Is Sports Brand The First Flashpoint For Consumer Rebound?

After the end of the epidemic, the national health awareness is expected to further improve, or will lead sports brand consumption to take the lead in recovery.

Recently, under the combined policy of many national policies, many enterprises in the country have resumed their work speed.

Reporters noted that a number of sports brands have recently announced that they are gradually resuming normal operation of stores. In February 20th, the company announced that the factories and offices of the enterprises had been restored to operation since February 10th, and that the stores in the mainland of China will gradually resume business outside the Hubei province at the end of February. According to the annual report, by the end of 2018, there were 5539 core brand stores.

In February 18th, XTEP international also announced that XTEP factories and brand stores were gradually resumed operation since February 10th. It is expected that by the end of February, the production line will be fully restored and the stores outside Hubei will be fully operational. Statistics show that at present, XTEP has over 6000 stores in mainland China and overseas, of which about more than 200 stores in Hubei, that is, more than 95% of XTEP brand stores will resume normal business in late February.

In February 17th, Anta sports also announced that its brand stores in mainland China had resumed nearly 40% business since February 14th, and the rest of the stores will gradually resume business according to the development of epidemic situation and policies. It is reported that, including Anta brand, Anta children, FILA brand and so on, Anta has tens of thousands of stores in the mainland, that is, nearly 4000 stores have resumed normal business.

In addition, more than 30 Canadian sports brands in mainland China, lululemon, also said that other stores in Wuhan had resumed operations in February 10th.

Affected by the new crown pneumonia epidemic, shopping centers and department stores have temporarily closed down or reduced their business hours during the Spring Festival this year, while residents' home epidemic prevention also caused a sharp decline in shopping centres. From the disclosed situation, Nike and Adidas both said that the epidemic will affect the sales of Chinese brands in the Chinese market; Cage expects the performance of the Chinese market will decline in the first quarter of this year. Andemar believes that sales in the first quarter of this year will be reduced by 50 million to 60 million dollars by the epidemic. Anta, XTEP and 31st degree announced in the announcement that the epidemic will have an impact on the performance of enterprises in the first half of the year. At present, enterprises are adopting various measures such as electricity providers, small procedures and other measures to increase marketing efforts on the line so as to minimize the impact of the epidemic on the retail side.

When will there be an inflection point, Tianfeng securities tracking analysis believes that with the gradual resumption of business, apparel brand line channel is expected to usher in the turning point in March, into the offline stores sales recovery period.

It is noteworthy that market analysts are confident of the growth of sports consumption after the epidemic control. CITIC Securities believes that this is because the national health awareness will be further enhanced after the end of the epidemic, effectively promoting the demand for physical exercise. On the other hand, the offline consumption will also regain vitality and activate sporting goods retail. Therefore, it is very optimistic that the brand of sports shoes and clothing will achieve a good rebound after the outbreak.

It is also believed that the public health awareness will be enhanced after the epidemic. Anta, XTEP and 31st degree also announced in the announcement that the sporting goods industry in China will usher in new opportunities for development and have confidence in the long-term development of the industry and enterprises.

Over the past few days, the number of new cases of epidemics has continued to decline. With the gradual release of consumer demand suppressed during the Spring Festival, will sports brands be the first clothing category to welcome consumption rebound? This reporter will continue to pay attention to the reports.