2015 To The Future May Bring Hope To Sporting Goods.

If a word is used to describe the 2008 Beijing Olympic Games, it may be "shocking". If we use a word to describe the rapid development of Chinese sports brand and the rise of Quanzhou Legion in the past ten years, it may be a miracle. If we use another word to describe the trend of the industry in the 2010-2014 years, it may be "dim". If we use one word to describe the 2015 to the future, it may be "Hope".

In 2015, the face of Chinese sports brands began to spread.

Several mainstream brands released semi annual report: Anta's first half operating income of 5 billion 110 million yuan, an increase of 24% over the same period, net profit of 965 million yuan, an increase of 20.2% over the same period last year.

XTEP international 2015 had a total revenue of 2 billion 391 million yuan in the first half of the year, an increase of 12% over the same period last year of 2 billion 135 million yuan, a net profit of 340 million yuan, up 21% over the same period last year.

The 361 - year performance is 5.7% yuan to 2 billion 208 million yuan, net profit 270 million yuan, an increase of 22.3%.

Lining, who has suffered huge losses for 3 consecutive years, also has good news. His income increased by 16% to 3 billion 641 million yuan, a loss of about 30 million, and a decrease of 90%.

The competitive advantages have been established in the following aspects.

First, R & D expenditure and product patent technology.

In the first half of this year, the proportion of Anta's research investment in the cost of sales was 5.2% -- close to the international brand level, with more than 60 state-level patented technologies; two, it occupied many high-end, scarce sports resources.

Last year Anta became the top NBA official market partner of basketball, and signed a group of NBA stars to form a spokesperson team.

In China, as a partner of the Chinese Olympic Committee, it has signed 24 national teams in the 5 sports centers, becoming the sports brand with the most resources of the national team, and three, capital advantage.

Net profit in the first half was more than 900 million, net profit in 2014 was about 1 billion 700 million yuan. Good operation plus market recognition of Anta's future, the market value rose steadily.

With the advantage of capital, we can integrate resources and optimize the industrial chain through acquisition. The four is the development of multi brands.

Anta children have been well adapted to the steady upward trend of children's products industry in recent years. The number of FILA stores covered by high-end shopping malls is also increasing rapidly. NBA brands are mainly aimed at basketball lovers.

There are prerequisites for multi brand operation, such as strong corporate strength, strong capital, multiple brands to meet the needs of different groups of people and different sales channels. But many brands may not be all good things; the five is the retail oriented strategy and powerful execution.

Through effective retail orientation, enhance the competitiveness of direct and franchisees.

It is reported that "if it is harder than hard work, no one can match him (Ding Shizhong). In the past two years, he has travelled almost all the prefecture level cities in China to more than 500."

Every enterprise and every brand should have its own characteristics so that it can still develop steadily under the "pressure" of the industry leaders.

In fact, the industry leaders are not the best in every aspect. The challenger can enlarge the leading points through differential strategy to catch up or even surpass.

In terms of profitability, XTEP has become the second largest brand of domestic sporting goods in the first half of 2015. What is its unique feature?

Brand strategy and promotion.

Briefly describe the brand strategy of XTEP in the first half of the year: Sports + entertainment, sports are mainly marathon and sponsorship football teams and league matches, entertainment is mainly celebrity endorsement and sponsorship entertainment programs.

XTEP's differentiation focuses on marathon, football sponsorship and entertainment marketing.

In the field of sports marketing, Anta focuses on the national team and NBA partners, and XTEP gradually turns to marathon sponsorship, which stems from the rise of running in recent years.

According to XTEP's semi annual report, "in 2015, XTEP sponsored 15 famous international marathon events in mainland China and Hongkong. It is a sports brand sponsoring the largest marathon in Greater China."

Running is one of the easiest and easiest to participate in sports. It has a wide range of people and needs, do professional running shoes, vigorously support marathon races, enlarge the "love running, love XTEP", and XTEP has the opportunity to surpass in this niche market.

