Integration: Online Layout Acceleration, Offline Store Upgrade! Sports Apparel Industry Breakthrough 100 Billion

Nowadays, sports are becoming a trend in China, especially when many young people from 80 to 90 are more likely to invite friends and colleagues to do exercises together.

Sports clothing enterprises seize the opportunity to develop products for young consumer groups and accelerate the online layout.

At the same time, at the same time, online shop upgrading, have been in a better experience of large shopping centers, hoping to get more market share.

The younger generation has become the main consumer sport and apparel industry is facing opportunities for development.

Miss Zhang, who works in Xiamen, is a post-90s. When the reporter saw her, she was choosing clothes for yoga and running for herself and her family in a shopping center's shop. Miss Zhang told reporters that young people like her prefer this dress, not only when they are fit for exercise, but also when they are at leisure with their friends.

Miss Zhang: every quarter I will basically change this sporting goods, these clothes, shoes and so on, because I have yoga now.

Some sportswear manufacturers are also keen to capture changes in consumer trends when designing products around young people. For example, in order to satisfy consumers' experience needs in terms of product quality, shopping environment and services, companies are upgrading their stores to large shopping centers.

Zhu Minjie, senior vice president of the 31st degree group, we maintain a high degree of concern for 8090 and even the Millennials.

For example, in recent years, we have invested a series of innovative products in the field of e-sports, and hope to be able to communicate with young consumers more deeply. At the same time, we hope to attract more young people to participate in sports through competition.

Li Qi, senior vice president of XTEP (China) Co., Ltd.: in recent three or four years, the acceleration of the integration of urbanization has been found. Many large shopping centers in many cities and even second tier cities have been found everywhere, and the number of shops in shopping centers has increased by more than one hundred percent.

In addition to the layout line, many sportswear enterprises also continue to increase their investment in e-commerce, hoping to gain more market share, according to the characteristics of young people who prefer online products.

Li Ling, vice president of Anta Sports Products Limited: our electric business department has been growing very fast in recent two years. At the speed of development, we have maintained a double-digit growth rate. And from the ratio of accounts, the proportion of group business accounts for about 20%.

According to the "market outlook and strategic planning analysis report of China's sports apparel industry" released by the foresight Industry Research Institute, statistics show that over the past 2012-2017 years, the market scale of China's sports apparel industry has been expanding, with an average annual compound growth rate of 6.5%.

In 2017, the market scale of China's sportswear industry exceeded 100 billion yuan, which was 104 billion 500 million yuan, an increase of 9.77% over the same period last year.

According to preliminary estimates, the market size of China's sports apparel industry reached 114 billion 700 million yuan in 2018, an increase of 9.76% over the same period last year.

Research and development to enhance sportswear is more functional and fashionable.

In recent years, with the continuous improvement of people's living standard, consumers not only pay attention to the function of sportswear, but also pay more attention to the beauty of clothing.

Some strong sports apparel enterprises grasp the trend of market consumption, increase investment in research and development, design sportswear with sports function and fashion elements, so that enterprises can have more core competitiveness.

Reporters visited a number of sports apparel enterprises learned that in recent years, enterprises have increased R & D investment, technological innovation and application.

In the research and Development Department of a sportswear enterprise in Xiamen, Fujian, the reporter saw some of the subjects wearing running shoes in research and development, with reflective signs on them and running tests on the professional runway.

The R & D personnel use the infrared motion analysis system to detect the joint movement and stress of the participants during running. The scientific data are obtained through analysis, so that the running shoes eventually developed have better functions of damping, rebound and so on.

Zhang Dewen, director of R & D center of XTEP (China) Co., Ltd.

Our functional running shoes require good shockproof, good support and rebound performance to help our runners avoid sports injuries, improve the comfort of running and enhance their performance in running. Through all kinds of tests and research and development, we hope to optimize our shoes products.

In Fujian Jinjiang sportswear production workshop, R & D personnel are developing a waterproof running shoes.

It is understood that the production of each sample not only needs to collect all kinds of data such as resilience and shock absorption, but also carefully select the suitable fabrics, which will be tested repeatedly through the R & D team and will be able to market in bulk after meeting the requirements.

With the combination of fashion and sports, fashion apparel has gradually become a trend. Some strong sports apparel enterprises have set up a design team led by international designers. The designers and R & D departments have worked together to develop sportswear, which has both the power and the fashion sense of daily travel.

Lin Kebei, director of shoe products: chestnut bee bee bird is a bird with high flying skills and endurance, so it is very consistent with the properties of our professional running shoes.

So we will find an American fashion designer. We will incorporate the fashionable elements of this bird into our professional products.

Sportswear enterprises open up global layout and force overseas market

Driven by social factors such as the national fitness campaign, China's sports apparel industry has entered a period of rapid development.

