Lining Signed A Cooperation Agreement With CBA To Grow Together

According to the world clothing and shoe net, 54 year old Lining and 37 year old Yao Ming sat at the table, shaking hands and signing the contract, so that the 27 year old Li Ning Co and the newly born CBA company reached such a heavy cooperation.

For the 23 year old CBA League, waiting for it is a brighter future.

From the opening of the new season of the CBA League, there are still two months or so to go. In the wake of endless calls, the equipment sponsors of the new season have finally settled.

In August 22nd, China Basketball Association (Beijing) Sports Co., Ltd. (CBA company) and

The company formally signed a cooperation agreement, Lining will continue to be the next CBA cycle equipment sponsor, the two sides have successfully renewed their frontiers.

However, around such a so-called "flexible contract", around the resurgence of Lining and the reform of CBA, there seems to be more questions to answer.

Neither Lining nor CBA has publicly disclosed the sponsorship sum and the length of the contract.

Judging from the mode of cooperation, the amount of sponsorship may not be as "turbulent" as predicted by CBA in the 5 years and 8 billion years of the Super League.

At present, there are rumors of "5 years 1 billion" cut prices and "far more than 2 billion long" two claims, the difference between these two prices, contains the CBA IP value is whether the trend is different.

In fact, in the official announcement of the signing ceremony, there is such a saying: "in the framework of the new cycle cooperation, CBA and Li Ning Co have expanded the original official strategic partnership, and both sides agreed to build a more stable and more promising long-term cooperative relationship, and carry out specific cooperation under the principle of more flexibility and openness."

It can be seen from this passage that the agreement signed by Lining and CBA is likely to be a long agreement, which is in line with the development of Lining and CBA.

In May of this year, Yao Ming visited the company accompanied by Lining. Now it seems likely that the two sides had a contract negotiation at that time.

Will it be reopened at present?

"And" exemption from the stars "is still questionable. But last week, CBA announced the announcement of the" CBA League athletes' equipment requirements ". The 19 regulations are strictly promulgated, and the target is directly related to the protection of the rights and interests of sponsors.

Therefore, CBA will enforce their sponsor policies more strictly.

From the table below, we can see that the official sponsorship of CBA has been tightening up the attitude towards sneakers.

Therefore, although Air Jordan signed Guo Ailun and Yi Jianlian last year because of the "off the door" not pleasant, but in the upcoming new season, CBA is likely to continue to maintain absolute exclusion of other sports shoes brand.

CBA list of official equipment sponsorship

In addition, more flexible contracts originate from the pace of reform in CBA itself.

After the CBA company was unveiled, a series of positive reforms were launched soon. In June 30th this year, CBA announced the competition plan for the next 5 years and the business development plan of the CBA League. It announced a series of changes such as "no expansion in the next 5 years", "the playoffs increased to 10 in the 17-18 season and 12 in the last 4 Seasons".

This is undoubtedly consistent with what we have long hoped for for CBA to be longer.

Based on the future reform of CBA, its season is longer and the competition is more intensive. Business value will undoubtedly increase. Therefore, the two sides have reached this flexible cooperation mode, which is not merely an innovative attempt, but also seems to imply that the amount and content of the contract have reserved room for adjustment.

In addition, in the official propaganda article, it is clear that the ultimate goal of this cooperation is to work hand in hand to create the CBA League, promote the professionalization level of the league, and help Li Ning Co achieve the goal of expanding and expanding the market, so as to achieve a win-win situation.

On such a basis, the flexible contract may ensure that Lining has ample room to work with progressively professionalized CBA to achieve a win-win goal.

As a matter of fact, there are different opinions on whether the sponsorship of CBA is reasonable or not.

Some people say that Nike, Anta and Lining, who have sponsored CBA, have tasted the sweetness.

The last CBA equipment sponsor before Lining was Anta, the leader of domestic brands today. They also tasted the bonus of the last wave of CBA development dividends.

With the increasing influence of the CBA League, Anta's market capitalization and revenue profits soared rapidly with the annual price of 20 million becoming Anta's only designated sports equipment.

Statistics show that when the first cooperation with CBA was made in 2004,

The annual turnover is 310 million yuan, reaching 670 million yuan a year, reaching 1 billion 250 million yuan in 2006 and 2 billion 980 million yuan in 2007.

Such a high rate of growth is not only CBA's contribution, but sponsorship of CBA is obviously important.

After the expiration of the 3 year contract, the two sides renewed their 20 million + floating conditions for 5 years. In the following years, the turnover of Anta was 4 billion 630 million yuan in 2008, 5 billion 870 million yuan in 2009, 7 billion 410 million yuan in 2010, 8 billion 900 million yuan in 2011, 7 billion 620 million yuan in 2012, and maintained a good trend.

Sponsoring CBA has brought sweetness to Anta, and other brands are eager to try.

After the end of the 2011-12 season, Anta, ADI, Nike, Lining and other brands joined the competition for the CBA League sponsors.

In the end, Lining won the exclusive sponsorship rights of CBA with the price contract of 5 years 2 billion (1 billion 500 million yuan in cash and 500 million yuan in equipment).

Counting the historical background at that time, Lining's re injection of CBA is not only to make up for the mistakes made before, but also to make big gamble after a heavy setback.