In addition, XTEP is able to provide sports services through its cooperation with Chi Mei Group, which is believed to be a useful attempt.

At present, local sports brands are rarely involved in football sponsorship and league matches, while sponsoring football is one of the important platforms for promoting sports brands internationally. XTEP is also at the forefront.

Nicholas Tse, a popular entertainment star, can attract a lot of fans' attention. XTEP has also made timely adjustments to choose the Korean star combination and China's shining idol Li Yifeng.

Under the current environment of information overload and media diversification, hot entertainment programs such as "run! Brothers!" and so on have super high ratings, which are of great benefit to brand exposure.

Before, the sponsorship of XTEP's successive national games and Hunan satellite TV's "day to day" is also one of the examples of "sports + entertainment" operation.

In the future, emphasizing marathon elements, relying on running and entertainment, XTEP can walk out of a brand way which is obviously different from Anta.

Electronic commerce.

According to the data released by China Electronic Commerce Research Center, in the first half of 2015, the scale of China's online retail market reached 16140 billion yuan, accounting for more than 11% of the total retail sales of social consumer goods.

One of the reasons why XTEP's performance in the first half of the year is boosted is the increase in electricity sales revenue, which accounts for the group's sales revenue from low units to high units.

According to XTEP's semi annual report, XTEP brand is also the highest sporting goods brand in Tmall.

The group is the highest customer satisfaction brand in the domestic sports brand of Tmall platform, achieving 4.8 points in the highest score of 5 points.

At this point, XTEP is leading, and it also wants to increase its leading edge.

In August, XTEP signed a strategic agreement with Tmall and Shun Feng to further cooperate in new products, big data and distribution.

In terms of electricity supplier operation, XTEP has made a few small points to do well: first, to further strengthen online sales and supply chain management; two, at present, 70% of online sales are low price special products, attracting price sensitive young customers, and three is to allow dealers to sell online and have a more open mind.

According to relevant research data, although the price of network sales channels is low, but because of direct operation, XTEP's electricity business "gross margin is expected to be close to 50%".

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In the past, there was little mention of the brand, but it was more admired. There were two main points: first, it was founded in 2003, but dared to compete positively with the domestic leading brands in the field of sports marketing.

For example, it is the official sponsor of the 2010 Guangzhou Asian Games, the 2011 Shenzhen World University Summer Games, the 2014 Nanjing Youth Olympic Games, and the 2014 South Korean Inchon Asian Games, laying the brand and market status.

It is unthinkable that in the future, 361 degrees will become a Rio Olympic sponsor in 2016.

"According to the agreement, 360 degrees will provide clothing, shoes and accessories for all torchbearers, volunteers, technicians and other administrative personnel, and has gained relevant marketing rights".

Unlike the previous sports brand sponsorship of a sports team in a certain sports team in the Olympic Games, it has become a global sponsor of the Olympic Games in 361 degrees. It should also be the first Chinese sports brand to become an official sponsor of the Olympic Games.

The sponsorship of this top event will further enhance its brand influence in the world, especially in mainland China.

Secondly, beautiful, atmospheric, unique VI, SI and Slogan -- these are really important for shoes and clothing industry, especially sporting goods.

From "Buick" to "icon +361", and then to pure "361 degrees", several adjustments with the help of big name brand manager, Ogilvy and Mather, around the "361 degree" SI system, coupled with a unique slogan closely related to the brand, "more love", perfect.

This is a correct rule in the Quanzhou sports brand Corps (representing China's entire industry).

In the first half of 2015, two things were pretty beautiful at 361 degrees.

One is the signing of new spokesmen, the other is the development of children's clothing business.

As mentioned in the semi annual report of 361 degrees, "to win the attention of famous athletes, we must be aware of opportunities and deal with them."

In February 2015, 361 degrees officially signed the national swimming team athlete Ning Zetao.

