Looking At The Continuous Decline Of Sporting Goods Brands In Winter Orders

< p > the latest business performance of the local sports brand 31st degree shows that there has been a significant decline in the first quarter results as of March 31, 2013, so it is expected that the net profit in the medium term as of June 30, 2013 will be significantly affected.

It is worth noting that the company's recent winter order in 2013 will be reduced by about 17% compared with the previous winter order.

< /p >

< p > 31% indicates that the net change in operating performance is mainly due to a sharp reduction in orders received in the near future, increased production costs and increased competition, resulting in a decline in gross margin of the group and the expiration of all tax concessions enjoyed by the group in the past, resulting in an increase in the effective tax rate.

< /p >

According to the announcement recently issued by several local sports brands, there is a widespread decline in orders and profits. The revival of local sports brands is still far away from P.

< /p >

The order amount of XTEP's order meeting in the fourth quarter of 2013 (P) fell by about 15%~17% compared with the same period in 2012.

The order amount of Anta's order meeting in the fourth quarter of 2013 (calculated at wholesale value) also dropped by 5%~15% compared with the same period last year.

< /p >

< p > "it is more difficult for sports brands to grow again.

First of all, the main business of these sports brands is sportswear < a target= "_blank" href= "//www.sjfzxm.com/" > shoes < /a >. Now the trend of consumer choice has changed. The frequency of wearing shoes has dropped a lot compared with the previous two years, and consumer demand has decreased a lot. Secondly, the whole industry has entered a mature stage, and the enterprise also wants to grow as it did in the past few years, so it is necessary for enterprises to withdraw from the market or be merged to make room for the market, that is to say, the industry needs to shuffle.

< a target= "_blank" href= "//www.sjfzxm.com/" > clothing < /a > analyst Ma Gang said.

< /p >

< p > some analysts believe that the local sports brand has now come to the crossroads, and the market environment has not allowed enterprises to make mistakes.

And from several announcement enterprises, they have adopted a prudent coping strategy.

< /p >

< p > XTEP said that many prudent measures have been taken against the problem of overstock. By adjusting the product supply of distributors and franchisees, prudent ordering policy is adopted to maintain the business performance and profitability of its distribution channels.

And continue to integrate distribution networks to optimize resource allocation and improve the overall operational efficiency of distribution channels.

< /p >

< p > 360 degrees also indicates that many measures have been taken against the current difficult business environment, including maintaining strict cost control, reducing manpower through natural wastage and reshuffling posts, and improving the effectiveness of franchise business.

< /p >

There is still a lot of uncertainty in the judgement of the future direction of enterprises in the way of prudent coping. In the current market environment, it is more likely to expand a large area like the previous few years, and the loss is expanding. "P"

The domestic market development space has been very limited, and Southeast Asia and other emerging markets have more opportunities, or will become a direction for these enterprises to develop in the future.

Some analysts believe that.

< /p >