In August 14th, sports brand Lining announced the medium-term results in 2019. The report shows that Lining's operating income increased 33% to 6 billion 255 million yuan in the first half year, and its net profit increased 196% to 795 million yuan. It is reported that since last year, Lining has set foot on the stage of the top fashion week many times. Its "China Lining" series has been stunning the international fashion sports industry, and has won unanimous recognition both inside and outside the industry. But it is important to note that although Lining has made frequent appearances abroad, it still has a short board in terms of "internationalization" compared with Anta, XTEP, and 361 degrees.
The report shows that at present, Lining sports fashion clothing sales more than 5 million 200 thousand pieces, shoes sales over 40 thousand pairs, sports fashion category retail sales accounted for 29%, is the company's best selling category. The retail sales of this category increased by 54%, higher than that of other categories.
Ceng Huafeng, chief financial officer of Lining, revealed that the sales of China Lining series accounted for about 10% of the sports fashion category in the first half of this year. In March this year, he once said that the profit margin of the "China Lining" series was very high, which obviously promoted the promotion of brand premium.
In addition, Ceng Huafeng said, "China Lining" shops grew faster than that, only 23 stores last year, and 70 stores this year. At the end of the year, the company plans to open 100 stores to 120 stores.
It is noteworthy that although "China Lining" frequently landed in the international fashion week, Lining still had a short board in "internationalization".
According to the China Commercial Daily reporter, Lining's overseas marketing resources include retired basketball star Dwyne Wade, international fashion week and Disney IP. In contrast, the layout of the other three major sports brands in the international market seems to be more mature.
Anta put forward the slogan of "globalization" for the first time in its 2017 annual report, and launched the strategy of globalization last year, with revenue of 24 billion 100 million yuan last year. In March this year, Anta also completed the acquisition of amamin sports for Finland sporting goods company. It is reported that Anta is currently the third largest sporting goods group in the world, and XTEP also obtained the distribution rights of running shoes brand Saint Conni in China in March this year. In August this year, it completed the acquisition of three international brands of Gestapo, Paladin and Supra; 361 degrees have been performing well in the international market, and some running shoes have been recognized in the international market. Public information shows that the 361 degree running shoes have been voted "the annual running shoes" by the world's most influential running magazine "Runners World".
In fact, Lining has been deployed in overseas resources acquisition and overseas brand operation, but compared with other similar enterprises, there is no obvious advantage. However, in developing overseas markets, including opening branches, branches and R & D centers overseas, Lining did walk ahead of his peers. It is understood that since 2000, Lining began to enter the United States, Spain, Poland, Greece, France and other European and American markets, and the responsible person of Lining also put forward "Lining's ultimate goal to make global brand", but the effect is not satisfactory.
Data show that in the first half of last year, Lining's income from the international market was about 73 million 640 thousand yuan, compared with 91 million 468 thousand yuan in the same period last year, a drop of about 19.5%.
An expert in Chinese clothing association, who does not want to be named, said Lining had once touched the wall on the "internationalization" road. The lessons he learned made Lining more conservative in the process of internationalization.
Ceng Huafeng told the media that if the layout of the company's internationalization really restarted, it would not be more aggressive to open flagship stores everywhere. As for whether to go out again in the form of authorization, dealer or self run, we need to plan carefully.