The implementation of the "one belt and one way" initiative has brought new opportunities for the development of sports apparel enterprises. Many enterprises are aiming at overseas and even distributing the global market through mergers and acquisitions.

Now, what are the new trends of sportswear in overseas development? Let's take a look together.

Recently, the consortium headed by Anta officially announced the purchase of all the shares of Finland's famous sporting goods company amamin sporting goods at a price of up to 4 billion 660 million euros, of which Anta sports has a 57.95% stake in the joint venture company.

It is understood that yamamin sports products are mainly exported to Europe and the United States, the Middle East, Africa and Asia Pacific and many other countries and regions.

Li Ling, vice president of Anta Sports Products Limited: after all the acquisition processes are completed, AmerSports will join Anta group as a sporting goods group, so this is a very important step towards our internationalization.

It is understood that with the continuous improvement of the influence of China's sportswear brand in the international market, sports apparel enterprises with strong strength begin to seize the new opportunities brought by the "one belt and one road" initiative to expand overseas markets.

In the process of opening up the South American market, the official identity of the Rio De Janeiro Olympic Games official brand of the Chinese sports apparel brand has played a very important role.

At present, Brazil has the largest overseas sales point in the world.

According to the 2018 semi annual report released by 31st degree, 360 degrees have 1316, 986 and 518 outlets in Brazil, the United States and Europe respectively.

Zhu Minjie, senior vice president and chief marketing officer of the 31st degree group, in fact, 361 began to make an early layout four or five years ago. In 2014, we set up a commodity team overseas to develop the top professional sports running shoes.

Our products have already been integrated into these markets all over the world in Europe, South America, North America, Asia and even Australia.

Reporters visited a number of enterprises learned that, with the improvement of product quality, in recent years, emerging markets, especially in Southeast Asia, have been increasingly recognized by domestic sportswear. This has enabled some sports apparel enterprises to increase the intensity of the layout of emerging markets.

Li Qi, senior vice president of XTEP (China) Co., Ltd.: in the past three years, we have found that the growth in the Southeast Asian market is very rapid. Because of the relatively high similarity of consumers and the so-called "intimacy" of Asian brands, the sales growth rate is over one hundred percent.

Robust performance sportswear sector investment opportunities can be expected

In recent years, with the promotion of health awareness, people's enthusiasm for sports participation has been significantly improved, and the sports apparel industry is also facing opportunities for development.

How should investors grasp the investment opportunities brought by the development of sports apparel industry?

From the perspective of investors' attention, leading sportswear companies mostly concentrated in Hong Kong stocks, of which Anta sports reported a net profit of 1 billion 950 million yuan in the half year in 2018, an increase of 34% over the same period last year. Lining's net profit in 2018 was 270 million yuan, up 42% over the same period last year, and the net profit in 2018 was 340 million, which increased by 5% over the same period in 2018. The net profit of XTEP international 2018 increased 50% to 60% over the same period last year.

In the sports apparel related companies listed on A shares, the company expects net profit growth of 40% to 50% over the same period in 2018, and Sanfo outdoor expects to turn a profit in 2018 and net profit from 3 million yuan to 8 million 500 thousand yuan.

According to Wan de data, from the beginning of 2018 to the end of February 13th, the overall market value of major sports apparel companies rose by 17.59%, while the Shanghai Composite Index fell by 17.72% during the same period, and the sector outperformed the Shanghai Composite Index by 35.31 percentage points.

Hao Shuai, chief analyst of the textile and apparel industry of Guotai Junan Securities, from the perspective of stock price performance, they are very strong. The main reason is that the leading enterprises in domestic sports clothing are quite low valuation level compared with the foreign valuation level.

With the gradual strengthening of the competitiveness of domestic enterprises.

The market has certain repair for the valuation of leading enterprises, especially investors, with the continuation of the industry in the future.

Including our winter Olympics, the mood of investment in the sports industry will keep rising.

Industry analysts believe that sports apparel sector investment opportunities can be expected.

Investors can focus on domestic leading enterprises that are at the same level as international first-line brands in product design, store display and management level. On the other hand, they can also pay attention to some fine industry leaders who perform well in sports, fashion and other subdivision tracks. These enterprises are growing faster and better in space and will bring greater flexibility to business performance.

Guo Bin, senior analyst of textile and apparel industry in Tianfeng Securities: in general, sportswear has a high degree of scenery in the clothing sub section, but it will also face some industry adjustment risks, such as the overall development of the sports industry is not up to expectations, which will create pressure on the growth of sports apparel consumption.

We recommend that investors avoid some relatively small valuations in relatively high companies.

In addition, from the operational indicators.

Companies with better cash flow and better inventory will have stronger ability to resist risks as a whole.