recovery

The whole nation is running, whether it is individual or enterprise.

According to CLSA statistics, the number of Marathon events and marathon participants in China increased more than doubled between 2011 and 2014.

Sports brand takes the lead in feeling warm.

In 2012 and 2013, almost all sports brands in China suffered from the decline of net profit. Regardless of domestic brands or international brands, they were struggling to find new growth points.

The rapid rise of the running market is their bright future.

Almost all sports brands are adjusting their strategies to adapt to the running boom.

Originally based on football and basketball.

Coincide with Adidas, the focus is on running.

Nike's data show that running products account for 20% of the company's total revenue.

According to the earnings report, Nike's sales in China increased by 30% over the three months ended August.

Adidas, which has sponsored the Beijing marathon for six consecutive years, has also been rewarded.

Data show that after excluding the exchange rate factor, sales in Greater China in the first half of 2015 increased by 20%, of which the second quarter achieved two digit growth.

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China's local brands feel the same way.

Anta Sports Products Limited released the first half of 2015 performance report shows that the company's revenue increased by 24% to 5 billion 110 million yuan.

Lining's income increased 16.1% in the first half of this year compared with the same period last year; XTEP's net profit in the first half of the year was 343 million 500 thousand yuan, up 20.86% over the same period last year; net profit in the first half of PEAK increased 45.39% compared to the same period last year.

Running tide brings ten years of opportunity.

In August this year, Lining combined with the millet eco chain company, the smart running shoes jointly launched by Hua Mi technology. In the intelligent running shoes, the smart chip components were built in the smart shoes, which also realized the seamless link between Lining intelligent running shoes and millet APP.

Anta, another big local brand, launched five running shoes at a stretch. "Running is a public sport, and everyone is equal before running."

Behind Anta's chairman and CEO Ding Shizhong's rhetoric is Anta's ambition to seize the running market.

Zhang Qing, the sports brand expert and founder of Beijing key Road Sports Marketing Co. Ltd., believes that the impact of China's running upsurge on sports brands is all directional.

The sudden surge of running has not only brought the NewBalance, ASics and other minority running brands into the public view, but the international brands have gained new growth momentum. The local sports brands have welcomed the counter attack opportunities from the recession.

For runners, the most necessary equipment is shoes and clothes, and some professional ones include kettle, pedometer, heart rate function watch, wrist watch, etc.

Among them, running shoes need to be replaced almost every 800 kilometers.

From the current market sales, jogging shoes account for 80% of the sales of sports footwear products.

Zhang Qing told reporters that the rise of running boom has brought sports brands at least ten years. Although it is hard to reproduce the explosive growth since 2010, the "running craze brings new opportunities to sports brands and achieves steady growth opportunities. This is also a more healthy way to grow."

Local brands need to voice after 90 and 00.

Challenges also follow suit.

Elastic glue, flexible column, easy bending, energy ring and double bottom, the concept of local brand is also crazy to play the concept of starting shoes, but to meet the era of universal running, we also need to invest heavily in research and development.

Zhang Qing pointed out that the original sports brand emphasizes leisure and now emphasizes functionality.

The threshold of leisure is relatively low. Professional sports brand not only requires higher research and development and professionalism, but also needs revolution in the overall marketing mode. "We need to deeply communicate with consumers and establish lasting links. In the past, sports brands were bombardment on the momentum, and now they are precise special forces."

The era of consumers can be won by throwing big money into advertisements and so on.

"Nike has done a good job, trying to figure out marketing, and promoting running as a fashion."

Local brands are also increasing investment in professional categories. Anta and XTEP are sponsoring marathon competitions. Lining and millet cross border cooperation, but there is still a lack of qualitative leaps.

"Smart running shoes, such as Lining and millet ecosystem, are still at the conceptual level, and have not effectively opened up the data, which is a common phenomenon in the field of wearable devices."

Zhang Qing pointed out that there is still a lack of communication between local brands for the post-90s and 00 consumers. "China's new generation of consumers has grown up in the period of rapid economic development. These consumers have no burden or fear. China's local brands should dare to express their own ideas and move this part of consumers."