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Lining's Comeback: From 3 Billion 100 Million To 10 Billion

2019/8/13 19:42:00 4

Lining

Unexpectedly, we had to queue up to buy Lining one day.

At the beginning, Chinese brands, which young people did not see much, had become king of goods that had money and queues in the twinkling of an eye.

Unconsciously, Lining has gone through three fashion week tours. Today, it has an unrivaled position in the domestic sports brand.

But behind this bureau, Lining quietly spent 20 years, the ups and downs of the shopping malls are no less than the sports career.

1 great failures

So far, I remember that Lining accidentally fell from the rings at the Seoul Olympic Games. When he returned to China, he could only walk a lonely way.

In 1984, new China sent its first sports delegation to the twenty-third Losangeles Olympic Games, and Lining, 21, was also listed.

The Olympic Games, China miraculously won 15 gold medals, Lining took three gold, two silver, one copper and 6 medals, took 1/5 of the medal, and became a hero of admiration all over the country. When Lining returned home, a special convertible in Guangxi took him to the city and took a circle in Nanning. The streets and lanes were full of people. The supreme glory of the king's return was so unexpected that he fell upon the young man.

Lining continued to hang up and won 14 World Championships and 106 gold medals at home and abroad. In 1999, he and Michael Jordan joined the "best athlete of the century". Among the world's world-class athletes, only 25 were selected, while Lining was the only Chinese among them.

In that era of glory and glory, his legendary experience of endless war also made people totally ignore his pain and retirement applications, and only asked him to carry out the myth in Seoul Olympic Games.

The demand of the nation and the nation is greater than everything. Lining does not want to nor can he shoulder the charge of running away from the battle. But the body is not allowed, and with injuries and injuries, the year when the prince of gymnastics falls accidentally on the hoisting ring, the performance of a great loss of performance is disappointing. Then, sarcasm and abuse are spread all over the place. Some people even send razor blades and rope to persuade him to commit suicide.

After returning to Beijing from Seoul, all the players accepted cheers and flowers, but Lining walked alone on the airport lane. Fortunately, at the end of the road, a man waiting for the man is holding a bouquet of flowers. He sincerely and warmly welcomes Lining's arrival. He is called Li Jingwei, the general manager of Guangdong Jianlibao group.

Li Jingwei is also a legendary figure in modern Chinese business history. He once worked as deputy director of Sanshui County Committee, and then was pushed to the county's distillery as director of the factory, relying on an electrolyte containing sports drink formula to drum up Jianlibao.

From sports hero to national sinners, Lining was disheartened. In 1989, Lining officially retired. The state still pays tribute to the great champion, giving the best arrangement in the system, allowing him to choose from the vice director of the Guangxi Sports Committee and the coach of the national gymnastics team. But Lining went to Sanshui in Guangdong and went to Li Jingwei, a township enterprise, to go with him.

In May 1989, under the pressure of public opinion, Lining formally joined Jianlibao and Jianlibao welcomed the world champion with an extremely grand engagement ceremony. With instinctive instincts, Lining personally acted as an endorsement for Jianlibao's advertisement and suggested that 600 thousand days of advertising fees be dropped on CCTV, which once again caused a sensation, and the sales volume of Jianlibao reached 30 million.

"Diligent efforts, keen thinking, simple and kindhearted and strong dedication" is the evaluation of Li Jingwei by President of Jianlibao, Lining. It was with his support that a five storey warehouse of Jianlibao was transformed into a 5000 level factory building. The huge billboards on the roof read three big words "Lining card", which helped Lining set up his own brand.

He negotiated the entire sportswear relay relay of the Asian Games through negotiation. He wore a white Lining sportswear that year and carried the torch on the Qinghai Tibet Plateau. After a night, Lining became popular in China.

Just set up, received a value of 15 million orders, at this time, from the failure of Lining Seoul just two years ago, Lining himself is only 27 years old, his business road has just begun.

Historical data show that from 1993 to 1996, Lining's annual sales revenue increased by more than 100%, and 1996 was a record of 670 million yuan in sales.

After 1996, Lining faded out of the company's management and was taken over by professional managers. Zhang Zhiyong did not see much of Lining, and Lining did not ask about the specific business of the company except for several important meetings such as board meetings. Many employees of the company have not seen Lining himself.

