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[Chinese shoes Network - Brand Dynamics] in Chinese sportswear market battle, Adidas (stores) (Adidas) are catching up Nike (stores) company (Nike). This production of sports shoes and hoodies German manufacturers said, the fourth quarter sales in China increased by 12%, the annual increase of 27%. Because Reebok (Reebok) brand impairment of 265 million euros, Adidas ? 272 million loss in the fourth quarter of last year (about $ 353 million), in this context, the performance can be described as a bright spot in China. At the same time, US manufacturers Nike sales in China declined, China's domestic sportswear brands are issues continue. Nike "destocking" key Adidas China strategy is to extend beyond the brand shoes and sportswear. Currently, Adidas is restructuring retail stores, each store will allow focus on specific market segments, such as basketball and other sportswear, as well as teen clothing and casual apparel. "there will be no large and universal shop." Adidas Greater China general manager, director of high-Skyline (ColinCurrie) said that the next two years, Adidas will launch subdivision counters in mainland China stores in 7000, provide professional products to attract backpackers and even fashionistas. According to market research firm Euromonitor statistics, in China the scale of 148 billion yuan (23.8 billion US dollars) in the sports apparel market, Adidas currently holds 11.2% of share, accounting for 12.1 percent of Nike. For a long time, Nike Chinese market has been dominant, but in the quarter ended November 30 of last year, Nike Greater China sales fell 12%. 12 at the end of last year, Nike executives said, in an effort to solve the inventory problem, intends to expand the size of existing stores, create high-end products. Adidas has been digging sportswear manufacturer in Europe and America is the first expansion in China's garment enterprises, but these companies are facing competition from European and American casual apparel retailers. The latter includes the United States, Gap, as well as Spain's Zara brand InditexSA. Meanwhile, the Chinese sports and cultural development is very slow, unable to catch up with the rapid expansion of sports apparel. Sports equipment manufacturers difficult to sell higher-margin apparel and sports equipment in China. In addition, since the 2008 Beijing Olympic Games after ordering too many products, China's domestic sportswear brand stalled in sub jordans on sale mens sequent years. All these explain why the Adidas goods prepared many retail outlets in China, are its NEO brand red stovepipe jeans, fashion cloak and button collar gingham shirt. "respected fashion Adidas in China seems to have tasted the sweetness." Shanghai consulting firm ChinaMarketResearchGroup senior analyst Roy (JamesRoy) said that most Chinese people do not wear sports clothes, they seldom exercise. High Skyline says Adidas has from the Swedish fashion company Hennes & amp; recruitment MauritzAB and the Spanish Zara and other retailers. Adidas also by region will be more "personalized build" Chinese mainland stores offer those products for different climates and customers. For the same series of new rivals, Adidas NEO is also accelerating the development of its product line. This series of casual clothes aimed at young city often high Skyline said, and compared to any other brand, adidas casual sportswear to build its speed faster. Adi tighten inventory management In addition, adidas is tightening inventory management. Skyline High, said the whole Chinese market, Adidas is analyzing sales data its franchise partners and overseeing order situation, which can be done in less than 90 days to make the product off the shelf. about 7,000 home stores in the Chinese market, only 10% of Adidas all. High Skyline said, in order to convince the franchises to new variation, Adidas will be the first to make a change in the Direct stores. The company is Wuhan pilot plan. In Wuhan, five years ago, it looks exactly the same five Adidas store, has now been transformed into stores for different groups of people, whose objects include basketball players and those just looking for a fashionable hoodie customers. The company spokesman said sales at stores last year, an increase of these 80% (over the previous year). (Chinese shoes Network - the most authoritative and most professional Footwear News)At the dawn of June, a basketball and football cross collision. 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However, in the 2009 Beijing Olympic Games after a full year, Adidas will have to pay for their optimism before. 