New Sports Brand Under Armour Is Hard To Predict

The newly concluded Rio Olympic Games, by virtue of the spokesperson "flying fish" Phelps's excellent performance (participated in the four Olympic Games, has won 23 gold medals), and the UA Under advertising Yourself Armor:Rule with her autobiographical character has also won a great deal of fire.

From a niche brand that provides sportsmen with professional sporting goods to expanding product lines and signing a large sports star, UA's sales performance in the US market has surpassed in 2014.

And become an alert opponent for Nike.

In addition, the acquisition of fitness big data community, continue to invest resources on the data also add a lot of imagination to the company.

So, what is the way of the company's counterattack now? In March 2016, analysts told the media that Curie's value for the Under Armour brand was equivalent to $14 billion.

However, this August is a mixed blessing for the new sports brand Under Armour (hereinafter referred to as UA).

Due to the bankruptcy of sporting goods retailer Sports Authority, Under Armour, one of the largest suppliers, had to pay up to 2300 US $10 million in impairment expenses, which directly affected the profitability of UA. In the second quarter earnings report released by Under Armour in early August, UA's net profit plummeted from 1376 us $second in the same period last year to 6 million 340 thousand US dollars, down 57%, and operating profit also declined 39% to 19 million 370 thousand US dollars.

Channel damage makes UA's short-term profit less than expected.

But once again, sports stars have made a fortune.

Under Armour, founder of Kevin Plank, is a sports enthusiast. She was once the captain of University of Maryland football team.

The first product launched after the launch of the sports clothing brand was a professional sweating line - a sweating sweat shirt.

This type

Because of its comfort and breathability, the product has been spread over the National Football League (NFL). Then, UA has developed a pair of court spikes for football players.

Such a subdivision of professional sporting goods helped UA to start rapidly. Although the share of a single market was small, UA quickly established its influence in the field with expertise.

In addition, because Adidas and Nike's product line is too long to touch these subdivision sports categories, it also allows UA to avoid some of the giant competition.

On the other hand, compared with the competitive sports footwear market,

Cutting is also a wise move.

In the footwear market, Nike and Adidas still have an unshaken position.

In 2011, Nike market share was 41.9%, overseas market share was 31.2%, Adidas was 10.5% and 26.1% respectively.

In 2012, the market share of Nike sports shoes in the United States was 44.5%, overseas market was 32%, Adidas was 10% and 25.2%.

In contrast, the barriers to entry in sportswear market are much easier.

In 2010, Adidas's share of sportswear market in the United States and abroad was 5.5% and 15.2%, while Nike was 7% and 11.4%. By 2011, Adidas sportswear accounted for 6.1% of the US market, 15.6% of overseas markets, and 9.2% and 11.2% of Nike respectively.

In addition, the sportswear market also has Puma, VF.corp's The North Face, Vans and other brands to disperse the market share.

This is similar to UA's strategy of expanding the product line. In 2007, UA began to push the baseball series. In 2008, it entered the comprehensive training shoes. In 2009, it was running shoes. Only in 2010 did it start to sell the most competitive basketball shoes. From the sales data, the popularity of the sportswear in the early stage effectively improved the sales performance of the footwear products. UA 2014 reported that its clothing sales increased by 30%, footwear increased by 44.2%, and footwear sales increased from 14% in 2013 to 14%.

Female consumers are becoming the next focus of the UA market.

Since 2014, UA has invited the senior designer Tim Coppens of former Ralph Lauren and Adidas to be the design director of UAS for the new product line. At the same time, Gisele Bundchen has been invited to become the spokesperson of the new product line, and has opened a women's special field in the roadshow activities of many cities. UA hopes that in 2016, the sales of women's clothing can double, and even predict that in the future, the sales of women's sports equipment will be equal to that of men.