Chongqing Reproduces Sports Brand And Closes Shop And Ends Up Running A Horse Shop.

Yesterday, reporters found that located at the scene

A Lining store in Yangjiaping pedestrian street has been closed.

The company replied that there was no exact statistics on store closures and inventory in Chongqing, but a number of sub distributors in Chongqing said sales fell sharply, and some fell by 30~40% compared with the same period last year.

Industry insiders say that many sports brand stores have closed in the city under the influence of the big environment.

Agents say business pressure is high.

Why do we withdraw? "The cost of rent is too high and profits fall down. It is totally unbearable."

The above responsible person in charge of the general agent of Chongqing PEAK said frankly, since the second half of last year, business has not started well. Basically, this year is a loss making business. If we go into shopping malls, the brand will not take the lead, only to develop to the district and county.

Yesterday, reporters visited the market also found that, including 361, XTEP and other sports brands are also playing a big promotional card.

In the new century shopping mall, the new Nike's down jacket has also been promoted at twenty percent off, which is rare in previous years.

PEAK sports CEO Xu Zhihua said in an interview with reporters that closing stores is the company's best layout.

The end of horse race enclosure

The reporter's official reports on several sports brands showed almost a decline.

Anta sports also reduced 110 stores in half a year.

The latest announcement of Puma, the world's most famous sports brand, shows that in the third quarter of 2012, the company's profit fell by 85.1% compared with the same period last year, and its operating profit shrank from 118 million 600 thousand euros to 19 million 600 thousand euros.

"Closing the door is something unexpected."

He Junfeng, chief planner of China Southern apparel brand alliance, told reporters that the rise in store rentals and human resources had made it difficult for sports brands to survive. At the same time, the homogenization of sports brands in China was serious, and the styles were basically following the trend, without personality, which was unfavourable to brand development.

"The most important thing is that after 2008, the domestic sports brand is developing in a bid to seize it.

They are all expanding in a rough way, ignoring services and brand building. "

He Junfeng said, "only by changing the way of management and management and improving the soft power of service and product quality is the way out".

The future will benefit from single store competition

"As a matter of fact, as early as last year, we began to respond to changes in the market, through measures such as optimizing channels, enhancing the efficiency of single stores and increasing R & D investment, and enhancing the response speed and flexibility of terminals to cope with the industry fatigue period in the next two to three years and strive for the first recovery."

PEAK sports CEO Xu Zhihua said.

PEAK's "seventh generation stores" have begun to pilot in some areas. It is estimated that by the end of 2013, nearly 1000 stores will be upgraded.

In an interview with reporters, sang Wei Sheng, deputy general manager and clothing marketing management consultant of western apparel technology industry park, said that only by upgrading the brand value, store image and product quality can we meet the requirements of future competition.

Lining online and offline contradictions intensified

Reporters combed recently Li Ning Co's public information shows that Hongkong, Shandong and many other entities shop closed phenomenon.

Li Ning Co responded to reporters that there are indeed some stores closed at the moment, which is the result of early channel adjustment and low efficiency stores.

According to the semi annual report released by Li Ning Co, the shops in the first half of this year have made structural adjustments and closed 1200 inefficient stores.

At the same time, Lining official mall also launched ultra-low discount to inventory.

Recently, Lining, a county and city dealer, posted on the Internet the publication of "how the electricity supplier affects my business", saying that the low discount of online sales has affected the sales of physical stores, and the stores have changed from the 7 houses in the peak period to the last 1. This post has caused many dealers to post their posts, and some dealers have indicated that they can sell them online.

In the industry view, Lining's pains and problems are not simple store adjustment can be solved.

In October 19th, Guotai Junan said in a recent research report that the agency's recent survey in Shenzhen showed that the backlog of Li Ning Co inventory was serious and that stock repurchases were still in consultation with dealers, and more radical inventory management would occur in the second half of the year.

Lining, deputy general manager of clothing science and Technology Industrial Park of Western top management, Sang Weisheng, who has met with many senior management of the west, told reporters that nowadays the sports brands in China are facing the cold winter. Every big business is trying to grab the market. If Lining does not change the employment and management mechanism, the result may be even worse at the end of the year.