1 Years To Sell 19 Million Pairs Of Shoes Cage Ten Years Of China'S Strategy

Recently, the world outside the five rings has been frequently mentioned. No matter "App" of the "headlines", or the rising stars on different tracks in many ways, they started from two or three line cities and even county towns, and staged a good play in the short time.

In the sports industry, the market outside the first tier cities is also a place worthy of priority. As the North going to the Guangzhou and Shenzhen covered almost all the major events, the threshold value of fans for sports events is also getting higher and higher. Therefore, in recent years, whether the NBA Star China or European top football clubs come to China friendly matches, they will also choose two or three line cities to land.

Sports brands, which are most closely related to consumers, know this truth better. However, more attention has been paid to the two or three tier cities in the past than the local brands such as Lining and Anta. Now, with the intensification of urbanization, the purchasing power of young people in the towns is getting stronger and stronger, and many international brands have joined the ranks. Among them, the most recent action is to count Skech, the American sports leisure brand that has been in China for ten years.

Cage's superstore logic

In April 26th, Skech's first super store in East China opened in Jinhua, Zhejiang. This super store is located in the most popular Jinhua Wanda Plaza, located in the core area of the first floor of the shopping mall, which occupies 2200 square meters. Besides having the unique geographical location, the store design and product layout of this super store is also a highlight.

According to the field visit of sports big business, the shop has planned exclusive areas such as D, Lites, Lifestyle, Performance, Kids and so on, while consolidating Cage's core category, it also enables consumers to see clearly the numerous product lines of Skech. In addition, this super store also provides nearly 2000 SKU (inventory units) products, which fully satisfy the one-stop shopping experience of consumers with multi product styles, multi-level price segments and multi scene shopping environments.

In fact, this "super store" has been one of the important landing modes of Skech's sinking in the three or four line market in China this year. In January of this year, Cage, China's largest super store, landed in Shenyang, plus two previously Qingdao. In just 3 months, four super stores have settled in China.

Speaking of why these "super stores" are located in non tier cities, Cage, chief executive of China, South Korea and Southeast Asia, told Chen Weili of the big sports business. Because Skech has many products, its coverage and price are very wide. Therefore, the form of "big shop" is quite effective in the US. In China, because of the rapid development of the two or three tier cities, many new shopping centers tend to have good location and large rental shops, which are of great benefit to Skech's brand building and shopping experience.

"Commercial real estate in China's second tier cities is already very mature. If you want to set up a more than 2000 square meter store in the mall, even if you don't consider the cost, the shopping mall will not necessarily have an area to give you. Chen Weili said frankly, "compared to the 345 line market business capacity, for the current Skech, is greater than a second tier cities."

Facts have proved that Cage's "sinking strategy" is extremely effective. Chen Weili said that at present, the super stores in Shenyang and Qingdao are in good condition and consumer feedback is quite satisfactory. In their plans, in the next two years, Cage will set up at least 300 super stores with a single store area of not less than 1000 square meters in China. "Do not belittle the consumption ability of these two or three tier cities. China is developing at a fast speed, and the infrastructure of these cities is also excellent. Some brands have been able to achieve two billion billion dollars in these cities, so Skech still has a good chance. Chen Weili said.

Entertainment marketing and professional sports

Although this year has been frequent in some cities, but it is undeniable that in most people's impression, Cage is still the most "panda shoes". In 2013, the Cage D 'lites was officially launched, and it was first successful in the Korean market. Due to the fierce "Korean wave", Chinese consumers began to pay attention to the shoes which were mainly black and white.

But to Skech's surprise, it is precisely because of Cage's spokesperson at that time, Han stars are the majority, and even consumers feel that Skech is a Korean brand. Therefore, this also lets Cage start their new strategy, that is, signing many Chinese artists to become spokesmen.

In a few years, Dou Xiao, Tang Yan, Li Yifeng, lohua seven sons, NEXT, Huang Zitao and Wu Chun, who created the top traffic in different fields, have joined the Skech endorsement lineup. Recently, Yang Zi has officially become the spokesman of Skech's D 'lites series from the time of "having children in his home". In addition to these stars, Skech also sponsored "idol trainee", "group name", "creative camp 2019" and other variety, and through the form of street dance competitions to further create a brand younger image.

