How Do Old Brands Like ADI And Nike Keep The Market?
New sports brand
Under Armour
Only 18 years old brand Functional sports apparel, footwear and related products.
Featured products: Armour 39 digital sports monitoring system, can be implanted into women's jogging bra, used to track heartbeat, calorie consumption and exercise intensity, and then launched infrared thermal insulation technology ColdGear Infrared, heat conductive material and Speedform running shoes technology.
Domestic development: since 2011, Under Armour has 14 stores in the mainland of China, and another 4 stores in Taiwan, and has opened stores in Hongkong with the leading retail chain Giga Sport.
UA was founded in 1996. Rugby Kevin Plank, the founder and CEO Kevin of the star, founded the brand at the time to create high-performance high-performance sports suits that could satisfy professional athletes. Since then, the company has truly distinguished itself from many sports brands in the US market, especially by professional athletes and young people. Its coverage in the gym (especially fitness trainers) is very high, and President Obama is also a fan of it. As an American brand, UA has a strong influence on American teenagers, especially college students. Wearing a pair of UA sneakers on American campuses is more cool than Nike and Adidas.
After the first product, the sweat absorbing and moisture releasing T-shirt, was opened to the market, today's UA product range has been extended to all kinds of sports equipment including shoes and sunglasses. The company also has the qualities of some technology companies. UA has released fitness apps MapMyFitness and wearable devices Armour 39 in implantable fabrics. In July this year, Li Zairong, vice president of Samsung Electronics, met with UA senior in Seoul, and expressed the hope to form a partnership with the latter in developing wearable products in order to combat possible alliances such as Apple Corp and Nike.
New Balance
Founded in the US in 1906, President jogging shoes / elite shoes
Featured products: NB574, NB580
Domestic development: in the past 2012-2014 years, NB has expanded from 573 to 1000 in China, with an increase of 75% and deep into the two or three tier cities.
Thirty years Hedong, thirty years Hexi. 10 years ago, when Nike and Adidas easily won high speed growth, new Bai Lun was still suffering how to make people know themselves. When entering the Chinese market in 2003, when Xin Bai Lun tried the concept of running shoes and communicated with consumers, the response was plain. The turning point appeared in 2010, and the domestic running fever gradually began to rise. "Running sport is limited by the venue, easy to participate and the cost of participation is relatively low, so it has played an important role in the process of the change of Chinese national sports". CEO Zhang Qing, the key to sports marketing company, pointed out that the increasingly hot running craze has increased the demand for runners to wear equipment, and the new Bo Lun, who has paid attention to running shoes from the beginning, just caught the opportunity. In the field of running for many years, new Bai Lun has accumulated professional word-of-mouth, and has gathered a large number of loyal running enthusiasts and running shoes collectors.
Compared with Nike and Adidas trying to launch a comprehensive attack on football, basketball, running and other categories, Xin Bai Lun has been concentrating on running for a long time. In the first association of brands, Nike points to basketball and Adidas points to football, and new brun is naturally linked with running.
Inevitably, the popularity of new hundred Lun is still an unexpected joy. In the Korean drama "secret garden" to "beautiful you" frequently appeared, and South Korea Street photographer Lee Hyolee has been photographed feet on the new Bai Lun; on Taobao search "New Balance", will appear "Yang Mi Sheenah the same paragraph" the word... Celebrities and cultural effects have made it fashionable for young people in Asia to become fashionable in Asia. Peng Yuhui, product manager of new China, pointed out that lifestyle shoes do sell better than sports performance in the two major footwear categories of new Bai Lun - paying more attention to running performance and designing more routine lifestyles, because most consumers buy shoes not only for running, but also for their daily wear.
Mizuno MIZUNO
Founded in 1906, MIZUNO Japan is the world's leading manufacturer of sports equipment, clothing and footwear. The product range is complete, covering almost all major sports items, reaching more than 300 thousand categories.
Featured products: golf shoes, wave series running shoes, football shoes.
Domestic development: the main focus is on running shoes, and sales are increasing at two digits.
In the 106 years of MIZUNO's history, there were three generations and four leaders. Mizuno Toshiya, founder, from 1906 to 1969, has been in office for 63 years from founding to enterprise listing and shareholding. Mizuno Kenzaburo, the founder's son, from 1969 to 1988, was in office for 19 years. He led MIZUNO to succeed in internationalization. The third generation Mizuno Masahito and Shui Sun Ming, the grandson of the founder, led the MIZUNO era of globalization. Mizuno Masahito, from 1988 to 2006, was in office 18 years.
In 2005, MIZUNO opened its first running concept store in Shanghai. In addition to showing products related to running, there are various foot measurement systems and recommendations for matching running posture, sports consultants, fixed lectures and so on. These professional shops are few in China before, and their appearance also indicates that the scale of the domestic running market has already taken shape.
How do old brands like ADI and Nike keep?
The US market has been surpassed by emerging brands, and it is also a microcosm of Adidas's brand development. Adidas's latest three quarter results, the group's revenue grew by 9% year-on-year, net profit fell 10.8% to 282 million euros. According to the exchange rate unchanged, sales revenue of Adidas group increased by 6% in the first three quarters of 2014 compared with the same period last year, while net income fell to 630 million euros from 796 million euros in the same period last year, representing a 21% decline. Meanwhile, Adidas continued to cut its gross profit margin this year.
Suffer fast fashion brand impact, channel loss, sales decline, sports brand is not not responding, Adidas's praise of fashion to pull it back to a city, Adidas in the three quarter of this year, Greater China sales revenue grew by 13% over the same period. In the first three quarters of this year, sales in Greater China increased by 10% over the same period last year. Gao Jiali, managing director of Adidas group Greater China (Colin Currie), said: "we have provided a driving force for Adidas's sustained growth in China through the continuous innovation and popularity of sports performance series products, as well as a number of first-class market activities that can inspire consumers to resonate."
In addition to product style adjustment, channel sinking is also an important aspect of sports brand adjustment. Especially after 2008, stock pressure led to the opening of the sporting goods industry to the low level cities. International brands such as Adidas and Nike, which take a second tier city as the target market, began to open shop in the three or four tier cities. The Nike of Qingdao Wanda Plaza, Licang, is directly located in the form of factory stores. Adidas is more radical. By the end of 2010, the "2015 way" plan will be increased from 5500 stores to 8000 at the time, extending from 550 cities to 1400 cities. Most of the new markets are county-level cities. Apart from digesting inventory, Adidas also launched a new brand launch. In 2011, it launched the NEO brand with low price and young fashion. Some analysts believe that when the product is too heavy on the way of life, and the channels continue to sink to the four or five tier market, whether the attributes and status of the brand will be weakened or affected is needed to be observed. In the view of the industry, only a small adjustment can satisfy consumers who get the basic functions at a lower price. This adjustment will be faced with homogenization.
Faced with many challenges, the old brand of Adidas, Nike and other sports brands have been constantly adjusted. In the era of rising brand, can they still hold their own market?
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