2 Lining saved Lining.

Li Ning Co crisis occurred in 2012, but foreshadowing was buried in 2010. At that time, Lining released a brand new LOGO and changed the slogan "anything is possible" to "Make The Change", shaping the "internationalization" brand image and completing Nike's Transcendence in a more radical way.

It began to raise prices, three times a year, resulting in a decline in the number of orders, but also encountered the decline of the industry, all sports brands are bogged down.

Since 2011, Lining has gradually not been "liked" by the market: in 2011, Li Ning Co had a large backlog of stock and realized a profit of 8 billion 929 million yuan, achieving a profit of only 386 million yuan, followed by a large number of layoffs in 2012, closing revenue of only 6 billion 739 million yuan, net profit loss approaching 2 billion yuan to 1 billion 979 million yuan, 2013 revenue of 5 billion 824 million yuan, net profit loss of 391 million yuan, 2014 revenue of 6 billion 730 million yuan, net profit loss of 781 million yuan, and the amount of loss in three years exceeded RMB 3 billion 100 million yuan.

In 2015, Lining, who was calm and low-key, immediately decided to return to the shopping mall. In the first half of 2015, there were media reports that Lining visited the Shang Chao Group in Shanghai and Guangzhou with a team of channels, including big Rd., Guang Bai and Shanghai Bailian, etc., and reached a number of channel cooperation agreements such as chain outlets, online and offline integration and sales. Lining said: we should create new products, new channels, new ways of operation and new experiences of Lining with entrepreneurial mentality.

This is the reason why the media summed up its decline.

After the return, Lining began to have a high profile. In 2015, he opened micro-blog and promoted various activities of the company. At present, his micro-blog has accumulated to 3 million fans.

It can be said that Lining is the only Chinese sports brand to save himself.

Lining, more than 50, returned to his early state of work. He will follow the marketing colleagues to do activities around the country, but less praise, but special questions. He often said that Lining wore the national flag to the national team very early, so he must do things according to international standards.

There is no doubt that the return of the founders is a new atmosphere. But his constant idea is that a company should be run by a manager. He wants to make a system to maintain the development of the company, rather than relying on his own efforts to maintain it.

But at present, Li Ning Co needs him. As for who will be the next professional manager, the media has not speculated. At present, Lining can not ignore the opponent is Anta, the latter is not only the Chinese sports brand of the boss, in the entire textile and garment enterprises, the market value is ranked second, is 6 times the market value of Lining.

Meanwhile, Lining, 55, has to prove that Lining is a brand worth buying by young people. Lining's good performance can be sustained.

3 start from scratch.

Under the leadership of Lining, the company launched the strategy of "Internet + +" in an all-round way and made drastic reforms.

Repositioning. In 2012, Lining had clearly focused on the "Lining" main brand line, and deeply cultivated basketball, running, comprehensive training, badminton and other sub categories. In 2015, Lining adjusted the layout of multi brands, and made a lot of research on young consumers after 90, adjusting the brand positioning to the mid end market with high cost performance.

Optimize channels. The number of Lining outlets increased from 631 in 2012 to 1202 in 2014, with a cumulative growth rate of 90%.

Innovative supply mode. A quick response retail business platform was established, and the demand was forecasted according to the daily sales situation of retail stores, and the wind direction and output of product development in the supply chain were adjusted.

Create fashion sports category. In October 2017, Hong Yuru, vice president of Lining group, put forward the concept of Chinese Lining, positioning the product in fashion and fashion, targeting young people and putting out the fashion week strategy.

...

Positive effects are gradually emerging. In 2015, the official flagship store of Tmall Lining sold 1 billion 250 million yuan, and in 2016 Lining turned into a deficit. In 2018, Lining's revenue was 10 billion 511 million, net profit reached 715 million, an increase of 39% over the same period last year.

According to the June 24th news, Lining expects that in the six months before 2019, net profit will increase by less than 440 million yuan compared with 269 million yuan in the same period last year.

10 years ago, from the 2008 Beijing Olympic Games to the 2019 New York fashion week again, "China Lining" has gone through 10 years.

