Skech'S Annual Sales In China In The Fourth Quarter Will Rise By 36% In Two Or Three Cities.

After the first quarter's record high, Skech (SKECHERS) Asia Pacific CEO Chen Weili mentioned more than once that China's sales target in the 2018 fiscal year is RMB 15 billion yuan.

In recent days, when Cage's biggest Chinese shop opened in Shenyang, Chen Weili revealed in the interview that the final sales in the Chinese market were fixed at 14 billion 100 million yuan in fiscal year 2018, an increase of 36% over the same period.

Among them, the fourth quarter sales increased nearly 50%, and the same store sales increased by more than 100%.

Although there is a gap between China's market sales and its expected target, Chen Weili is satisfied. "In 2018, the whole line was very good. We are not Adidas or Nike, nor Anta or Lining. We entered the market with our own mode.

Online and offline channels are doing well.

Skech, President and founder of the US Michael Greenberg, predicted in an interview that in five years, the sales of Skech China will surpass that of the United States and replace it as the largest market. "The Chinese market is the best opportunity for the brand to grow globally."

Skech was founded in 1992 in California, USA. In 2007, Skech joined the joint venture company to establish Cage Cage China Limited. Both sides accounted for 50% of the shares, and the US brand was declared to enter China.

Skech's sales in China increased from 74 million 10 years ago to 14 billion 100 million in 2018.

At present, there are about 2600 stores in the Chinese market in Skech.

Chen Weili said that with the improvement of Skech's performance and the brand effect in the first tier cities, the focus of its stores will sink to two or three line cities in 2019. In January, the opening of China's largest store in Shenyang by Skech is the embodiment of brand strategy.

Shenyang new store is known as the "super store" in the Cage store level. The concept of this store is regarded as the incision of the brand in the two or three line city.

Skech, chief operating officer of David Weinberg, said that the super store originated in the United States in 2015. They found that many consumers like a family to shop and buy products they need.

According to this demand, Skech designs shops, and the scale is bigger and the benefits are obvious.

"Super stores will showcase our entire line of products, especially women's styles and children's styles, as well as the style specifically for young people, the style of working people, and the shoes provided for professional sports," Chen Weili added.

The Shenyang store is the largest Skech brand store in China, with a total area of 2982 square meters.

The store has been assigned several exclusive product areas, including D 'Lites, Lifestyle, Performance, Kids and so on.

Cage's goal is to open 300 super stores in China within two years, and the current number is 3.

The continuous development of China and the global electricity supplier market has brought some impact on physical retailing.

In 2018, about 30% of Cage's 14 billion 100 million yuan in China's sales came from online sales.

Chen Weili said, "the electricity supplier is developing rapidly in China, but the operation under our line has not been reduced accordingly.

Although there are a slight decrease in sales under certain channels, such as department stores, the overall sales have not decreased, but the channels are in pition.

It has been 10 years since the introduction of Cage in 2008. Chen Weili believes that the main change in the market of Chinese sports shoes and clothing is that Nike, Adidas and other international brands seize the share very quickly, and many local brands can not keep pace with them.

"The popularity of international brands is increasing and resources are limited, bringing difficulties to the development of domestic brands.

But I am very happy to see that the brands like Lining and Anta are getting better and better, "Chen Weili admitted.

International brands continue to be strong, and local brands are also rising. Skech chose to focus on such a sandwich area as "Anta Lining and Nike ADI" as their development space.

Chen Weili once commented on Cage's product positioning. "We won't make 299 yuan customers. That's Anta and Lining's customers.

But you want to find an international brand price of 399 yuan, 499 yuan, you come to me.

He believes that the price positioning of the middle tier can avoid many competitors and become the key to Skech's breakthrough in China.

According to convention, Cage's global pcript in fiscal year 2018 will be released at the end of January 2019, and the contribution of the Chinese market will be announced.