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    Anta: Denied Opening 600 Stores, Increasing Factory Stores' Digestion Inventory

    2012/10/17 16:30:00 22

    Textile And GarmentTextile IndustryClothing Brand

    Recently, media reports reported that Anta plans to add 600 new stores this year to digest inventory.

    The news has thrown doubt on the industry.


    In early August this year, Anta said it was due to the second half of the year.

    Sporting goods industry

    There is still a risk of inventory and discount, so we will control the future order volume and shop expansion speed, and grow steadily.


    To this end, the reporter called Anta company, its staff told reporters that the 600 stores were Anta CEO Lai Shixian two years ago, the statement can not be wrong, nor can it be said, but put it in the present is not accurate.

    But the staff refused to disclose the number of Anta stores this year.


    Anta denied opening 600 stores during the year


    Many people in the industry believe that Anta's profitability has dropped sharply.

    High inventory

    In the case of Anta, there is no alternative but to return to the rough expansion era to digest inventory pressure.


    But this plan is related to the statement in Anta's 2012 performance report.

    In August this year, Anta issued semi annual financial data. In the first half, Anta's turnover was 3 billion 934 million yuan, down 11.6% compared to the same period last year. Gross profit margin was 1 billion 644 million yuan, down 13.7% compared with the same period last year; net profit attributable to shareholders of listed companies was 770 million yuan, down 17% compared to the same period last year.


    Semi annual report pointed out that the overall decline in financial data is due to high inventory and product discount, profits have been seriously affected.

    In fact, as early as July, in the first quarter of July, the order amount of Anta was about 20%~30% decline.

    Anta said there is still a risk of inventory and discount in the second half of the sports industry, so it will control the future order volume and shop expansion speed, and grow steadily.


    Anta staff told reporters: "according to the 2012 interim report, the number of Anta stores will remain stable at the end of 2012, and the store will continue to take a cautious attitude."


    In 2012, Anta's performance report showed that by the end of 2012, Anta stores were expected to be 7800 to 7900, and as of June 2012, the actual number of Anta stores was 7807.


    Although Anta has obviously slowed down its opening up, Anta has achieved rapid development through rapid expansion of its stores.

    According to public information, from 2007 to 2010, the number of actual shops opened in 2007 is around 1000.

    The rapid increase in the number of stores has also made Anta's sales grow rapidly, exceeding the number one Li Ning Co in the former sporting goods industry.


    It is understood that in order to speed up the opening up of stores, Anta is different from other sports goods enterprises in the country to set up direct branch offices in the whole country, and adopts the way of "provincial distribution agents + regional distributors" to develop the national sales network.

    Therefore, in just a few years, the number of stores from hundreds to thousands of homes quickly occupied the market.


    However, now Anta has realized that a large number of shops can not bring more profits to Anta, but pay more attention to the efficiency of single store operation.

    "Therefore, Anta proposed to slow down last year, adjust the layout of shops, and even close inefficient stores, which is aimed at channel terminals and improve operational efficiency."

    Beijing key Road Sports Consulting Co., Ltd. CEO Zhang Qing told reporters.


    {page_break}



    Increase factory store digestion inventory


    Although Anta has denied plans to open 600 new stores during the year, Anta's factory stores have been falling all over the country this year.


    Recently, two Anta factory shops opened in Guangzhou and Shanghai.

    According to media reports, at the end of September, Xiamen Quanzhou Licheng District South Ring Road Anta factory shop for promotion, immediately form a looting situation, almost cause stampede accident.


    A manager of Anta told reporters that these factory stores are mainly located in two or more secondary business circles, and the price is relatively low, which is mainly to digest inventory.


    "Anta is now opening all factory stores, most of which are in non prime locations, and the decoration does not achieve high standards. The main goal is to digest memory.

    Channels are like pipelines. Now we have built more pipes to increase displacement.

    In fact, Lining was also opening in the factory store, because Lining met the inventory problem earlier and began to deal with it earlier.

    Now Anta is also facing the pressure of inventory, so it needs adjustment. "

    Zhang Qing told reporters.


    For the number of shops opened by Anta factory, Anta staff told reporters: "at present, there are hundreds of factories and discount stores.

    As for the opening of factory shops, we should increase the number of factory stores and discount stores strategically depending on the industry and market situation, but the most important thing is to improve the store efficiency and quality of regular retail stores.


    However, according to a person close to Anta management, the number of Anta shops in the near future is mainly due to the fact that Anta still has many shop resources.

    This statement has also been recognized by a former Anta executive, who said that with the following

    Rental cost

    Rising, Anta has taken some commercial real estate projects before.


    Although increasing factory stores can effectively digest inventory, there are also hidden dangers.

    "It is also true to solve urgent problems first.

    Therefore, the current store is mainly based on clearing stock.

    But there may be problems with the development of these shops.

    Now the inventory is large and the inventory is normal. If the stock is normal, what will these stores do? "An industry insider told reporters.


    Sun Xi, a researcher at the Institute of public communication research, Renmin University of China, told reporters that reducing shop prices and increasing factory shops is a way to fight. But we should be alert to the fight between the two sides, because factory stores are easy to conflict with existing stores.


    "These factory shops can be opened in two places.

    One is the least developed area, the other is the most developed area.

    Even lower than the three or four line, avoid the three line market agents.

    Sun Xi said.


    "If you look optimistic, it will take two to three years to digest from the international cycle 12~18 months.

    But the situation in Chinese market is rather complicated, because the sports consumption habits of Chinese consumers have not been formed, and they still need time to continue training.

    Homogeneity between enterprises is serious, so brand personality needs to be re established.

    But these enterprises are difficult to turn around and are not easy to go into battle lightly.

    Zhang Qing told reporters.

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