Footwear Industry Campaign: Leveraging Force To Break Through The Value

< p > price increase is a technological activity. How to make consumers buy it is a big problem. < /p >

< p > "flower five hundred or six hundred can buy a pair of ADI, Nike sports" a target= "_blank" href= "//www.sjfzxm.com/" > shoes < /a >, why do I want to buy four hundred or five hundred of the domestic brands? "Many consumers admitted that in the case of a small price difference, they are more willing to buy ADI, Nike.

< /p >

< p > "2012's unsatisfactory performance also reflects the pricing issue."

Many Lining, Anta, XTEP brand dealers admitted to reporters that the short price increase in 2011 was too fast, which greatly increased the sales pressure of sports brands in 2012.

< /p >

< p > in recent years, the rapid rise of various costs has led to the upward pressure on the price of local sports brand products.

Since 2011, the news of local sports brands has been rising repeatedly.

< /p >

< p > according to the announcement issued by Li Ning Co, the price of shoes will increase by 7.8% in the fourth quarter of 2011, while the "a target=" _blank "href=" //www.sjfzxm.com/ "clothing" /a "will increase by 17.9%.

Not long ago, in April 2011, Lining had raised the price of shoes, 11.1% of shoes and 7.6% of clothing.

< /p >

< p > Anta, XTEP, PEAK and 360 degrees have been playing the same tune with Lining.

Taking XTEP as an example, its 2011 winter order conference data show that the average price increase of footwear and clothing is more than 10% over the previous order.

< /p >

< p > price increase is a technology activity. How to make consumers buy it is a big problem.

< /p >

< p > increase scientific research investment < /p >

< p > "if the fabric and sole materials do not meet the good sports demand, the style can not satisfy the consumers, the use value and the consumption psychology are not satisfied, then how to adjust is not much effective."

PEAK dealer Chen Hao said that the development of high quality products is crucial to the development of enterprises.

< /p >

< p > according to Chen Hao, Nike, a sports giant, paid special attention to the development of scientific and technological products very early, and invested in new shoe making materials, fibers and modern design.

"Its" air cushion "series of sports shoes developed by the advanced technology has played a vital role in creating brilliance for Nike in the 80s of last century.

< /p >

< p > reporter found that at present, Nike still insists on spending about 4% of its sales revenue in product development every year, which enables Nike to maintain its technical superiority in many sports products, so as to ensure the competitive advantage of its products and brands.

< /p >

< p > and Adidas has been firmly grasping the two largest value-added links in R & D and sales. It has three R & D centers in the world and more than 1500 scientific researchers.

It seldom participates in the production of products, but has the intellectual property and intangible assets of most products.

< /p >

< p > "in fact, we started preparations for pformation and upgrading and brand remolding from the end of 2008."

Wang Biao, who worked in the Li Ning Co Strategy Department, said that as the earliest listed company of the local sports brand, Lining had long been in close contact with the international brand in the market competition.

Countless experiences and lessons have made Lining understand that it is far from enough to become a cheap and popular brand. Only by creating a local brand that is enough to compete with Nike, Adidas and other famous industry tycoons, can we really stabilize our position.

< /p >

< p > "unfortunately, Lining's development has met with some" accidents ".

Wang Biao believes that some of the mistakes that should not have happened have made Lining's brand remodeling difficult.

< /p >

< p > however, these "accidents" did not discourage the local giants. Li Ning Co still hopes to find breakthroughs in value.

< /p >

< p > "our current reform process is divided into two short-term and long-term plans.

The short-term plan is to go stock, so that the inventory level of the retail side will return to normal. Then, measures will be taken to eliminate inefficient distributors, increase distributors' profit margins and adjust product lines.

Medium and long term continuous strategy can enhance brand and enhance product. We will continuously improve the retailer's management ability and achieve vertical growth integration through the integration of value chain.

Recently, a Li Ning Co official said that raising value has always been the goal pursued by Lining. "Just doing all this will take time."

< /p >

< p > in fact, the era of scale competition of local sports brands has ended. Lining is just a microcosm of the whole local sports brand industry.

In addition to speeding up store upgrading, optimizing the channel system and insisting on brand marketing, many local sports brands have begun to profit from the other side of the "smile curve". They are starting to invest more in R & D, hoping to create differentiated and serialized products, thereby gaining premium sales power.

< /p >

< p > "when an enterprise is very young, there is no way to talk about innovation.

