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Forced To Stock XTEP And Other Sports Brands, The Prospect Of E-Commerce Is Worrying.

2013/5/17 23:33:00 36

following Li Ning Co's two joint business platform, after the launch of the "48 hour limited time rush to buy 19 yuan", the sale channel of "dangpin" famous brand has been officially launched. XTEP, Nike, Adidas and other sports major discount rates are all 70 percent off top.

For a time, the online sale of sports brands and e-commerce platform has been in full swing.

in fact, it is no wonder that sports brands are relying on the electricity supplier's sales channels. However, they used to build self brand stores in the form of Taobao, Tmall and other electronic business platforms, or develop flagship stores through their own official websites.

Sports brand and electronic business platform jointly launch the cooperation mode of sales promotion activities. At present, it is only an attempt.

from the sales point of view, the Li Ning Co's two hand in hand product launched a "48 hour limited time sale" activity product was sold out within 18 hours. When the brand name product sale channel was on the "tail product meeting", XTEP, Nike, Adidas and other brands quickly exploded panic buying rush on the line, and many styles of products were sold out on the first day.

What is the reason why "P" is the reason why sports big players put down their positions and cooperate with the electronic business platform to create a new way of cooperation to promote blood sales? Products are being looted at low prices, and sales are considerable, but the brand value is really worrying.

Is there any future for sports brands to go through the low price promotion of electric business?

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Less than p days ago, Li Ning Co launched a "48 hour time limit rush sale" sale on the electronic business platform, "a target=" _blank "href=" //www.sjfzxm.com/ "> shoes < /a > clothing and so on. The product was sold at a minimum price of less than ninety percent off.

After the launch, the product was looted. After 18 hours, the products were sold out, and the activity ended 30 hours ahead of schedule.

Less than P, the Li Ning Co, which first tried the joint promotion mode of sweet fruit, once again joined in the 48 hour charity sale in Ya'an on the platform of all customers.

Less than P. Following Li Ning Co's joint efforts to launch a time sale and create sales success, Dangdang has also formally launched the "tail products" brand sale channel. The discount rates of shoes and clothing products including XTEP, Nike, Adidas and other sports brands are all 70 percent off capped.

Once the sale was launched, consumers were snapped up. Many styles of products sold out on the first day.

industry analysis shows that behind the low price promotion of sports brand access to e-commerce platform is the huge inventory pressure faced by the company. The purpose of this new cooperation mode is only one: clean up inventory quickly.

from the 2012 earnings report released by the six major sports Brand Company, it can be seen that in 2012, the stock of the six major sports Brand Company totaled 3 billion 327 million yuan, while the annual report of Li Ning Co, which reported losses of nearly 2 billion yuan, showed that by the end of last year, the stock of the company had reached as high as 919 million yuan, and the pressure on clearing the warehouse was still continuing.

in fact, since last year, Brand Company has stepped up the pace of cleaning up inventory.

Close brand stores, increase self run stores, quickly clean up inventory discount stores and factory stores rapidly increase. Meanwhile, the electricity supplier library has also developed rapidly, authorized Taobao, Tmall and other online businesses, and brand official online shopping mall has also been launched.

however, there are still some limitations in the existing clearing channels.

Facing the current market environment and under enormous pressure of inventory, it is imperative to seek diversified channels to digest inventory.

The combination of sports brand and large scale e-commerce platform is also a helpless choice.

Zhang Qing, the founder of sports consulting firm, said in an interview with reporters.

in the industry view, the cooperation between sports brand and large electronic business platform can expand the range of products' radiation.

"sports Brand Company use existing clearing channels, which may only make its products radiate to three hundred thousand of the population. Now, by way of other large business platform, the radiation range of its products will be expanded to forty million or fifty million.

In this case, the company will have a wider scope of cleaning up the warehouse, clearing the library faster, and clearing the volume of the warehouse will be greater. The effect of clearing the warehouse is better than using only the existing clearing channels.

