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    XTEP Challenges New Directions, Realizes Multi Brand Operation, And Develops Internationalization Strategy.

    2020/2/13 21:10:00 0

    XTEPBrand DevelopmentSports BrandHigh-End Fashion Market

    At the annual meeting of XTEP group commendation in 2019, Ding Shuibo, chairman of XTEP group's board of directors, said that XTEP's direction this year is the multi brand globalization strategy of the group, and the key move is to implement it on the ground.

    Last year, XTEP was registered as "XTEP group" in China, and will be publicized in a unified name in the future. A joint venture with Flynn company has been launched to develop, distribute and distribute footwear, clothing and accessories in the mainland, Hongkong and Macao.

    In addition, the company completed the acquisition of two brands of Gestapo and paladin in August last year. At present, the company's main brand XTEP is facing a rapid expansion period. How to achieve the coordinated development of multi brand business without affecting the development of the main brand is a practical question placed before Ding Shuibo.

    XTEP has formed the "1+4" multi brand layout, covering three major market segments, Three Kingdoms sales headquarters and four major sales areas, and has also set up a new brand business group. At present, the market competition for sports goods is fierce. XTEP faces four challenges this year: brand upgrading, product innovation, strong supply chain support, cultural and management changes.

    Among them, the upgrading of XTEP brand this year will mainly upgrade the brand connotation and upgrade the brand communication. According to data released by XTEP, sales in 2017 and 2018 were $98 million and $109 million respectively. Currently, there are about 40 self operated stores in the Asia Pacific region. Paladin's sales in 2017 and 2018 were $71 million and $78 million respectively, with more than 25 outlets in the world. Obviously, the new brand has not yet become a support for XTEP's performance.

    According to XTEP's plan, the new brand will have "new image, new effect and new expectation" this year. Although XTEP is more stable in terms of retailing, brand operation ability and efficiency, it is not difficult for economist Song Qinghui to make use of the existing sales network, R & D and supply chain resources to make XTEP want to transform the new brand.

    However, XTEP is still facing a severe test in terms of its capital reserves and research and development. XTEP has more influence on the road market in China, but more professional runners will choose international brands such as Nike and Arthur.

    In terms of high-end fashion brands, Anta's Fay, China Lining, Kappa and other brands are competing for high-end fashion market. XTEP's brand development such as Paladin bought last year will face enormous challenges. Making use of the existing sales network, R & D and supply chain resources, it is not difficult for XTEP to transform the new brand. However, XTEP is still facing a severe test in terms of its capital reserves and research and development.

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