Recently, Ning Zhang Zhiyong, CEO of Hong Kong Li Ning to the public and investors, the company announced results of the international financial crisis environment, the company’s 2009 sales 8.387 billion yuan, up 25.4%; to achieve 31% growth in net profit, to 9.45 billion.Statistics show that in 2009 Adidas sharp drop in business in mainland China, sales of about 70 billion, ranking third; Anta turnover of 5.875 billion yuan, ranking fourth; Pick turnover 30.95 billion, the fifth temporarily. Nike is still champion, although specific data are not available, professional analysis, Nike and Li Ning, the gap should be minimal.

All along, the Li Ning brand is Nike and Adidas on the total suppression; in sales, was there such a national enterprise Anta followed. With the development of the market, competition is heating up, Li Ning, the interception before facing the embarrassing situation after the pursuers.In order to break this embarrassing situation, Li Ning in the current enterprise e business oriented background, leap from the traditional markets to the Internet, through a new marketing model to achieve breakthrough, creating an own sky.

Seize the Opportunity to Conduct Online Marketing

2008 financial crisis hit, making sports apparel market more competitive. March 2009, the market dominant only in China and Nike closed its own plant in Taicang, then reduce the order to the foundry business (or even termination of contract factories to several orders); Adidas earnings report also showed that Its first half revenue fell 2%, profits fell 95%. However, the financial crisis, Li Ning is not in disarray, but at this time to find a new market. Instead of the traditional competitors fight in the market, why open up a new world of their own.

The new market is to Internet shopping market. Data show that the maximum amount of clothing is a network of consumer goods, closer to Liu Cheng’s online shoppers bought clothing online, while apparel accounted for all the net purchase amount is about 1 4. The huge volume of transactions due to the number of Chinese netizens rose and the increase in online shopping groups. According to China Internet Network Information Center (CNNIC) 2009 ? 1 month, China’s Internet development report: the end of 2008, the scale of China’s Internet users reached 298 million people, online shopping, user scale will reach 7400 million, accounting for 24.8% of all Internet users. The Internet is a huge latent potential of the emerging consumer market. Statistics show that the average age of online shopping population concentrated in the 17 30 age group, with highly educated, high income, spending power and so on, which consumer groups with Li Ning products, there is a strong degree of agreement.

After determining the network market, Li Ning, the rapid development of electronic commerce. April 2008, Li Ning, the Ministry set up e commerce, Taobao launched Direct Direct brand flagship stores and discount brands. At this point Taobao and other e commerce platform, has more than 1000 products online shop sale of Li Ning. Li Ning Li Ning dealer e commerce system used by the Department incorporate the existing storefronts, to address the network quite a mixed bag, difficile true situation. In 2009, started all Online Shop Online Shop provided by the Li Ning dedicated CI and VI, developed by the Li Ning unified marketing theme.

Li Ning online entity under the nearly 6,000 stores, Shop no geographical coverage of restrictions bound to have a conflict of interest between channels. In order to solve such conflicts, Li Ning, the network channel dedicated to goods, and different online shop for goods differentiated positioning, to protect the interests of the two channels.At present, the Li Ning on the Internet has three core agencies: Beijing Continental line, the ancient star e commerce, shopping net. These three core agents Sina Mall, eBay shop, Dangdang, pat network and opened a large number of Li Ning Taobao online store, and achieved good sales, some more than Online Shop line stars in store. This is undoubtedly Li Ning to offline channels to expand the successful model used the results online.

E Commerce, leading “light company” Trend

In 1990, the Chinese gymnast Li Ning Li Ning Co., Ltd. Sanshui in Guangdong was founded. Founded at the beginning that work together with the Chinese Olympic Committee, through the sporting goods business to promote the development of sports. In 1995, China’s Li Ning sporting goods industry leader.

10 years, Li Ning’s sportswear product development from single to sports apparel, athletic footwear, accessories and many other series to keep pace. Li Ning, a single entity from the sales practices extend to the virtual community. Li Ning brand is gaining in popularity.April 2005, Li Ningguan Name NetEase sports channel. Subsequently, the Li Ning Li Ning has built a sports community Netease, Sina and Li Ning sporting community, CCTV Li Ning Sports World and other virtual communities, create a virtual community of consumers and brands play an interactive platform for efforts to enhance the Li Ning brand in the network of influence. Awareness in network marketing, Nike and Li Ning, Anta is earlier than the awakening, but the two brands are not in the network in this vast market intensive.

Li Ning to do e commerce, does not use the majority of self built electronic mall clothing brand based Internet direct marketing, such as Giordano, birds and other good news, but choose to outsource the network channels, its flagship stores and discount stores Taobao only counted as a display platform. Li Ning’s network outsourcing approach channel to channel scale quickly in a short time occupied the market.Li Ning understanding of the market by virtue of the network to carry out the brand marketing, the traditional industries to “light company” business model transformation of one of the representatives. The so called “Light Company”, is relying on the Internet platform and the IT technical means, the cost advantage and service innovation to further expand to close to the market approach to gathering consumer, understand consumer needs, and then reverse match.

Undeniably, Li Ning, “Light Company” business model’s success is driven more different industries to the “Light Company” pattern, such as PPG shirts, Metersbonwe, BONO and other apparel industry and Taobao, Suning, Air, Jingdong Mall, Aveni, and other industries. Although they test the water “Light Company” in the field of success and failures, but “Light Company” Mode is not stopped.

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Category: Marketing
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