Dipper: A Sport Brand Chasing Lining And Anta Who Can Laugh To The End?

The proportion of Chinese sportswear in the international market is rising. According to statistics from consulting firm Euromonitor, in 2018, the size of China's sportswear market exceeded 40 billion US dollars, reaching US $40 billion 100 million, an increase of 19.5% over the same period last year. In the past ten years, the scale of China's sports apparel market has increased by nearly 10% annually, higher than that of other countries.

Look at the current sports apparel market in China showing a three point situation, Anta and Lining each occupy a bureau, 360 degrees, XTEP and other brands occupy one game. The momentum of Anta and Lining is as fierce as fire, while other sports brands are looking for survival opportunities in their respective subdivision areas. Now let's look at the development of Lining and Anta.

　　 Young tide: Lining

Lining, who has grown against the trend from the decline, has won numerous topics over the past two years. Behind the tide, fashion week, youth and every topic, Lining is out of the dilemma of transformation and gradually groping his way.

In February 2018, Lining won the favor of young people with fashionable, creative, interesting and practical fashion items through the fashion show of New York fashion Sunday cat China day. Even more, it displayed the trend of "Chinese Lining" in the chest to show the world's Chinese sportswear, and also raised the value of Chinese Lining's dress and adornment to many grades.

This year, Lining embarked on the fashion week of New York, taking the "walking" as the theme of the show. The retro style with sports elements once again subverted the image of the domestic movement in people's minds, and brought the trend of movement to the stage of international fashion.

Before going to the fashion week, people's impression of Lining is probably only that of "gymnastic Prince", Olympic sponsors and products, but there is no special recognition. But nowadays people's understanding of Lining is fashionable, fashionable and young, and has become the representative brand of "national tide".

Lining's successful transformation not only focused on the vision of fashion, but also achieved a strong breakthrough in performance.

First, the stock price. In July 22nd, Lining's share price rose 5.89% to HK $20.5, and its market value reached HK $47 billion 300 million, setting a new market value since 2008. Since last year's show in New York, Lining's reputation has been increasing, and its market value has continued to rise. In June 22nd, however, Paris's market share increased by 10 billion in just over a month.

The second is performance. In 2018, business revenue exceeded 10 billion yuan, an increase of 18.45% to 10 billion 511 million yuan (the same below), net profit of 715 million yuan, an increase of 39% over the same period last year. In the first half of 2019, the earnings forecast showed that net profit increased by about 164% to 709 million yuan.

With the bonus of sportswear, Lining accurately grasped the demand of young consumers. In a year alone, he reawakened the public's high concern for brands and continued to accelerate their growth. But the ever-changing market and consumer demand are changing, and there are still more ways for Lining to continue to do well in the business of "Chao".

　　 Tide Technology: Anta

There are also sports brands that rely on the tide to catch the young market, but Anta seems to be more than Anta.

Recently, Muddy Waters Research, a well-known short selling company, has thrown five points report, from five aspects, namely, the operating profit rate, the number of brands suspected of internal corruption and cheating, the number of brands of FILA (FIE), and the short selling report response is the "routine" and the secret control of the third party suppliers. It is pointed out that the financial data of Anta's financial and FILA are not reliable.

If the first short selling report can cause a thousand waves, then the four reports on Anta will be "scratch the tick", and the impact will be very small. Anta's stock price will not rise or fall. While the other garment enterprises are watching the battle between Anta and muddy water, watching the war with a "looker on fire" attitude. The spectator's mentality is cold and the whole process only wants to know who will be the last winner.

Two weeks of confrontation, Anta shares ushered in the ten consecutive trading day's rise, by July 22nd, the stock price has risen to HK $60.5 / share, a record high. After five short selling reports, Anta was unexpectedly "strong". Why?

It can be said that Anta has become the first domestic sports brand enterprise to enter the 10 billion brand under the help of Chao FILA, and then jumped to the top three of the global sports brand, second only to Nike and Adidas.

FILA, which came out in Italy in 1972, presents a classic, fashionable, sexy and high-quality brand image. In 2009, Anta took the FILA trademark right from BELLE. After nearly ten years of exploration, Anta transformed FILA into fashion, taking the younger generation as a consumer goal, regrouping sales channels and celebrity endorsement matrix, attracting more young consumer groups with new images, and successfully making FILA the brand with the largest contribution to group growth.

This is no doubt similar to the transformation of Lining, but Anta went earlier and far, relying on accurate grasp of the young consumer groups to achieve performance improvement, but Anta is also different from Lining.

If FILA is the core of Anta's performance, Anta's main brand is technology.

Anta is still focused on product development, and the fusion of new technologies and products, such as hydrogen running series, cola shoes, elastic rubber shock shoes, and so on, has been working with many mainstream IP such as NASA, man Wei, Coca-Cola and so on. The new technology and new applications have been used to meet the professional and personalized demands of consumers for sports equipment.

FILA's tide and Anta's technological innovation enable Anta to continue to be the leader in the segmentation field of sports market, and the competitiveness of strong domestic sports brands in the international market.

However, people in the industry have analyzed that FILA is the brand acquired by Anta, which is equivalent to the brand that comes from "leasing". The sustained outburst of performance will certainly attract the attention of the main group, and the follow-up effect is also unknown. The success of FILA is similar to the decline of Kappa, the main trend of sports and lack of technical support, and it is difficult to survive in the field of sports. After all, fashion in the fashion industry is iterative.

　　 epilogue

Lining successfully relied on the New York fashion week brush screen. It also brought inestimable value. The return of high profile also made people see the hidden dangers behind them. As a sports brand, professional sports consumers are always concerned about the professionalism and technology of sportswear. If we rely solely on the fashion line to get the audience of Pan sports, this road will not last long. In the process of transformation, Anta will catch up with both sides of technology in the top level of the national sports field. However, Anta's continuous acquisition, in order to achieve greater development through the main industry + investment mode, is also a risk.

International brand Nike and Adidas have always been in the leading position in the sports field, and have exclusive competitive advantages in the sports industry with high concentration. Apart from the external factors, we can see that Nike and Adidas continue to grow. There are two reasons for the two sports giants to assemble technology and "fashion". In addition, more attention has been paid to the market segments in sports. Women's sports and children's markets are urgently needed to develop. In recent years, Nike and Adidas have also attached importance to these two fields and constantly strengthened their layout.

Although Lining and Anta gain much more than the same industry in the domestic sports market, they need to work hard in order to get better development in the fiercely competitive industry. Author: Qin Jin Mei