However, in the 10 years between these two "popularity", Lining has gone through the inventory management crisis, the brand repositioning impact on operation, and the financial pressure caused by store transformation in a certain period.

In Lining's view, the "popularity" of 2018 is because Lining's brand has been prepared for two or three years and suddenly has the opportunity of external output, which is actually the result of 5 years' painful transformation. To a great extent, Lining's story also reflects the ups and downs and pains that Chinese enterprises are facing in the process of gradually moving towards modern management system.

(1) clear positioning, multi brand strategy

With previous experience, Li Ning Co remade its brand positioning.

The company is positioned as a sports company, and its five core business categories are basketball, running, badminton, comprehensive training and sports life. In addition to the main brand of the main professional sports attribute, there are also LNG, spring labels, Aigle (Ai Gao), Lotto (Lotto) and red double happiness sub brands covering different market segments.

Use basic funds to cater for the needs of the public and enhance the brand image with more professional high-end products.

(2) improve the order mode, combine online and offline marketing.

Next, we should reform the order mode and accelerate the clearance of inventory, so as to cope with the new sports market and consumers' tastes change. Before and after 1985, Nike ignored the aerobics exercise in the United States, missed the wave of fitness and lost the opportunity to seize the market.

Li Ning Co has improved the traditional mode of ordering futures only at the fairs to become a dominant ordering mode. On the basis of maintaining the basic orders, the replenishment efficiency of the best sellers can be improved, and the products with short production cycle will be closely related to the market demand and the monitoring of terminal sales will be increased.

We should actively adopt innovative marketing methods and use the experiential terminal mode under the line to achieve multi-dimensional interaction with consumers' product service experience. Open flagship stores to run Corner, iRun clubs and running franchise stores to enhance user shopping experience.

(3) expand Sponsorship Resources and enhance brand influence.

For brand sponsors, finding a good business spokesperson is especially important. Li Ning Co is trying to expand its international market.

Sponsorship Resources from Spain, Argentina and other national team sponsorship to the national basketball league matches, NBA stars concentrated.

Lining signed the sponsorship of Wade, and the "Wade road" series of high-end basketball shoes were sold well. Besides, they also sponsor badminton and table tennis national team.

In 2019 and March 22nd, Lining held a 2018 performance briefing in Hongkong. The group's revenue history has exceeded 100 billion yuan for the first time to reach 10 billion 511 million yuan.

From 9 billion 700 million in 2010 to 10 billion 500 million in 2018, Lining spent 8 years in the end of the billion dollar revenue pass.

Although the outside world and the media generally regarded Lining's revenue as a milestone event by breaking billions of dollars, Lining did not make any high-profile publicity about it, and the performance of the company was quite calm.

Perhaps in Lining's view, although this moment has a special historical significance, it is not a time to sing the triumph of complacency. After all, facing the brand goal of "China's first, Asia's first and international leading", Lining still has a long way to go.

In recent years, Lining, as a representative brand of Chinese sports, has always been compared with the international brand. Facing the pressure of youth questioning, Lining responded with a calm response: "time will make Chinese people more confident. Chinese mentality of" worshipping foreigners and foreigners "needs time to change. He shared with us the history of the development of Japanese products, similar to China, and also experienced an era of despised oneself, but ultimately the pursuit of quality and design has achieved its value. Therefore, Lining believes that the development of China's domestic brands can not just rely on playing patriotic brand, but to focus on their product design and function, is the real development.

He said: "as an enterprise, a brand needs not to develop through the support of domestic brands, but more importantly, to make a product that truly meets the needs of consumers."

Once upon a time, it was regarded as a great honor for Lining to break through the revenue of 10 billion yuan. Now it seems that it has only completed a small goal. It is only a beginning for Lining, who aims to achieve "China's first, Asia's first and international leading sports brand". Now Lining has made efforts to do it.

"I think entrepreneurs and athletes are very important. It's important to have fighting spirit, dare to take risks, dare to pursue, have courage and responsibility to turn your imagination into reality." Lining said in an interview.

A coward never dies, but a weak man dies on the way, and a strong man will climb the highest peak. Even if he is in a desperate situation, he will still strive to survive.

Source: Yue Ju Finance

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