Analysis Of Market Situation And Competition Pattern Of Chinese Sports Apparel Industry In 2018 Nike And Adidas Two Strong Stands

In 2018, China's sportswear CR5 was about 57.3%, an increase of about 10.1 percentage points compared with 2013, and its concentration ratio was significantly higher than that of the global level. Among them, the share of NIKE and Adidas increased rapidly. The total share of the two companies increased from 29% in 2013 to 38.5% in 2018, an increase of nearly 10 percentage points.

Market concentration of sports apparel in China

At present, the sports fever has increased, and the steady growth of residents' income has brought about the upgrading of consumption and the purchasing power of 80- after 90. The main crowd is growing and the consumption base is enlarged, making the sports apparel industry maintain a good growth rate.

At the same time, China's sports apparel industry market concentration is also rising. In 2013, the sports apparel industry CR5 was about 47.2%. In 2018, the CR5 of sportswear industry reached 57.3%, which was 10.1 percentage points higher than that in 2013, and the degree of concentration was significantly higher than that of the global level (35%).

In China's sportswear market, Adidas and Nike occupy two top two international brand market share, the first tier, the market share is 19.5% and 19% respectively, the second tier is Anta, Skechers and Lining, and the market share is 8%, 5.8% and 5% respectively.

Nike and Adidas two are strong.

In recent years, the market growth rate of Nike in China is far ahead. In the third quarter of fiscal year 2019, Nike earned $3 billion 810 million in North America, an increase of 7% over the same period last year. Sales in Europe, the Middle East and Africa grew by 12% to $2 billion 435 million. Revenue in Asia Pacific and Latin America increased 14% to 1 billion 307 million US dollars over the same period. China's market revenue increased 24% to 1 billion 588 million US dollars over the same period.

In the 2019 quarter of fiscal year three, the cumulative income in the first three quarters of the year saw us $11 billion 737 million in North America, an increase of 7% over the same period last year, and 7 billion 355 million US dollars in Europe, the Middle East and Africa, an increase of 9% over the same period last year.

Adidas's performance has been increasing rapidly in recent years, and the company's performance has recovered significantly, and China's market share has increased rapidly. In 2018, Adidas realized revenue of 25 billion 880 million US dollars, an increase of 8% over the same period last year, and net profit of US $2 billion 10 million, an increase of 24.6% over the same period last year. The revenue in the fourth quarter was 5 billion 970 million US dollars, up 0.3% over the same period last year, and net profit was 100 million US dollars, up 35.2% over the same period last year.

From the point of view of regional income, the North American and Asia Pacific markets are developing rapidly, and Western Europe's regional income still takes the lead.

At the end of 2018, Asia Pacific (including greater China and Japan) accounted for 33% of the revenues, 27% of Europe and 21% of North America. By the end of 2017, Western Europe was the largest revenue area, accounting for 29%. In recent years, North America and greater China were actively developing the North American and greater China regions, accounting for second and third respectively, accounting for 21% and 18% respectively.

Greater China business growth is obvious, making up for the slow growth of the European market. In recent years, the Greater China region has maintained a growth rate of around 25%-30%, making up for the weakness of other markets.

At the same time, the market share of Adidas in China gradually increased. The market share of China's sports apparel market reached 19.5% in 2018, and Nike ranked first in two consecutive years.