The athlete of his very good condition won the gold medal in the men's 100 meter freestyle at the 2014 Asian Games in Inchon.

Beijing's key road CEO Zhang Qing's evaluation of him is that Ning Zetao, who is of high value, who can sing, sometimes fan, "good boy image", plus competitive hard power, has all the elements of idols.

In August this year, Ning Zetao won the men's 100 meter freestyle in Kazan swimming world championships and began to explode.

It is understood that since the 1973 swimming world championships, the champion has always been controlled by European and American athletes, Ning Zetao won the championship, and the media commentary is "rewriting history".

And Ning's red explosion meets a vacuum period of Chinese sports stars. Yao Ming, Liu Xiang and Li Na have retired. If he can maintain world-class achievements, the future commercial value is expected to match those of the sports stars.

Similar events took place before the London Olympics and signed swimmer Sun Yang at 361 degrees.

He won the gold medal in the 400 and 1500 meter freestyle, and made a historic record and became a national idol. "The company's share price surged 8% yesterday afternoon."

Children's clothing business, 361 degrees is also regarded as a latecomer, but the importance and promotion of appropriate dynamics, rapid development.

According to the semi annual report, "by the end of June 2015, the income of children's wear increased by 8.3% to 233 million 500 thousand yuan, accounting for 10.6% of the turnover of the group.

The growth momentum came from a 18.4% increase in sales and a 8.5% drop in the average wholesale price.

The total number of children's clothing stores in 361 is 2328, and 1459 of the more than 7400 stores in the group are "three in one" or "two in one", which also provides a series of children's clothing and brand products.

361, it also works with Baidu Inc to launch smart children's shoes.

To make a small comparison, as of the first half of 2015, XTEP's child business accounted for a low number of units (around 2-3%), and the number of Anta children sporting goods shops was 1334.

In the industry's leading 361 degree children's clothing business, in the children's products industry, more than 200 million of sales belong to the three line location! ABC, POOVE and other brands are roughly 7-10 billion sales, and the industry leader brand balbala (Semir) has sales revenue of 1 billion 420 million yuan, up 21.57% over the same period last year.

Make a small analysis, children's clothing sales revenue than more than 2 thousand stores, the average sales of single store is 100 thousand, very low! The domestic sports goods market pattern is generally stable, 361 degrees in the solid sports products leading position at the same time, should use the advantages of capital, channel, brand building and other fields, to support children's clothing business rapidly expand.

Lining

It is hard to imagine how Li Ning Co and Lining have come through in recent years.

As a "leading brother" in many years of industry, every move and attention is also right.

In the past three years, we have struggled to make up for losses. Fortunately, we are beginning to see the light.

In the first half of 2015, Lining still had two more colorful things: continued sponsorship of the CBA League, thanks to the determination and major decisions of 2012 to be more appropriate and to restart shop expansion.

Since 2012, Lining has beaten Anta and Nike to become sponsors of the CBA league from 2012/2013 to 2016/2017.

"Sponsorship fees up to 400 million yuan a year" has been ignored by many media, investment banking and industry.

Media analyzed Lining's "stubborn" sponsorship of CBA: basketball shoes are Lining's best selling products, it is NBL, the eastern shark sponsor; competitors seem to rely on years of CBA League sponsorship, performance to achieve excellent growth -- in fact, Anta achieved beyond, as one of the top sports events in China, coupled with the tremendous influence of CCTV broadcast, continuous 5 years of sponsorship, can largely stabilize and enhance Lining's brand value.

Lining's luck is relatively general. After "2 billion days price" sponsorship, the industry immediately ushered in the "deep adjustment period". In the continuing downturn, high sponsorship expenses swallowed up profits.

Since the launch of Lining's "90's Lining", the brand has gradually been in a dilemma.

After more than 10 years of rapid growth, the industry will usher in a period of adjustment.

After 2012, a better strategy for industry leading enterprises is to recuperate, and a large amount of sponsorship expenses become burdens. It is understandable that few people can make accurate predictions.