Ma Gang, an independent critic of footwear industry, told reporters when interviewed.

on the other hand, the cooperation between sports brand and large business platform can make products more accurately through the consumption habits and consumption characteristics of consumer groups of large business platform.

"P >" consumer groups of e-commerce platform will be more sensitive to the price of products, especially like this kind of e-commerce platform, which is more sensitive to the price of shoes and clothing products.

Sports Brand Company leveraging this kind of electronic business platform, can make use of this channel advantage of the electronic commerce platform, put more products in a more accurate manner to the consumer group of the electronic business platform, and clean up inventory more efficiently.

Zhang Qing analyzed.

in addition, sports Brand Company seek cooperation with large business platform, rather than using their own online sales channels to clean up inventory at low prices. Zhang Qing also analyzed: "such a low price of inventory clearance, enterprises in the choice of e-commerce platform is also more cautious.

In order to consider the value of the brand, the company needs to make a partition of the products sold on different e-commerce platforms.

The company's own official online business city is still the main sales and positive product, and the stock backlog needs a new marketing channel. "

, Li Ning Co also explained that all goods sold together with the sale of van geslpin are separated from Li Ning Co's existing network platform proprietary stores and Li Ning Co's current offline stores, and are consistent with the consistent online and offline sales strategy of Li Ning Co.

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When the sale of "P" has been launched, it quickly detonated the panic buying rush, and the products involved were sold out in a short time.

The new cooperation mode created by the sports Brand Company jointly with the large scale electronic business platform has brought a lot of benefits to consumers and greatly relieved the inventory pressure of enterprises.

clearing inventory and repaying cash should be a wise choice for enterprises in future market competition.

However, behind the raging sales activities, the value of the brand is worrying.

Although sports Brand Company made a deliberate separation of products sold on different e-commerce platforms, the frequent launch of special sales activities or the low price of Chinese cabbage will undoubtedly send consumers a signal of poor sales of brand products.

Sports Brand Company's inventory selling of drinking poison and quench thirst has relieved the inventory pressure of enterprises in a short time and solved the cash flow problem of enterprises.

But in the long run, it will hurt the value of the brand, and even have a negative impact on the brand loyalty and brand reputation of the customers.

Ma Gang thinks.

indeed, after the first launch of the "48 hour limited time rush to buy 19 yuan" sale from Li Ning Co and fan Kai Cheng, many consumers exclaimed: "the national brand has become a stall goods."

The establishment of brand P requires enterprises to invest a lot of time and cost and manpower and material costs.

Once a brand has left a cheap impression on consumers because of excessive inventory clearance, it will be more difficult to get back to its original position and will have a very negative impact on the future development of a brand.

however, under such a huge market environment, under such a huge inventory pressure, enterprises can not find a better way to digest inventory, and can only rely on large business platform to clean up inventory quickly and at low cost. Otherwise, if other enterprises are looking for new channels to quickly digest inventory, and continue to slowly digest inventory in traditional channels, enterprises will make their inventory more and more difficult to clean up, and then enterprises will not have enough cash to support the development of new products, and the pressure on enterprises will also become larger and larger, eventually leading to the withdrawal of sporting goods market.

Ma Gang said.

in essence, the sustainable development of sports brand enterprises should consider how to make inventory return to a reasonable level.

"any kind of channel has the process of diminishing marginal utility.

Sports Brand Company and large business platform created this new clearing mode, which will be effective in a short time, but the consumption demand of consumer groups of electronic business platform is not unlimited, so the enterprise can not regard this mode as a long-term way of clearing.

Zhang Qing analyzed.

"P >" enterprises should have more knowledge and Reflection on the formation of inventory, and fundamentally reduce inventory, rather than wait until the stock is formed before they can clean up the inventory.

Enterprises should pay more attention to how to shorten the supply process time, improve the efficiency of the retail terminal, understand the market consumption trend, and combine the actual demand of the market to produce marketable products.

Ma Gang also suggested.