More Than 2800 Stores Closed, The Market Value Evaporated Over 90%, And Where Did The Former King Of The Shoe Fold The Bird?

Your bird is getting worse.

In mid December, the birds issued a notice that some bank accounts were frozen due to the failure to meet the principal and interest payments on time. One month before that, 37 million 695 thousand tradable shares were placed in the Jingdong judicial auction.

This is not the first time. Data from the sky eye show that some of the shares have gone through 7 auctions. They came from 427 million shares previously frozen by the noble bird group, accounting for 67.86% of the total share capital of listed companies.

In the turmoil of capital market, the market value of expensive birds has dropped to about 2000000000. At the peak, the A shares are the first brand of sports, with a market capitalization of more than 40 billion yuan.

China's sporting goods industry has gone through this dark history together. They all originated in Jinjiang, Heihe, del Hui, Xi Dalong, and golden lake. The brands we know well have long gone, and the noble birds have also endured for at least 6 years.

6 years ago, the shoe giant line reached 5560 stores. By the first half of 2019, this figure had been reduced to 2685 and shrunk by more than half. What leads us to doubt is that the same Anta and Lining on the banks of Heihe still pass through this long winter.

When and where did the tide of the times wet the wings of the noble bird? Can its story make a footnote for the industry?

Following the Jinjiang Department: the great bird goes to the three or four line.

Lazy bear sports wrote a widely circulated article about Wu Bian harbor on the roadside of shoe market in Chen Dai Town, Jinjiang. Wen pointed out that "the Ukrainian border port is like the mother river of Jinjiang sporting goods, and the spring tide that it nurtured in 1987 has risen."

This year's spring tide rolled up many famous sports brands. For example, the village in the north of Wu Bian port, XTEP, Jordan, del Hui and other brands are standing; the village in the south of Wu Bian port, Anta and 361 degrees are particularly conspicuous.

Jinjiang is not big. Quanzhou's birds are not far away. In 1987, Lin Tianfu also built a factory to provide OEM services for international sports brands. However, the disadvantages of the OEM mode of processing are highlighted, and there is no right to speak in front of Nike, ADI and other international brands.

Ding Shuibo, who worked with Lin Tianfu in the same year, felt the same way. In 2001, Sanxing launched the "XTEP" brand, and invited Nicholas Tse to endorse and participate in the design of the "fire and fire generation" sports shoes. Later, the sneakers were sold for 1 million 200 thousand pairs, creating a single sports shoe sales record that no one has ever broken.

After the 00 century, the footwear industry in Jinjiang began to evolve from the OEM mode to the OBM mode with its own brand. Lin Tianfu naturally did not miss this opportunity. He named his brand "bird of honor" and began to sell itself.

At that time, the first and second tier cities in China were dominated by high-end international brands such as Nike and Adi, and the representatives who could compete for them were Lining, Anta and other early established players in early 90s. By 2009, Lining even sold more than Nike in the country.

The birds and XTEP, Jordan and later 361 degrees have sunk to the three or four tier cities, even township level.

Against the strong opponent, it is a common practice in the commercial world: in order not to meet with Gome and bell in a second tier city, Suning also sank to the 345 line in the same year. To avoid the international deterrence such as Yise, Dali garden also went to the county seat. Even the subsequent OPPO and vivo developed from the three or four tier cities - the battle to snatch the sinking market, not just now.

With the flying geese falling down, the birds and the Jinjiang friends seem much more productive. In 2010, the top 10 brands of China's sports footwear industry accounted for 73.52% of the total retail market share of domestic sports shoes, accounting for 62.40% of the domestic sports apparel retail market share, Euromonitor, a consultancy, said in a research report on a sports footwear industry. The 10 brands are: Nike, Lining, Adidas, Anta, 361 degrees, XTEP, PEAK, Jordan, noble bird and Puma.

Among them, XTEP went to Hong Kong in 2008 to earn HK $508 million, and 361 degree went to Hong Kong in 2019. It was already the sales volume of domestic brand TOP3.

