The London Olympic Games Are Coming Soon. The Winter Sports Of Local Sports Brands Are Not Yet Over.

A month away from the opening of the Olympic Games, this should be a good opportunity for sports brand development. But recently, the Li Ning Co released the data of the fourth quarter order meeting in 2012, but showed that total orders fell.

But the company said it was designed to avoid generating new inventory pressures on the retail side, actively communicating with distributors and controlling orders.

The cold winter has not yet passed, and the current situation of internal and external difficulties has brought huge inventory pressure, and the network sales channel has become the main way to relieve inventory pressure at present.

In the early June, Nike settled in Tmall in a high-profile manner and took direct sales mode to seize the market share of the Internet.

The industry believes that channel adjustment and brand remolding are the key to eliminating inventory.

Double digit decline in orders

The clothing industry insiders describe the pressure of brand owners at present. If they sell the garments in the national stock market at present, they are afraid that they will not be sold in three years.

High inventory pressure is common in all major companies.

For sports brands, the pressure is even greater.

The Li Ning Co's orders for the fourth quarter of this year showed a high double-digit percentage decline. Among them, the order size of shoes products resulted in a low double-digit decline year by year, while the annual decline of clothing products was more than 20%.

Officials say the move is to avoid a new inventory pressure on the retail side.

In addition, 361 degrees in last year's earnings report shows that its inventory ratio has reached 46.9%.

Kappa's total sales decreased by 1 billion 538 million yuan to 2 billion 95 million yuan last year, mainly due to inventory repurchase operations to dealers.

Negative growth triggering high inventories

Li Ning Co 2011 Annual report shows that sales fell 5.8%, net profit fell 65.16%, while Anta, XTEP and other sustained growth slowed down.

"In the first half of this year, sales of domestic sports brands still fell by more than 10%."

The relevant person in charge said.

The continued decline in sales will trigger the pressure of inventory.

"The normal proportion of clothing brand sales should be between three and five, but many brands are over seven or over eight."

Garment industry independent critic Ma Gang said.

In addition to the external pressure brought about by sales, there are also internal worries.

"When ordering, we will reduce the quantity of purchases according to the actual situation, but the brands will often add more to the quantity we have determined, so once the sales situation is bad, the inventory pressure will be great."

Mr. Tang of Zhejiang Tao Bo sporting goods Co., Ltd.

While reducing orders, sports brand suppliers are constantly adjusting their product mix.

The original proportion of professional sportswear and casual wear is 2:8. Now it has been adjusted to 4:6. "Many domestic casual wear brands and even fast fashion brands abroad have a great impact on the casual wear of sports brands, while some professional sportswear, such as body-building tight clothing and women's sports underwear, are selling well."

Mr. Tang said.

Attack electric business, adjust sales channel

Finally, how to deal with hoarded goods is the biggest headache for many suppliers. "When the inventory pressure is too high and the branding is not processed, there will be online retailers buying goods from us."

Insiders revealed.

What Mr. Li is doing now is sports brand.

He has 5 online stores in Taobao, Jingdong mall and other online shopping centers, selling Nike and Adidas brand clothing and footwear respectively, usually at 6 to 30 percent off of the counters.

"One household appliance dealer has achieved 10 million sales per month, which is equivalent to the sales volume of a sports brand two or three class agent for one month."

Analysis of the industry.

At present, the "Nike" has been entered on Taobao, which has found 1006 related shops. Most of them are mainly footwear, and many shops have marked "genuine counters and factory suppliers".

If the source of the 1006 stores comes from suppliers' channels, the online shops are handling the inventory for the brand operators, while the actual beneficiaries are the online sellers. For the brands, the inventory is digested, but there is no profit.

So, in the early June of this year, Nike announced a high profile in Tmall, the launch of the Tmall first, limited sports shoes, and in the official micro-blog to remind consumers, the official network channels to buy, beware of the purchase of fake goods.

Obviously, the attack electric business is a way for sports brands to gain market share and ease the pressure of inventory. Nike, Adidas, 361 degree, Hongxing Erke and other brands are all now directly in the network platform.

The industry believes that the rapid expansion of sports brands, resulting in a large backlog of inventory retailers, sales channels for rectification and brand value remodeling is conducive to brand owners to eliminate inventory.