In fact, at that time, Lining still had a trump card to play, even if he could not sponsor CBA.

Lining is the only designated equipment sponsor of China's national badminton team. One player is regarded as one of China's sports superstars by the media and the public. He is Lin Dan.

Unfortunately, in January 2015, Lin Dan signed a famous sports brand in Japan.

Leaving CBA, Anta has chosen a higher level partner NBA, but with a combination of NBA and Anta brand, landing is not easy.

For Lining, in the period of industry adjustment and gradual recovery, the remaining promotion costs should be focused on the full grafting and exposure of CBA sponsors.

In the first half of the industry, Lining launched a bold strategy to restart shop expansion.

In the past 2013-2015 years, the main theme of shoe and clothing industry is "closing shop tides".

In fact, compared to more than 7000 stores such as Anta and XTEP, there is room for growth in the 5000 order Lining store, which means growth in performance.

In the first half of the year, Lining began to consciously increase the number of stores. By the end of June 30th, the number of stores has increased to 5745. As of September 30th this year, the number of Lining stores has increased by more than 200, and the total number is approaching 6000 (5953).

The growth of the number of Lining stores reflects some strategies, for example, in the first half of the year, more than 40% of the stores are located in the southern area, and the coverage rate of Lining stores is low.

The advantage of rapid growth of stores is the boost of performance - of course, the industry rebound and internal management improvement also play a role.

According to the data released by Lining, orders will be placed in the fourth quarter of 2015, "double-digit growth is recorded on a yearly basis"; the double digit number of orders in the first quarter of 2016 will increase year-on-year, and the order will increase by nearly 20% in the second quarter of 2016.

We look forward to the return of the king.

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As for the internationalization of China's sporting goods brand, the author has three superficial views.

First, measuring different things from different domains will lead to different conclusions.

From the domestic market, the overall situation of several sporting goods brands has been determined. If they look abroad, they are on the new starting line. Secondly, several leading figures of the Chinese sporting goods brand cherish a dream of "global brand" in their hearts, and they are all in the golden age of their career.

Fortunately, sports products seem to be an international brand that is easy to be born in China. Many of the world's most famous products have been produced in China. China's leading local brands have stabilized in China and look forward to sea; third, the "KFC and McDonald's business."

Globally, McDonald's is the king of catering, but in the Chinese market, yum (with KFC) is the absolute king.

In other words, in this industry, the overseas market is one of the opportunities for competitors to surpass leaders.

XTEP's overseas business is mainly through distributors, including sales in Spain and the Middle East.

According to the information of a book, "Ding Shuibo told reporters that the" Wan shop plan is something that can be achieved ".

At present, shops have reached more than 7000 XTEP, and future overseas areas such as Singapore, Malaysia and Belarus are the focus of development.

There are several descriptions of internationalization in the 361 degree semi annual report: "last year, 361 degrees began its international business under the guidance of an experienced professional.

Its initial target market is Brazil and the United States.

In Brazil, 361 degree cooperation with an import dealer; in the United States, a wholly owned Affiliated Companies 361 degree America is responsible for direct selling to specialized retailers.

On the date of this report, 361 degrees, the United States has introduced limited edition running shoes series.

Anta also set up Anta stores and sales counters in Southeast Asia, Eastern Europe and the Middle East through overseas retailers.

In the process of internationalization, Lining's starting point was earlier and the starting point was relatively high.

According to relevant information, the Asian financial crisis broke out in 1997. When the sale and expectation of Li Ning Co completed a big deviation, Lining realized that "multinational companies have strong ability to resist regional economic crisis" and began to attempt internationalization.

In his attempt, one of Lining's high-profile events was the establishment of R & D center in Portland, USA, which is not far from Nike headquarters. R & D and brand are regarded as the core link of the industry.

