Sports boom rises the market segmentation more vivid date: 2015-07-21 11:05

With the advent of the clothing discount season, fashion apparel brands have become fiery, and the sports brands headed by Anta and Li Ning have remained motionless. This may indicate that the sports market has begun to recover. What are the reasons for these sports brands to get out of the sales dilemma? Is this round of recovery sustainable? Where is the future of sports brands?



Full recovery

The data showed that Xtep's same-store sales achieved a high single-digit growth in the second quarter, while the previous quarterly growth was all medium-sized, and its sales performance has improved significantly.

In 2015, sports brands such as Anta, Li Ning, 361 Degrees, Peak, etc. have many expectations for the domestic sports market. For Li Ning, 2015 will be the first year of re-entry into development; for Peak, the new round of performance growth cycle has begun. And Anta, which ranks first in the industry, also set itself a sales target of 10 billion in 2015, trying to further widen the gap with other brands. Now, half a year has passed. How are these sports brands developing and whether they can achieve their sales goals?

On July 8, Xtep International announced its second quarter results. The data showed that Xtep's same-store sales achieved a high single-digit growth in the second quarter, while the previous quarterly growth was all medium-sized, and its sales performance has improved significantly.

Except for Xtep, Anta, Li Ning, 361 Degrees, and Peak, which announced quarterly results, all achieved same-store sales growth in the first quarter of this year, and orders for their orders also increased at different levels. Although some brands will still be related to the phenomenon of stores, but for the development of this year, these products are generally optimistic.

Han Ye, director of public relations at 361 Degrees, stated that his expectations for future performance are the same as those disclosed in our financial report and should be said to be within the scope of the plan. The first quarter of this year's financial report showed that 361 degrees comparable to the same store sales growth of 6.3%, and is expected to maintain the same growth throughout the year.

The person in charge of Peak said that, as stated in the annual report, the rebound in performance is the goal of our operations. From the perspective of Peak's order growth for seven consecutive quarters, we are optimistic about this goal.

Judging from the reaction of the market, all sports brands are optimistic about this year's market and they have a cause for it. The inventory problem that has plagued them has finally been resolved. In the Li Ning Beijing Wangfujing Street shop, the China Business Daily reporter saw that except for a few products that bear a 70 percent discount, most products are marked with new products and no discounts. This phenomenon appears to be somewhat abrupt in the brand discount season. . The store clerk told the reporter that the old model had already been removed from the shelves. At present, the store mainly sells new products. Only some women's shoes have a discount of 70% to 80% due to broken code. It is understood that, according to the inventory optimization strategy, Li Ning will be the next quarter of unsalable products into the discount store sales, free up space for the regular-priced stores selling best-selling products.

As an early domestic brand out of the quagmire, Anta has become one of the leading sports markets in China, and its inventory is also maintained at a healthy level. According to the staff of the Anta Beijing Wangfujing factory store, the sales in the store are new this year, and the previous inventory has been sold in the previous promotions, so there will be no case of selling the old models a few years ago. Most of the current production discounts are different seasons, such as the spring section of the summer to sell. In the store, the China Business Daily reporter saw that the amount of inventory for each pair of shoes was quantitative. When a reporter asked about a broken shoe, the clerk said: The old replenishment is very difficult, and it is likely that no other place has gone.

In 361 degrees, Erke and other brand stores, the reporter found that although these brands have a discount, but still maintained within the normal range. Taking 361 degrees as an example, its clothing implements a discount of 70%, 20%, and 60% discount. The discounting effort is quite attractive, but its sports shoes are mostly new, and the discount styles are not many.

The rise of the sports boom

Nowadays, more and more people choose long-distance running, biking, etc., insist on exercising every day, and take exercise as their life. As a result, the demand for athletic footwear has increased, creating great benefits for product sales and the entire market.

Han Hong also said that the sports brand market has indeed recovered, and she attributed the reason for its warmer to the national support and the national fitness boom. She believes: With the country's emphasis on sports, especially football, the entire sports industry has once again been given priority. At the same time, people’s awareness of national fitness is also increasing, and the demand for sporting goods also increases.

Earlier, the State Council issued a "Some Opinions on Accelerating the Development of the Sports Industry and Promoting Sports Consumption" issued by the State Council, mentioning that by 2025 the total size of China's sports industry will exceed 5 trillion yuan, and the number of people who regularly participate in physical exercise will reach 500 million. According to the scale and number of sports industry planned by the state, the sports shoes and clothing industry as a sports derivative will also usher in a vast market development space in the future.

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