2009 In April 2009, a report from a third party showed that some of Beijing Olympic apparel sponsor since the blindly increase the yield, causing a large number of stocks are still unable to digest, which Adidas largest inventory , the value of goods in the country has up to 10 billion backlog. high inventory bring the increasingly tense relationship between brands and dealers, Adidas in the number of purchase, price cuts, agency and other practical problems with the dealer in a series of games, there have been broke compromise. auto forsake Adi In the company announced first half 2009 results, when Daphne International (00210.HK) announced a surprise message the industry - the decision In the second half of their hands 107 Adidas store sales all hands. The company's semi-annual report, its first half closed proxy Adidas stores up to 21. It also announced that China's second-largest women's Daphne operators, will completely agency business unless sportswear brands such as Adidas. Daphne company official said, the reasons for withdrawal that sports brand profit margins continue to decline. Prior to 2008, the Acting Adidas operating margins generally can be maintained at around 10%, but the second half of 2008, the operating margin is less than 5% already. compared to Belle International (01880.HK), Daphne can only be counted as a small and medium sized distributors Adidas. September, Belle has gradually closed the operation of a bad 346 Adidas stores. It should be said, the above-mentioned sports brand agents or closed shop, or quit, to a large extent influenced by the financial crisis since the Depression sports brand market factors. "which to a large extent on the 2008 Olympic Games in its market overestimated, resulting in a large number of difficult to digest inventory, the impact of which on its distribution levels are far-reaching and deadly." industry veteran Experts Yang Dajun said. In fact, until near the end of 2009, when Adidas high inventory problem is still no relief. Before Adidas announced third quarter results, Adidas in China and Japan-based Asian market sales fell 9 percent, a decline of 11 percent after the North American market. Adidas has even acquiesced part distribution price behavior. South Station in Shanghai Everbright Convention & Exhibition Centre and underground mall, up to 50% off Adidas product information everywhere. can not allow roots run Daphne exit may also hide a deeper meaning. Previously, Daphne was a leisure brand Adidas clover national distributor. But the "China Business" reporter was informed that Adidas has decided to withdraw the right to operate clover, clover before the agents in the hands of large-scale stores Yizao shut down. Currently, Adidas clover recover from the hands of the agents the right to operate the news has been confirmed, the industry more conjecture clover brand Adidas has focused on whether the next Direct clover. If this speculation is finally confirmed, it will no doubt be an Adidas operating strategy important benchmark: the world's leading asset-light businesses have decided to get involved in the Direct. For the issue of recovery of the right to operate clover, Adidas has not commented. Adidas dealer said, after entering the Chinese market for seven years, Clover brand did not get the main brands such as Adidas commensurate recognition, market performance is not satisfactory. On the contrary, since counterfeit products in many second and third tier cities clover popular, greatly damaged the brand's image. The above factors, Adidas clover recovery initiatives should be reasonable. In Sea Road Consulting Principal Consultant Dai Chunhua opinion, clover Adidas hands after returning there are many possibilities. One is company-owned, the other is a nationwide distributor company shares in the company is confident of accurate brand dealers after output, then by the reseller business. an industry consensus is that if you continue to indulge the brand in the hands of dealers grassroots-run, clover this "noble brand" is likely to degenerate into the next Playboy in the next few years, or Valentino. Game channels continued auto Marchi (a pseudonym) in participating in various sports brand in 2010 of ordering, there is a very deep feelings, is the brand's "posture" are beginning to lower, and brands not only offered to reduce order discount, increased advertising investment, and even offered to end section can be extended past high above Adidas is no exception. Although Marge is a region of small dealers, but he believes that with the sports brand channels to further enhance the degree of concentration, brands dominance at the negotiating table is gradually disintegrate. Yang Dajun said high inventories hard to chew, eventually digested that day. For Adidas, the channels gradually enlarge the situation is the most want to see. He said that with the rapid expansion of Belle, Po Sheng and other channels, focused trend channels will become increasingly evident. Since then, Adidas and Nike distribution channels will gradually and Li Ning, Anta and other brands homogeneity, which will further compress Adidas and Nike's profit margins. According to the reporter, in early 2009, Adidas has been brewing over a "cut-fan" of the plan, that the agency was originally granted an area of ??an agent, and in 2009 began to encourage two more dealers to compete, in order to change the current auto dominate and trends. There are even people in the industry believe, Adidas inventory digestion can not afford to delay, cut fan of policies and their implementation are also relevant. 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