Don't look at the birds behind you. When the IPO of the A shares was sprinted, all the colleagues could see the silent bird. According to its prospectus, in 2012, the revenue of the precious birds was 2 billion 860 million yuan, less than 50% of Lining's. But the birds earned 5 hundred million in that year, but Lining lost 1 billion 900 million.

Flying birds into the sinking market, although they keep saying that they are doing the best price performance, the net interest rate far exceeds that of the domestic market at that time.

Seeking listing: more than 3000 stores sunk in two years

The regional industry gathering of sports shoes and clothing plates has accelerated the expansion of the entire Chinese sporting goods industry in the growth of Jinjiang enterprises.

Lining, Anta, Hongxing Erke, PEAK, Xi De long, Qipai, Jin Ba, Jordan... Those brands that we can't count on are gathered at the black river side of the Ukrainian border. For the birds and Lin Tianfu, this is the post war base and the front line.

How to survive in the competition with the friends of the village? Going public and flying further and further with the power of capital is the best solution Lin Tianfu has ever thought of.

In 2009, Lin Tianfu began playing capital games, and later introduced billion investment, investment in human resources and Hongzhi investment. The growth of the channel also started from this year. The number of stores increased from 1847 in 2009 to 5067 in 2011, with a compound annual growth rate of 65.63%.

How fast is this? In 2011, the number of stores expanded to 361 degrees in 7865, and its compound annual growth rate since 2009 was 19.58%. To get the entire clothing consumption industry, La Natsu Bell (La Chapelle) opened more than 9000 stores in just a few years, but roughly calculated, its annual compound growth rate has just exceeded 40%.

Under the rapid growth, the IPO went well in 2012. In January 24, 2014, Lin Tianfu struck the bell at the Shanghai Stock Exchange and became the richest man in Quanzhou.

At that time, the A became the first brand of the A-share sports brand, and the share price also soared to 42 billion 600 million yuan, more than Lining. At that time, the data show that the marketing network has been distributed in 31 provinces, autonomous regions and municipalities directly under the central government, and 5560 retail outlets of the "noble bird" brand are located in China.

Obviously, this is a growth strategy of To IPO mode.

After the successful listing, the birds and birds are weak. In the first annual report, the company's revenue was 1 billion 920 million yuan, down 20.21% compared with the same period last year, while its net profit was 312 million yuan, down 26.27% compared with the same period last year.

The first annual report is not good enough. We can find some reasons for excusing the birds.

First, since 1978, the growth of Chinese enterprises has come from a market shortage rather than a capacity. In the words of Mr. Zhou Qiren, big fish and big fish; Chen Chunhua said that the market created enterprises, not enterprises, which created the market.

Chinese enterprises do not have enough capacity to undertake the opportunities brought by the natural growth of the market. They only get a room for development in the growth of this factor. But in 2012, the Chinese textile industry, including shoes and cap clothing, entered the cold winter. Some experts once said at the time, "in the next 5-10 years, China's textile industry is in a high risk period and a collision period of transformation."

Despite focusing on sports brands, the industry accelerated after 2013. But when the Internet and new brands crowd in, the environment will no longer allow the birds to fly high.

Second, the decline in single store revenue is a legacy of rapid expansion. The parent of market sales growth is not scale but system construction and efficient execution.

In "Thirteen invites" Wu Xiaobo and Xu Zhiyuan visited the small and medium enterprises program, it was said that after 2010, chain stores across the country began to synchronize all kinds of stores through automatic information synchronization, and feedback market sales data in real time.

Did you have such an efficient system at that time?

This question makes us wonder about the real shoe king BELLE. After the privatization of BELLE's high rent capital, it is one of the things that Zhang Lei did was to store the inventory of 2 stores. All inventories are reflected to the factory in real time, and they are reflected to the headquarters by how many times each pair of shoes is tried, or no one tries it on.

This was not implemented until after 2016. At that time, all the colleagues, including the noble birds, could not build such an efficient system.

This may be the key to stalling speed.

5 years of diversification: losing money and breaking the main business.

From now on, in the age of wolves, it is not wrong to speed up shops and close to capital markets. With the market tightening after 2012, the growth rate of birds is inevitable.

