Adult sports brand switch to children's clothing

Luo Zhengming, deputy chief operating officer, said that since the beginning of this year, there have been cases where retailers of adult sports brands have switched to doing children's brands. This is particularly the case in Jiangsu and Zhejiang. Agents of children's brands have absorbed a part of adult retailers during the distribution channel.

According to reports, some adult brand retailers who switched to children’s brands are actively adjusting their agency brands due to the downturn in the adult sports market. Some of them are eliminated from adult brand channel optimization strategies and switch to children’s camps, such as some adult brands. Require that the store must be more than 100 square meters, some weaker retailers can not achieve.

Cassiron Chairman Ding Canyang also observed this phenomenon. “In the past two years, the channels for children’s brands have been rapidly expanding. On the other hand, they have been constantly optimized. Many 'mother and daughter' shops gradually fail to follow the brand development process. With the pace of the company, the company is also developing new retailers while eliminating some stores with poor operating performance.In the process of rapid expansion of children's brand channels, integrate some agents, retailers and stores with adult brand operating experience. Obviously, it is more labor-saving than developing new channels."

"However, this integration can only happen in some areas, and it is not realistic for children brands to take over the retailers and stores that adult sports brands have eliminated." Ding Chanyang said, "Because of adult brand agents, retailers' business models, and storefronts." Location, etc. may not be suitable for children's brands."

Luo Zhengming said that although children's brands mostly refer to the monopoly system of adult sports brands, there is a big difference in the location of the stores. “Many adult stores are open in the city’s prime location, and children’s shoes are made of “Low, low profit margins”, the profit of selling three single items is equivalent to the profit of selling an adult brand, and the stores are basically opened in the third and fourth tier cities or the secondary commerce areas of the first and second tier cities. To integrate, it is only possible to integrate the stores of adult brands in the second-class street and the third-class street."

In addition, whether the sports brand agents can adapt to the children's brand operating model is also a matter of consideration. “The business category of sports brands is relatively simple. Generally, there are two categories. The category of children’s brands is more. Shoes include board shoes, leather shoes, sandals, boots, roller skates, etc. The clothing has British style, campus style, outdoor style, Casual style, etc., but also the size of clothing and shoes spans more, shoes from 20 yards to 42 yards, clothing from children to children. It should be said that children's brands have higher requirements for the agent's ability to manage goods." Ding Chan Yang said.

Although the profits of children's shoes and children's wear are low, they cannot enter the first-class business district in a large scale. However, according to the opportunity of adult brand channel integration, Li Xiaolin, head of the Huangpu District Guangdong Province, analyzed: “Children brands can use adult brand terminal stores to reshuffle. Opportunities, the layout of 1-2 large stores in the core business district of the city, and the rest of the stores are still located in the sub-commercial areas and non-mainstream streets.The role of the big stores is to accumulate popularity, enhance the brand's overall image, and can also be used as a brand. Experience shop that interacts with consumers."

However, most of the children's branding outlets nowadays use the "combination boxing" method, and not all of them are invested in children's wear. The main profit remains in the original main clothing.