In July 2012, its CEO Zhang Zhiyong resigned and founder Lining returned from the Li Ning Co's ten day operation.

After that, Lining announced the next stage of the company's priorities: brand, project and local market.

At that time, it was difficult for other competitions in China to have more influence. In such a situation, CBA became Lining's life-saving straw, so the price of 5 years and 2 billion also had the meaning of putting all the eggs in one basket.

In the five years of sponsoring CBA, Li Ning Co has also succeeded in turning losses into profits.

According to the financial report, after the sponsorship of CBA, the turnover of Li Ning Co in 2012-2016 years was 6 billion 730 million, 5 billion 820 million, 6 billion 730 million, 7 billion 80 million and 8 billion 10 million respectively.

In August 11th this year, Li Ning Co Ltd (2331.HK) disclosed that the group's financial indicators, retail and inventory data were generally better, indicating that the group's "recovery" situation was positive in 2017.

As of June 30, 2017, the group's revenue was 3 billion 996 million yuan, up 11% over the same period last year, and its interim profit increased to 189 million yuan, up 67% from the same period last year.

In this case, Li Ning Co finally turned around and further expanded its sponsorship territory. In addition to sponsoring the NBA rockets, they also sponsored CUBA, CUBS and other leagues. Now it is logical to renew CBA.

However, it is not enough to let Lining have the ability to break the wrist with Anta, so that every penny of the new sponsorship cycle will be cost-effective, and only a rough ban on competing products is not enough. The latest cooperation between NBA and Nike may be worth learning.

In 2008, Adidas and NBA reached a 11 year contract with a contract price of US $400 million. In 2015, the new contract price between Nike and NBA increased to US $1 billion, but the contract length shrank to 8 years and began in the 2017-18 season.

From the annual price point of view, the price of Nike has increased by 245% over the previous contract, which undoubtedly reflects the commercial value of NBA.

However, Nike has a market share of more than 90% in North American basketball. Under the basic occupation of the North American basketball market, signing such a seemingly premium contract, Nike actually has its own business experience.

{page_break}

First of all, the LOGO of Nike appeared on the official uniform.

As we all know, NBA has also released the Jersey ads in the new season. Most of the official brands are local companies, and the contract price ranges from millions to $about ten million a year.

On this basis, it can be exposed as the basis part of the jerseys, and Nike is obviously getting a higher value brand display.

The ads on the left side Nike LOGO and the right-hand Jersey advertisements reflect each other.

Secondly, because of the previous voice, it means that the sleeveless uniforms are too formal, and sales are not as good as sleeved T-shirts. Therefore, Nike did not intend to extend the previously unpoleher pattern. Instead, it launched 4 different kinds of jerseys -- The Association Edition (Alliance version), The Icon Edition (logo Version), The Statement Edition (announcement version) and The Statement (city version).

Further interpretation, the union version is classic white, logo version for the team color matching, declaring version will be bold color matching scheme, and the city version will use the local characteristics of community color matching, each team can choose one of them to fight.

As a result, every team official declared his every robe became a piece of news.

And more fashionable clothing designs than ever before, these more fashionable jerseys are also considered to bring more sales.

With its strategy of "technology + marketing + endorsement", Nike is willing to believe that their 1 billion dollars can bring tangible results. In fact, Nike also hopes to make this IP more valuable with NBA and make the contract more cost-effective.

Since the birth of CBA, NBA has been learning and pursuing.

When Yao Ming was the head of the CBA company and even the China Basketball Association, we also took David Stern as an example. We sincerely hope that Chairman Yao can lead CBA to a more professional side.

Therefore, NBA recently signed a new contract with Nike, and the actions after Nike and NBA are of great value to CBA companies and Lining.

Entering the 2017, people's pursuit of sports IP has slowed down. As the sport falls, sports power has negotiated royalties with China super company, pointing to a fact that the industry tends to be calm in dealing with sports IP.

In fact, after CBA succeeded in renewing its lead with Li Ning Co, chairman Yao Ming's heart could be lowered by half.

Lining and Yao Ming came together to take the lead in helping CBA solve the problem of equipment sponsors. Other categories of sponsors should be finalized in the near future. Next, waiting for Yao Ming's more arduous task, is another campaign of copyright distribution.

In fact, after the sports IP gets cold, the CBA copyright contract behind it will not be surprising if it goes down.

Compared with the crazy speculation about CBA copyright in that year, the final copyright price of CBA should return to a relatively rational scope, which is actually not a bad thing.

The Chinese basketball players who have cooled down have more time and space to move forward at a more steady pace and complete the all-around reform step by step.

In today's market conditions, the industry needs to be more calm and patient to wait for IP to grow.

Prior to this, Lining and Wade signed a 10 year 100 million dollar plus a certain equity endorsement contract, therefore, for Li Ning Co, patience seems not a problem.

Therefore, we have reason to believe that their sponsorship not only points to such a business cycle, but also lies in the future of CBA League and even Chinese basketball.

The long journey, the 54 year old gymnastic Prince Lining and the 37 year old basketball giant Yao Ming sat at the table, shaking hands and signing the contract, so that the 27 year old Li Ning Co and the newly born CBA company reached such a heavy cooperation.

For the 23 year old CBA League, waiting for it to chase is the bright future of 71 year old NBA and 45 year old Nike.

More interesting reports, please pay attention to the world clothing shoes and hats net.