Look At Anta Li Ning'S Fierce Sports Brand Price War Through Jingdong Suning Price War

In recent days, the e-commerce price war between Jingdong and Suning has attracted attention—— Sports brand In the market, brand dealers have been fighting price wars for a long time, and the tragic situation is no less than e-commerce.

Sports brands have obviously lacked growth power

Sports brand as a typical functional and occasion brand Clothes & Accessories Its target market is smaller than leisure and other major consumer goods, and the current market has shown a relatively obvious lack of growth.

Li Ning Anta , Tebu, 361 and PEAK have been listed successively. After expansion, we have achieved gratifying results. In the year of 2008 Beijing Olympic Games, all major sports brands ushered in their own spring, and their sales increased significantly. Since 2009, the income growth of local sports brands has declined significantly. Since the beginning of this year, sports brand companies have started to adjust and reduce their inventory at a large discount.

Orders of many companies have decreased significantly

Judging from the changes in the order volume of the dealer order meeting in the fourth quarter of 2010 announced by various sports brand companies, the sales situation of each company in the second half of this year is also not optimistic.

At the same time, there is a huge stock of sports brand stores

The inventory problem is the biggest headache for all brands. A large amount of inventory not only occupies funds, but also reduces the value of inventory goods as time goes by. Brands have to offer discounts to ship quickly.

The Olympic Games cannot solve the dilemma of domestic sports brands

Chinese sports brands have been in deep trouble. However, in the face of the 2012 London Olympic Games, all brands still show a positive attitude. However, it is difficult for brand owners to get a better return on their investment.

Take Anta as an example, its performance dropped significantly in the first half of the year

Anta's turnover in the first half of the year was 3.934 billion yuan, down 11.6% year on year. Anta's dismal semi annual report was just the beginning. Industry insiders generally expected that other brands' profits would also fall more than rise. This year is bound to be a very difficult year for domestic sports brands.

For fast delivery, price reduction has become the only choice for brand owners

In order to deliver goods quickly, sports brand merchants started a price war. After visiting the terminal shopping malls, many media reporters reported the tragic situation of sports brands competing for discounts and promotions.