Data prove that excellent products and trendy marketing bring great benefits to Cage. In 2018, Cage's global sales volume once again climbed to a peak, winning the best record of $4 billion 640 million in history. Among them, the total retail sales of Cage market in China amounted to 14 billion 100 million yuan, up 36% from the same period last year, and sold about 19000000 pairs of shoes.

Not only that, Cage, vice president of Chinese market, Zhang Ruiyan, told the sports business, Skech's layout in the professional sports field is also in sync. According to her, Skech, one of the leading women marathon athletes in China, is an athlete. It is worth mentioning that in the recent Japanese Nagoya marathon race, Li Zhixuan finished 2 hours, 26 minutes and 15 seconds, and she became the only Chinese marathon player qualified to open the Olympic Games in Tokyo.

In the event, Cage USA has been sponsoring the Losangeles marathon for two consecutive years since 2016. In China, Cage has been sponsoring the running events such as 10K, Qingdao 10K and other elite running events because of the fact that the famous horse has been signed up by various brands. Zhang Ruiyan said that in the future, Cage will definitely make more noise in the field of professional sports.

Ten years into China, we need to be the most popular brand.

2019 is precisely the eleventh year when Cage entered the Chinese market. After reviewing their "Sinicization" process in the past ten years, Cage has gone out of the way from other foreign brands. Statistics show that by the end of 2007, Chen Weili and SKECHERS company of the United States have formally established cooperation to establish Cage China Limited. Chen Weili is responsible for the brand management of Cage brand in China, Korea and Southeast Asia in three places. It can be said that the operation mode of this joint venture has brought Skech's great advantage from the top to bottom in the rapid response and business decision in the domestic market.

Speaking from Chen Weili himself, in fact, he was the son of Chen Shouren, the famous patriotic overseas Chinese who was the leader of Nanyang. However, he didn't even speak Mandarin when he was young and lived abroad, and when he was in charge of Cage's China. Fortunately, he still has a deep feeling for China. In addition, he attached importance to the Chinese market in recent years. He not only went deep into dozens of 234 line cities in China, but also took time to learn Mandarin from zero. At present, he has been able to receive interviews in Putonghua fluently. As the head of a ten billion level enterprise, he even came to the direct interaction with consumers during the Tmall double 11 activity.

With such a "ground gas" boss, Skech's China's development path is naturally very smooth. In terms of sales channels, Skech has already reached a cooperation with the Wangfujing group, which has great influence throughout the country. In addition, in the Jiangsu and Zhejiang provinces and Sichuan and Chongqing regions, Cage joined hands with AOKANG, a prestigious local company and strong wave sports, to help expand the brand quickly with the business mode of cooperation with local dealers.

In addition, while steadily strengthening the advantages of traditional channels, Skech also made use of the electronic business platform to expand new channels. According to statistics, in the past several times Tmall double 11 activities, Skech in sports category sales are among the best. At the same time, Skech has been exploring various forms of "new retail", and has made digital spanformation through data collection and cooperation with IBM. Chen Weili also told sports business that Cage's logistics warehousing in Taicang has been completed. Powerful space plus intelligent system will provide more powerful rear support for the storage and spanportation of Cage products.

And at the most important product level, Skech has been committed to meeting the dress needs of children from the middle age and the elderly to different shoes and garments. Every year, Cage designed and developed more than 3000 shoes. No matter the fashionable chasing people, the urban lifestyle people, or the consumers with high comfort and experience, they can find suitable shoes in Cage's products. In Chen Weili's view, the most widely covered product line and moderate price have always been the fundamental competition between Skech and other sports brands.

According to the development goal set forth in the 2014 national new urbanization plan (2014-2020 years), it is estimated that by 2020, the urbanization rate of permanent residents will reach about 60%. It is not hard to see that under the support of statistics, Cage's sinking strategy toward China still has enormous room for development.

A few months ago, at the 2019 spring order meeting, Skech had announced that the total retail sales of brands entering China for ten years increased by an average of 73%, from 74 million in 2008 to 10 billion 430 million in 2017. Skech's 2018 earnings report released in February showed that the total retail sales in the Chinese market had reached 14 billion 100 million yuan. Speaking of the goals of the next ten years, Chen Weili told sports big business: "we believe that as long as we grasp the opportunity, 100 billion of the sales targets can be achieved." Author: Zhang Bing