Next, take the capital market to raise funds to build a channel system, improve the implementation of the line, the store may increase, and revenue will rebound. Even at that time, some people thought that highly valued birds were highly dependent on distributors.

But confined to media opinion, Lin Tianfu did not do so. At that time, the challenge to expensive birds was: relying on a single business, there was limited room for growth.

Since then, the "noble bird" is no longer a simple sports brand bird, but a "sports industrialization group based on the manufacture of sporting goods and clothing, and the coordinated development of various sports industry forms". Yes, after 2014, the birds went to diversify and began to lay the pan sports industry.

Since the beginning of 2015, the "noble bird" has made actions to transform industrial capital, including investment in tiger sports, the establishment of sports capital, and the promotion of sports brokerage business. Lin Tianfu believes that the growth of sports competition entertainment industry and sports consumption service industry in the future may be far ahead of the manufacturing industry currently being done.

This is the industry consensus. In 2006, the "11th Five-Year plan" of sports undertakings pointed out that the number of regular exercise participants in 2020 will reach 435 million, and sports consumption accounts for more than 1% of per capita disposable income.

According to incomplete statistics, the company has invested 31 companies abroad, covering football, basketball, running, fitness, outdoor sports and other sports, as well as sports games, insurance, retail, electricity providers, competitive lottery, paid reading and other fields. In addition, it has acquired retailers' shoes store, Jie Xing, Sheng Dao sports, and PRINCE China Korea market authorized agency.

Large scale extension expansion is a common phenomenon of entrepreneurs' capital. At that time, Yuan Weidong, vice president of the noble bird, explained that the transformation of the birds requires compass to find directions. When everyone has a compass, you need GPS to step down step by step.

The GPS of capital has gained many market segments, but whether it can be landed depends on the market data. In 2018, you lost 686 million yuan, down 536.01% from the same period last year. Among them, the investment of Jerry trip was 112 million yuan; the acquisition of goodwill impairment was 93 million 203 thousand and 200 yuan, and the final inventory was 64 million 10 thousand and 400 yuan.

In June 2019, at the shareholders' meeting, the precious birds expressed that they would abandon the diversification of sports industry and return to the main business. It's just frozen share, debt ridden, and poor cash flow. Will the bird be the next bird of fortune?

Birds of fortune are defeated by capital.

In the announcement of the noble bird, we talked about the specific measures to return to the main business.

First, consolidate the operation ability of the "noble bird" in the traditional sports footwear industry. At the same time, we actively embrace the Internet, take the strategic cooperation of Jingdong as an opportunity to strengthen cooperation with the Internet business platform, and vigorously promote the multi brand efficient operation mode including the new brand.

Second, we should strengthen brand operation, make the brand of the "noble bird", increase the investment and promotion of AND1 and PRINCE brand, and strive to introduce new international brands, enhance the brand premium capability, and enter the middle and high-end market, and strive to expand the "noble bird" into a multi brand, multi market and multi-channel sporting goods company.

This seems to be very similar to that of 2015. In those days, Li Ning Co suffered losses for 3 consecutive years, and the founder Lining returned to the Internet. Prior to this, Anta put forward the Internet transformation in 2013, and its children's brands began marketing in 2014 through short videos.

The precious birds have a late "mobile Internet Era". In 2017, Anta Ding Shizhong was already thinking about what could bring more new dividends to the Internet in the next 10 years.

When others are thinking about stepping out of the Internet, they only want to go in.

A story was told before the beast house: after a young man got rich overnight, he thought a question. Why did the rich go bankrupt? The last conclusion is that they want more, expand their businesses and invest everywhere.

The young man did not take this road, he had to eat and drink every day, but he did not go bankrupt until he died.

Yu Tiecheng, director of the international mergers and acquisitions research center of Shanghai Jiaotong University, also said that since 2019, Hainan Airlines, Lifan and other gangster accidents have mostly been fond of diversified expansion. Once the main business declines and the capital chain breaks, the expansion will collapse quickly.

But the "noble bird" is a diversified expansion in the situation where the main business is going down.

The precious birds of that year were in the face of capital.