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    Li Ning Anta Nike International North America

    2015/12/21 16:43:00 219

    Li NingAntaNike

    It is too early to talk about occupying the North American market or competing with competitors in the North American market Anta For example, the acquisition of international brands may be a better way to improve the international image at present.

       Li Ning Anta Nike Internationalized North America

    After winning the first place in the local brand market, Anta, which has always emphasized its foothold in the local market, seems to have plans to expand overseas markets.

    On December 20, KT1, the official signature shoe created by Anta for NBA star Clay Thompson, was officially released. Thompson just signed with Anta in February this year. KT1 is just one of Anta's priceless signature shoes. However, unlike the previous signature shoes, it is Anta's first time to enter the U.S. market. Compared with Li Ning and PEAK, which set foot in overseas markets earlier, Anta only set foot in Southeast Asia, Eastern Europe and the Middle East markets through distributors, but its revenue was negligible.

    In order to realize synchronous sales between China and the United States, Anta cooperates with DA and CHAMPSsports, two major channel platforms in the United States, to sell KT1 products online and offline in the United States. Among them, Champsports is an online store under FootLocker, the world's largest online retailer of professional sports goods, and has more than 550 physical stores.

    KT1 continues Anta's "priceless strength" strategy, with a retail price of 499 yuan in the domestic market and 99 dollars in the U.S. market. In 2013, Anta launched the "priceless strength" basketball strategy, signed a series of NBA stars, and launched star signed basketball shoes with a price of 399 yuan. In 2014, Anta became an official partner of the NBA to launch relevant basketball shoes, and continued the "priceless strength" strategy of pricing 449. Compared with signature basketball shoes that often cost thousands of yuan, the priceless series is called the national shoes because of its high cost performance, and its sales volume exceeds 1 million pairs in one year.

    In China, where there are 300 million basketball fans, the huge potential of the basketball shoe market is self-evident. The strategy of priceless power has proved successful. At the press conference of Anta signing Thompson, Xu Yang, general manager of Anta Basketball Business Department, disclosed that the sales amount of basketball shoes (calculated by the wholesale amount) in 2014 increased by nearly 40%, and the sales volume increased by nearly 30%. In 2014, the sales volume of basketball shoes exceeded 2 million pairs, accounting for about the high number of units of the overall footwear products.

    And after having a super star team including "Thompson, Garnett, Rondo, Parsons, Scola", Anta seems to have the possibility to sell shoes in the most competitive market in the United States.

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    As for the promotion of the stars to the overseas market, PEAK once said that the sales of PEAK in the European market had increased more than four times in less than a year and a half since the signing of the NBA star Tony Parker. PEAK is the company with the highest proportion of domestic brands in the overseas market. In 2014, PEAK's overseas market sales amounted to 650 million yuan, accounting for 23% of the company's annual total turnover.

    However, it is too early to talk about occupying the North American market or competing with competitors in the North American market. Generally speaking, Southeast Asia and the Middle East and other regions are relatively easy to develop, while the North American market, not only has Nike and Adidas, the two old enemies, but also has UnderArmour, which comes from behind to catch up with Adidas, plus PUMA, NewBalance and other brands, which makes it more difficult.

    In 2010, Li Ning opened the first direct store outside Asia in Portland. However, with the decline of the whole industry's performance, the direct store was closed, and the employees of Portland's design center were lost. Li Ning also clearly stated that it would focus on the domestic market in its strategy of starting to adjust in 2012.

    PEAK set up its flagship store in Los Angeles in 2012. It is said that under the star effect of the American company and Parker, the Parker series sneakers TP9 became the most popular product in the store. However, PEAK also admitted that in its overseas markets, "the sales in the Asia Pacific region are better, the Middle East is also good, but the pressure in Europe and the United States is too great." In the eyes of industry insiders, the role of its store brand display in the United States market is greater than profit.

    Perhaps this can be explained by Anta's caution towards the overseas market. Xu Yang, general manager of Anta's basketball business department, said that the reason why the North American market has become the main battlefield of competition with competitors is not that the North American market has become the main battlefield, but that Thompson has performed well in the new season, "in order to meet the needs of fans in different regions."

    Anta did not choose to open a direct store to enter the U.S. market, but cooperated with local online retailers to sell through the partner's network and physical stores. It seems that it is also to reduce risks and explore the U.S. market.

    For Anta, China is still the most potential market. According to public data, the total size of the sports industry in 2025 will be nearly 7 trillion yuan. Relying on the local market, Anta's revenue in 2014 was 8.92 billion yuan, and Li Ning, the second place, was 6.7 billion yuan. From the perspective of net profit, it exceeded the sum of several local sporting goods companies, such as Li Ning, Tebu, 361 ° and PEAK.

    Therefore, Anta's main battlefield is still the Chinese market. However, this does not prevent it from achieving its ambition of internationalization by acquiring international brands.

    According to the latest news of We Media Lazy Bear Sports, Anta will acquire the British sporting goods brand Sprandi. This news has not been confirmed by Anta, but with the positioning of Sprandi, it is indeed an effective supplement to Anta's current product line. In 2009, Anta acquired the trademark and affiliated business of FILA China (including Hong Kong and Macao), completing the coverage of middle and high-end people.

    Ding Shizhong, president of Anta, has repeatedly stressed that internationalization is not only about selling shoes overseas, but also about introducing international technologies and products. Ding Shizhong also revealed at the performance conference early this year that Anta is seeking to acquire a new international brand. The previously rumored PUMA has been rejected because of its overvaluation due to its market value of about 2.1 billion euros (about 14.782 billion yuan).

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