Many years of international efforts have not brought about fruitful results. In 2012, Lining's failure to authorize business in Spain triggered local media and industry attention. In the following years, Lining's sales and market share declined gradually, and the overall strategy was mainly to stabilize the domestic market.

If the Chinese brand moves from China to the world as a child's growth, the process of fall is inevitable and repeated. The key is whether the leader has the determination and confidence of "global brand".

There are some small suggestions about the journey of Internationalization: the overseas key markets should do their own business, and they should not place their hopes on the dealers. If you are the ideal, they are the business; if you really do well in the products, the world-class products can support the world-class brands; do not apply the practices of the age of the grass to the refinement of today; we can consider "rural encircling the cities", starting from the developing countries (or the Chinese concentrated countries), and then to the moderately developed and developed countries. China's national brands have already been endorsed in the developing countries.

Emphasis on electricity supplier

E-commerce has a significant impact on China's retail market structure.

The title of a report issued on the following day of "double 11" is intriguing -- "electric business" selling and selling "the cold and cold" of the traditional department stores, reported that "this year, the department store has experienced the biggest closing shop tide in nearly 5 years".

In the trauma of traditional department stores, shoes and clothing should be the most tragic.

In traditional department stores, brand shoes and shoes have experienced several levels of agency sales, and the price of the stores has been raging.

In terms of business operation, some of the practices mentioned above refer to XTEP: we should work closely with the big platform to strengthen supply chain management, low price special supplies, etc.

Anta launched its e-commerce business in 2009.

The development of Anta's e-commerce business is broadly similar to other brands, opening online stores on Tmall, Jingdong and other electronic business platforms, setting up independent online shopping centers, authorizing online retailers to sell commodities, and allowing some offline distributors to sell products online.

As a channel for Anta to clean up inventory, the electricity supplier is also a sales channel for the same quarter and the network for products.

In 2015, double 11, Anta and XTEP leaders attached great importance to electricity providers. The former inspected warehousing and logistics centers, and the electronic business team raised a glass to celebrate the new sales high. The latter would sponsor two 11 parties to visit the scene.

The related press releases and headlines of the two enterprises used the same word to lead the race, one said that they were leading the sporting goods industry, and the other said they were leading the double 11.

According to reports, double 11 sales are over 100 million - Anta 170 million, XTEP 120 million.

Media interview, Anta CEO Ding Shizhong said, "Anta as a leading brand of domestic sporting goods, we must establish a position in the field of electricity supplier", the subtext is, Anta's position in the electricity supplier is not high.

In 2015, double 11, Anta's electricity supplier's "bright eye" action, and the courier company signed a "bet" agreement, timely delivery of additional incentives, instead of punishment, fines to consumers; with the big platform Ali signed strategic cooperation, the establishment of Baidu brand area, optimize search, drainage; through the new media platform, a series of marketing, close to netizens.

This year's double 11, the biggest highlight of XTEP brand promotion is sponsoring the "Spring Festival Gala" sponsored by Ali group.

As for sponsoring this grand ceremony, I think two points. One is that the brand is very exposed. A brand is always good with grand events and electric business feast.

At present, the information is excessive and the ratings of "Spring Festival Gala" are very high. In the highly concerned activities of the society, your brand is very valuable. It also reflects the brand advancing with the times. The famous hosts and stars wear costumes and show a lot of points for XTEP brand.

Two, the sponsorship of the evening party is consistent with the overall brand tone of XTEP. It starts with sports and entertainment, and plays a good way through entertainment parties, stars and cross-border cooperation.

If other sports brands are located, they will be slightly stiff.

The author uses the "two linkage" to summarize the XTEP CEO Ding Shuibo's introduction of double 11 tactics: "the whole group's double 11, brand, product, marketing, supply chain......"

The result of close collaboration is that the separation between large group departments is normal, and it is easy to achieve great success by collecting the whole body's efforts. Online orders are provided to more than 40 branches in real time, and their branches are shipped in time. They have their own warehouse -- the two batch of goods online and offline.

