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    Lining'S Return To The Company One Year, How Much Do You Give To This Company?

    2016/1/13 16:07:00 36

    Sports BrandIntelligent Running ShoesBrand

    In January 6th, the Li Ning Co issued a notice of Earnings Preview. It is expected that the profit and loss of the company's equity holders will be roughly flat in 2015, and the company will achieve profitability in 2015.

    2010 Li Ning Co announced

    Transformation

    But after that, it has been in a predicament. It has been losing money for three consecutive years since 2012.

    This profit preview is really the good news that the company has not heard of for years.

    Encouraging news, Li Ning Co shares rose 6.97% to HK $4.45 a share, and hit a 9 month high.

    In 2012, Li Ning Co's orders fell and share prices plummeted. Its performance was hit hard, and Zhang Zhiyong served 20 years as CEO of Li Ning Co.

    Subsequently, TPG, the second largest shareholder of the company, sent 8 full-time executives including Jin Zhenjun to the Li Ning Co.

    In July 2012, Jin Zhenjun served as the company's CEO.

    But Jin Zhenjun, who is known as "three heads and six arms" by the industry, has not been able to reverse the declining trend of Li Ning Co.

    After Zhang Zhiyong and Jin Zhenjun left the two CEO in succession, at the beginning of last year, Lining himself was once again in charge of the Li Ning Co.

    Lining returned to the office a year ago, and the company's performance has been warmer.

    What did Lining and the company do this year? Can Lining turn up again?

    Jin Zhenjun's foundation

    One fact is clear. Jin Zhenjun's two years in Lining still lost money.

    But Kim Chun Jun also solved some of the company's problems when he was in office.

    He has mainly done four things: focusing on core products and domestic markets, reviving sales channels, improving supply chains and expanding direct business.

    According to the analysis of tiger's sniffer Ma Gang, Jin Zhenjun's efforts first pulled Lining out of the mire of stock, followed by the channel revival plan to restore dealer confidence and win valuable opportunities for Lining's reform, which once again improved Lining's supply chain efficiency.

    Of course, the company also paid a price, sustained losses, and market share declined.

    But as Jin Zhenjun said, "if Lining can save billions of dollars in spending on the most core sports resources and R & D inputs such as CBA or Wei Dezhi Road, what about Lining? At this stage, Lining should pay attention to brand building, consumer brand experience, and the growth of channels and partners, rather than short and medium term financial goals."

    It can be said that Jin Zhenjun has laid a solid foundation for Lining's turnaround.

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    Learn Nike to play technology

    Nowadays, the sports brand is not high-tech. It seems that there is no way to mix it up again.

    Andrew Ma, a rising sports brand, said he was a technology company.

    In recent years, more and more sports brands have entered the field of wearable and digital health.

    In 2015, Andrew bought the health and nutrition tracking application MyFitnessPal and social sports tracking software Endomondo.

    In August, Adidas also acquired Runtastic, a famous mobile fitness application developer in Europe.

    Sports brand leader Nike first launched a smart wristband. Its sports and health running APP Nike+Running also attracted a large number of users. Recently, Apple announced that it would cooperate with apple to develop new intelligent products.

    In May last year, Lining also pursued the trend, announced the strategic agreement with the millet ecological chain enterprise, the millet Bracelet founder, the company, and jointly developed a new generation of smart running shoes to explore the health field of big data.

    In July, Lining officially launched the two paragraph.

    Smart running shoes

    The production mode of Lining's intelligent running shoes (traditional sports shoes + millet Bracelet = intelligent running shoes) has been subjected to many Tucao, people feel that Lining's smart running shoes only put millet Bracelet into Lining's sports shoes, this superposition form is obviously not very innovative.

    Although the outside world is not optimistic, but Lining smart running shoes sales seem to be good, the sale of a month broke 100 thousand pairs.

    The distance from the "90s" is near.

    In 2010, Lining changed the first year.

    The company changed LOGO and changed slogans.

    One of the main points of its change is to impress the "post-90s", but the "post-90s" did not catch Lining's cold at that time.

    5 years later, however, Lining seemed to be a bit of a young man.

    First of all, Lining worked harder to excavate basketball resources.

    In 2012, Lining became a sponsor of CBA, and he signed the NBA superstar Wade.

    But in recent years, Lining has seen more negative effects on these resources, such as the CBA "shoe door" in 2012, and the Wade shoe Oolong in 2013.

    CBA last season, Lining called out the slogan "let go" to encourage young people to play hard on the pitch.

    Wade 2015 has also done well in China, attracting many young fans.

    In addition, Lining also launched the Avenger's theme shoes last year and attracted a large number of fans.

    Finally, there is a certain degree of coincidence between Lining and millet user groups. The young people who have been born with fever have always been Lining's goal.

    The electricity supplier has made progress.

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    Lining repeatedly mentioned the development of the company's electric business in public.

    In 2014, the total electricity revenue of Lining increased by 48%, making great progress.

    But is the electricity supplier a panacea for Li Ning Co? The rising electricity business seems to have limited contribution to its performance, which accounts for only about 5% of the total revenue.

    Lining expects to increase this proportion to 25% to 30% in the next two to three years.

    Li Ning Co's electricity supplier started in 2010 and was once regarded as the industry's model.

    But then, the brand internal disorder also hindered the development of the company, and the problem of fighting online and offline has always been the hidden secret of Li Ning Co.

    Today, Lining business is still unsuccessful.

    Look at the United States, which has been losing money but suddenly lost this year, may have some inspiration.

    In recent years, in recent years, the United States has vigorously promoted the O2O strategy, carried out store scanning, on-line business website, published "fan APP" and set up O2O Direct stores, but a series of initiatives failed to solve the inventory problem that the US government has not been able to solve. The company's performance continued to decline. In the first half of 2015, the United States, which had an annual profit of over 1 billion, appeared the first loss in the first 7 years.

    Therefore, whether the electricity supplier can give Lining just a little improvement in his performance has injected some vitality and is still a big question mark.

    Gymnastic princes with varying temperament

    In addition to implementing various initiatives, Lining's re management of the company has changed his temperament.

    He opened micro-blog, took part in various activities, met with celebrities, and tried to publicize the company's platform.

    The prince of gymnastics wants to maximize his influence and enhance the influence of the brand.

    However, the prince of gymnastics once was 52 years old, and the generation he watched and grew up should have passed the age of idol worship.

    One question that has to be said is how much effect does Lining's personal influence have on Lining's brand? The fact is that many post-90s or 95 may not be familiar with Lining, and Lining's charisma is not attractive to the main sports consumption groups.

    The hot sports environment may be a new opportunity for Lining.

    In October 2014, the State Council plans to increase the national fitness strategy to the national strategy, and predicts that by 2025, the total scale of China's sports industry will exceed 5 trillion yuan.

    The hot sports environment in China is a new opportunity for domestic brands such as Lining, PEAK and Anta.

    However, this huge cake has long been the target of sports brands.

    From the perspective of international brands, ADI has made plans for expansion in China since 2010, and has opened shop in a frenzy. In the past two years, new brun has been in a terrible mess in China. Nike signatories asked Jordan to come to China's platform and step up expansion in China.

    To sum up, it is indeed a good news that Lining, a national brand, is turning a profit. But the new pformation of Li Ning Co seems to be just beginning.

    Online retailers

    Business is just a little bit better, but it seems far from enough.


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