When an enterprise already has scale, it must talk about innovation.

Ding Zhizhong, President of Anta, said that "technology research and development is the lifeline of products".

< /p >

In the first five years of "P" Anta, the total R & D cost of the product was less than 10 million yuan. In recent years, funds for product R & D have been increased, and hundreds of millions of R & D expenses have been invested.

In order to enhance technological innovation and product R & D capability and upgrade its function through technology and brand, Anta has invested a lot of money in creating the first sports science laboratory in China, becoming the first local sports Brand Company with independent sports biomechanics, sports medicine, sports physiology and sports medicine research institutes.

< /p >

The P R & D center in Guangzhou is also officially launched recently, including high-end sports products laboratory and Ergonomics Laboratory.

< /p >

In terms of P, we should continue to innovate, including product innovation and brand promotion. The core is to find different positioning with other brands, and then use different means to pass the product concept and brand value to consumers.

A person in charge of a 360 degree said that increasing research and development can seize and stabilize the market.

< /p >

< p > "borrow force to exert force" < /p >

< p > "R & D is a very important thing. Product innovation depends mainly on R & D."

XTEP Ding Shuibo said that at present XTEP R & D investment accounts for about 2% of sales revenue.

With the growth of sales, R & D spending is growing every year.

< /p >

< p > however, compared with foreign brands in research and development, local brands still lack great strength and depth.

Many sports brand enterprises began to increase their R & D investment, and began to take advantage of practical conditions to actively introduce foreign technology and management experience and enhance their ability to develop high-tech products.

< /p >

< p > as a senior partner of sportswear in the 2010 Asian Games in Guangzhou, KDU has set up the top 10 a target= "_blank" href= "//www.sjfzxm.com/" in the global sports equipment field, the designer /a and the design team KDU, creating 42 professional competition equipment for this event, and gradually applying the technology to its new product development and production.

< /p >

To build a world-class product R & D platform, build a global R & D platform with an international perspective, and build a scientific R & D system is not only a need for upgrading P products, but also a need to upgrade product value and brand core value.

The director of the 31st degree, Ding Wu, said that product research and development should know how to lend strength.

< /p >

In P > 2010, the Li Ning Co set up a design and development center in Oregon, the United States, as an outpost for its integration of research and development resources and the study of the United States market.

In March of the same year, Lining announced cooperation with Michelin to develop high-performance sports shoes.

In November, Lining set up his own sports science research center in Beijing, hoping to integrate the R & D technology at home and abroad more effectively.

< /p >

< p > in fact, Nike is the "veteran" of acquiring new technologies and quality resources through M & a strategy.

Before it bought Tetra, the company specializes in making materials for air bags, and is good for improving Nike's "air cushion" series of Tetla shoes.

< /p >

< p > in addition, in order to make up for the gap between Adidas and soccer in the field of football, Nike also bought UMBRO, an old British football equipment manufacturer, at a price of 285 million pounds in 2008.

In October 26, 2012, Nike announced the sale of its brand UMBRO to Ai Connie J brand group at a price of US $225 million.

< /p >

< p > "Nike's decision to buy UMBRO and the sale of the brand after 4 years are all considered from the point of view of value complementarity."

A long-term concern about Nike's industry analysts said that before the sale, UMBRO's product development technology and Sponsorship Resources these two core values have been "dried up" by Nike.

< /p >

< p > in the past 4 years, with the help of all kinds of resources such as R & D technology and advertisement of UMBRO products, Nike has improved its own soccer shoes and clothing products. Meanwhile, it gradually penetrated its sponsorship and promotion into the football field. After experiencing the test of the top two competitions of the European Cup and the world cup, it found that its main brand NIKE has already had a strong resistance to Adidas in the football field.

< /p >

< p > in addition to learning Nike and other giants to integrate foreign advanced R & D technology to create good products, some local sports brands have begun to target foreign markets such as the United States.

< /p >

< p > February 17, 2012, PEAK grand flagship store opened in Melrose street, West Hollywood, Losangeles.

< /p >

< p > "opening a shop in the United States is not a whim but a careful planning."

PEAK CEO Xu Zhihua said that in order to better develop the US market, PEAK set up PEAK research and design center and PEAK American branch in Losangeles, USA in 2010 and 2011 respectively. After more than a year's preparations by the US branch, and employing a well-known third party research company, the company conducted a thorough investigation and analysis of the US market and consumer preferences, and finally achieved the goal of opening a store.

< /p >