In fact, this is due to the cooperation with SF, "multi location, multi storehouse and integrated distribution".

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This year double 11 has a business 15 minutes sales volume easily billions of dollars, it is Barbara!

With the full liberalization of the "two child", the children's industry is favored, and children's shoes have been further valued.

According to the information of China children's shoes net, "with the average annual increase of 100-200 million newborn babies, it is estimated that the number of newborns in 2018 is expected to exceed 20 million, of which the population consumption bonus will reach 1200-1600 billion per year.

More and more shoe and clothing enterprises are involved in the baby market, and enter the field of children's wear and toys, hoping to take more from their young parents' pockets.

Semir has extended its children's clothing brand line to 0-3 year old baby. Taiping bird has set up a children's wear brand Mini peace. Jiangnan cloth dress also set up a children's wear accessory card in 2011, and the American children's wear brand Moomoo has increased steadily in recent years.

Bring your vision back to the Quanzhou Legion.

Anta children's business started early. In 2008, 361 degree children's clothing business had achieved 230 million sales in the first half of this year, and the group accounted for more than 10%.

To our surprise, Quanzhou's mainstream sports brands have chosen to operate independently and develop children's clothing, and add KIDS to the main brand.

What I want to express is that in the children's shoes and clothing, the Quanzhou sports brand can use the power of capital to set up high-quality shops and quickly complete the horse race enclosure. Quanzhou is an important shoe and clothing production base in the country. There are also many large scale enterprises that focus on children's articles for many years, and cooperation such as acquisition and holding is also one of the reference ways to cut into and expand.

In the first place, sports brand enterprises have already used the resources of group and listed companies to enter the two or three line of industry quickly, but the investment is not big enough. If they are optimistic about the market, they will have to run to the front quickly.

The entry into children's clothing business and acquisition of children's products enterprises will be different from the accumulation. For the future establishment of competitive advantage, M & A is still one of the strategies that can be considered.

In the adult sports shoes and clothing market, a very successful sports brand may produce a "impetuous" mentality.

To enter the children's field, we must steadfastly do well in products and channels, and make energetic efforts in marketing. Children's businesses should not "indulge" in the influence of the mother brand.

In terms of products, the product range of children's wear and children's shoes is extended and unique compared with sports shoes and clothing.

As the first brand of China's local sporting goods market, Lining's strategy is still more forward-looking. As early as 2007, Lining acquired a 57.5% stake in Shanghai red double happiness, a famous sports equipment manufacturer, through its wholly owned subsidiary (Yue AO). 305 million

Lining recently pferred 10% shares.

Through the acquisition, Lining relaxed in the domestic table tennis, badminton products market share, and win a famous brand.

Red double happiness, "star market and event promotion", signed many endorsements by Malone, Ding Ning and Wang Hao in 2015. It is a professional equipment sponsor for the top events of ITF global professional tour and table tennis world cup. The brand and professional influence of red double happiness are good, and it can extend to other sports equipment.

For the sports brand of the Quanzhou regiment, it is said that it is sporting goods, the essence of which is sportswear only.

In October 2014, the State Council issued the "opinions on accelerating the development of sports industry to promote sports consumption", pointing out that by 2025, the scale of China's sports industry will reach 5 trillion yuan.

"That is to say, in the next 11 years, the output value of sports in China will meet the planning requirements at a rate of 29% annual compound growth rate.

As an important part of the sports industry, sports equipment will benefit from the growth of the sports industry. Lining will also benefit from it.

It is reported that China's sports industry is at the initial stage, and its sporting goods and footwear output value is close to 80%, showing a unique situation.

The balanced development of sports industry in the United States, "the upstream sports and ornamental service industry accounts for 25%, while the downstream sporting goods industry accounts for 30%, while the sports fitness service industry is the most important component, accounting for 32%".

From sports equipment to sports industry, who left unlimited imagination and market opportunities for it?