Li Ning: Plans to open more than 4,000 stores in 2008

　 Its CEO Zhang Zhiyong stated that Li Ning plans to open more than 4,000 stores in 2008

China's first large-scale investigation of social responsibility concepts and practices for Chinese- and foreign-funded enterprises across the country has just concluded the survey on corporate social responsibility in China. Li Ning Co., Ltd. has won the "Public Charity Award" for its many years of public interest and support. Recently, Li Ning’s chief executive, Zhang Zhiyong, expressed an exhilaration on his face during an exclusive interview with this reporter and frankly stated that Li Ning’s share of China’s sporting goods market will maintain the top three positions in the next few years.

"All for the 2008 Olympic Games"

Although Adidas defeated Li Ning and became a successful partner of the Beijing 2008 Olympic Games, Nike also signed sponsorship agreements with various sports teams in China. However, while watching Adidas and Nike, they are also looking forward to the national movement like Li Ning. Brand performance. "The 2008 Olympic Games is a very rare opportunity for many Chinese brands. It can be said that the flagship stores that we opened before are all prepared for 2008." Zhang Zhiyong frankly said.

It is reported that as of the end of 2006, Li Ning Company has a total of about 4500 exclusive stores nationwide, including thousands of "Li Ning fourth-generation brand stores" and more than 3,000 "third-generation brand stores." It is estimated that by 2008, the number of Li Ning stores will reach 5,100. "For the 2008 Olympic Games, we are now starting to prepare for the 'fifth-generation brand stores'." Zhang Zhiyong revealed that compared with the fourth generation, the fifth generation will make more bold breakthroughs, such as store space planning and There will be more and more combinations of fashion brands, and this is also a global trend. At the same time, the fifth generation of Li Ning stores will pay more attention to the integration with the 2008 Olympic Games and the interaction with consumers, and more highlight the Olympic concept.

"Small companies must continue to accumulate"

It is understood that in the first half of 2006, the main business income of Li Ning Co., Ltd. achieved 1.197 billion yuan, a year-on-year increase of 24.2%, and gross profit reached 683.6 million yuan, a year-on-year increase of 28.8%. “At present, the Li Ning brand ranks second in China’s sportswear market.” Zhang Zhiyong was very excited about this achievement when he was interviewed by reporters. He revealed that in the next 5-6 years, it will be fairly optimistic and Li Ning will maintain the top three positions in the Chinese sportswear market. "But from a competitive perspective, it will be more and more intense. We unfortunately have met the best brands in the global sporting goods industry, but fortunately we can compete with them."

Facing the competition with Nike, Adidas and other international brands. Zhang Zhiyong frankly stated that Li Ning was only 16 years old and was still a "small" company. Its capabilities, finances, and brands still need some time to accumulate. It is reported that Li Ning has formulated three strategic stages. The first strategy period ended in 2008 and the second stage was 2009-2013. In these two phases, Li Ning will regard the Chinese market as the most important strategic market, and it is expected that the turnover will maintain a growth rate of 35%-40% every year. 2013-2018 is the third stage, when Li Ning will become the top five sports brand companies in the world.

The second and third line markets within and outside the attack

It is understood that Li Ning’s current main business comes from the first-tier and second-tier markets, which are mainly provincial capitals and economically developed cities. Zhang Zhiyong stated that in the next year or two, Li Ning will put the most critical activities such as brand marketing and brand training in China's Olympic cities, as well as megacities and first-tier cities. However, in the future, Li Ning’s sales growth is expected to come from 2nd and 3rd tier cities.

However, industry sources pointed out that Li Ning is currently firmly in the second place in the domestic sportswear brand, but this position is being affected by the internationally renowned brands such as Nike, Adidas and domestic Anta and other sports brands.

It is reported that for such well-known national brands as Li Ning, Adidas has already launched sports shoes with a considerable price, and its sales growth in China has gradually shifted to second and third-tier cities. It plans to expand the number of stores to 4,000 by 2008. the above.

With the super-large and first-tier markets approaching saturation, China's second and third-tier markets will undoubtedly become a must-have place for international brand new stores. At the same time, it cannot be overlooked that there are more than 600 sportswear brands currently advertised on the market, and these brands are occupying most of the third-line market share.